ofbiz-user mailing list archives

Site index · List index
Message view « Date » · « Thread »
Top « Date » · « Thread »
From <Vikrant.Rath...@bertelsmann.com.cn>
Subject RE: how to handle cost-center in ofbiz
Date Wed, 09 Jan 2008 03:00:45 GMT
Hi Mugunth,

In General the cost center are designed for reporting and analytical purpose in Financial
systems. In SAP you will find different codes. Now the cost center can have multiple dimension
like they may relate to employee and project or just an employee or to a specific branch or
a specific office.

This is something you will find pretty standard in most of the financial systems which later
on changed to ERP (so they call them ERP because they can do more then finance).

In ofbiz there is no concept of cost centers since in the core you do not have any major financial
module. But indeed you have a details implementation of Accounting standards (mind it cost
centers are not accounting standards but used by company for reporting and analytical purpose).

Now in ofbiz every transaction has a source it can be an subsidiary, branch, employee, it
can be a product, it can be a vendor, it can be invoice, it can be a payment (both incoming
and outgoing). Moreover each accounting entry can be linked to customer, vendor, invoice,
payment at a given time.

So indeed you can built a analytical and reporting layer on top of it. The problem comes only
when you have multiple companies and have inter-company transaction and when you use a HQ
company to pay for the expenses of subsidiary.

This part in ofbiz needs to be developed separately. You can have a look at http://www.opentaps.org/
which has a financial module but again you really still need to customize it to implement
cost center which I found is very easy to do indeed.

Also if you can tell me your 5 cost center I can provide you some feedback on how to implement
in ofbiz :), although it should be a job of a financial consultant ;).

If you are looking for a strong financial functionality then I would suggest you better look
at some other opensource offerings which have a better financial modules. Ofbiz is very good
product if you want a single unified ERP. But if your main focus is financial system and then
built supporting layer around it then I would suggest make ofbiz as operational ERP and use
some financial system as ofbiz provides a very good integration engine. Indeed you can find
some examples of ofbiz integrated with sql-ledger another accounting system.

With best regards,

-----Original Message-----
From: Mugunth Subramanian [mailto:msubramanian@spikesource.com] 
Sent: Tuesday, January 08, 2008 10:04 PM
To: user@ofbiz.apache.org
Subject: how to handle cost-center in ofbiz

Hi all,
I could not find documentation on handling cost center concept in ofbiz.

our company has about 5 cost centers. We need to associate the accounts 
to various cost centers.
We need to be able to take reports for the whole company or to various 
cost centers.

I am not sure how to handle cost centers. Pls help to clarify this.


View raw message