SAP is the short form of Systems, Applications and Products. SAP is not simply the name of worlds 1 of the greatest software development organisation but also the name of the software product developed by this organization. SAP AG, the official name of the company since it was processed in Germany, in the first place thought of allowing customers with a tool with which they can interact with a sole master info base for each and every application required across the enterprise.
The mind of the tool become functional in the process of a financial accounting system named SAP R/1, the first version of SAPs iconic enterprise software. The amended version of this application, SAP R/2, was established towards the end of 1970s, which was mainframe established business application software. After, SAP AG launched a client -server version of the software addressed SAP R/3, after the advent of separated customer -server computing.
SAP R/3 Functionality:
SAP applications, established round their current R/3 system allows R/3 to cover all procedure and management tasks throughout the organization. That stands for, SAP R/3 offer the users with the instrument to oversee financial, asset, and cost accounting, production processes and materials, personnel, plants, and archived documents. It runs on Advance Business Application Programming (ABAP), which is a fourth generation programming language. The R/3 system is compatible with several platforms including Windows 2000 and applies the client/server model.
SAP R/3 Modules:
SAP R/3 is made up of whatever individual working software modules. These modules mix to execute the working and management tasks of any organisation. All personalized functioning module addresses special activities on it's own, but is associated to the others where applicable. The most wide used modules are - Logistics, Accounting and Human Resources.
Logistic Module:
Logistics is the method of completing a process from begin to complete on request e.g. delivering a product at its wanted location, on request. Various tasks involved in this process are Sales and Distribution, Production Planning, Materials Management, Plant Maintenance and Quality Management etc among others, all of which are integrated by Logistic module. The varied components of this module and illustration of their functions are:
Logistic Module
Sales and Distribution module: Presales support, customer enquiry processing, quotation processing, sales order processing, delivery working, billing and sales information system.
Material Management module: Purchasing operations, warehouse management, inventory, invoicing etc.
Production Planning module: Planning & organizing production procedure e.g. transport and storage of raw materials, by-products and waste etc.
Plant Maintenance module: Repair of buildings, maintenance of tools used in the production procedure, data about machine usage and possible downtime etc.
Quality Management module: All procedures related to the quality assurance of the product.
Accounting Modules:
This module executes every financial and accounting actions or in other words this module matches every financial and accounting needs of the corporation. It is automated to offer management and reporting of ledger, receivables & payments etc. which in turn enables balance sheets and Profit & Loss (P&L) accounts to be self updated, unendingly. So, the original reward of this module is that the book reflects the real situation. The various elements of this module are:
Accounting Module Examples
Financial Accounting: Accounting functions like balance sheet, Profit & Loss statements, Compliance with accounting regulations etc.
Controlling: Controls cost as well as companys targets, Provides data essential for decision making and future planning.
Enterprise Controlling: Collates internal information with market data to bring out matters in marketing strategies.
Treasury: Corporate banking, Money, budget management etc.
Capital Investment Management: Helps finance corporations in their capital investments and tracking.
Project System: Project Management I, Project budgeting, Project execution/integration, Info system, Operative structures, Project planning etc.
Human Resources Modules
As the words itself defines, Human Resource Modules leaves a accomplished HR management system, dealing areas such as personnel planning and recruitment, personnel and salary administration, payroll and personnel development.
Beginning, SAP implementations as well as its preparation were prepared on module lines. For illustration, in a training class on Logistics, you would learn many things about SD such as SD-MD, SD-GF, SD-SLS etc but not much about the rest of the SAP system and how SD fits into it. So, the integration between modules was totally absent. This applied to lead to that, the results were optimized along the modules, but lacked in integration. And So, to achieve that integration, programmes are nowadays being organized on the process lines such as:
Order to Cash (including parts of SD, FI-AR and probably TY as well)
Purchase to Pay (including MM-Purchasing and FI-AP)
Record to Report (FI-GL etc)
With adaption of procedure lines instead of modules for results, SAP nowadays are moving away from drawing their system as a set of modules, and now are practicing the term solutions. These Fresh Dimension Products can stand alone or be integrated with R/3. It's profits include elimination of duplication, discontinuity and redundancy in information and growths the return on investment made on IT implementations. It delivers quality data designed for the Organisation as a entirely Faster and cheaper which in turn presents quality information to make a quality enterprise. These answers are:
Financials
Human Resources
Customer Relationship Management
Supplier Relationship Management
Product Lifecycle Management
Supply Chain Management
Business Intelligence
Conclusion:
SAP is an Enterprise Wide Business Solution. This means that enterprises running SAP can effectively integrate all of its business activities taking on finance, purchasing, sales, human resources etc. This integration allows every last business transactions in an organisation are handy to every fields of that organization and there is no duplicate of information in separated systems.
The mind of the tool become functional in the process of a financial accounting system named SAP R/1, the first version of SAPs iconic enterprise software. The amended version of this application, SAP R/2, was established towards the end of 1970s, which was mainframe established business application software. After, SAP AG launched a client -server version of the software addressed SAP R/3, after the advent of separated customer -server computing.
SAP R/3 Functionality:
SAP applications, established round their current R/3 system allows R/3 to cover all procedure and management tasks throughout the organization. That stands for, SAP R/3 offer the users with the instrument to oversee financial, asset, and cost accounting, production processes and materials, personnel, plants, and archived documents. It runs on Advance Business Application Programming (ABAP), which is a fourth generation programming language. The R/3 system is compatible with several platforms including Windows 2000 and applies the client/server model.
SAP R/3 Modules:
SAP R/3 is made up of whatever individual working software modules. These modules mix to execute the working and management tasks of any organisation. All personalized functioning module addresses special activities on it's own, but is associated to the others where applicable. The most wide used modules are - Logistics, Accounting and Human Resources.
Logistic Module:
Logistics is the method of completing a process from begin to complete on request e.g. delivering a product at its wanted location, on request. Various tasks involved in this process are Sales and Distribution, Production Planning, Materials Management, Plant Maintenance and Quality Management etc among others, all of which are integrated by Logistic module. The varied components of this module and illustration of their functions are:
Logistic Module
Sales and Distribution module: Presales support, customer enquiry processing, quotation processing, sales order processing, delivery working, billing and sales information system.
Material Management module: Purchasing operations, warehouse management, inventory, invoicing etc.
Production Planning module: Planning & organizing production procedure e.g. transport and storage of raw materials, by-products and waste etc.
Plant Maintenance module: Repair of buildings, maintenance of tools used in the production procedure, data about machine usage and possible downtime etc.
Quality Management module: All procedures related to the quality assurance of the product.
Accounting Modules:
This module executes every financial and accounting actions or in other words this module matches every financial and accounting needs of the corporation. It is automated to offer management and reporting of ledger, receivables & payments etc. which in turn enables balance sheets and Profit & Loss (P&L) accounts to be self updated, unendingly. So, the original reward of this module is that the book reflects the real situation. The various elements of this module are:
Accounting Module Examples
Financial Accounting: Accounting functions like balance sheet, Profit & Loss statements, Compliance with accounting regulations etc.
Controlling: Controls cost as well as companys targets, Provides data essential for decision making and future planning.
Enterprise Controlling: Collates internal information with market data to bring out matters in marketing strategies.
Treasury: Corporate banking, Money, budget management etc.
Capital Investment Management: Helps finance corporations in their capital investments and tracking.
Project System: Project Management I, Project budgeting, Project execution/integration, Info system, Operative structures, Project planning etc.
Human Resources Modules
As the words itself defines, Human Resource Modules leaves a accomplished HR management system, dealing areas such as personnel planning and recruitment, personnel and salary administration, payroll and personnel development.
Beginning, SAP implementations as well as its preparation were prepared on module lines. For illustration, in a training class on Logistics, you would learn many things about SD such as SD-MD, SD-GF, SD-SLS etc but not much about the rest of the SAP system and how SD fits into it. So, the integration between modules was totally absent. This applied to lead to that, the results were optimized along the modules, but lacked in integration. And So, to achieve that integration, programmes are nowadays being organized on the process lines such as:
Order to Cash (including parts of SD, FI-AR and probably TY as well)
Purchase to Pay (including MM-Purchasing and FI-AP)
Record to Report (FI-GL etc)
With adaption of procedure lines instead of modules for results, SAP nowadays are moving away from drawing their system as a set of modules, and now are practicing the term solutions. These Fresh Dimension Products can stand alone or be integrated with R/3. It's profits include elimination of duplication, discontinuity and redundancy in information and growths the return on investment made on IT implementations. It delivers quality data designed for the Organisation as a entirely Faster and cheaper which in turn presents quality information to make a quality enterprise. These answers are:
Financials
Human Resources
Customer Relationship Management
Supplier Relationship Management
Product Lifecycle Management
Supply Chain Management
Business Intelligence
Conclusion:
SAP is an Enterprise Wide Business Solution. This means that enterprises running SAP can effectively integrate all of its business activities taking on finance, purchasing, sales, human resources etc. This integration allows every last business transactions in an organisation are handy to every fields of that organization and there is no duplicate of information in separated systems.
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