A cost center is a department within a business to which costs can be allocated. A cost center indirectly contributes to a company’s profit through operational efficiency, customer service, or increasing product value. Cost Center is another way to categorize employees. OrangeHRM’s feature to add cost centers helps the user to add cost centers very easily with minimum data entry.
The user can generate reports based on Cost Centers. The user can attach a cost center to an employee, Sub Unit or a Project.
The user needs to enable this option before adding cost centers. Only admin users can enter a cost center (s)
Refer the following link to learn how to add the General Information.
Step 1 – Select the ‘Cost Center Enabled’ checkbox and click ‘SAVE’ from the "General Information" section.
Go to Admin > Organization > Cost Centers. ‘Cost Centers’ screen is displayed follows.
Step 3- Click the ‘Add’ button which is towards the right-hand corner of the ‘Cost Centers’’ screen. The ‘Add Cost Centre’screen is displayed as follows.
Step 4 – The user can enter a ‘Cost Center ID’ number, a ‘Name’ and a Description and Click ‘Save’.Entering ‘Cost Center ID’ number and a ‘Name’ is compulsory, else the system will not allow the user to save.
The user can also edit the previously created cost center by clicking button, which is towards the left-hand side of the previously created cost center. The ‘Edit Cost Center’ screen is displayed as follows.
After changing the ‘Cost Centre ID’, or the ‘Name’ or the ‘Description’ the user can click ‘SAVE’.
- If the user wants to delete a cost center (s) then he/she can mark the checkbox towards the left-hand side of the created cost center and click button. Upon clicking this button the following mini screen is triggered.
The user can select which of the above options they should go ahead with.
- Upon clicking ‘Select All’ the following mini screen is triggered.
The user can select any of the above options they should go ahead with.