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

INTRODUCTION TO ERP

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

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 ManagementERP 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

BUSINESS WITHOUT ERPCustomers

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

33

BUSINESS WITHOUT ERP(CONTD.)Customers

Sales

Purchasing

Where is my car

Whom to contact for status?

What is this confusion

What to manufacture ?

Production Planning

Shop floor

Inventory

Finance

What is Cost and profit

Vendors

LETS DELIVER THE END PRODUCT TO CUSTOMER..I did not order for a TRUCK!!!!

Dear Sir,Your Order…

Sales

BUSINESS WITHOUT ERP (CONTD..)

I AM NOT TAKING DELIVERY AND WILL NEVER DEAL WITH YOU!

We are SORRY Sir

Sales

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

DISADVANTAGES OF ERP

Forced change of processes Very complex software Lack of trained people Not internet ready

ABOUT SAP

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).

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.

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.

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

distributionMM-Material

Management PP-

production planning

QM-Quality Managemen

tPM-Plant

MaintenanceWM-

warehouse management

MODULE FUNCTIONALITIES

PPBom/work centre/routingMRPCapacity evaluationsProduction ordersQM in production

SD

Inquiry processingSales order processing

Delivery processingBilling

FIGeneral ledger

Accounts payableAccounts receivablesBank managementAsset management

COCost centre accounting

Product costingOrder contribution analysis

MMMaterial procurementBatch managementGoods inspectionInvoice verification

FICO COURSE CONTENTSOrganisation structureFinancial 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

WHY SAP

SAP INDUSTRY SOLUTION PORTFOLIOSAP 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

REFERENCE CUSTOMERS AND PARTNERS

REFERENCE CUSTOMERS AND PARTNERS

WHY SAP R/3 HAS BEEN SUCCESSFUL

Multi-lingual

•Integrated

•Multi-Currency•Best Business Practices

•Enterprise-Wide

•Secure Information

SAP ARCHITECTURE

SAP R/3 ARCHITECTURER=REAL TIME3=THREE TIER ARCHITECTURE

SAP -SYSTEM LANDSCAPE

Server

Client

ORGANISATIONAL STRUCTURE OF SAP

ORGANIZATIONAL STRUCTURE IN SAP

Human ResourcesControlling Client

CompanyCode

PurchasingOrganization

PersonnelArea

Production Planning

Sales and Distribution Materials Management

Financial Accounting

SalesArea

ControllingArea

Plant

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.

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.

IMPLEMENTATION METHODOLOGY

HOW A COMPANY APPROACHES SAP AG FOR IMPLEMENTATION

BIG BAZAAR

BUSINESS PARTNERS

WORLDWIDEASIA

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 CR3.5 CR

INIFOSYSINFOSYS

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

ASAP -METHODOLOGY

ASAP TOOLS ARE TAILOR –MADE FOR AN EFFECTIVE ,FAST, AND WELL-ORGANIZED SAP R/3IMPLEMENTATIONTHE 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 preparationTesting, end-user training, system managementCut over activities

Go live and supportPre-production to live productionSupport organisations, closing project and finally sign-off

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

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

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

CAREER & SCOPE AS A SAP PROFESSIONAL

ROLE OF TECHNICAL & FUNCTIONAL CONSULTANTS IN SAP Functional consultant1. Gathers requirements from the client2. 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).

CAREER GRAPH

SAP NAVIGATION

THE SAP LOGON PROGRAM

LOGGING INTO SAP SYSTEM

SAP EASY ACCESS

SCREEN STRUCTURE

ROLE-BASED USER MENUS

FAVOURITES MENU

STATUS BAR

MULTIPLE SESSIONS

USING HELP AND PERSONALIZING YOUR USER INTERFACE

FIELD HELP:F4

THANK YOU……..BEST OF LUCK