A Study on Flow of Information in different

Department using SAP R/3 ECC 6.0

(Product support department)

PREPARED BY
Aman Medatwal
(2015BTECHME002)

FACULTY GUIDE
Prof. Shrinivas Rathod

Department of Mechanical engineering

Institute of Engineering and Technology (IET)
JK Lakshmipat University Jaipur

August 2014
A Study on Flow of Information in different Department
using SAP R/3 ECC 6.0

(Product support Department)

Practice School-1

Submitted in partial fulfilment of the requirements

for the degree of

Bachelor of Technology in Mechanical Engineering

By:
Aman Medatwal
(2015btechme002)
Faculty Guide:
Prof. Shrinivas Rathod

Department of Mechanical engineering

Institute of Engineering and Technology (IET)
JK Lakshmipat University Jaipur

August 2014

ii
 CERTIFICATE

This is to certify that the Practice School-1 project work entitled “A Study on Flow of

Information in different Department using SAP R/3 ECC 6.0” submitted by Aman
Medatwal (2015BTECHME002), towards the partial fulfillment of the requirements for the

degree of Bachelor of Technology In Mechanical Engineering of JK Lakshmipat University

Jaipur is the record of work carried out by them under my supervision and guidance. In my
opinion, the submitted work has reached a level required for being accepted for Practice School-
1 examination.

Prof. Sriniwas Rathod Dr. Murari Lal Gupta

Supervisor and Associate Professor Associate Professor & Head,
Department of Mechanical Department of Mechanical
Engineering Engineering
Institute of Engineering & Institute of Engineering &
Technology (IET) Technology (IET)
JK Lakshmipat University Jaipur JK Lakshmipat University
Jaipur

Date of Submission

Prof. Dr. – Ing. Anupam Kr. Singh

Director
Institute of Engineering & Technology
JK Lakshmipat University Jaipur

iii
 ACKNOWLEDGEMENTS

It is my priviledge to express a few words of gratitude and respect through this project report
to all those who guided and inspired me in completing this project

I would like to express our heartfelt gratitude to Prof Ing Dr.-Ing. Anupam K Singh, Director,
Institute of Engineering & Technology for his valuable time and guidance that made the project
work a success.

I sincerely thank Dr. Murari Lal Gupta, HOD mechanical engineering department, JK
Lakshmipat university for hi continuous support.

I sincerely thank Proff. Sriniwas Rathod, (Mechanical engineering department, JK

Lakshmipat University, Jaipur ) for his guidance and encourangement in carrying out this
project work. I owe my utmost gratitude to my supervisor Mr Dominic.F (Product support
department, LeeBoy) who inspired me during my internship. Without his untiring assistance,
direction and support and ideas I could not complete my project.

I also thank LeeBoy India Construction Equipments pvt ltd to provide me this golden
opportunity to do internship in LeeBoy,India.

My deep sense of gratitude and respect to my parents for their support and encouragement.
Finally , I wish to sincerely acknowledge my gratitude to all the persons who have helped me
directly or indirectly in completing this project successfully.

Sincerley yours,
Aman Medatewal
(2015BTECHME002)

iv
 ABSTRACT
The purpose of this study is to know about the flow of information in organisations which use
SAP as an ERP product. It also tells about different ERP products for different departments.
The following study is done on SAP R/3. This helps in knowing the process of flow of
information in various departments. Besides this we will learn about different types of Earth
moving machines like Backhoe Loader, Motor Grader.

List of Figures

[Link] Fig number Page no. Detail

1 1.1 1 Company Profile

2 2.1 7 Plant Shopfloor layout

3 2.2 8 Motor Grader 985

4 2.3 12 Crawler Excavator

5 2.4 15 Excavator Assembly Line

6 2.5 16 Excavator

7 2.6 19 Slings(2m 5 tonns) Lifting Boom

8 3.1 42 Quick Measurement

9 3.2 42 Cage during tyre Filling

10 3.3 43 Paint Hooks of slings

v
 List of Tables

[Link]. Table Page Details

1. 1 2 Company
Details
2. 2 18 Crawler
Excavator
Specification
3. 3 24 Different
Department In
LeeBoy India
4. 4 30 ERP Products
and use in
different
Departments

vi
 List of charts

[Link] Chart Page No. Detalis

No.
1 3.1 23 Organization

2 3.2 27 Flow of information in various department of Organization

3 3.3 29 R/3 Tier Architecture

4 3.5 29 R/2 Tier Architecture

5 3.6 31 SAP Modules

6 3.7 33 SAP CO Activities

7 3.8 35 MM Process

8 3.9 35 LE Process

9 3.10 36 SRM Process

10 3.11 37 CRM Process

11 3.12 38 HR Process

12 3.13 39 Flow of information in SAP GUI

vii
 Table of Contents

Contents
CERTIFICATE III

ACKNOWLEDGEMENTS IV

ABSTRACT V

LIST OF FIGURES V

LIST OF TABLES VI

LIST OF FLOWCHARTS VII

1. INTRODUCTION 1

1.1 INTRODUCTION TO COMPANY 1

1.2 RESEARCH OBJECTIVES 4
1.3 METHODOLOGY ADOPTED 5

2. CHAPTER 2.1 STUDY OF EARTH MOVING MACHINES 7

2.1 EARTH MOVING MACHINES 7

2.1.1 MOTOR GRADER 8
2.1.2 EXCAVATOR 12
2.1.3 LIFTING TACKLES IN PLANT 18

CHAPTER 2.2 STAGES OF BACKHOE LOADER & MOTOR GRADER 20

2.2.1 BACKHOE LOADER 20

2.2.2 MOTOR GRADER 21

3. CHAPTER 3 STUDY OF SAP AND ERP 23

3.1 INTRODUCTION (LEEBOY ORGANIZATION DEPARTMRNTS) 23

3.2 PROBLEMS FACED BY NON-ERP ORGANIZATION 25
3.3 FLOW OF INFORMATION CHART 27

3.4 SAP INTRODUCTION 28

3.5 R/3, R/2 TIER ARCHITECTURE 29

viii
 3.6 ERP PRODUCTS AND MODULES 30

3.7 SAP USED IN WHOLE PROCESS OF MANUFACTURING 39

3.8 SAP GUI WORKS 39

4. CHAPTER 4 SUMMARY & FUTURE SCOPE OF WORK 41

6.1 SUMMARY 41
6.2 CONCLUSION 41
6.3 SUGGESTION AND IMPROVEMENT 42
REFERENCES 43

ix
CHAPTER 1 : INTRODUCTION

INDUSTRY & COMPANY PROFILE

Fig 1.1
Manufacturing is the process of converting raw material into finish goods on an
large scale that meet customer’s expectations and using labour, machines and tools
etc….. Final products sold to other manufacturers of the production of the other,
higher, complicated commodity, such as home gadgets, automobiles. Or sale to
wholesale, sold to retailers and finally end user.

Manufacturing process are the steps through which raw-material are converted into
finished goods, the manufacturing process start with the product design, material
specification from which the product is made. These materials are then modified
manufacturing process to become the required part.

Companies in this sector manufacture different products major products groups

they are food beverage, machinery, chemicals, transportation equipment and
computer and electronics. Manufacturing and investment the world focus on

1. Competativness
2. Foreign direct investment
3. Economic growth

1
Company Details:

Company Name LEEBOY INDIA CONSTRUCTION

EQUIPMENT PRIAVTE LIMITED
Company Category Compant limited by shares
Type MNC (Multinational Corporation)
Sub Category Subsidiary of Foreign Company
Class Private
President R. Amarnath
Date of 23 September 2010
incorporation
Age of company 6 years
Activity Manufacturing (machinery and equipment)
Address Plot #289-292, Bommasandra Jigani Link ,
KIADA INDUSTRIAL Area, Jigani Hobli,
Anekal Taluk, BANGALORE

Table 1 Company details

- A 52 year old brand from USA

- A wide range of products for road construction and maintainance
- Best in class product made with globally proven aggregates
- Strong global dealer network for swift and support for service and spares
- Manufacturing facilities is USA, India and Brazil.
- Unmatched productivity efficiency
- Customized post-sales-care packages

2
 LeeBoy is the one of the strong player in North America for Pavers and Motor
Graders.

LeeBoy’s product portfolio includes Motor Graders, Crawler Excavators, Backhoe

Loaders, Concrete Batching Plants, Concrete Curber, Pothole Patcher, Compaction
rollers, Asphalt Pavers, Asphalt Distributors, Asphalt Maintainers, Force-feed
loaders, Chip Spreaders and Brooms.

Some key customers of LeeBoy India: MBL, L&T Construction, SEW, Reliance,
JMC projects (India) Ltd., Punj Llyod group, Madhav groups, RNS infrastructure,
Rani infrastructure, Saakar Infra Nirman, KCC Buildcon Pvt Ltd., TATA
International, GHV Driving innovations, Techno unique, Chetak Enterprises Ltd.

LeeBoy products are brought to life with only the best aggregates proven
globally:
Wipro, Cummins, ZF, Danfoss, AKG, Kawasaki, Rothe Erde, Berco, Carraro
group, Walavoli, Optima Batteries, KYB, Casappa, SKF, Lincon, Avorora, Parker,
Red Dot, COBO, Thames Side, Smiley Motors, Wam, Dantal Hydraulics,
Akzonobel, Rexroth Bosch Group, Murphy.

LeeBoy is a member of the ST Engineering Group.

ST Engineering (Singapore Technologies Engineering Ltd) is an integrated
engineering group providing solutions and services in the aerospace, electronics,
land systems and marine sectors. Headquartered in Singapore, the Group reported
revenue of $6.54b in FY2015 and ranks among the largest companies listed on the
Singapore Exchange.

It is a component stock of the FTSE Straits Times Index and MSCI Singapore a
leader in each of our sectors of business, we offer integrated and advanced solutions
for customers across multiple industries.
ST Engineering’s customers are both commercial and defence organizations in
over 100 countries. We serve them through a global network of over 100
subsidiaries and associated companies in 46 cities across 24 countries in the US,
Europe, Asia and Australasia. Round the world, we have more than 23,000
employees.

3
 Vision, Mission and Quality policy:-

➢ Vision of the company:-

1. Cutting edge products- Using current technology

2. Aesthatically excellent- Look and feel, finish of the product
3. Functionally excellent- Good productivity, good fuel efficiency
4. Group of people- Symbolises `Team efforts’
5. Smart- Intelligent, up-to-date, competent
6. Sharp- Quick to grasp, alert, active
7. Very responsive- Approachable, ability to walk the extra mile.

➢ Mission of the company:-

We are strong in-corporates engineering services; we focus on bringing worth to

our clients by the way of delievering of complete, better quality services

➢ Quality policy:-

❖ “ We deliever” symboliz group attempt and promise of our

persons to go that further mile
❖ “Safe” is what all our merchandise and service must be, for our
customer and for our people delievering them.
❖ “Maximizes the economic value added” is the yard stick we use
top measure ourselves ; it is an obligation we owe to our parents
and stake holders including our staff.

1.2 Training Objectives

OBJECTIVE 1: To understand the workculture of company .
OBJECTIVE 2: To understand mechanical operations in asslembly lines in
different earth moving machines.
OBJECTIVE 3: To understand the methodology used by company in product
support department.

4
OBJECTIVE 4: To understand the various tools used in assembly plant.

Methodology Adopted

A process of enquiry and investigation; it is systematic, methodical and ethical;

research can help solve practical problems and increase [Link] term
‘research’ pertains to a ‘search for facts’. Research is a careful investigation or
inquiry, especially through search for new facts in any branch of knowledge. It
refers to a careful and exhaustive investigation of a given phenomenon, with a
definite objective of attaining or enhancing one’s knowledge level.

▪ Data Collection: Data will be collected from primary sources of

information.

▪ Primary Sources: which are directly gathered from the company staff or
industry employees through direct or face to face interaction when the
company information collected from employess , discussions were made
with the help of quality support department

▪ Secondary Sources: collected from the same departments in the

company but that information is already collected data

Annual reports of the company

Data collected from company website

▪ Type of data : Primary

5
1.3

1) Methodology adopted for Objective 1:

Face to face interactions with the employees and workers of the company

2) Methodology adopted for Objective 2:

Interaction with supervisor of different machines and labours to.

3) Methodology adopted for Objective 3:

Interaction with Mr Dominic.F from Product support department

6
 Chapter 2 Study of Earth Moving Machines
2.1 Earth moving Machines of LeeBoy
LeeBoy India construction equipment pvt ltd Jigani road ,Bangalore is an assembly
plant where all the spare parts of machines are assembled
Mostly 3 types of earth moving machines are made here such as
• Motor grader
• Backhoe loader
• Excavator

Paint Line

Backhoe Loader
Assembly Line

Excavator
Assembly Line
Special Products
Assembly Area

Motor Grader
Pre-Dispatch Assembly Line
Inspection Area

Paint Booth Cum

Oven

Fig: - 2.1 Plant Shopfloor Layout

7
1. MOTOR GRADER

Fig 2.2 Motor Grader 985

8
1.

9
10
A GRADER , also commonly refer to as a ROAD GRADER OR MOTOR
GRADER, is a construction machine with a long blade used to create a flat surface
during the grading process. Typical models have 3 axles with the Engine and cab
situated above the rear axle at one end of the vehicle and 3 rd axle at the front end
of the vehicle, with the blade in between. Graders are commonly used in the
construction and maintainance of dirt road and gravel roads. They are also used to
setnative soil foundation pads to finish grade prior to the constructions of large
buildings. Graders can produce inclined surfaces ,to give chambers to roads.

The LeeBoy Motor Graders are all about high torque, performance and reliability.
This cutting edge technology is powered to do anything from building a road and
cutting ditch to moving earth , doing site work and fine grading. It is backed by the
cutting-edge LeeBoy technology with proven expertise in the US for five decades.

❖ MOTOR GRADER SPECIFICATIONS :-

- 150/173 HP 4-stroke , turbocharged , 6 cylinders , after-cooled Cummins

Engine.
- Automatic Power-shift Transmission from ZF, Germany with lock – up
clutch.
- 324 liters fuel tank , 21 litres cooling system , 15 litres crankcase , 190 litres
hydraulic oil capacities.
- Electro hydraulic , computer controlled , variable speed( on demand ) fan
drive system.
- Heavy-duty tandom axle from Oerlikon, Graziano.
- Dual circuit braking system.

11
[Link]

Fig 2.3 Crawler Excavator

12
 (Hydraulic Excavators) are heavy construction
equipment consisting of a boom, dipper (or stick), bucket and cab
on a rotating platform known as the "house". The house sits atop
an undercarriage with tracks or wheels. They are a natural
progression from the steam shovels and often mistakenly
called power shovels. All movement and functions of a hydraulic
excavator are accomplished through the use of hydraulic fluid,
with hydraulic cylinders and hydraulic motors. Due to the linear
actuation of hydraulic cylinders, their mode of operation is
fundamentally different from cable-operated excavators which
use winches and steel ropes to accomplish the movements.

13
14
2.2 Excavator Assembly Line Layout:

Radiator and Cooler Stage 1

Sub Assembly

Cabin Base Sub Stage 2

Assembly

Stage 3

Hydraulic and Diesel

Tank Sub Assembly
Stage 4

Stage 5

Lower Carriage Sub

Assembly

Stage 6

Cabin Sub Assembly

Stage 7
Boom Sub Assembly

DipperSub Assembly
Stage 8

Fig: - 2.4 Excavator Assembly Line

15
The Excavator assembly line consists of total 8 stages with following sub-
assemblies:
• Engine Transmission Sub Assembly
• Hydraulic and Diesel Tank Sub Assembly
• Radiator and Cooler Sub Assembly
• Cabin Sub Assembly
• Boom Sub Assembly
• Dipper Sub Assembly
• Lower Carriage Sub Assembly

Fig 2.5 Excavator

16
1.4 Usage

Excavators are used in many ways:

• Digging of trenches, holes, foundations

• Material handling
• Brush cutting with hydraulic attachments
• Forestry work
• Forestry mulching
• Construction
• General grading/landscaping
• Mining, especially, but not only open-pit mining
• River dredging
• Driving piles, in conjunction with a pile driver

• Drilling shafts for footings and rock blasting, by use of an auger or

hydraulic drill attachment
• Snow removal with snowplow and snow blower attachments

17
Specifications

• Model Lee Boy 523

• Operating mass (kg) 24 200

• Engine 150HP

OEM Cummins

• Model 6 BTA 5.9

• Net power (SAE J 1349) 660@1 500

(kw@rpm)

Table 2 Crawler
Excavator
Specifications
1. Lifting Tackles:
Nylon slings and belts of different
weight capacities are used for handling
materials.
Safe Handling of Slings:
• Understand rated load for slings.
• Inspect conditions of slings for
damage, cracking and separation.
• Prevent material damage due to
high heat exposure.
• Store slings in cool, dark and dry
place to prevent chemicals,
mechanical devices, UV light.
• Slings shall not be loaded in excess
of their rated capacities.

18
Fig: - 2.6 Slings ( 2 meters 5 ton) used for lifting Boom.

19
Chapter 2.2
Stages of Backhoe loader & Motor grader
Stages of Backhoe Loader production

Stage 1
1. Chasis installation on rear axle.
2. Fuel tank sub assembly.
3. Hydraulic tank sub assembly.
4. Center pivot chasis prepration & counter weight installation.
5. Hydraullic & Fuel tank installation.
6. Backhoe control valve sub assembly & installation.
7. Loader control valve sub assembly & installation.
8. Loader control valve sub assembly & installation.
9. Hydraullic hose connections.

Stage 2
1. Engine / Transmission sub assembly.
2. Radiator & Coller sub assembly.
3. Standard chasis side shift carriage sub assembly (Optional).
4. Collector block sub assembly.
5. Engine/ Transmission installation on chasis.
6. Pump & Propellor shaft installation.
7. Air cleaner installation on engine.
8. Muffler installation on engine.
9. Radiator installation on engine.
[Link] charger hose installation.
[Link] to radiator hose installation.
[Link] chasis side shift carriage (o).
[Link] pivot carriage installation on chasis (o).
[Link] sub assembly & installation on chasis.
[Link] hose connection.
[Link] joint installation.
[Link] lines fitment on chasis.
[Link] bypass valve installation.
[Link] hose connection.
[Link] sub assembly & installation on chasis.

Stage 3
1. Boom and bush fitment.
2. Loader boom sub assembly.

20
 3. Cabin sub assembly.
4. Front shutter sub assembly.
5. Engine bonnet upper cover sub assembly.
6. HVAC assembly on Cabin & Radiator.
7. Loader boom installation.
8. Cabin installation on Chasis.
9. Sheet metal & bonnet installation.
[Link] oil / Transmission oil / Diesel oil (filling).
[Link] hose connection.

Stage 4
1. Boom & Stick bush fitment.
2. Backhoe bucket sub assembly of (800mm,600mm,400mm,300mm).
3. Loader bucket sub assembly (o).
4. Front tyre sub assembly 4WD (o) , 2WD (o).
5. Rear tyre sub assembly.
6. Front tyre installation 4WD (o), 2WD (o).
7. Rear tyre installation.
8. Boom/Stick sub assembly.
9. Extented stick sub assembly (o).
[Link]/Stick sub assembly installation on swing joint.
[Link] bucket installation (Standard).
[Link] connection – Backhoe bucket (o).
[Link] connection- Backhoe extention arm (o)

Stages of Motor Grader production.

Stage 1
1. Rear axle group sub assembly solid pipe line & suction line manifold
installation on rear frame.
2. Rear acxle group sub assembly- Engine / transmission assembly. Installation
on rear frame.
3. Rear axle group sub assembly- Return line manifold & solenoid manifold
installation on rear frame.
4. Tool Box installation on rear frame.
5. Battery Box installation on rear frame.
6. Hydraullic hose connection.

Stage 2
1. Front axle assembly.
2. Yoke assembly.

21
 3. Lift cylinder installation.
4. Scarifier / Dozer mounting frame fitment & cylinder installation.
5. Lift cylinder installation.
6. Yoke assembly.
7. Front axle assembly.
8. Boom sub assembly- front axle fitment with boom.
9. Boom sub assembly.

Stage 3
1. Boom sub assembly
2. Boom sub assembly- Front axle fitment with boom.
3. Front axle sub assembly.
4. Front axle assembly.
5. Counter balance valve installation (Aritculation).
6. Counter balance valve installation (Blade lift).
7. Yoke assembly.
8. Lift cylinder installation.
9. Hydraullic hose connection.
[Link] valve assembly.
[Link]-Cooler installation on Rear frame.
[Link]-Cooler

22
Chapter 3. SAP & ERP in LeeBoy
SAP : Its an ERP package or Software.

ERP = Enterprise Resource Planning.

Enterprise = Any Bussiness organusation.
Resourse = (Men, Material, Machines,Money / Capital) ; 4 M’s.
Planning = Effective utilization of resources.

ERP
• It covers all the techniques and concepts for best utilisation of the resources
of the enterprises to maximise the profit.
• ERP is based on the integrated management of all the departments in the
Enterprises.

Question. How do ERP helps in organisation?

• All the data is available in central database.
• Eliminates data redundancy (Data duplication).
• One point entry of data.
• Data is updated and available real time
• Modular system
• Can implement only required function.
• Other can be easily integrated later.
• Manager can utilise their time in analysis and spend less time in coordination
efforts.
• Best business practice inbuilt.
• Improves the customer satisfaction.

Organisation departments

Ware House Purchase Finance / Accounts

Human Resourse Marketing

Organisation

Production Production planning

Sales & Control
Chart 3.1 Organisation

23
Different departments in Leeboy India Construction Equipment pvt
Ltd.

Department Head of Department (HOD)

Manufacturing and operations V.V. Prasad
Quality Environment Health and Anjali Menon
Safety

Sales Sunil Talerja

Sales Admin Subramaniam
Marketing Priya Iyer
Product Support Anil Ashok Kambad
(SOP) Standard Operation
Procedure

Procurement Chandramohan

Table 3 Different departments in LeeBoy India

24
Problems faced by non-ERP organisation.

• Every department need information from different departments i.e. Data

But if different departments works on different softwares then their will be
not smooth functioning or transferring and understanding between
departments so no free flow of information. So time wastage and it increases
the length of production cycle.

Example flow of data in organisation

Purchase department Production cycle

Production department Precruitment of material

Many depatments comes in b/w

Sales Finished Goods

Production Planning & Control Sales

The more is the length of production cycle the more is the working capital
required and so more interest is to be given to banks and it decreases the profit of
the company

• Top management has to spend its time in the prepration and analysis of the
strategy to run the organisation but due to conflicts between the different
departments make them loose time in briefing coordination in various
departments and hence it put a negative imapact on company effectiveness
in running an organisation / company.

• Conflict between Production planning and Control department and

Production department.

Production Planning It wants to maintain minimum stock of material

& to minimise the carrying costs. Materials like
Control raw material , finished goods, packing material,
Spare parts wants to maintain minimum carrying
cost and capital from banks.
Materail Conflict

Production Needs optimum stock for easy flow of production

Process so more material needs.

25
 • Same invoice will be rewarded two or more times when their will be not
proper coordination between different departments. So it will be lose of
Human resources & Money & most important time.

Purchase Invoice to supplier

Finance & Accounts department Purchase depatmrnt

Duplication of invoice or Duplication of work.

• Finance Generate max rate of investment of share holder’s. To max

Accounts profit it always tries to reduce the expenditure.
Department

Capital Conflict

Marketing Creat market by advertise / promotion to increase sales and

for it they have to do External Expenditure.

26
 Flow of information in organisation:-

Top Management (Can get all information)

P.R
Finance / Accounts

Purchase

Marketing
Purchase Requistaion

HR
Central
Data
Base

WH (Ware house) Sales Accepts order

and makes
Material sales order
Requisation and sent it
to central data
Production Base.
Production planning
&
Control

Chart 3.2 Flow of information in various departmentsof an organisation

27
SAP { System, Application, Products in data processing.}

Data: It is a collection of facts and figures.

SAP .AG

Germany
Pvt Ltd (India)
Inc & Lnc (America)

SAP Products
• 1972 SAP R/1 Suite
• 1980’s SAP R/2 Suite ECC 6.0
•
1990’s SAP R/3 Suite

R Real time data processing.

“3” Three tier architeture.

Current Version of SAP:

ECC 6.0 (EHP-7)
ERP Central Component.

SAP R/3 Suite Combination of same objects. i.e Collection of

All softwares which arev necessary to manage
Department.

Real time Data Processing

“3” Tier Architecture
1. Data base architecture.
2. Application server layer.
3. Client / Presentation serever layer.

28
 DATA BASE SERVER

APS 3 Tiers

CLIENT1
CLIENT2
DATABASE

Database is managed on the relational database management system (RBMS)

RBMS tools ORICLE, INFLAMIX.

Chart 3.3 R/3 Tier Architecture

Application Serve

Advantage of 3 tier architecture system.

• We can increase or decrease the size of layer without disturbing the other
layer hence 3 tier architecture.

ABAP (Advanced Bussiness Application on Programming language.) is the

programming language which is used in SAP.

“2”- Tier Architecture

2 Tier

Chart 3.5 R/2 Tier Architecture

29
Different types of ERP Products

Producuct Use
1. SAP Effective management of all the
departments & good integrity of
departments
[Link] Specialised in management of finance
& Accounting.
[Link] Specialised in management of
Production department & Purchase
department
[Link] SOFT Specialised in management of HR
department
[Link] DYNAMICS Specialised in management of Sales,
Marketing and customer satisfaction
[Link]
[Link] EDWARDS Specialised in management of sales
department

Table 4 Different types of ERP Products

Functional Modules of SAP (Total 64 products)

• Finance Accounting & Controlling (FICO)

• Material Management (MM)
• Sales & Distribution (SD)
• Human Resourse Management (HR)
• Quality Management (QM)
• Plant Maintance (PM)
• Project Systems (PS)
• Production, Planning and Control (PPC)
• Real Estate Management (REM)
• World flow (WF)

1. FICO – Bussiness transaction in Finance negotiation Department.

2. MM - Purchase Department.
3. SD - Bussiness transaction in Sales & Distribution Department.

30
 Technical Modules

• Advanced Bussiness Application Programming Language (ABAP/4).

• Bussiness Application Software integrated system (BASIS).

SAP solutions include a number of functional modules, which support transactions to

execute key business processes, such as −

• Financial Accounting (FI)

• Financial Supply Chain Management (FSCM)
• Controlling (CO)
• Materials Management (MM)
• Sales and Distribution (SD)
• Logistics Execution (LE)
• Production Planning (PP)
• Quality Management (QM)
• Plant Maintenance (PM)
• Project System (PS)
• Human Resources (HR)

Chart 3.6 SAP Modules

31
 Finance and Controlling (FICO)
SAP FICO is a combination of two ERP modules, i.e., Finance Accounting (FI) and
Controlling (CO). Under Finance in SAP and at an enterprise level, the following modules
take part −

• FI − Finance
• CO − Controlling
• IM − Investment Management
• TR − Treasury
• EC − Enterprise Controlling
SAP FI (Financial Accounting) is accountable for tracking the flow of financial data
across the organization in a controlled manner and integrating all the information for
effective strategic decision-making.

Activities Involved in SAP FI

• Creation of Organizational Structure (Defining Company, Company Codes,
business Areas, Functional Areas, Credit Control, Assignment of Company Codes
to Credit Controls)

• Financial Accounting Global Settings (Maintenance of Fiscal Year, Posting Periods,

defining Document types, posting keys, Number ranges for documents)

• General Ledger Accounting (Creation of Chart of Accounts, Account groups,

defining data transfer rules, creation of General Ledger Account)

• Tax Configuration & Creation and Maintenance of House of Banks

• Account Payables (Creation of Vendor Master data and vendor-related finance

attributes like account groups and payment terms)

• Account Receivables (Creation of Customer Master data and customer-related

finance attributes like account groups and payment terms

• Asset Accounting

• Integration with SD and MM

SAP CO (Controlling) module facilitates coordinating, monitoring, and optimizing all the
processes in an organization. It controls the business flow in an organization. This module

32
helps in analyzing the actual figures with the planned data and in planning business
strategies.

Two kinds of elements are managed in CO −

• Cost elements
• Revenue elements
These elements are stored in the FI module.

Activities Involved in SAP CO

• Cost Element Accounting (Overview of the costs and revenues that occur in an
organization)

• Cost Center Accounting

• Activity-Based-Accounting (Analyzes cross-departmental business processes)

• Internal Orders

• Product Cost Controlling (Calculates the costs that occur during the manufacture of
a product or provision of a service)

• Profitability Analysis (Analyzes the profit or loss of an organization by individual

market segments)

• Profit Center Accounting (Evaluates the profit or loss of individual, independent

areas within an organization)

Chart 3.7 SAP CO Activities

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 Sales & Distribution Management (SD)
SAP SD is one of the most important modules in SAP. It has a high level of integration
complexity. SAP SD is used by organizations to support sales and distribution activities
of products and services, starting from enquiry to order and then ending with delivery.

SAP SD can monitor a plethora of activities that take place in an organization such as
products enquires, quotation (pre-sales activities), placing order, pricing, scheduling
deliveries (sales activity), picking, packing, goods issue, shipment of products to
customers, delivery of products and billings.

In all these processes, multiple modules are involved such as FI (Finance Accounting), CO
(Controlling), MM (Material Management), PP (Production Planning), LE (Logistics
Execution), etc., which shows the complexity of the integration involved.

Activities Involved in SAP SD

• Setting up Organization Structure (creation of new company, company codes, sales
organization, distribution channels, divisions, business area, plants, sales area,
maintaining sales offices, storage location)

• Assigning Organizational Units (Assignment of individual components created in

the above activities with each other according to design like company code to
company, sales organization to company code, distribution channel to sales
organization, etc.)

• Defining Pricing Components (Defining condition tables, condition types, condition

sequences)

• Setting up sales document types, billing types, and tax-related components

• Setting up Customer master data records and configuration

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 Material Management (MM)
Material Management deals with movement of materials via other modules like
logistics, supply chain management, sales and delivery, warehouse management,
production and planning.

Chart 3.8 MM Process

Logistic Execution (LE)

Logistic Execution can be divided into two sub-modules, i.e., shipment of goods (purchase
to procurement process) and warehouse management (storage of goods). These two
modules are integrated with sale and distribution, material management, and production
and planning.

Chart 3.9 LE Process

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 Supplier Relationship Management (SRM)
As the name SRM suggests, this module deals with the effective and efficient transition of
products and services between an organization and its suppliers. The main process covered
in this section is procurement of products like direct materials, indirect materials, and
services. This module can effectively integrate with planning, accounting, and inventory
system.

Chart 3.10 SRM Process

Procurement process with SAP Enterprise Buyer comprises of the following major steps
−

• Shopping Carts
• Approval of Shopping Cart
• Sourcing of Requirements
• Purchase Orders
• Purchase Order Approval
• Confirm Goods/Services
• Confirmation Approval
• Process Invoice
• Invoice Approval

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 Customer Relationship Management (CRM)
CRM deals with end-to-end customer related processes. CRM is designed to centralize the
data related to all the customers associated with an organization. It helps an organization
−

• Maintain its sales, services, and build marketing strategies according the market
demand and customer data analysis.

• Remain focused on its customers and via information analysis, help the business to
know more about its customers.

• Improve sales and services and building better relationships with customers.
Chart 3.11 CRM Process

Human Resource (HR)

The most important objective of master data administration in Human Resources is to enter
employee-related data for administrative, time-recording, and payroll purposes.

A new employee can be hired without using Recruitment. Instead you can hire someone
by running a personnel action in Personnel Administration, thereby creating the necessary
data for the employee to be hired.

Employee data must be kept current. After an employee is hired, circumstances can always
arise which necessitate either the entry of new data or the correction of current data. For
instance −

• An employee moves to his or her new address must be stored in the system.

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 • An employee gets a pay hike at the start of the year. The new salary must be stored
for the relevant date.

• An employee changes jobs within the organization. His or her organizational

assignment, working time, and salary also change.

• Data can be stored for the past, present, or future.

Note − Entering payroll-relevant data in the past triggers retroactive accounting.

Chart 3.12 HR Process

The HR module is comprised of major areas of functionality known as sub-modules. The

HR module is a true demonstration of the strength of the SAP product in Enterprise
Resource Planning.

The HR system has very strong integration points (where data is passed back and forth
without human intervention) with just about all of the other SAP modules. In addition,
there is very tight integration amongst the HR sub-modules.

How SAP is used in whole process of Manufacturing and keeping all related
Data

First DESIGN DEPARTMENT design the material that is ordered as per the
customer requirnment and recorded in the SAP (MM) Material management then
It is sent to the PURCHASE SEPARTMENT then storage then Producrt planning
(means how all materuials can be arranged to get a desired product) the product
details are sent to SAP which is then goes to SALES DEPARTMENT and prices

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are decided by FINANCE & MANAGEMENT and the amount is managed by
FINANCE DEPARTMENT.

How SAP GUI works

1. First level is SAP GUI

In this there is an screen showing 3 options.
• Production (PDR)
• Quality (QUL)
• Development (DEV)
Quality can also be understand by testing.

2. For (DEV) and (QUL) there can be thousands clients (000 to 999)
[ LeeBoyis using 100 for DEV and 630 for QUL]
But production (PDR) can only have one client [Company has “500”].
It is because all the work is done in this section and every user get
information from this so, it has to be the consistent for all the users.

3. D- Dialoge
E-Enqueue
U-Update
M-Message
G-Gate
B-Background
S-Spool Dispatcher (Quere)
D E U M G B S Primary Instance.
SAP GUI
4.
PRD

DEV
Interpreter User author
DB
Screen SAP
QUL Database
Sql Bufffer
ABAP DB

Dialoge instance DB Client Listener

Secondary instance Chart 3.13 Flow of information in SAP GUI

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 5. Memory used in this sequence for normal process
• Dialoge memeory
• Extanded memory
• Heap memory
For long time process it changes and work on the background.
• Dialoge memeory
• Extanded memory Means that it follows max Heap
• Heap memory

6. If the process run for more than 24 hours we have to kill the process because
this means it has been hanged.
7. If the users are more than 2000 than we make dialog instances to decrease
the load from primary instances.

Any update goes from SAP GUI to dispatch queue in which dialopg recives it and
assign it to update but first it checks whether the update is come from authorised
user or not if yes than it begin the process otherwise throw back a message than
user unauthorised the time of updatation. Enqueer will stop any other treansaction
and the update get to interpreter to interprete it into appropriate form to store in DB
it is then sent from DB client to DB by listener.

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Chapter 4: SUMMARY & CONCLUSION OF WORK

4.1 Summary:-
The purpose of this study is to know and understand the manufacturing process and
dealing with the problems that occur during assembling of various spare parts of
Earth moving machines like Backhoe Loader and Motor Grade. The study has been
done in Assembly Plant of Leeboy India. We have briefly learned about the process
used by company in Motor Grader and Backhoe Loader. In chapter 3 we have
leared about the how ERP helps any organisation in free flow of information in
various departments by using central database system. It reduces the time taken in
production cycle. Some drawbacks of non-ERP organisation are conflict between
different departments due their individual goals like Finance/Accounts department
tries to reduce the expenditure and Marketing department creat market by external
expenditure on promotion.
Duplication of invoice (Same invoice more than 2 times in different departments).
Less time for HOD’s for making strategy and plans as they need to solve problems
between different departments. SAP is an ERP product used by 48% worldwide.
SAP do supports all types of departments which make it most preferable. Flow of
information in explained in chapter 3.

4.2 Conclusion
We would like to conclude the project report by reporting the significance of the
project. The project may provide someone with the opportunity to reduce the time
of the production cycle using SAP for free flow of information in various
departments. This will also help in learing the process used in assembling the
various spare parts of various earth moving machines.

The internship is the bridge between the theoretical knowledge and the practical or
the reality work at the field of construction machines.

This program played an important role to break the conventional thought that
practical works can be only implemented by students who hold a degree or people
who have an experience in construction of machines. We could acquire a high level
of confidence to deal with problems that arise in a construction of machines.

Overall my internship program laid sound foundation for us to start our career.

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4.3 Suggestion & Improvement:

4.3.1 Quick Measurnment using hand measurnment tool for faster and
accurate measurnment

Before After
By Pradeep sir

Fig 3.1

4.3.2 Cage during tyre air filling to avoid accident in case of tyre burst for no
Injury in case of tyre burst.

Before After
By Chetan sir and Madhu sir

Fig 3.2

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4.3.3 Paint two of the hooks of sling stand Red for storage of rejected/
Damaged slings.

Fig 3.3

Before After

By Satish sir

REFERENCES

1. [Link]
2. [Link]
3. [Link]
4. [Link]
5. [Link]
6. [Link]

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