Introduction to SAP

Business without ERP

PP contacts
Customers Purchasing for
raw material
4

Customer
Calls to place
order for a
Car
1 Sales
office/Inventory Production
contacts PP Planning
3
3

Sales Sales office -2-

contacts
Inventory
 Lets add some more Business Processes

Business without ERP

(Contd..) -3-
 Where is my
What is this
car
Customers confusion

What to
manufactu
Whom to Production re??
contact for Planning
status?

What is
Cost and
Sales Shop floor
profit
Finance

Purchasing
Vendors
-4-
Inventory

Business without ERP (Contd..)

 I did not
order for a
TRUCK!!!!

Dear Sir,
Your Order…

Lets Deliver the end

product to customer.. Sales
-5-
 I AM NOT TAKING
DELIVERY AND WILL
NEVER DEAL WITH YOU!

We are
SORRY Sir

Business without ERP

(Contd..) Sales
-6-
 Vendors

Sales Purchasing
`
General
Ledger A/P
Customers A/R

Production
Planning

Inventory

Overall Picture
Shop Floor
-7-
Execution
• Why Enterprise Architecture ?
• Numerous disparate information systems
Why
• Integrating the data becomes costly Enterprise
Architecture
• Time

• Money

• Resources

• Inconsistencies and duplication of data

• Lack of timely information

• Required: Central enterprise definitions

• Required: Centrally controlled business change

-8-
• Eliminates the duplication, discontinuity and redundancy in data
• Increases the return on investment made on IT implementations
• Delivers quality information designed for the Enterprise as a whole
• Faster and cheaper
• Delivers quality information to produce a quality enterprise
• Satisfying Partners/Customers
• Reducing required manpower

Enterprise Architecture -
Benefits ERP -9-
 Payroll
FA HR
Marketing

GL
Treasury
Partner
Shop
Floor
AP Systems
Purchasing
PP
Sales
AR

Plants
Mfg.

Enterprise Structure –
Integrating Business -10-
What makes SAP different?
• Traditional computer information
systems used by many businesses
today have been developed to
accomplish some specific tasks and
provide reports and analysis of
events that have already taken place.
What makes SAP different?
Examples are accounting general
ledger systems.
• Occasionally, some systems operate
in a “real-time” mode that is, have up
to date information in them and can
be used to actually control events.
What makes SAP different?
• A typical company has many
separate systems to manage
different processes like
production, sales and accounting.
• Each of these systems has its own
databases and rarely passes
information to other systems in a
timely manner.
What makes SAP different?
• SAP takes a different approach.
• There is only one information
system in an enterprise, SAP.
• All applications access common
data. Real events in the business
initiate transactions.
• Accounting is done automatically
by events in sales and production.
What makes SAP different?
• 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.
• Systems Applications and Products in Data Processing
• German : Systeme, Anwendungen, Produkte in der Datenverarbeitung

• Founded in 1972 by Wellenreuther, Hopp, Hector, Plattner and Tschira

• Renamed 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

History of SAP -16-

 Steps to Strategic ERP
Enterprise Resource Planning
is evolved through these stages …

Enterprise Resource Inter-Enterprise Collaborative

Planning Co-operation Business

Create
Strategic
Value
Total Efficiency and
Company
Control
Value

Automation

80’s R/2 90’s R/3 Today mySAP ERP

-17-

Evolution of ERP
Evolution of SAP -19-
SAP R/3 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

3 Tier Client / Server

Architecture -21-
SAP R/3 System
Architecture (Contd...2) -22-
• The Presentation Server
• GUI only
• At workstation
• Very light
• Sends requests to application server
• Obtains screens from application server and displays

• The Database Server

• Interface between application server and RDBMS
• Also holds the vendor specific DB driver

Overview of Presentation
& Database Servers -23-
 SAP Conceptual Areas

Basis Area Development Area

Application Area (1. A developer’s
(The technical
(Initiate and execute workbench
administration of
SAP transactions) 2. Create & Test
the system)
ABAP/4 programs)
(Functional)
(Authorizations/Ids/etc)
(Technical)

SAP R/3 Conceptual Areas -24-

SAP R/3 Modules
 SD – Sales and Distribution FI – Financial Accounting

MM – Materials SD FI
CO – Controlling
Management
MM CO
PP – Production Planning AM – Asset Management
PP AM

SAP R/3
QM HR
QM – Quality Management PM WF HR – Human Resources

PM – Plant Maintenance WM PS WF – Workflow

WM – Warehouse
PS – Project System
Management

SAP Modules -26-

SAP Training and Certification
Benefits of SAP training
1) Acquire the skills and knowledge needed
to tackle the most challenging projects.
2) Wider spectrum of opportunity in the
global market.
3) Competitive edge to meet the strategic
goals of your organization.
4) Gain international recognition and instil
(inspire/fill) client confidence.
• SAP educational alliance ( get access to SAP system first!!!)

• Take right courses (Functional areas, BI, ...etc)

• Student projects & Research projects

• SAP Developer

• Network(http://sdn.sap.com)

• ASUG (American SAP Users Group – http://www.asug.com)

• Service Market Place (http://service.sap.com)

• SAP Internship & other

How to learn
Career tracks
Thank You!