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SAP R/3 Modules
Transcript of SAP R/3 Modules
a simple overview of each one from this
SAP Module Overview
Management decision-making can be achieved with a high level of information provided by this module.
SAP's R/3 is an enterprise-wide information system designed to coordinate all the resources, information, and activities needed to complete business processes.
SAP R/3 is SAP's integrated software solution for Client/Server and Distributed Open Systems. The software is highly customizable using SAP's proprietary programming language, ABAP/4. R/3 is scalable and highly suited for many types and sizes of organizations.
What is the R/3 Client?
SAP AG brought out a client–server version of the software called SAP R/3 (The "R" was for "Real-time data processing" and 3 was for 3-tier).
R/3 Client is defined as an "independent accountable business unit within an R/3 system".
The simplest definition of an R/3 system is "one database". In one R/3 system, there is only one database.
SAP R/3 addresses the enterprise needs of typical large scale manufacturing and trading organizations. SAP R/3 product is ideally suited for large corporations that have multiple products, manufactured out of multiple plants, often distributed across multiple continents and countries. R/3 can handle multiple currencies, multiple language scripts and multiple accounting systems, multiple valuation schemes and multiple depreciation schemes exceptionally well.
SAP R/3 was designed for open systems, e.g. UNIX. The architecture is comprised of application and database servers, with individual users established as "clients". The application servers house the software and the database servers handle document updates and master file databases. The system can support an unlimited number of servers and a variety of hardware configurations.
The R/3 system can be configured to suit the size of the organization by allocating different processing systems to database management, application processing and presentation services. The various servers can be running any combination of operating systems, for example: presentation - Windows 3.1, UNIX, Windows NT, OS/2 and Windows 98; applications - Windows NT, UNIX, Open VMS and MPE/iX; and database - Windows NT, UNIX, Open VMS and MPE/iX. R/3 may be implemented with Oracle, Informix, and other database systems.
As you can see in this picture, SAP have some main modules which inside have several sub modules, so you will have an overview of each main module. Some of them are integrated by the combination of other modules.
SAP FI module is maybe one of the most important modules behind SAP.
Sales & Distribution
The Financial Accounting (SAP FI) module in SAP is designed to capture organizations business transactions in a manner that will satisfy external reporting requirements. Local legal considerations are pre-delivered with the system and the ability to manage and report on multiple companies in multiple countries with multiple currencies is part of standard functionality.
The real-time functionality of the SAP modules allows for better decision making and strategic planning. The FI (Financial Accounting) module integrates with other SAP modules such as : MM (Materials Management), PP (Production Planning), SD (Sales and Distribution), PM (Plant Maintenance), and PS (Project Systems).
Such a complex module is formed by several sub-components also known as sub-modules :
Special Purpose Ledger
The SAP sales and distribution is part of the logistics module that support your customers, starting from quotations, sales order and all the way towards billing the customer.
The Sales and Distribution (SAP SD) consists of all master data, system configuration, and transactions to complete the Order to Cash process.
Sub-components of the SAP Sales and Distribution (SAP SD) Module:
Inquiry & Quotation
Pendulum List Indirect Sales
Shipping and Transportation
Sales Information System
Is the materials management module of the SAP. This module is used for Procurement Handling and Inventory Management.
The Materials Management module (SAP MM) consists of all master data, system configuration, and transactions to complete the Procure to Pay process. This process map spans from MRP generated procurement proposals through final invoice receipt and verification.
Sub-components of the SAP Materials Management (SAP MM) Module:
Logistics Information System
Logistics Invoice Verification
Material Requirements Planning (MRP)
External Services Management
The purpose of the Controlling (CO) module in SAP is to provide organizations with a method of slicing and dicing data to view costs from an internal management perspective and provide a view of profitability beyond that of basic financial reporting. This allows the organization to create information in a manner that is tailored to their specific business measurements needs.
Controlling allows an organization to:
Plan and track overhead costs within the company's specific organizational structure.
Track costs related to specific projects or events and either capitalize those costs or charge them to appropriate departments upon completion.
Perform "Activity Based Costing".
Perform Product Costing, measuring production cost and variances.
Report profitability by product line, division, or other internal measurement.
Report sales and gross profitability by external measures such as market segments or customer groups.
Sub-components of the SAP Controlling (SAP CO) Module:
Cost Element Accounting
Cost Center Accounting
Activity Based Costing
Product Cost Controlling
Profit Center Accounting
The purpose of Production Planning is to ensure that manufacturing runs effectively and efficiently and produces products as required by customers.
Quality Management is a method for ensuring that all the activities necessary to design, develop and implement a product or service are effective and efficient with respect to the system and its performance.
It is oriented to cover all maintenance activities, supporting the Planning, Programming and Implementation, with emphasis on the availability of equipment, staff costs and Assurance, guaranteeing so the state of the art of database and optimization.
The basic task of Human Resource Management is to produce the organizational hierarchies, relationships between employees and to allow effective storage and administration of employee data.
It is created to support the planning, control and monitoring of long-term, highly complex projects with defined goals.
Production Planning consists of all master data, system configuration, and transactions to complete the Plan to Produce process.
SAP Production Planning (SAP PP) is compromised of the following modules:
Master Data - includes the material master, work centers, routing and bill of materials.
Sales and Operations Planning (SOP)
Master Production Scheduling (MPS)
Shop Floor Control (SFC)
Product Costing, Activity-Based Costing
Work in Process
Production Planning for Process Industry (PP-PI)
SAP Quality Management (QM) assures that products meet stringent regulatory standards, are safe and uniform, and meet company product specifications. SAP QM processes are thoroughly integrated into the manufacturing process.
The Quality Management module covers all classic quality management tasks, SAP has several QM terms that are important to note.
Test Equipment Management
Plant Maintenance operates the overall maintenance business processes and functions. The Plant Maintenance module allows a maintenance organization to: Identify, document, and correct failures and degradations of any assets for which they have responsibility. Plan and schedule activities to prevent or predict failures and keep assets and processes operating within design specifications.
Sub-components of the SAP Plant Maintenance (SAP PM) Module:
The Human Resources module (SAP HR) consists of all master data, system configuration, and transactions to complete the Hire to Retire (or, as some say, Fire) process. It includes the following information and processes.
SAP Human Resources (HR) Components or Sub-Components:
Project System provides tools to track project milestone, costs and resources. SAP's Project System module contains tight integration to the Controlling, Human Resources, and Logistics modules. It utilizes personnel records from HR, rolls costs into Controlling and links to materials or customers in the Logistics modules.
Two key objects that define the Project in SAP are:
Work Breakdown Structure - defines tasks and assign resources to those tasks
Network - defines the dependencies within the Work Breakdown Structure (WBS)
Common processes in Project System include: Tracking costs against WBS elements. These costs can either be from personnel time charged against the project or from materials and/or services procured to support the project. Tracking milestones against key dates defined in the project.