What is SAP COE?

Centers of Excellence provide business and application expertise to support the effective daily operations and improvement of different business or IT functions. The SAP Center of Excellence (COE) focuses on these tasks for SAP systems and solutions in place at an organization. They provide functions such as implementing new SAP systems, designing new processes, optimizing existing processes, managing projects, providing user support and training, and keeping the SAP landscape running 24 hours a day, 7 days a week.

What is SAP COE?

Centers of Excellence provide business and application expertise to support the effective daily operations and improvement of different business or IT functions. The SAP Center of Excellence (COE) focuses on these tasks for SAP systems and solutions in place at an organization. They provide functions such as implementing new SAP systems, designing new processes, optimizing existing processes, managing projects, providing user support and training, and keeping the SAP landscape running 24 hours a day, 7 days a week.

Some of the benefits that a SAP COE offers include: a repository of SAP deployment best practices; a central point-of-contact for all SAP-related matters; a place where strong competencies can be developed; a means to enhance the value of SAP solutions; improved SAP personnel retention; and improved service levels. While there is an investment involved in creating a SAP COE, with many organizations running dozens or hundreds of SAP systems there can be a significant organizational benefit to setting up a COE.

Key Considerations for SAPinsiders:

  • Building a successful COE requires planning and investment, both financial and from a resource perspective. According to David Jantzen and Dan Haynes of Deloitte, some of the key steps to setting up a successful SAP COE include: ensuring appropriate leadership, defining how the organization will work, building tight relationships with business and IT teams, and defining appropriate metrics.
  • You can boost the success of your SAP COE by developing and defining the right metrics. Many organizations view their SAP COE as little more than a support organization. However, given the value of SAP systems and the resources invested in the COE itself, this limits the overall value the team can provide. By developing the right metrics it is possible to transform the COE from a support team to a key part of the business. In this article SAPinsider spoke with Ken Grady of Novartis how they appropriately defined metrics to help transform their SAP COE into a valuable part of the business.

683 results

  1. Enhance Cost Center Variance Reporting for Manufacturing Organizations

    Reading time: 14 mins

    Discover how having detailed activity types map to each work center level can provide you with detailed variance analysis at the cost centers. Key Concept Activity types specify the manufacturing activities produced in plant-related cost centers. Multiplying activity types used in the production process through the assigned production cost centers creates more transparency and provides…...…

  2. Use the Indirect Activity Allocation Cycle to Calculate and Post Sender Activity Quantities

    Reading time: 13 mins

    The indirect activity allocation cycle can be useful for allocating activity costs from one cost center to another. When it is difficult to determine how much activity to post from one cost center to another, you can use a method that involves the automatic calculation of activity quantities. Understanding how to set up the master…...…

  3. Avoid PCA Reporting Problems When Using Different Companies for Sales and Delivery

    Reading time: 46 mins

    Inaccurate profit center accounting (PCA) reports can result from using profit centers incorrectly for triangular sales orders. The author demonstrates how to avoid this situation by pointing out some common mistakes and providing tips on setting up profit centers correctly. Recently I was working for a company that wanted to use profit center accounting (PCA)…...…

  4. What Are Target Costs in Cost Center Accounting and Why Should You Calculate Them?

    Reading time: 12 mins

    Many reports that monitor cost center performance are incomplete because they account for the planned output rather than the actual output of the cost center. The author demonstrates how to use adjusted costs called target costs. Calculating target costs will provide you with a report that more accurately reflects the performance of your cost centers…....…

  5. Use a Standard BTE to Curb Dummy Profit Center Postings in EC-PCA

    Reading time: 12 mins

    Learn a way of using a standard business transaction event (BTE) to reduce the number of postings to the dummy profit center and the consequent need to reclass these (incorrect) postings. Organizations that have implemented the classic general ledger and have activated Profit Center Accounting (EC-PCA) are advised to implement this BTE to significantly curtail…...…

  6. 11 Steps for Changing a Cost Center Hierarchy

    Reading time: 8 mins

    A strong cost center hierarchy is necessary for analyzing your company’s performance. If your structure is not meeting your needs, try this 11-step process to develop a new, more effective cost center hierarchy. This process is best suited for small- to medium-sized companies. Key Concept A company must have a logical grouping of costs to…...…

  7. Profit Center Reorganization Is a Snap with New Functions in Enhancement Package 5

    Reading time: 16 mins

    When your organizational structure changes, are you sure your profit centers are accurate? See how features in the forthcoming enhancement package 5 allow you to reorganize your profit centers in SAP General Ledger without the cost or headache. Key Concept Reorganization in SAP ERP Financials is the process of determining which master data and transactional…...…

  8. Hone Your Manufacturing Cost Understanding for Better Decision Making

    Reading time: 16 mins

    When a product is manufactured, an accounting entry is automatically made each time that a posting is made in the production process. Some of these postings take place in FI, while others are posted only in CO. Follow the flow of these accounting entries and understand the reconciliation process between FI and CO. Key Concept…...…

  9. Refresh the Look of the Master Data in Cost Center Accounting with a New Business Function

    Reading time: 17 mins

    Learn how to activate an alternative set of Web applications to maintain the master data in SAP Managerial Accounting (CO). Configure them to meet your organization’s needs, showing only the fields you actually use and positioning the various screen parts so that users can focus on what’s important. Key Concept The technology behind the new…...…

  10. Define Test Requirements and Create and Execute Testing Components as Part of Your Automated Testing Solution

    Reading time: 15 mins

    ManagerLearn a step-by-step procedure for defining and transferring test requirements from SAP Solution Manager to SAP Quality Center by HP. Create test components in SAP Test Acceleration and Optimization and execute the test cases in SAP Quality Center. Key Concept The business process testing model supports the workflow of the user interface design that allows…...…