SAP – An Applications Perspective

Vikram Singh Sankhala

Products

• SAP essentially offers two categories of Products. These are

1. Enterprise Applications2. Business Solutions

Business Solutions

• Business solutions are applications on the SAP platform that focus on specific functional areas or Business Requirements

Examples of Business Solutions

• Advanced Planner and Optimizer (APO)• Business Information Warehouse (BW)• Customer Relationship Management (CRM)• Supply Chain Management (SCM)• Supplier Relationship Management (SRM)• Human Resource Management Systems (HRMS)• Product Lifecycle Management (PLM)• Exchange Infrastructure (XI)• Enterprise Portal (EP) and • SAP Knowledge Warehouse (KW).

Enterprise Applications

• These are much larger in their scope of application and are usually enterprise wide in their scope.

Major Enterprise Applications

1. ERP (Enterprise Resource Planning)2. CRM (Customer Relationship

Management)3. PLM (Product Life Cycle Management)4. SCM (Supply Chain Management)5. SRM (Supplier Relationship

Management)

The Company’s Main Product

• The Company’s main product is SAP ERP, which is the Business Process Platform for the Enterprise.

SAP ERP Components

• SAP ERP includes four individual solutions that support key functional areas:

1. SAP ERP Financials2. SAP ERP Human Capital Management3. SAP ERP Operations4. SAP ERP Corporate Services

SAP Business Suite

• SAP offers SAP ERP along with the other four major Enterprise applications collectively on the Net weaver Platform as SAP Business Suite.

• This lowers the total cost of ownership as compared to purchasing each individual application separately.

SAP Platforms

• There are currently two major product Platforms.

• For Enterprise applications, the Platform is the Enterprise Service Architecture.

• The other Platform is the Net weaver Platform that is facilitates web integrations and other added functionalities.

SAP ERP Versions

• The predecessor to SAP ERP was SAP R/3.

• It through version 4.6c consisted of various applications on top of SAP Basis, SAP's set of middleware programs and tools.

SAP R/3 Enterprise

• When SAP R/3 Enterprise was launched in 2002, all applications were built on top of the SAP Web Application Server.

• Extension sets were used to deliver new features and kept the core as stable as possible.

• The Web Application Server contained all the capabilities of SAP Basis.

mySAP ERP

• The first edition of mySAP ERP was launched in 2003 and bundled previously separate products, including SAP R/3 Enterprise, SAP Stategic Enterprise Management (SEM) and extension sets.

• The SAP Web Application Server was wrapped into NetWeaver, which was also introduced in 2003.

mySAP ERP edition 2004

• A complete architecture change took place with the introduction of mySAP ERP edition 2004.

• R/3 Enterprise was replaced with the introduction of ERP Central Component (SAP ECC).

• The SAP Business Warehouse, SAP Strategic Enterprise Management and Internet Transaction Server were also merged into SAP ECC, allowing users to run them under one instance.

• Architectural changes were also made to support an enterprise services architecture to transition customers to a services-oriented architecture.

mySAP ERP components

• mySAP ERP includes following components:– Netweaver– ERP Central Component (ECC),– Business Intelligence (SAP BI),– Enterprise Portal (SAP EP),– SAP's Exchange Infrastructure (SAP XI),– Mobile Infrastructure (SAP MI),– Strategic Enterprise Management application (SAP SEM)– SAP's Supplier Relationship Management solution (SAP SRM). – Employee Self Service (ESS)– Manager Self Service (MSS)– and more...

SAP GUI

• There are three major components of the SAP GUI besides the application window.

• These are:– The Menu Bar

– The Standard Toolbar

– The Application Toolbar

Navigation in the GUI

• By way of

– Menus or

– Transaction codes

Types of SAP GUI

JavaGUI

SAP GUI for Java

• JavaGUI is the only choice to connect to SAP for users of Unix, Linux, and Mac OS.

• Windows 32-bit systems is supported by JavaGUI as well.

WebGUI

SAP GUI for HTML• Web based user interface was released at

the end of 1996.• This was the time when R/3 3.1G was

released along with Internet Transaction Server.

• WebGUI is still an excellent interface to SAP.

WinGUI

SAP GUI for Windows• WinGUI is the most mature user interface

offered by SAP.• A number of SAP GUI for Windows flavors

are available.

EnjoySAP

• EnjoySAP is the most popular SAP GUI flavor today.

• It is also known as Enjoy.

SAP ECC • SAP ECC stands for SAP ERP Central Component. • The term "SAP ECC" is wrongly used as "ERP Core Component" or

"Enterprise Core Component" across various website on the internet.

• Its predecessors is SAP R/3 Enterprise.• SAP ECC and SAP R/3 are online transaction processing (OLTP)

systems.• OLTP systems satisfy day-to-day transactional needs of many

users. • There are a number of modules within each of these products.• In case of SAP R/3 these modules were called submodules. • In ECC these modules are called subcomponents.• Examples of these modules are finance, logistics, human resource

management, customer service, and quite a few others.

SAP Business Modules

SAP Financial Accounting

• The Financial Accounting modules enhance the decision-making processes.

• It allows companies to centrally manage financial accounting data.

• It provides an international framework of multiple companies, languages, currencies, and charts of accounts.

SAP Controlling

• The SAP Controlling module provides the functions necessary for internal cost accounting management. It contains the following subcomponents:

– * Overhead Cost Controlling– * Activity-Based Costing– * Product Cost Controlling.– * Profitability Analysis.

SAP Treasury Management

The Treasury module offers the functionality to control:

• * liquidity management, • * risk management and assessment, • * and position management.

SAP Enterprise Controlling

SAP's Enterprise Controlling module is divided into the following four components:

• Executive Information System• Business Planning • Budgeting

Human Capital Management

• Human Resources management system is one of the most critical systems.

• SAP offers a global human resources management solution.

• It includes standard language, currency, and regulatory requirements.

• It covers more than 30 countries.

SAP's Integrated Human Resources

• The Human Resources module is (still) divided into two modules:

– * Personnel Administration (PA)– * Personnel Planning and Development (PD)

• However extended HR business processes are made possible through NetWeaver.

SAP Personnel Administration Components

• The Personnel Administration module manages company procedures. This includes:

– * payroll,

– * employee benefits enrollment,

– * compensation.

SAP Personnel Planning and Development

• The Personnel Planning and Development module's functions are not necessarily required by the company.

• However its functionality can better manage Human Resource functions.

• For example Advanced organizational management and workforce planning could be tools of great value for the company.

• However this tool is not required in order for the company's Human Resource tasks to function.

Human Resources Information System (HRIS)

• The Human Resources Information System (HRIS) helps you extract output from your Human Resources module.

• It enables you to request reports from inside R/3's Structural Graphics.

• The HRIS provides you reports that come from both the Personnel Administration and Personnel Planning and Development components of the Human Resources module.

Employee Self Service

• An HR team spend an inordinate amount of time responding to employee inquires.

• This is one complaint of HR Managers.

Manager Self Service

• Manager Self Service (MSS) is a new addition in SAP.• It is a manager's equivalent to Employee Self Services. • It is built within Enterprise Portal.• It enables a manager to

– * Manage the recruiting process – * Record and manage skills sets and other competencies – * Record and manage specific experiences – * Sort and conduct keyword searches of employees' records – * Manage annual budgets and the budget planning process – * Manage employee compensation planning – * Conduct the annual employee review process

ERP Operations

mySAP ERP Operations area encompasses all processes related to:– * purchasing, – * plant maintenance, – * sales and distribution, – * manufacturing, – * materials management, – * warehousing, – * engineering, – * construction.

Sales and Distribution• The Sales and Distribution module offers necessary instruments to

use a wealth of information relating to your company's sales and marketing.

• Data could be accessed on products, marketing strategies, sales calls, pricing, and sales.

• This information lets you facilitate sales and marketing activity. • The information is online, up-to-the-minute support to be used to

service existing customers as well as potential customers and leads.• Sales and Distribution module also comes with a diverse supply of

contracts to meet every type of business need. • Sales and Distribution module supports Agreement concerning

pricing, delivery dates, and delivery quantity.

Production Planning and Control

• The focus of SAP's Production Planning and Control module is to facilitate complete solutions for

– * Production planning

– * Production execution

– * Production control

Materials Management

• Business processes are essential to the success of your company.

• The day-to-day management of consumption of materials are part of the Materials Management module.

• This includes company purchasing, managing your warehouse and inventory, confirming your invoices, and analyzing your processes.

• Savings of time, money, and resources are the three main benefits that are offered by Materials Management module.

Plant Maintenance

• SAP's Plant Maintenance module offers flexibility to work with different types of companies.

• It can work with different designs, requirements, and work forces.

• The Plant Maintenance module contains a user friendly graphical interface to cater to a larger population of your work force.

Logistics Information System (LIS)

• The Logistics Information System maintains real-time information.

• This information is derived from multiple SAP modules/components.

• Logistics Information System modules enabled you to evaluate actual data and then forecast future data using OLTP.

• You can use the Logistics Data Warehouse to customize Information System to meet your company's unique requirements.

• You can use the Early Warning System, which targets weak or bottlenecked areas in Logistics.

SAP Business Intelligence

• SAP BI lets you measure your business results.

• This makes it possible to manage your business intelligently.

• If you're implementing NetWeaver, there's even more reason to deploy SAP BINetWeaver is a core underlying components of SAP Business Intelligence.

SAP Supply Chain Management (SAP SCM) Overview

• SAP Supply Chain Management is known as SAP SCM.• SAP SCM transforms the supply chain into a dynamic

customer-centric supply chain network.• It enhances your planning oriented business processes. • It streamlining their execution and coordination. SAP

SCM opens the possibilities for cross-company collaboration.

• It makes it possible to be more proactive. • It helps you respond to changing business scenarios

quickly.

Components of SAP SCM

• SAP supports creating and maintaining supply chain network through three components

• * SAP Advanced Planner & Optimizer (SAP APO) • * SAP Inventory Collaboration Hub (SAP ICH)• * SAP Event Management (SAP EM)

SAP APO

• SAP Advanced Planner and Optimizer (SAP APO) supports supply chain network related planning, decision making, execution, and optimization.

• It provides a flexible and adaptive engine for managing your planning processes.

• It enables you to make smart decisions through central planning and execution.

• It integrates supply planning with the other SAP components CRM, PLM, and SRM.

• This results in complete 360-degree visibility of your supply chain network.

SAP ICH

• SAP Inventory Collaboration Hub (SAP ICH) enables you to collaborate with your suppliers.

• It lets you and your supplier jointly approve inventory necessary to meet production demands.

SAP EM

• SAP Event Management (SAP EM) helps you monitor your supply chain.

• This includes creation and escalation of alerts based on specific conditions and thresholds.

• This enables end users to identify process exceptions.

• Users can proactively resolve the exceptions before issues become show-stoppers.

Other Enabling Technologies

SAP Enterprise Portal

• SAP Enterprise Portal (SAP EP) underwent a name change to NetWeaver Portal.

• SAP EP provides a user group within a community the opportunity to collaborate.

SAP Basis

• Basic components of the underlying technology in an SAP system is referred to as "SAP Basis".

• The SAP technical foundation has expanded over the years to include a host of components.

• This makes up today's SAP's Web Application Server, or WebAS.

• The SAP WebAS/Basis system uses communications protocols.

• These protocols enables the integration of software and technology.

System Administration

• Administration, maintenance, and ongoing management of SAP system are crucial activities. Administration includes

– * monitoring for availability,

– * user administration and basic authorizations,

– * other fundamental technical administrative functions

Database Tables

• The SAP Dictionary contains four types of tables (or structures):

– * Clusters

– *Transparent

– * Pooled

– * Internal tables

SAP Solution Manager

• SAP Solution Manager is referred to as SolMan.• It enables lifecycle management by providing

the following resources:

– * portal back to SAP, tying together many behind-the scenes resources into something more easily accessible

– * A set of tools covering implementation, SLA reporting, and much more

– * Documentation, templates, best practices, implementation accelerators, and other such content designed to speed up implementations and smooth out learning curves

SAP – The Career Perspective

• A typical ‘SAP-expert’ has very good business knowledge and SAP-skills in either one to two functional modules of SAP R/3 (e.g. FI/CO and SD) or in one of the ‘new dimension solutions’ (e.g. BW).

• In addition, he or she will have a basic understanding of all other modules and products

Qualities Required

• Becoming an ‘SAP-expert’ requires, above all, good knowledge of business processes and a substantial amount of SAP-training.

• In addition to that, becoming an ‘SAP-consultant’ requires good communication skills, project management skills, and problem solving capacity.

• These three aspects are usually gained through and evidenced by job experience in general and (SAP) project experience in particular.

Thank You