Full form or SAP FICO stands for FI (Financial Accounting) and CO (Controlling), SAP FICO is the best configuration for internal as well as external accounting processes. It is a relevant core module of ERP processes, and wherein real-time financial transactions are integrated with various parallel SAP modules for best results.
Well suited for professionals desirous of excelling in the fields of accounting and finance, SAP Financial Accounting (FI) offers highly sophisticated means of financial transaction reporting and better handling of accounts. Banks are increasingly utilizing the external reports generated with the help of SAP FICO, administrators, Tax Authorities, stockholders, and managers, in line with their specific requirements. SAP FI is responsible for integrating diverse modules and generating a single system for the entire organization. In a nutshell, it draws data for external reporting procedures while its SAP Controlling Module (CO) emphasizes data for internal users.
SAP Controlling is vital for management decision making processes and is often used for internal reporting purposes. The Controlling area is typically a smartly conceived organization unit that is useful for representing the controlling and accounting activities of profit centers, product costing, profitability, and so forth. CO, the controlling module, aptly complements the value created by the FI reports and utilizes the many features of the vastly used SAP FI components. The SAP Controlling Module (CO) further helps the management by organizing profit centers, Cost Centers, contribution margins, and so forth. Once the transactions are posted in FI, they are transferred to CO for further processing, Cost Accounting, analytical reporting, and audit-control.
Some important features and benefits of using SAP FI CO are: