SAP Margin Analysis (previously known as Account Based CO-PA) allows organizations to gain insights into their margins, revenues, and costs of specific market segments such as products, customers, material groups and other dimensions. The goal is to provide management with contribution margin information to aid in the decision-making process. With S/4HANA, you can perform Profitability Analysis using both the Costing-based CO-PA and Margin Analysis methods. SAP recommends Margin Analysis as the default solution even though both Costing-based and Margin Analysis can co-exist. This is because, only the Margin Analysis solution updates the universal journal (ACDOCA), and all future innovations will only be made for Margin Analysis.
What happened to the Controlling Module in S/4HANA?
By now, everyone has heard about some of the major changes that occur in S/4HANA Finance, such as the Universal Journal, New Asset Accounting, mandatory Material Ledger, and so on. A huge difference between S/4HANA Finance and ECC, is the merging of the Financial Accounting (FI) and Controlling (CO) modules (the proverbial “Single Source of Truth”), and most of the Controlling functionalities are now subsumed into the Universal Journal.