History of SAP
Systems Applications and Products in Data Processing German : Systeme, Anwendungen, Produkte in der Datenverarbeitung Founded in 1972 by Wellenreuther, Hopp, Hector, Plattner and Tschira Re named in 1977 Before 1977 : Systems Analysis and Program Development (German : Systemanalyse und Programmentwicklung) SAP is both the name of the Company as well as their ERP Product SAP system comprises of a number of fully integrated modules, which covers virtually every aspect of the business Three systems developed : R/1, R/2, R/3
VARUN BISARIA 1
VARUN BISARIA
3 Tier Client / Server Architecture
The SAP R/3 architecture is based on a 3-tier client/server principle Presentation Server Application Server Database Server Dedicated Servers are linked by Communication Networks Perform tasks without sacrificing data integration and processes within the system, as a whole
VARUN BISARIA
SAP R/3 System Architecture
VARUN BISARIA
VARUN BISARIA
SAP Modules
SD Sales and Distribution MM Materials Management PP Production Planning FI Financial Accounting
SD MM PP
FI CO AM
CO Controlling AM Asset Management
SAP R/3
QM Quality Management
QM PM WM PS WF
HR
HR Human Resources WF Workflow
PM Plant Maintenance WM Warehouse Management
PS Project System
VARUN BISARIA
VARUN BISARIA
Procurement Process
Outline Agreement Purchase Requisition Demand Scheduling Agreement
Vendor
Accounts Payable
VARUN BISARIA
Invoice Verification
Goods Receipt & Inventory Mgmt.
Purchase Order
8
BASIC DATA
Materials Management
Vendor/one-time customer Purchasing info record Service specifications Workflow Texts Mail Communication Classification Documents Conditions RFQ/Quotation
Material/service Price comparisons Price comparison list
PURCHASING
Purchasing information system Vendor evaluation
Material Special stock Batch
Purchase requisition
MRP Direct requisition Release procedures
SD PP PM
Third-party order Requirements
Purchasing
Service/ Spare Parts Service / parts lot Inspection QM spare G/L accounts Cash management and forecast Fixed assets Cost center / Budget Project
Purchase orders Outline agreements Scheduling agreements
FI AM CO PS
INVENTORY MANAGEMENT
Goods receipt/issue Transfer posting Quantities and values Physical inventory Storage bins
INVOICE VERIFICATION
Check and post Price update
VARUN BISARIA
Organizational Structures
VARUN BISARIA
10
Organizational Structures: Client
The client is a unit within an SAP R/3 system that is selfcontained both in legal and organizational terms and in terms of data, with separate master records and an independent set of tables. From a business viewpoint, the client represents a corporate group, for example. Client: 3 numerical digits
VARUN BISARIA
11
Organizational Structures: Company
is the smallest organizational unit of external accounting for which a complete, self-contained bookkeeping system can be replicated. A company code represents an independent unit producing its own balance sheet, for example, a company within a corporate group (client). Company code = 4 characters
The company
VARUN BISARIA
12
Organizational Structures: Plant
Lowest valuation area Organizational level where Material Requirements (MRP) runs Generally used to describe a production site, a distribution center or centralized warehouse May be a physical or logical unit
VARUN BISARIA
13
Organizational Structures: Valuation Area
The valuation area determines at which level a material is valuated (inventory value is established) SAP R/3 allows valuation at the company code or plant level, but recommends valuation area be set at the plant level. Means each plant can have its own material prices and account determination
VARUN BISARIA
14
Organizational Structures: Storage Location
Subdivision of a plant Where materials are managed (inventory management)
Raw Materials Maintenance, Repair, and Other (MRO) Finished Product
May be a physical or logical unit
VARUN BISARIA
15
Organizational Structures: Purchasing Organizations
An organizational unit responsible for procuring materials or services for one or more plants and for negotiating general conditions of purchase with vendors. The purchasing organization assumes legal responsibility for all external purchase transactions.
VARUN BISARIA
16
Purchasing organization
purchasing organization purchasing group MG 0, 3
material group
purchasing group MG 1, 4 purchasing group MG 2, 5 purchasing group MG 6 plant purchasing group MG 7, 8, 9
17
VARUN BISARIA
Organizational Structures: Purchasing Organization Groups
The purchasing organization is further subdivided into purchasing groups (buyer groups), which are responsible for day-to-day buying activities. A purchasing group can also act for several purchasing organizations. A purchasing group can be defined by line products (Frame, Engine, Tires)
VARUN BISARIA
18
Materials Management Overview
What is Materials Management ?
Procurement
MM Master Data
Inventory Management
Requisition Planning Purchase Requisitions RFQs Contracts Purchase Orders
Receiving Materials Transfer Posting/ Goods Issue Vendors Physical Inventory (Raw Material, Semi Information Records Finished Goods, Finished Goods)
The Material Management module comprises of procurement and the inventory management functions .
VARUN BISARIA 19
Logging into SAP ERP
Double Click
Select Server {Double Click}
LOGON ICON
LOGON PAD
20
VARUN BISARIA
Enter Client, User Name and Password
VARUN BISARIA
21
SAP Standard Screen
VARUN BISARIA
22
Menu Bar Command Field Title Bar Standard Tool Bar Application Tool Bar
SAP Standard Screen Components
Status Bar
VARUN BISARIA 23
The Module MM Main Functions
VARUN BISARIA
24
MM interdependencies to other modules
Logistics
PP production planning MM material master purchasing requirements plan. QM quality management inventory mgmt. invoice verification PM plant maintenance SD sales and distrib.
FI financial acc.
VARUN BISARIA
CO controlling
AM fixed assets mgmt.
25
