An ERP system is a real-time business supporting system that provides to the data wants of the whole organization using a sole repository of data (a database) and a very high-tech set of highly-customizable software modules which, together, facilitate decision-making and the activities based on these decisions. This invariably consequences in extremely competent operations and a resultant competitive advantage. SAP, prepared by SAP AG, situated in Walldorf, Germany, is 1 such proprietary ERP system.
The SAP system is prepared into various sets of 'solutions' (essentially, modules) that comprehend the info demands of particular fields of any organization's operations. Set on top of these already-integrated individual modules is the Cross-Application layer, components of which further learn that these various result 'talk' to each other in a cohesive mode.
There is a saying, "If you fail to plan, you are actually planning to fail". Hence, a well introductory point for visualizing SAP is its Project System which deals all activity within the company as division of some project. Placed on occurrent orders (or perceived demand), this module is practiced define projects that will accomplish these orders and start going after them from then on. A regular project would take on a mix of various manufacturing actions as well as whatever associated procurement (raw materials as well as bought-out items). Going After each of such project right from inception, through to its completion and beyond (post-project analysis) is capably addressed by this module.
For project actions that refer to manufacturing, the Production Planning module deals the specifics of capacity planning, production scheduling down to the personalized chores on the shop floor. This includes handling data on the accessibility and deployment of human resources, machinery, tools and fixtures, consumables and energy requirements to name a few.
With streamlined production occurs Plant Maintenance which treats preventive maintenance, breakdown maintenance along with the affiliated down-time of tools and lost hours of the work-force as well as the time, material and labor necessary for such maintenance.
The Materials Management module interfaces with Production Planning and Plant Maintenance to check a) Timely delivery of materials and b) Reduced cost of inventory. Its range originates with material requisitions (based on Bills of Material emanating from production plans as well as for unintentional purchases) and leads them from placing orders to receipt of commodities, their receiving review (quality control), their being taken into stock and being subsequently supplied for production. This module also treats finished-goods inventory.
The Costing module interfaces with each entity that has a money value associated with it. It takes into thoughtfulness the several cost-centers and each of the linked prices : equipment, material, labor and services. The same makes true for the profit centers. This costing module has a provision for product-based costing (which could fail to treat certain fixed prices accurately ) as well as activity-based costing which is thought more scientific and allows for cross-functional sharing of all the drivers of these costs.
The Sales and Distribution module tracks all transactions from inquiries, requests for proposals/ quotations and pricing to interfacing with the finished-goods stock (in factory and warehouses) to picking, packing, shipping and delivery.
The Financial Accounting module logs financial transactions in the electronic equivalent of essential books of accounts, holds the General Ledger and every defined sub-ledgers, consolidates all this into the final books of accounts (essentially, Profit & Loss account and the Balance Sheet), addresses tax-related transactions/adjustments and interfaces with book closure. Accidentally, most of this is of a statutory nature and has accomplished with the country-specific options of SAP.
Asset Management is used for chasing assets from the time they are bought, right through their life-time with regard to their depreciation (and, therefore their current valuation) to the point they are either sold or wrote off.
The Quality Management module, along with the Project System, actually overlaps all another functions and interfaces with each one of them throughout the lifetime of the corporation. Quality, they say is never by chance; it is always by design. That is why this module is used to facilitate all activities that build quality into the organisation's products/services (preventing defects/errors taking place in the first place). This is complete by preparation (essentially, incorporating preventive steps in the organisation's work-flow), fulfilling these quality programs and leading periodic inspections to determine deviations, if several. Important to the company's image and credibility in the outside universe, are actions that leave to the several applicable certifications acquiring which is also managed in effect by this module
This was a simplex point of a very large application called SAP. - 16003
The SAP system is prepared into various sets of 'solutions' (essentially, modules) that comprehend the info demands of particular fields of any organization's operations. Set on top of these already-integrated individual modules is the Cross-Application layer, components of which further learn that these various result 'talk' to each other in a cohesive mode.
There is a saying, "If you fail to plan, you are actually planning to fail". Hence, a well introductory point for visualizing SAP is its Project System which deals all activity within the company as division of some project. Placed on occurrent orders (or perceived demand), this module is practiced define projects that will accomplish these orders and start going after them from then on. A regular project would take on a mix of various manufacturing actions as well as whatever associated procurement (raw materials as well as bought-out items). Going After each of such project right from inception, through to its completion and beyond (post-project analysis) is capably addressed by this module.
For project actions that refer to manufacturing, the Production Planning module deals the specifics of capacity planning, production scheduling down to the personalized chores on the shop floor. This includes handling data on the accessibility and deployment of human resources, machinery, tools and fixtures, consumables and energy requirements to name a few.
With streamlined production occurs Plant Maintenance which treats preventive maintenance, breakdown maintenance along with the affiliated down-time of tools and lost hours of the work-force as well as the time, material and labor necessary for such maintenance.
The Materials Management module interfaces with Production Planning and Plant Maintenance to check a) Timely delivery of materials and b) Reduced cost of inventory. Its range originates with material requisitions (based on Bills of Material emanating from production plans as well as for unintentional purchases) and leads them from placing orders to receipt of commodities, their receiving review (quality control), their being taken into stock and being subsequently supplied for production. This module also treats finished-goods inventory.
The Costing module interfaces with each entity that has a money value associated with it. It takes into thoughtfulness the several cost-centers and each of the linked prices : equipment, material, labor and services. The same makes true for the profit centers. This costing module has a provision for product-based costing (which could fail to treat certain fixed prices accurately ) as well as activity-based costing which is thought more scientific and allows for cross-functional sharing of all the drivers of these costs.
The Sales and Distribution module tracks all transactions from inquiries, requests for proposals/ quotations and pricing to interfacing with the finished-goods stock (in factory and warehouses) to picking, packing, shipping and delivery.
The Financial Accounting module logs financial transactions in the electronic equivalent of essential books of accounts, holds the General Ledger and every defined sub-ledgers, consolidates all this into the final books of accounts (essentially, Profit & Loss account and the Balance Sheet), addresses tax-related transactions/adjustments and interfaces with book closure. Accidentally, most of this is of a statutory nature and has accomplished with the country-specific options of SAP.
Asset Management is used for chasing assets from the time they are bought, right through their life-time with regard to their depreciation (and, therefore their current valuation) to the point they are either sold or wrote off.
The Quality Management module, along with the Project System, actually overlaps all another functions and interfaces with each one of them throughout the lifetime of the corporation. Quality, they say is never by chance; it is always by design. That is why this module is used to facilitate all activities that build quality into the organisation's products/services (preventing defects/errors taking place in the first place). This is complete by preparation (essentially, incorporating preventive steps in the organisation's work-flow), fulfilling these quality programs and leading periodic inspections to determine deviations, if several. Important to the company's image and credibility in the outside universe, are actions that leave to the several applicable certifications acquiring which is also managed in effect by this module
This was a simplex point of a very large application called SAP. - 16003
About the Author:
Are you looking for sap faq? Discover how to master SAP in 24 hours without overpaying for expensive course and learn about sap business webflow now.
