Profitability and Cost Management Cloud Services (PCMCS) from Oracle is a service focused on the distribution of resources and the causes of expenses.

It is mostly employed for cost management and profit analysis.

Its goal is to find out what causes expenses to rise and what can be done about it in order to make the company more profitable. Profitability may be identified and segmented with this service, which aids in making better financial decisions by providing cost and profit statistics. 

PCMCS, unlike EPM programmes (PBCS/EPBCS/FCCS), focuses more on allocation and making allocation computations more clear (a budget is a financial plan that assists in the allocation of resources to different places). It’s easy to use and doesn’t necessitate any coding thanks to the built-in rule capability. For more sophisticated allocation procedures, custom calc-scripts are available. 

Dimensions of the System 

Two system dimensions are included with PCMCS out of the box: “Rule” and “Balance”.

• The Rule dimension connects the business process to a system-generated rule number.
• The rule dimension has a NoRule member that receives data.
• To prevent overwriting of rule outcomes, each sequence in a rule set is kept in the programme as a layer. 
• The allocation procedure is controlled by the Balance dimension. Allocation in and allocation out regulate the source and target of the allocation process.
• Data is loaded into the Input dimension. Adjustments are input into the Adjustment dimension. 

Dimensions of the POV 

You may have a maximum of four point-of-view dimensions (Year, Period, Scenario, Version). This specifies the subset of data on which you wish to do computations or analysis.

Prior to doing computations, a point of view (POV) must be specified. 

Dimensions of Business 

This encompasses all user-defined dimensions (Account, Cost centre, Project, and Line of Business), as well as their source, destination, and drivers. 

Guidelines 

There are two distinct sorts of rules available: allocation rules and custom rules.

Each rule is associated with a rule set.

Within the rule set, you may select the order in which the rules should be executed.

You can define a description, source, target, driver, offset position, and/or context for each rule. 

The terms source and target refer to the place from which and to which we are allocating. 

You can distribute equally or provide a driver for the distribution.

For instance, if I want to shift headcounts from the corporate cost centre to the Houston and New York cost centres, I would use headcounts as the driver. 

Unless the user modifies the offset position, it defaults to source.

Offsetting provides a negative entry for the allocation amount, reducing it to zero and so preventing future allocation. 

The context section contains a list of the rule’s intersections. 

IMPLEMENTATION

Gathering Data 

Metadata may be imported as a flat file or via an import template if migrating from HPCM.

The data can be imported natively (structured file) or via Data Management (if transformation is needed). 

Views of the Model 

Model views enable you to study data from a variety of points of view.

By giving a model view to Rule Balancing, you may check the allocation results.

Tracing enables users to see the outcome of computation and determine the contribution of each rule. Additionally, custom model views may be generated to facilitate additional investigation. 

The Process of Deployment 

The complete implementation process will involve the following steps: requirement collecting, project scoping, design, development, and testing.

The construction step may be separated into a structural phase, during which we load or enter data into the programme.

The process phase is when we take the data and use it to construct various processes or computations based on the user’s request. 

WHICH OF THE TWO OPTIONS IS THE BEST? 

Not sure which enterprise resource planning (ERP) software is best for your business? No worries – our professionals at Diamond can assist your organization in receiving a complimentary consultation and navigating the various distinctions between EPM software.

Additionally, we can assist your firm in determining which EPM software is the best fit for your unique business procedures. For further information, please contact us and one of our representatives will contact you as soon as possible. 

Diamond Professional Consultants specializes in Business Intelligence softwares that give you instant reports to speed up the decision-making process. 

Read more about our Business Intelligence services.

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