SAP Overview (SAP01)


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SAP Overview


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SAP Overview (SAP01):



Contents ERP & Evolution of ERP SAP History, Why different Where is SAP R/3 Why successful Architecture R/3 technical environment SAP Databases 3 tier structure Business modules SAP system & SAP Modules Integration example Enterprise structure & Master Data Logging to SAP & SAP Easy Access SAP Transaction ASAP methodology SAP Netweaver

ERP Definition:

ERP Definition An ERP system is A unified environment Comprising of key business and management processes, information blocks and functional areas to deliver consistent, reliable and detailed information to facilitate timely and quality business decisions But, beyond that it is…

Evolution of ERP :

Evolution of ERP Closed Loop MRP ‘70 MRP II ‘80 MRP ’60 ERP ‘90 Material Requirements Planning Material Resource Planning and Manufacturing Resource Planning Enterprise Resource Planning MRP and MRP II only focus on manufacturing

After ERP:

After ERP

What is SAP:

What is SAP Systems, Application, Products in Data Processing. ERP software facilitates the flow of information among all the processes of an organization’s supply chain . ERP products are available from several vendors, such as SAP, Oracle . The ERP software market leader is SAP AG with the SAP R/3 System German-based software company Founded in 1972 Four former IBM employees To track and manage, in real-time, sales, production, finance accounting and human resources in an enterprise.

History of SAP:

History of SAP The first version of SAP's flagship enterprise software was a financial Accounting system named R/1 This was replaced by R/2 at the end of the 1970s. SAP R/2 was in a mainframe based business application software suite that was very successful in the 1980s and early 1990s. SAP R/3 was officially launched on 6 July 1992. It was renamed SAP ERP and later again renamed ECC (Enterprise Core Component). SAP came to dominate the large business applications market over the next 10 years. SAP ECC 5.0 ERP is the successor of SAP R/3 4.70. The newest version of the suite is SAP ECC 6.0.

What makes SAP different:

What makes SAP differen t One information system in an enterprise All applications access common data Real events in the business initiate transactions Accounting is done automatically by events in sales and production Sales can see when products can be delivered Production schedules are driven by sales The whole system is designed to be real-time and not historical

Where is SAP:

Where is SAP No. 1 in Enterprise Applications Software No. 3 in software overall worldwide 75% of Global Fortune 1,000 run SAP Market leading software solutions for large , midsize companies

SAP R/3:

SAP R/3 World-wide usage Designed to satisfy the information needs for all business sizes (international to local) Multi-lingual Multi-currency Designed to satisfy the information needs for all industries (industry solutions) Enables a company to link it ’ s business processes Ties together disparate business functions (integrated business solution) Helps the organization run smoothly Real-time environment Scalable and flexible

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Integrated Enterprise-Wide Best Business Practices Multi-Currency Multi-Lingual Secure Information Why - SAP R/3 has been successful

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Real time processing with an integrated suite of client/server applications. Comprehensive Open Business Process orientation Fully Integrated business process Modular Structure International – yet consistent Providing maximum flexibility & Scalability Strong backbone for future technologies. OSS 24 hr support available. Why - SAP R/3 has been successful


Architecture Central relational database (e.g., Oracle and many others) Client/Server — three-tiered ERP Component — Oriented towards common identifiable business modules (PP, MM, SD, FI, CO, HR) Add-ons: Customer Relationship Management (CRM) Supply Chain Management (SCM) Product Lifecycle Management (PLM)

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R/3 Technology Environment DB2/390 ADABAS D DB2 for AIX INFORMIX-OnLine ORACLE Windows 3.1, Windows 95, Windows NT, OSF/Motif, OS/2 Presentation Manager (PM), Macintosh, Java ADABAS D MS SQL Server INFORMIX-OnLine ORACLE ABAP/4, C, C++, HTML, Java, ActiveX-Controls DB2/400 OS/390 AIX Digital UNIX HP-UX Reliant UNIX (SINIX) SOLARIS Windows NT OS/400 Hardware Bull/Zenith Compaq Data General ... NCR Sequent SNI Digital HP (Intel) IBM (Intel) Bull Digital HP IBM SNI SUN UNIX Systems IBM AS/400 Operating systems Dialog SAPGUI Languages Windows NT, Windows 95, PM, Java Databases IBM S/390

Relational Database:

Relational Database Tables: Defines and links thousands of tables of information Advantages Consistent and accurate data Common definitions for terms Shared, but restricted usage (e.g., profiles) Eliminates data redundancy

SAP Databases:

Oracle DB2 MSSQL SAP can use a number of database programs to actually store the data. SAP Databases

Client/Server Environment:

Client/Server Environment Client Software/hardware combination that can make a request for services from a central repository of resources Server Software/hardware combination that can provide services to a group of clients in a controlled environment Three-Tier SAP Structure GUI—Graphical User Interface or Web Interface Application server (one or many) Database server (one single location)

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Database and Application Central System 2-Tier Configuration 3-Tier Configuration Web-enabled Presentation Database, Application, Presentation Database Application Presentation Internet Transaction Service/Web Service In a central R/3 System configuration, one host is responsible for all processing tasks. R/3 System configuration

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To web‑ enable the SAP Applications, a Web Server and an ITS (Internet Transaction Server) are needed. The web‑ service and the services for the ITS can run on one server or on two dedicated servers. The presentation in this configuration is provided by an Internet Browser. In a three‑ tier configuration, you use your own host for the three tiers. Using data from the database server, several different application servers can operate at the same time. To ensure that the load on individual servers is as even as possible and to achieve optimal performance, you can use special application servers for individual application areas such as sales planning, distribution or financial accounting. An alternative two‑tier configuration is to install powerful desktop systems and to use these for presentation and applications (two‑tier client/server). This type of configuration is particularly useful for expensive applications (such as simulations) or for software developers. Two‑tier R/3 System configurations are usually implemented using special presentation servers that are responsible solely for formatting the graphical interface. Many R/3 System users use PCs with Microsoft Windows ‑installed, for example, as presentation servers. In a central R/3 System configuration, one host is responsible for all processing tasks. R/3 System configuration

Basis System: Three-Tier Computer Hierarchy:

Input / Output of data to users Access to Dataase: (Read / Write data) Central Database (Storage of all data) Database Application Presentation Processing of data using application logic Presentation of the processed data to the user Basis System: Three-Tier Computer Hierarchy

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What does R/3 contain What does R/3 database contain ?

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Client: An autonomous unit in R/3 system with regard to commercial law, organization and data Client

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Client roles Common client roles Additional client roles

Sample SAP System Landscape:

Sample SAP System Landscape Development Testing Production Database Servers Application Servers Presentation Servers

Business Modules:

Business Modules Collections of logically related transactions within identifiable business functions PP: Production Planning ( “ Make ” ) MM: Material Management ( “ Buy ” ) SD: Sales & Distribution ( “ Sell ” ) FI: Financial Accounting and CO: Controlling ( “ Track ” ) HR: Human Resources

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ECC Client / Server ABAP/4 FI Financial Accounting CO Controlling AM Fixed Assets Mgmt. TR Treasury WF Workflow IS Industry Solutions MM Materials Mgmt. HR Human Resources SD Sales & Distribution PP Production Planning QM Quality Manage-ment PM Plant Main-tenance System

SAP Modules:

SAP Modules FI * General ledger * Book close * Tax * Accounts receivable * Accounts payable * Asset Management (SAP AM) * Consolidation * Special ledgers CO * Cost elements * Cost centres * Profit centres * Internal orders * Activity based costing * Product costing PS * Make to order * Plant shut downs (as a project) * Third party billing (on the back of a project) HR * Employment history * Payroll * Training * Career management * Succession planning PM * Labour * Material * Down time and outages MM * Requisitions * Purchase orders * Goods receipts * Accounts payable * Inventory management * BOM’s * Master raw materials, finished goods etc QM * Planning * Execution * Inspections * Certificates PP * Capacity planning * Master production scheduling * Material requirements planning * Shop floor SD * RFQ * Sales orders * Pricing * Picking (and other warehouse processes) * Packing * Shipping BW * Data extraction from source systems * Some technical and functional transformation of the data * Storage of the data in what are called Infoproviders * Reporting (which uses Infoproviders ) ABAP Is not really a module - it stands for Advanced Business Application Programming and this is the is the structured programming language for custom development including reports.

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Integration ---- an example Production Stock and consumption accounts updated Goods Receipt MRP FI / CO SD Sales order Purchase Req Purchase Order MM

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Group Company Factory Wholesale Product line l Company code Sales organization l l Distribution Division l l Storage location l Plant l Client Storage location Product line Retail Sales department Affiliate Enterprise Structure

Master Data:

Master Data Master data is important, long-term data stored within the SAP system. Vendors , customers, plant IDs, the chart of accounts, and product numbers are all examples of information that is stored as master data records A document is data created in association with a particular business event or transaction. Sales orders, purchase orders, material requisitions, and general ledger postings are all examples of documents stored within SAP. Every document created in SAP is assigned a document number that uniquely identifies it.

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Double click on the SAP Logon icon to display the following box: Logging into SAP Click on the Logon button (click Continue through any system messages) to display the initial SAP Easy Access screen:

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SAP Easy Access

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SAP Easy Access

SAP Transaction:

SAP Transaction A transaction is a task that you perform in SAP. Any time you view a report, or create or display a document , You are running a transaction. Most transactions within SAP are associated with a four-character code called a transaction code . This transaction code can be used in the command field to jump directly to a transaction without having to follow the navigation path.

Some Transaction Codes:

Some Transaction Codes

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ASAP - methodology

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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 activities GO LIVE & SUPPORT Pre production to live production Support organisation ASAP tools are tailor-made for an effective, fast, and well-organized SAP R/3 implementation.

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SAP solutions for the New , new economy mySAP is not a single product but is a suite of products from SAP including SAP R/3. mySAP is SAP's business software brand for small and medium sized enterprises (SMEs). It is SAP Business Suite Software that includes a range of products like SAP Customer Relationship Management, SAP ERP, SAP Product Lifecycle Management, SAP Supply Chain Management, SAP Supplier Relationship Management, SAP Human Resources and SAP Financial Management.

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The Next Wave: solutions for the new, new economy The new economy changes everything 1 4 2 Expand corporate boundaries More products, partners & Transaction 3 Creating a new generation of e-business -> ERP Extension: -> ERP Extension Web Enable Customer Relationship Management (CRM) Supply Chain Management (SCM) Strategic Enterprise Management (SEM) Business Information Warehouse (BIW) Knowledge Management (KM) So on …

Enterprise Application Components:

Enterprise Application Components Second Generation Company A ERP Customers Suppliers BW CRM SEM SCM KM Web-enabled

PowerPoint Presentation: products mySap Enterprise Portal mySap Supply Chain Management mySap CRM mySap E-procurement mySap Product lifecycle mySap Business intelligence mySap Financials mySap Human Resources mySap Mobile Business mySap Market Place mySap Hosted solutions mySap Technology

Enterprise Service Architecture:

Enterprise Service Architecture Third Generation (Enterprise Application Integration) Company A ERP Customers Suppliers BW CRM SEM SCM KM Web-enabled Web Service Web Service Web Service Web Service Web Service Web Service Web Service

mySAP Business Suite:

mySAP Business Suite ( mySAP ERP mySAP PLM mySAP SRM mySAP SCM mySAP CRM SAP NetWeaver

SAP NetWeaver : Integration Tools:

SAP NetWeaver : Integration Tools

SAP NetWeaver:

SAP NetWeaver The core capabilities of SAP NetWeaver are the integration of people, information, and process In people integration , it simply means that it enables you to bring people together and help them work more efficiently Information integration means you can bring together information from a variety of locations and have it make sense in the context of what your folks do everyday Process integration means coordinating the flow of work across departments, divisions, and between companies SAP Enterprise Portal : helps create software that brings together all the data and software tools that a person needs to do her job in one consistent user interface SAP Mobile Infrastructure : universal translator for mobile devices SAP Business Intelligence : provides tool for information integration, so what your people see is consistent and accurate SAP Master Data Management : is a system for harmonizing information that is distributed across a wide variety of applications SAP Exchange Infrastructure : Integrates processes and help applications talk to one another

SAP EP Example:

SAP EP Example

SAP People:

SAP People Consultant Technical Functional Basis ABAP FI CO MM SD … User

SAP Glossary:

SAP Glossary GUI (Graphic User Interface) A graphical interface used by SAP environment as part of the three tiers. Also known as frontend. IMG  (Implementation Management Guide) It is a hierarchical structure that reflects the R/3 component hierarchy and contains every configuration activity. Released from version 3.0 onwards Instance It means application server and each one has its own set of work processes. SysID A set of three letters or number that identify a system. Some sets are not allowed because they are used by SAP. They are informed when the system is installed. ITS (Internet Transaction Server) It links the R/3 application server with one or more Web servers, thus enabling the R/3 to communicate with the Internet. OSS (Online Service System) SAP's Online Service System offers fast and effective help for R/3 System problems. It is also the basic element of communications between customers, partners, and SAP. RFC (Remote Function Call) A way to implement communication between application programs via Abap/4 function call. IDoc (Intermediate Document) An IDoc is a data container for data exchange between SAP systems or between an SAP system and an external system. Archiving – SAP’s terminology for the functionality that purges transactions and master data from the SAP database. The SAP literature states that archived data can be restored to the production system. For practical purposes however, this is not recommended. DART – An acronym for Data Archiving and Retention Tool. This is SAP functionality which allows you to periodically extract and retain data from your R/3 system. The data is extracted into a sequential file. DART provides tools for viewing the retained data in different ways. Legal Data – As used in this document, this refers to the requirements imposed by the IRS, State tax authorities and other tax authorities for the long-term retention of business data to support taxes paid and other legal requirements. Operational Data – As used in this document, this refers to the requests from customers, vendors or employees for business data. Management Data – As used in this document, this refers to data that is used by management for business decisions .

Integrated Business Solutions Software Vendors:

Integrated Business Solutions Software Vendors SAP Peoplesoft J.D. Edwards Oracle Microsoft — Great Plains IBM

SAP Industry Solution:

SAP Industry Solution Aerospace/Defense Automotive Banking Chemicals Consumer Products Engineering/Construction Financial Svc Provider Healthcare High Tech Higher Education/Research Insurance Media Mill Products Mining Oil & Gas Pharmaceuticals Public Sector Retail Service Providers Telecommunications Utilities … so on …

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