Secondary Cost Center

Description

The secondary cost center is the cost center of a company which is not directly related to an operational business purpose. For these secondary cost centers, FACTON determines personnel costs per employee and non-personnel costs per employee via value rules. This determination requires the following information:

  • Industrial Sector (on the calculation level)
  • Reference Location (on the calculation level)
  • Labor Group (on the Secondary Cost Center level)
Further information, see: Overhead Rate Calculation

Examples

  • Storage employee (material cost center)
  • Development engineer (research and development cost center)
  • Distribution employee (sales cost center)

Insertion positions

Secondary cost centers can be inserted under the following calculation elements:

Calculation Element Should Costing
Primary Cost Center x

Quantity Type

Secondary cost centers have the quantity type »currency«.

Properties

You can find the basic properties of the secondary cost center in the Details view.

Further information, see: Labor Rate Calculation