Sap refers to system, application & products in data. It is a German Company founded in 1972.
SAP R/3
Sap AG is a German software development firm
SAP R/3 is current ERP system
Logistics
Accounting
Human resources
Business tools
Five master database for SAP R/3 are general ledger, vendor, customers, HR, Manual
Functionalities of R/3
1) Sales & Distribution
The turnkey solution for integrated handling of all tasks for sales, shipping and billing.
Business Environment governed by
•Growing Competition
•Shrinking Cycle times
•Technological Innovation
•Business Processes have to be streamlined
•Increased Efficiency in Sales & Distribution
•To retain a competitive advantage
Sales related business transactions
•
•Sales queries like inquiries & quotations
•Sales Orders
•Sales Contracts
•Delivery & Shipments
•Invoicing / Billing
•After Sales Support
Sales Order Processing functions
•Inquiry handling
•Quotation preparation & processing
•Contracts & contracts Management
•Monitoring the sales transactions
•Checking availability
•Transferring requirements to MRP
•Scheduling the delivery
•Calculating pricing & taxes
•Checking credit limits
•Invoicing & Billing
•Creating printed or electronically transmitted documents
Sales & Distribution Modules
•Master Data Management
•Order Management
•Warehouse Management
•Shipping
•Billing
•Pricing
•Sales Support
Business View - Sales Cycle
Sales order---à Goods issue-----à Billing document----à receive payment (all are connected to credit check)
2) Material Management
The integrated, closed procurement process with system-supported integration of results and production planning.
Business View - Procurement Cycle
Purchase Requisition -------> Request for quotation----> Purchase order----à goods receipt ---à invoice receipt ------à vendor payment
3) Production planning
The PP system suitable for all types of production with system-supported integration of results and production planning.
•Operations Management
•Transformation
•Conversion of Inputs into Outputs
•Conversion of resources into services
•Use of Human, Physical & Financial Resources to Produce Products or Services
•Make to Order
•Make to Stock
•Assemble to Order
•Engineer to Order
•All such methods of Manufacturing are supported by ERP
•Manufacturing Modules
•Materials Requirement Planning (MRP)
•Capacity Requirement Planning (CRP)
•Shop Floor Control
•Quality Management
•Engineering Data Management
•Engineering Change Control
4) Quality Management (QM)
The system for quality assurance in all areas of the logistic chain.
5) Plant Maintenance
The industry-neutral solution for the administration and repair of technical systems.
•Organizations cannot achieve manufacturing excellence with unreliable equipments
•Quick response manufacturing
•JIT reduction of Work in Process Inventory
•Elimination of wasteful manufacturing practices
•At one time, Machines breakdown & Idle Time was an accepted practice
•Things have changed
•Today, when a machine breakdowns, it can shut down the Production Line & Customers entire plant.
•Plant Maintenance system to define causes, activities & Maintenance tasks
•All Maintenance tasks like Inspection, Servicing & Repair activities data is saved in Historical Database
•Total Productive Maintenance
•Risk optimized Maintenance
Plant maintenance module
•Preventive Maintenance Control
•Equipment Tracking
•Component Tracking
•Plant Maintenance Tracking
•Plant Maintenance warranty claims Tracking
6) Financial Accounting
A wide performance spectrum which includes cash management /electronic banking, financial controlling, cash budget management and consolidation.
•Financial Accounting
•GL, A/R, A/P, Special Ledger, Fixed Assets Accounting, Legal Consolidation
•Investment Management
•Investment Planning
•Investment Budgeting
•Investment Controlling
•Depreciation Forecast & Calculations
•Controlling
•Activity based costing
•Product costing
•Profitability Analysis
•Overhead Cost Controlling
•Treasury
•Cash Management
•Treasury Management
•Enterprise Controlling
•Executive Information System
•Business Planning & Budgeting
•Profit Centre Accounting
7) Asset Management
The complete management of all fixed assets, from traditional asset accounting and
technical assets management up to investment controlling
8) Controlling
Closed cost accounting from cost center accounting and cost element accounting through to profitability analysis.
9) Office & Communication: E-mail and workflow.
10) Industry Solutions: Bar coding, shipping, EDI, etc.
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