SAP ERP is enterprise resource planning software developed by erp system modules pdf German company SAP SE. SAP ERP incorporates the key business functions of an organization.
0 was released in 2016. SAP Enhancement Packages for SAP ERP 6. 3, which was officially launched on 6 July 1992, consisted of various applications on top of SAP Basis, SAP’s set of middle ware programs and tools.
Extension sets were used to deliver new features and keep the core as stable as possible. A complete architecture change took place with the introduction of mySAP ERP in 2004.
Architectural changes were also made to support an enterprise service architecture to transition customers to a Service-oriented architecture. The latest version, SAP ERP 6. 0, was released in 2006. 0 has since then been updated through SAP enhancement packs, the most recent: SAP enhancement package 8 for SAP ERP 6.
SAP ERP collects and combines data from the separate modules to provide the company or organization with enterprise resource planning. Companies planning to implement or upgrade an SAP ERP system should pay strict attention to system integration to save their SAP ERP implementation from failure. With system integration in place, data flows move completely and correctly among various SAP ERP components, thereby not only streamlining business processes but also eliminating or minimizing redundant data entry efforts.
Of the top 10 barriers to a successful ERP journey, 5 can be addressed by developing and implementing a structured change management program. Reduced level of inventory through improved planning and control. Improved production efficiency which minimizes shortages and interruptions.
Reduced materials cost through improved procurement and payment protocols. Reduced labor cost through better allocation of staff and reduced overtime.
Increased sales revenue, driven by better managed customer relationships. Integration is the key in this process.
Generally, a company’s level of data integration is highest when the company uses one vendor to supply all of its modules. An out-of-box software package has some level of integration but it depends on the expertise of the company to install the system and how the package allows the users to integrate the different modules.
Full implementation of all modules can take years,” which also adds to the end price. 20 million at most, and small companies are not likely to have the need for a fully integrated SAP ERP system unless they have the likelihood of becoming midsized and then the same data applies as would a midsized company. Independent studies have shown that deployment and maintenance costs of a SAP solution can greatly vary depending on the organization. For example, some point out that because of the rigid model imposed by SAP tools, a lot of customization code to adapt to the business process may have to be developed and maintained.
Some others pointed out that a return on investment could only be obtained when there was both a sufficient number of users and sufficient frequency of use. Deploying SAP itself can also involve a lot of time and resources. SAP Enhancement Packages for SAP ERP 6. Since then, additional functionality for SAP ERP 6.