“Cost Centre Treasury”
In a Cost Centre Treasury system, the cost centre department is responsible for managing a company’s costs. A cost centre’s main objective is to contribute to profitability by keeping costs on or below budget.
Cost centres make an indirect contribution to company profits. By tracking expenses and improving operational efficiency in all areas they contribute to increasing the added value of products and services and therefore enhance company profitability.
Cost centres provide more efficient control of all costs at the company and allow financial managers to gather more accurate metrics for internal reporting.