Catch the Wave: SAP Event-Driven and Data Streaming for the Intelligence Ente...
Sap demo with focus on FICO
1. AGENDA
Introduction to ERP
About SAP
Why SAP
SAP architecture
Organisational structure
Implementation methodology
Career & scope as a SAP professional
SAP product overview
SAP navigation
3. ENTERPRISE RESOURSE PLANNING-DEFINITION
Enterprise resource planning-a software system that integrates core business areas such as
manufacturing,distribution,financials and human resources.
Example : a warehouse in Singapore enters a customer order:
data automatically flows to other areas of company
It would flow to the financial and accounting people in new York
Automatically updates accounts receivable
The order would also flow to the manufacturing operations in Europe instructing them to make another component.
Inventory levels will automatically be reduced in warehouse and an order will be placed to replenish inventory
4. ERP EVOLUTION
ERP was introduced in late 1980 to integrate other business functionalities not covered by MRP or MRP II.
It is not confined to manufacturing only but covers all facets of organization such as:
Finance
Human Resources
Supply Chain
warehouse management, and
Project Management
ERP development from software solution provider mainly emerged as a sequel of their MRP products.
Some of the early solution providers are
SAP from Germany
BaaN from Netherland
JD Edwards from USA, and
Lawson from USA
5. BUSINESS WITHOUT ERP
Customers
Purchasing
PP contacts
Purchasing for
raw material
Sales Inventory
Customer
Calls to place
order for a
Car
1
Production
Planning
4
Sales
office/Inventory
contacts PP
2
Sales office
contacts
Inventory
3
3
7. LETS DELIVER THE END PRODUCT TO CUSTOMER..
I did not
order for a
TRUCK!!!!
Dear Sir,
Your Order…
Sales
8. BUSINESS WITHOUT ERP (CONTD..)
I AM NOT TAKING
DELIVERY AND WILL
NEVER DEAL WITH YOU!
We are
SORRY Sir
Sales
9. BENEFITS OF ERP
One common system-less duplication, more efficient
Customer focus-better customer service
Open communications among business partners
Adherence to standard business practises
Removes need for in-house development
Good reporting capabilities
Support for multiple currencies and languages
10. DISADVANTAGES OF ERP
Forced change of processes
Very complex software
Lack of trained people
Not internet ready
12. WHAT IS SAP ?
SAP stands for ("Systems Applications and Products in
data processing“)
SAP was founded in 1972 by five former IBM employees
in Mannheim, Germany.
Before 1977 : Systems Analysis and Program Development
(German : Systemanalyse und Programmentwicklung).
13. WHAT IS SAP (CONT.)
SAP was the first, Market Leader, to integrate a corporation's
worldwide functions tightly into one application.
With 56,000 installations serving 10 million users at 18,800
organizations in 120 countries across the globe.
So far, there have been 4 systems developed by SAP. namely,
R/1, R/2, R/3, ECC.
14. SAP’S CONTINUED GROWTH
SAP released the first version of their software, SAP R/2,
in 1979.
Its domination of the market occurred during the 1980s,
expanding first throughout Europe (early 1980s) and
then North America (1988).
SAP R/3, an advanced, client-server based version of the
popular R/2 product, was released in 1992 and sparked
a stunning takeover of America's largest businesses.
15. SAP FUNCTIONAL MODULES
SAP R/3
FI
WF
PS
PM
WM
PP
MM
SD
HR
AM
CO
QM
FI-Financial Accounting
WF-Workflow
PS-Project system
CO-Controlling
AM-Asset
Management
HR-Human
resource
management
SD-sales and
distribution
MM-Material
Management
PP-
production
planning
QM-Quality
Management
PM-Plant
Maintenance
WM-warehouse
management
16. MODULE FUNCTIONALITIES
PP
Bom/work centre/routing
MRP
Capacity evaluations
Production orders
QM in production
SD
Inquiry processing
Sales order processing
Delivery processing
Billing
FI
General ledger
Accounts payable
Accounts receivables
Bank management
Asset management
CO
Cost centre accounting
Product costing
Order contribution analysis
MM
Material procurement
Batch management
Goods inspection
Invoice verification
17. FICO COURSE CONTENTS
Organisation structure
Financial accounting global settings
(fiscal year, posting period, document types, posting keys)
General ledger accounting
Creation of House bank
Accounts receivables
Accounts payables
Asset accounting
Integration with sales & distribution and materials management
Controlling introduction
19. SAP INDUSTRY SOLUTION PORTFOLIO
SAP Industry Solutions for...
Aerospace & Defence
Automotive
Banking
Chemicals
Consumer Products
Engineering, Construction & Operations
Financial Service Provider
Healthcare
Higher Education & Research
High Tech
Hospitality Service Providers
Industrial Machinery & Components
Insurance
Logistics Service Providers
Media
Mill Products
Mining
Oil & Gas
Pharmaceuticals
Postal Service Providers
Professional Services
Public Sector
Railway Service Providers
Retail
Service Providers
Technical Service Providers
Telecommunications
Utilities
• Tailored to the standards, processes, and
challenges of a specific industry
• Based on the best business practises
developed with industry leaders
• Portfolio of 28 industry solutions
• Built on consistent technology and
application stack
27. ORGANIZATIONAL STRUCTURE IN SAP
Human ResourcesControlling
Client
Company
Code
Purchasing
Organization
Personnel
Area
Production Planning
Sales and Distribution Materials Management
Financial Accounting
Sales
Area
Controlling
Area
Plant
28. DEFINITIONS
Client :- In commercial, organizational and technical terms, a self-contained
unit in an R/3 System with separate master records and its own set of tables.
Company code :- The smallest organizational unit of Financial Accounting for
which a complete self-contained set of accounts can be drawn up for purposes
of external reporting. This includes recording of all relevant transactions and
generating all supporting documents required for financial statements.
Plant :- In Logistics a plant is an organizational unit for dividing an enterprise
according to production, procurement, maintenance, and materials planning.
A place where materials are produced, or goods and services are provided
Controlling Area :- An organizational unit within a company, used to represent a closed
system for cost accounting purposes. A controlling area may include single or multiple
company codes that may use different currencies. These company codes must use the same
operative chart of accounts. All internal allocations refer exclusively to objects in the same
controlling area.
29. DEFINITIONS…CONTD
Sales Area :- A combination of sales organization, distribution channel, and division
Purchasing Organization :- A purchasing organization procures materials and services,
negotiates conditions of purchase with vendors, and is responsible for such transactions. You specify
the form of procurement by assigning purchasing organizations to company codes and plants.
Possible forms are:
Enterprise-wide: One purchasing organization procures for all the company codes of a client - that is
for all companies belonging to a corporate group
Company-specific: One purchasing organization procures for one company code
Plant-specific: One purchasing organization procures for one plant
Mixed forms are possible. These are replicated in the system using reference purchasing
organizations.
A purchasing organization can access and use the most favorable conditions and centrally agreed
contracts of the reference purchasing organization assigned to it.
Personnel Area :- An organizational unit representing an area in an enterprise delimited according to
personnel administration, time management, and payroll accounting criteria.
31. HOW A COMPANY APPROACHES SAP AG FOR IMPLEMENTATION
BIG BAZAAR
BUSINESS
PARTNERS
WORLDWIDE
ASIA
INDIA
TCS
INFOSYS
IBM
ACCENTURE
AFRICA ANTARTICA AUSTRALIA EUROPE
NORTH
AMERICA
SOUTH
AMERICA
BIG
BAZAAR
SAP GERMANY
HEADQUARTERS
2.5 CR
1.5
CR
2.0 CR
3.5 CR
INIFOSYSINFOSYS
32. INFOSYS GETS IMPLEMENTATION PROJECT CONTRACT
Recruiting project team for the
implementation project through
listing in job portal or through in-
house recruitment
Project manager
Technical consultants
ABAP consultants, SAP
basis consultants
Functional consultants
FICO,MM,SD,HR,PP
34. ASAP TOOLS ARE TAILOR –MADE FOR AN EFFECTIVE ,FAST, AND WELL-ORGANIZED
SAP R/3IMPLEMENTATION
THE COMPLETE IMPLEMENTATION PROCESS IS WELL DOCUMENTED
Project preparation
• Define goals & objective
• Clarify scope ,strategy, schedule resources
Business blueprint
• Requirement workshops, document business process
• Define baseline scope, refine overall schedule
Realisation
• System implementation ,testing
• Release it for production
Final preparation
Testing, end-user training, system management
Cut over activitiesGo live and support
Pre-production to live production
Support organisations, closing project and finally sign-off
35. WHY ASAP
Both project managers & team members need ASAP
ASAP methodology gives the project managers:
The requisite technology
Management roadmap
Great reduction of risk
Project time lines improving
Team members should be:
Conversant with general implementation roadmap
Aware of specific accelerators that should be used to speed up
the implementation
36. ASAP….1996
ASAP is a methodology/step by step approach
Better suited for medium sized companies
“The word “Accelerated” refers to many “accelerators”(tools and
information's) available in SAP in an enterprise
37. ASAP ADVANTAGES
Used to effectively and efficiently implement SAP
A simple ,quick ,cost effective implementation of R/3
Minimizing the length of time between installation and start up
Maximizing the utilization of SAP and customer resources
Involves the user community
39. ROLE OF TECHNICAL & FUNCTIONAL CONSULTANTS IN SAP
Functional consultant
1. Gathers requirements from the client
2. Translates the requirements into functional specification.
3. he configures the system according to the client needs
Technical Consultant :
1. Needs to understand the functional requirement from the functional specs.
2. Translates functional specs into technical specs.
3. Does the coding as per the technical specs.
4. A technical consultant is an programmer (ABAP, JAVA) who helps the functional consultant to alter the
system in few areas to meet the specific client business needs.
5. Needs to know basic business processes(optional).