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What is a cost center? A cost center is often a department within a company. The manager and employees of a cost center are responsible for its costs but are not responsible for revenues or investment decisions. A manufacturer's cost centers include each of its production departments as well as the manufacturing service departments such as the maintenance department or quality control department.
You use the statistical order to evaluate costs which cannot be itemized in detail in cost element or cost center accounting. You achieve this by assigning the costs to both the statistical order and the cost center. You immediately see the costs in the order (statistical, for information purposes only) and the cost center (real costs). The cost center to be posted can be stored in the order master data. The system then finds the cost center automatically. Otherwise, you must specify the cost center as well as the order to complete the posting document.