group cost profitability - gcp -

GCPGroup CostProfitability

Off the shelf application that works as an SAP add on to ease the calculation of intercompany profits embedded in transfer prices, helping on consolidation analysis.

It bridges existing SAP and non SAP systems, levering the transactional information they have and expediting the crucial business need of monitoring intercompany value chain.

Jerson Hurtado [email protected]

GCP – Group Cost Profitability


Your Reality


You are responsible or accountable to produce consolidated analysis in your corporate group.

You are already using a solution to isolate intercompany profits from inventory which is embedded in the transfer prices.

Your corporate group has international operations and uses a variety of SAP systems and non SAP systems.



You know that it would be great if a more automated, proven and robust solution to support consolidation analysis is available


But…. I wish..


The good new is; That is exactly what GCP from IMC GmbH does!

There are already European corporate groups with global operations that are realizing the benefits of this application, other is about to go live and others in discussion to go into the prototype phase.


IMC – Information Management and Consulting- has a solid SAP knowledge based with experts in Product Costing, Material Ledger and Supply Chain Management.


At it heart, by extracting from source systems, both quantity information from supply chain and values from product costing and sales, GCP builds the value chain that allows the determination of the intercompany profits embedded into the transfer prices.You will be able to tell how much intercompany profit sits in inventory!



A set of common terms is established to serve as basis for the value flows between the different systems, some of them are: cost component structure, global currency, organization units (plants), product units (materials), local, historic and global values, process categories, transaction type, resource list, etc.



The power of the GCP application resides in its ability to model the supply chain in a way that it brings the “transparency” that enables the value chain to be analyzed .



GCP core could be installed in BI or in one of the ERP system and as an add on has the look and feel of SAP, in fact a material ledger like transaction is used to present initial inventory, all movements during the period and ending inventory as shown below with intercompany profit in local, historical value and group cost.



Once the modeling of the supply chain has been built, the CGP engine relays in several internal processes referred as applications, which from the very extraction of transactional and master data from all source systems through the determination of the intercompany profits, manage to couple not only material senders and receivers quantities but also values which may have been posted in different period as good delivered/receipts and invoice receipts are not always synchronized not to mention returns, adjustments an so on.



The way GCP is implemented, includes a prototype phase which serves to demonstrate its ability to be used for a portion of the supply chain where values for intercompany profits can be produced and checked against expected values.

There is an initialization period which covers several accounting periods.Once GCP has been initialized (go live), regular periods kicks in.

GCP is suitable to produce plan or actual results and a combination of both where actual quantity flows are used in combination to the appropriate procurement alternative to produce the “ what should have been” or “target” results.



For more information about GCP, contact:

Jerson [email protected]

+1 407 538 9185 USA

mailto:[email protected]

group cost profitability - gcp -

Economy & Finance