Adding and modifying cost centres

What are Cost Centres?

In any organization, cost centres refer to departments, divisions, or units that primarily incur costs as part of their operations. Unlike revenue-generating departments, cost centres are focused on managing expenses. The main purpose of cost centres is to track and allocate costs, analyze spending patterns, and assess the efficiency of each department's expenditure.

By organizing your organization into cost centres, you can:

• Track expenses across different departments or units

• Improve cost efficiency

• Make data-driven decisions to optimize operational spending

• Contribute to effective financial management and control

In Keka, you can easily add, edit, and manage cost centres to streamline the financial tracking process and ensure better budget allocation.

How to add Cost Centres in Keka?

Keka enables you to create and manage cost centres for different units or departments in your organization. Here's how to add a new cost centre in Keka:

1. Navigate to the Org Section:
   In the left navigation pane, go to Org, then select the Org Structure tab.

2. Access the Cost Centre Tab:
   Within the Org Structure section, click on the Cost Centre tab.

3. Add a New Cost Centre:
   Click on +Add Cost Centre to begin adding a new cost centre.

   

4. Enter Cost Centre Details:
   In the Add Cost Centre window, enter the required details, such as the name and description of the cost centre.

5. Save the Cost Centre:
   Once done, click Add to save the cost centre. The new cost centre will appear on the Cost Centre screen under Org Structure.

Assigning a Business Unit Head

Once you have created a cost centre, you can assign a Business Unit Head to manage the unit. After adding employees to Keka, you can search for and assign an employee as the head for a particular cost centre from the Cost Centre screen.

Editing or archiving a cost center

In Keka, you can either edit or archive a cost centre depending on your needs. Here’s how you can do both:

1. Navigate to the Cost Centre Screen:
   Go to the Cost Centre page under Org Structure.

2. Select the Cost Centre:
   Find the cost centre you want to modify.

3. Edit or Archive the Cost Centre:

   • To edit the cost centre, click on the three-dot icon in the Actions column and select Edit. You can update the name, description, or other details. Once done, click Update to save the changes.

   • To archive the cost centre, click on the three-dot icon and select Archive. Archived cost centres will no longer be active for operations but can still be accessed for future reference.

Note: Archived cost centres are not available for active operations, but their data remains intact.

Managing cost centres in Keka ensures better control of departmental spending and enhances your financial tracking system. Whether you're adding new cost centres, editing existing ones, or archiving inactive units, Keka provides a simple and efficient way to manage this process.

We hope this guide helps you understand how to manage cost centres effectively in Keka. If you need more help or have any questions, don’t hesitate to contact us!