SAP Ecosystem of Applications and Development Tools :
5 Minute read
SAP stands for Systems Applications and Products in Data. SAP is both the brand name and the name of the ERP (Enterprise Resource Planning) program. European multinational SAP Software was established in 1972 by Wellenreuther, Hopp, Hector, Plattner, and Tschira to enable multinational companies to manage their business operations and customer connections.
SAP is considered a leading vendor in ERP and has more than 425K in over 185 countries. Oracle ERP, Netsuite, Microsoft Dynamics are some of SAP market rivals, especially when some of these vendors have cloud-native applications and IaaS platforms as a complete deployment solution. This blog will focus on SAP applications and the benefits of its integrated modules.
What is SAP ERP? Why is it Required?
- Decentralized Framework
- Centralized system, also referred to as ERP.
- Data is kept in one place and shared with different Departments
- Access to information or data from other departments is available to departments
Key benefits of the centralized system are :
- The centralized approach has several advantages, including the elimination of data duplication, discontinuity, and redundancy.
- Real-time information sharing between departments.
- Control over numerous business operations is provided by SAP Company.
- Increases productivity, improves inventory control, encourages quality, lowers material costs, effectively manages human resources, and lowers overheads to increase profits
- Improved customer interactions, higher throughput. Moreover, it enhances customer service.
- A central enterprise management system is therefore necessary.
- Enterprise resource planning, or ERP, is another name for the centralized enterprise management system known as SAP Software.
- Systems Applications and Products in Data Processing, or SAP, is the acronym.
SAP Modules
- Functional Modules for SAP
- Technical Modules for SAP
Functional SAP Modules
SAP Security
SAP Solution Manager
Technical SAP Modules
Advantages of integrating modules from SAP
- Greater flexibility in process management
- Time management
- Improved corporate communication, cost savings
- Longer customer lifetime value
Industries
- Aerospace & Defense
- Automotive
- Banking
- Chemicals
- Consumer Products
- Defense & Security
- Engineering, Construction & Operations
- Healthcare
- Higher Education & Research
- High Tech
- Industrial Machinery, Components
- Insurance
- Life Sciences
- Media
- Mill Products
- Mining
- Oil & Gas
- Professional Services
- Public Sector
- Retail
- Sports & Entertainment
- Telecommunications
- Travel & Transportation
- Utilities
- Wholesale Distribution
Line of Business
- Asset Management
- Sustainability
- Finance
- Human Resources
- Information Technology
- Manufacturing
- Marketing
- R&D, Engineering
- Sales
- Service
- Sourcing and Procurement
- Supply Chain
Featured Solutions
- Big Data
- Customer Engagement
- Internet of Things
- Rapid Deployment Solutions
- Security
- Small & Medium Enterprises
- User Experience
Products
- Business Suite
- CRM
- Enterprise Asset Management
- Enterprise Resource Planning
- Financial Management
- Human Capital Management
- Procurement
- Product Lifecycle Management
- Supply Chain Management
- Sustainability
- Application Foundation
- Business Process Management and Integration
- Cloud Computing
- Content and Collaboration
- Database
- Data Management
- Data Warehousing
- Enterprise Information Management
- In-Memory Computing (SAP HANA)
- Mobile
- Security
- Applied Analytics
- Business Intelligence
- Data Warehousing
- Enterprise Performance Management
- Governance, Risk, Compliance
- Predictive Analytics
- Mobile Apps
- Managed Mobility
- Mobile Platform
- Mobile Secure
- Mobile Services
- Applications
- Business Networks
- Infrastructure
- Platform
- Social Collaboration
Most common SAP modules and how it is used
1. SAP Financial Accounting (FI) Module : The most popular of the many SAP modules, the SAP FI module addresses the area of management of financial transactions in businesses. The main justification for this is that it can be used in all industries, unlike other SAP modules. There is no industry cap, and usage is unrestricted by the size of the business. This module is available to all small, medium, and large-sized businesses. One of its key advantages is that it may be used without SAP ERP. Any ERP system can incorporate the SAP FI module.
Through a centralized system, it assists employees of the finance department in managing their data connected to all financial and commercial transactions. The SAP FI module is adaptable and performs admirably in terms of economics and reporting needs. A company can receive its current financial state in the market with the aid of the financial accounting module. For better working outcomes, SAP FI is integrated with other SAP modules such as SAP SD, SAP MM, SAP PP, and more.
2. SAP Controlling (CO) : Management Accounting and Control Module : Another significant SAP module made available to enterprises is SAP CO. The control module aids in the process analyses of the enterprise's planning, reporting, and monitoring operations. It covers techniques for organizing and visualizing expenses necessary for financial reporting. An individual can plan, monitor, carry out, and report expenditures thanks to the control module. Cost components, cost centers, profit centers, internal orders, functional areas, etc. are all included in control. It involves overseeing and setting up master data covering. All businesses must perform cost and profitability analyses; hence the SAP CO module is a module that all industries require.
3. SAP Sales and Distribution (SD) Module : All transactions, including inquiries, quotes, pricing, and more, are managed via the SAP SD module. The module makes managing and controlling inventory much easier. The SD module does credit and risk management, bid tracking, and client contracts management in addition to defining pricing conditions.
4. SAP Materials Management (MM) Module : The SAP MM module, as its name implies, controls the materials that are needed, used, and created by businesses. Different supply procedures are managed by this system. Vendor master data, consumption-based planning, purchasing, inventory management, invoice verification, etc. are some of the more well-known sub-components of the SAP MM module.
The logistics department includes SAP MM, which supports the management of an organization's purchase activities. It backs up every element of material management (planning, control, etc.). It serves as the foundation for logistics, which also comprises the warehouse management, project systems, factory maintenance, sales and distribution, and production planning modules.
5. SAP Quality Management (QM) Module : The SAP QM module supports quality management in production across all organizational activities. By taking a planned and practical approach to managing quality across various processes, this quality management module aids an organization in accelerating business growth. The SAP QM module collaborates on issues with the procurement and sales, production, planning, inspection, notification, control, audit management, etc. The following fundamental tasks are carried out by SAP QM during the creation of goods :
- Quality Planning
- Quality Notices
- Quality Inspection
6. SAP Human Capital Management (HCM) Module : The SAP HCM module enhances data management and business processes in the HR division of organizations. This module is used to manage all aspects of an HR department, including hiring new employees, assessing their performance, handling promotions and compensation, managing payroll, and other related tasks. This SAP ERP HCM module is used to manage the work of managing the specifics and task flow of the most significant resource, namely the human resource.
With just a five-person team at the beginning, SAP has grown to serve more than 425,000 clients across 180 nations. SAP environments can be complex and daunting but there are many service companies who can help you successfully manage and grow your revenues with the right integration. Trajectus is here to help with the skill sets of our SAP consulting arm.
Benefits of using SAP
1. Risk mitigation : Organizations can increase company productivity and minimize revenue losses by minimizing the impact of interruptions on users and the business.According to the IDC report, users of HANA had a 21 percent increase in user gross productivity.
2. Improved IT team productivity : With up to five times higher productivity and an 18% increase in database administration efficiency, SAP HANA enables the creation of custom applications that significantly boost developer and database administrator productivity.
3. Reduced operational costs : Organizations can reduce their operating costs and save more than $845,800 per organization annually to find inefficiencies and acquire a greater understanding of expense structures.
4. Higher levels of business productivity : According to the IDC report, utilizing data in novel ways for custom applications raised revenue and enhanced worker productivity while lowering operating expenses. This generates value for each organization of over $6.45 million/R100M per year through more revenue, higher productivity, and lower costs
Conclusion
The SAP solution can be adapted to complex requirements and customization of your business needs. If you are stuck with a no-upgrade situation or your business growth is stymied by lack of insights, schedule a 15 min session with our SAP consultants to understand how you can maximized your ROI and current deployments through integration or Lift-n-Shift to the Cloud.
