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mySAP ERP )
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History of SAP Systems Applications and Products in Data Processing German : Systeme, Anwendungen, Produkte in der Datenverarbeitung Founded in 1972 by Wellenreuther, Hopp, Hector, Plattner and Tschira Re named 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
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Development of SAP Enterprise Resource Planning Total Company Value Evolution of ERP Create Strategic Value Efficiency and Control Automation 80’s R/2 90’s R/3 Today mySAP ERP Inter-Enterprise Co-operation Inter-Enterprise Co-operation Enterprise Resource Planning Enterprise Resource Planning Collaborative Business Collaborative Business
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SAP Business Strategy: New Maintenance Offerings Architecture Planning Custom Development Consulting System Integration Operations Planning & Optimization Hosting / Outsourcing
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SAP Business Strategy: SAP Direct Vertical Sales Resellers Business One Centers Sales/Service Partners
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70s For Over 30 Years, SAP Has Been Driving ERP – and They Continue to Do So… SAP Invents Real-Time ERP SAP defines and establishes a new approach to Integrated Standard Business Software. ERP = The Business Software Industry The approach that SAP established becomes industry standard. New competitors enter the market. ERP Rapid Adoption Companies start to adopt ERP on a massive scale Dot.com Hype: ERP = Old E-Business = New Trends seemed to indicate that ERP was an out-of- fashion model mySAP ERP E-Business is now seen as an extension of ERP, not a replacement. SAP is leading the new industry standard for collaborative business applications. 80s90s00s
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Evolution of SAP
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Benefits of mySAP ERP SAP ERP delivers a comprehensive set of integrated, cross-functional business processes. With SAP ERP, we can gain the following benefits: Improve alignment of strategies and operations Improve productivity and insight Reduce costs through increased flexibility Support changing industry requirements Reduce risk Improve financial management and corporate governance Optimize IT spending Gain higher ROI faster Retain top performers Provide immediate access to enterprise information
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SAP R/3 Architecture
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3 Tier Client / Server 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
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SAP R/3 System Architecture
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Overview of Presentation & Database Servers 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
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SAP R/3 Conceptual Areas SAP Conceptual Areas Application Area (Initiate and execute SAP transactions) (Functional) Basis Area (The technical administration of the system) (Authorizations/Ids/etc) Development Area (1. A developer’s workbench 2. Create & Test ABAP/4 programs) (Technical)
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Systems in R3 Development System (DC) Quality System (QC) Production System (IC) Client 110 100 etc.. Transport Request
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Clients in R/3 The Logon Client 3 digit number ( 000 to 999) Helps maintain independent sets of data within the same R/3 system Client mechanism and handling
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Clients in R/3
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R/3 Technology Environment DB2 for OS/390 ADABAS D DB2 for AIX INFORMIX-OnLineORACLE 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 DB2 for OS/400 OS/39 0 AIX Digital UNIX HP-UX Reliant UNIX (SINIX) SOLARIS Windows NT OS/40 0 Hardware Bull/ZenithCompaq Data General...NCRSequentSNIDigital HP (Intel) IBM (Intel) BullDigitalHPIBMSNISUN UNIX Systems IBMAS/400 Operatingsystems DialogSAPGUI Languages Databases IBMS/390
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Platforms and Databases supported by R/3 Operating Systems Supported Hardware Supported Front ends Supported Databases AIX SINIXIBM SNI SUNWin 3.1/ 95 / NTDB2 for AIX SOLARIS HP-UXDigital HPOSF / MotifInformix – Online Digital UnixBullOS/2 Macintosh Oracle 7.1 ADABAS D Windows NTAT&T Compaq Bull / Zenith HP (Intel) SNI IBM (Intel) Digital (Intel) Data-General Win 3.1 / 95 / NT OSF / Motif OS/2 Macintosh Oracle 7.1 SQL Server 6.0 ADABAS D OS/400AS/400Win 95 OS/2DB2/400
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SAP R/3 Modules
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SAP Modules PP – Production Planning WM – Warehouse Management PM – Plant MaintenanceAM – Asset ManagementPS – Project System MM – Materials Management SD – Sales and DistributionQM – Quality Management WF – WorkflowHR – Human ResourcesCO – ControllingFI – Financial Accounting
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1) Financial accounting (FI) 2) Controlling (CO) 3) Asset management (AM) 4) Materials management (MM) 5) Sales and Distribution (SD) 6) Production Planning (PP) 7) Quality management (QM) 8) Plant maintenance (PM) & Customer Service (CS) 9) Project system (PS) 10) Human resources (HR) 11) Workflow (WF) SAP R/3 Application Modules
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MM Material Procurement Inventory Management Batch Management Goods inspection Invoice Verification PP BOM/Work Center/Routing MRP Capacity Evaluations Production Orders QM in production SD Inquiry processing Sales Order Processing Delivery Processing Billing FI General Ledger Accounts Payable Accounts receivable Cash management CO Cost Center Accounting Product Costing Order Contribution Analysis Module Functionalities
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External reporting of General ledger Accounts receivable/payable Sub-ledger accounts Key elements General ledger Accounts payable Accounts receivable Asset Management Accounting Information System Module FI – Financial Accounting
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Consolidation Extended General Ledger Payables Receivables Bankaccounts General Ledger Cash management and forecast Foreign exchange management Management of secureties and loans Finance information system Bank Invoiceverification Accountspayable Creditmanagement Accountsreceivable Financial Accounting
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Represents the flow of cost and revenue Instrument for organizational decisions Key elements of the CO application module include : Cost center accounting Product cost Planning Product Costing Profitability analysis Profit center accounting Activity based costing Enterprise controlling Module CO – Controlling
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Sales and Distribution Processing M A T E R I A L S M A N A G E M E N T
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Optimize tasks/activities in Sales Delivery Billing Key elements of the SD application module include : Pre-sales support Inquiry processing Quotation processing Sales order processing Delivery processing Warehouse management Billing Credit Management Sales Information system Module SD – Sales and Distribution
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Sales Order Process (Order-to-Cash) Sales Order Entry Post Goods Issue Invoice Customer Pick Materials Receipt of Customer Payment Pack Materials Check Availability
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Supports Procurement Inventory Key elements Materials procurement (purchasing) Inventory management Invoice verification Material valuation Vendor evaluation External Services management Purchasing Information System (PurchIS) Inventory Controlling Information system Module MM – Materials Management
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Procurement Process (Procure-to-Pay) Purchase Requisition Payment to Vendor Notify Vendor Shipment Invoice Receipt Goods Receipt Purchase Order
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Materials Management Service / spare parts Material Special stock Batch Vendor/one-time customer Purchasing info record Service specifications Workflow Optical archive Texts Mail Communication Classification Documents Conditions BASIC DATA Purchasing information system Vendor evaluation Purchase requisition PURCHASING MRP Direct requisition Release procedures RFQ/Quotation Material/service Price comparisons Price comparison list Purchasing Purchase orders Outline agreements Scheduling agreements Goods receipt/issue Transfer posting Quantities and values Physical inventory Storage bins Check and post Price update INVENTORY MANAGEMENT INVOICE VERIFICATION SD PP PM QM FI AM CO PS Third-party order Requirements Inspection lot Fixed assets Cost center / Budget Project G/L accounts Cash management and forecast Service/ Spare Parts
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FI CO HR CostaccountingFinancialaccounting Humanresources ProjectNetworks MaintenanceRepairs Plant maintenance Inbound Raw Material Finished Goods Sales and Operations Planning Demand management / MPS Material requirements planning Detailed Schedeling and Planning Capacity planning Shop floor control Costing Information system PurchasingWarehouse Invoice verification SalesShippingBilling Customers Vendors SDPP SDSD SDMM SDQM SDPM SD PS Production Planning
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Supports Quality planning Inspection Control for manufacturing Costing Procurement Key elements Quality planning Quality during procurement, production, distribution Quality Management Information - Quality inspection )Information System (QMIS) Module QM – Quality Management
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PS – Project Systems Support planning, control, & monitoring of long term highly complex projects with defined goals Key elements Project WBS – Plan Budget & Monitor Network Management Activity monitoring, Material Planning, Milestones, Capacities Scheduling Project Management Information System HR – Human Resource Key elements Recruitment Payroll & Time management Travel Expense accounting & Benefits Workforce planning & Training administration Organization management Module PS – Project System & HR – Human Resource
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mySAP Industry Solutions (Some Examples) SAP for Aerospace & Defense SAP for Media SAP for Automotive SAP for Mill Products SAP for Banking SAP for Mining SAP for Chemicals SAP for Oil & Gas SAP for Consumer Products SAP for Pharmaceuticals SAP for Engineering, Construction & Operations SAP for Professional Services SAP for Healthcare SAP for Public Sector SAP for High Tech SAP for Retail SAP for Higher Education & Research SAP for Service Providers SAP for Industrial Machinery & Components SAP for Telecommunications SAP for Insurance SAP for Utilities
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SAP Product Overview
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Evolution of SAP products R/3 Enterprise SAP NetWeaver mySAP ERP Solutions mySAP CRM mySAP SCM mySAP HR mySAP PLM ……….. mySAP Business Suite Web AS Easing Upgrade Plans & Providing Transition Options Bringing benefits of SAP Netweaver into installed base New Customers have more entry options & receive world –class ERP
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Evolution of SAP products SAP R/3 my SAP Solutions my SAP Business Suite
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Operations Corporate Services mySAP HR mySAP Financials Adaptive Business Solutions SAP R/3 mySAP SCM mySAP PLM mySAP SRM mySAP CRM mySAP Solutions
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mySAP PLM mySAP SCM mySAP SRM CRM Operations Corporate Services mySAP HR mySAP Financials Application Platform ( Web As ) People Integration (Portal) Information Integration( BI,MDM ) Process Integration (XI) SAP NetWeaver my SAP Business Suite
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mySAP Solutions & Netweaver mySAP CRM mySAP SRM mySAP SCM mySAP PLM SAP Netweaver
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My SAP Customer Relationship Management (CRM)
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CRM Solution Map
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CRM – Holistic view
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Where does a CRM solution fit ? Who SalesServiceMarketingExecutives What Service Transact Fulfill Engage Which way InternetMobileTelephony How OperationalCollaborativeAnalytical Workplace Use a CRM Solution to complete the Cycle
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My SAP Supplier Relationship Management (SRM)
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SRM Vision
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SAP Netweaver
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A Roadmap for Web Services
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Services are changing SAP’s Product portfolio
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From Basis to WAS
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Unifies and aligns people, information and business processes Integrates across technologies and organizational boundaries A safe choice with full.NET and J2EE interoperability The Business foundation for SAP and partners Powers business-ready solutions that reduce custom integration It’s Enterprise Services Architecture increases business process flexibility SAP NetWeaver The integration and application platform for lower TCO
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ERP implementation
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Ways to Implement: There are two main implementation approaches: Roll Out: inclusion of subsequent releases and/or locations in separate systems. Roll In: inclusion of subsequent releases and/or locations in same systems. Both focus on implementation at one location or one area of functionality, followed by subsequent implementation of other sites and/or functional areas The alternative to Roll Out and Roll In is Big Bang Generally only considered for small (<200) implementations
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Cost of SAP deployment
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mySAP Business Suite Pricing Model: mySAP CRM mySAP SCM mySAP ERP mySAP FIN mySAP HR mySAP PLM mySAP SRM e.g Purchase Order/ Sales Order Software Engine fees: (e.g Purchase Order/ Sales Order Industry Solutions based on industry metrics) Professional E3800 Limited Prof. E1600 (mobile E800) Employee E400 Functionality / Price Named User fees (4 categories ) Developer ? Up to E5700
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Thank You!
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