SAP R/3 Fundamentals

SAP R/3 Fundamentals

Unit 1: Introducing the R/3 System
The unit introducing the R/3 System is designed to show how both organisations and
individuals benefit from working with the R/3 System and how R/3 carries out business
management tasks. There are four lessons
! The SAP R/3 System
! "om#onents of the R/3 System
! R/3 $odules
! A "ase Study
The SAP R/3 System
This course #rovides introduction to a system that is used by ma%or organisations around the
world to handle their business management tasks. The system is called SAP R/3.
SAP ! Systems& A##lications and Products in 'ata Processing.
R/3 ! Release 3.
SAP R/3 is designed to handle all of the business management tasks of a com#any. Some
#articular e(am#les that you)ll see are the #ayment of invoices& the management of #roduction
resources and the control of financial accounts.
SAP R/3 handles these tasks using a##lication modules& usually known sim#ly as modules.
Their initials often refer to the modules. For e(am#le& S' is Sales and 'istribution. $$ is
$aterials $anagement.
The modules #rocess information from all #arts of the organisation. Since R/3 works within one
system& this information is shared between modules des#ite any e(isting organisational
limitations of a com#any.
R/3 works with a common database. This means that information& which is entered into the
system by one #art of the organisation& is immediately accessible to all other #arts of the
organisation. *veryone is always u# to date.
The R/3 System is designed #rimarily to meet the needs of mid!si+ed businesses u# to large
cor#orations. ,owever& the ada#tability of R/3 makes it a sound investment for smaller
businesses& enabling them to grow without ever having to change their system.
R/3 works with a com#any)s e(isting com#uter system. This will have develo#ed as the
com#any has grown and is likely to be made u# of a large number of different ty#es of
com#uter.
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SAP R/3 Fundamentals
SAP R/. was designed #rimarily for the mainframe environment. R/3 is used mainly in the
o#en system or client/server environments.
/oth R/. and R/3 use the A/AP/0 #rogramming language. This means that data can be moved
easily between mainframe and o#en systems.
The SAP modules are grou#ed into three main areas 1ogistics& Accounting and ,uman
Resources. So& for e(am#le& $aterials $anagement module is within 1ogistics grou#& and
"ontrolling is a module within Accounting.
The modules are all linked. So& as a user enters or u#dates data on!line using one module& the
information is immediately accessible to all modules.
The result is that u# to date information is available to all #arts of the com#any& regardless of
any organisational limitations& which may e(ist.
The R/3 system is ada#table in a range of ways. $odules can be customised to meet the
s#ecific technical re2uirements of a com#any.
The R/3 modules can transfer data from a com#any)s e(isting #rograms.
A com#any may install only the modules that it needs at the moment. Additional modules can
be added when the business needs grow.
Terms used within R/3 can be modified to match those used within the #articular com#any.
SAP R/3 a##lications are 3indows and $enus driven& and contain gra#hical ob%ects.
4ou will only have access to the #arts of R/3 that you need. This is controlled through
authorisation #rofiles allocated by your system administrator. Access can be e(#anded or
reduced as your needs change.
Components o the R/3 System
There are four main com#onents within the R/3 System.
! A##lication modules.
! 5nterfaces.
! /asis System.
! SAP Technology.
6 SAP Technology
SAP Technology is the advanced SAP software technology that enables R/3 to handle business
management tasks throughout all #arts of an organisation.
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SAP R/3 Fundamentals
SAP Technology is com#atible with all ty#es of business com#uter. This means that a
com#any)s hardware can be e(#anded in a variety of ways as re2uirements increase.
SAP Technology will also handle changes in the structure of an organisation. For e(am#le&
changes may occur which re2uire data #rocessing to be more centralised or decentralised. SAP
will handle either e2ually well.
SAP Technology has also been designed for organisations made u# of several cor#orations.
7ne R/3 System can administer several legally inde#endent cor#orations. *ven if the
cor#orations themselves have subsidiaries& they can all be handled within a single system.
5nternational com#anies choose R/3 because it is multi!lingual& reflects national ta(ation laws
and accounting #ractices& and su##orts multi#le time +one o#erations.
R/3 is 4.8 "om#liant.
SAP Technology ensures that organisations are ready for business on the 5nternet.
6 /asis System
The /asis System is also known as the 8ernel.
5t)s the engine of the R/3 System. 5t)s res#onsible for defining the screens& checking entries& and
make sure data goes to the right #lace.
The /asis System is made u# of four com#onents
! The Screen 5nter#reter&
! The A/AP/0 5nter#reter&
! The 'ata 'ictionary& and
! The Flow "ontrol.
The screen inter#reter is res#onsible for layout of the R/3 screens& checking user in#ut and
#roviding error messages.
A/AP/0 is a 0th generation #rogramming language develo#ed by SAP. All of the SAP
a##lication modules are written in A/AP/0.
A/AP/0 5nter#reter is res#onsible for the dialog with the user. The role of the A/AP/0
5nter#reter is to #rocess the in#ut data and edit the out#ut data.
The 'ata 'ictionary is where R/3 looks for definitions.
The Flow "ontrol hel#s ensure the efficiency of R/3 a##lications through the general
management of a work session.
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SAP R/3 Fundamentals
For e(am#le& the Flow "ontrol ensures that your data is saved. 7r& if you have asked the system
to #erform a series of tasks& the Flow "ontrol will handle this in what is known as a batch
#rocess.
To summarise& your dialog with the R/3 System is su##orted by the four #arts of the /asis
System the Screen 5nter#reter& the A/AP/0 5nter#reter& the 'ata 'ictionary& and the Flow
"ontrol.
6 5nterfaces
The interfaces are the connections that the R/3 System makes with its environment. There are
different versions designed for each ty#e of com#uter and software. 5t is the interfaces which
enable the R/3 System to a##ear the same& no matter what com#uter system is being used.
There are three main ty#es of interface
! The System 5nterface&
! The 9ser 5nterface&
! The "ommunications 5nterface.
The System 5nterface is the connection that R/3 makes with the e(isting software used by the
organisation.
The 9ser 5nterface ensures that the screens a##ear the same to users on different ty#es of
com#uter. 5nstructions from the screen inter#reter are modified by the user interface to match
the #articular com#uter being used.
The "ommunications 5nterface enables electronic data transfer between com#uters.
R/3 !odules
The R/3 System contains a large number of modules& which combine to e(ecute the business
management tasks of an organisation.
$odules are grou#ed into three main areas 1ogistics& Accounting and ,uman Resources.
The 1ogistics $odules handle business tasks that concern the whole com#any.
Accounting modules handle the management of assets and #rovide re#ort regarding the
#erformance of the business so that management decisions are based on ob%ective& u# to date
information.
,uman Resources grou# integrates such activities as #ersonnel #lanning& recruitment& salary
administration and #ersonnel develo#ment.
! 1ogistic $odules
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SAP R/3 Fundamentals
6 Sales and 'istribution module
The Sales and 'istribution module& S'& handles tasks related to sales& shi##ing and billing. 5t
#rovides sales su##ort& such as tools for managing information on sales leads and com#etitor
activity and the sales information system #rovides early warning of market trends.
3hen a customer #laces an order& the S' module is able to e(tract info from the '/ such as the
customer)s address& sales activity and credit limit. S' works with modules such as $aterials
$anagement and Production Planning to check on material availability and estimate the earliest
#ossible delivery date for the order.
S' #rovides info to em#loyees about orders& which are due for delivery. 5t works with $$ to
#ick the com#leted goods from the warehouse and su##orts activities related to #ackaging and
the creation of shi##ing #a#ers.
7nce delivery is initiated& S' carries out billing automatically. This info is immediately
available to the Financial Accounting and "ontrolling modules.
6 $aterial $anagement module
The main task of $$ is to handle the flow of materials in& through and out of the com#any.
$$ deals with #urchasing o#erations& warehouse management and inventory. 5t also features
invoice verification and #rovides a so#histicated information system.
6 Production Planning module
PP assists all staff& from #lant managers to o#erators& to #lan the #roduction #rocess. For
e(am#le& it #lans the trans#ort and storage of raw materials& #roduction e2ui#ment and by!
#roducts and waste.
6 Plant $aintenance module
P$ handles the re#air of buildings and the maintenance of e2ui#ment used in the #roduction
#rocess. 5t #rovides information about machine usage and #ossible downtime. P$ and PP
works closely together to ensure an efficient #roduction #rocess.
6 :uality $anagement module
:$ su##orts all #rocesses related to the 2uality assurance of the #roduct. 5t #rovides detailed
definitions of ins#ection schedules and manages data such as defect rates and 2uality related
costs. 3hen re2uired& :$ will also manage 2uality certification.
! Accounting $odules
The Accounting modules #rovide a general ledger system& enabling balance sheets and #rofit
and loss accounts to be continuously u#dated. ,owever& they also have other functions such as
the management of assets and the #rovision of high level re#orting to assist in the general
control of the organisation.
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SAP R/3 Fundamentals
6 Financial Accounting module
F5 #rovides the general accounting facilities such as balance sheets and #rofit and loss
statements. These may be tailored to the needs of individual subsidiaries and are often multi!
lingual. They will also com#ly with the regulations a##lying in any #articular country.
5n addition& F5 handles asset management& including asset history and de#reciation. 5t will even
#rovide simulations of the #osition following #lanned investments to assist the decision making
#rocess.
6 "ontrolling module
"7 is designed not only to control costs but also to control the ob%ectives of the com#any. As
#art of this #rocess& "7 su##lies information to assist managers in decision making and future
#lanning.
6 *nter#rise "ontrolling module
*" is an information system for com#any e(ecutives. 5t is designed to combine internal
com#any information with data about the e(ternal markets and isolate the strategic issues
which affect marketing strategy.
! ,uman Resources $odules
The ,uman Resources modules #rovide an integrated human resources management system&
covering #ersonnel #lanning and recruitment& #ersonnel and salary administration& #ayroll and
#ersonnel develo#ment.
6 Personnel Administration module
PA contains the master data area where the records of all em#loyees are held. All ,uman
Resources a##lications and many other modules in the other business grou#s access this data.
<ew or u#dated details are& therefore& available throughout the system.
PA also #rovides a range of levels of time management from sim#le monitoring of hours
worked through to automatic matching of em#loyee hours and machine availability. PA is also
res#onsible for such issues as #ayroll and the administration of travel e(#enses.
6 Personnel Planning and 'evelo#ment module
P' covers all as#ects of human resources #lanning. For e(am#le& cost #lanning enables the
effect of different #ayment strategies to be #redicted as a basis for decision making.
P' also su##orts long term succession #lanning. For e(am#le& data on the age structure of
em#loyees in #articular skills area may highlight a need for the career develo#ment of e(isting
em#loyees or the efficient recruitment of additional resources.
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SAP R/3 Fundamentals
The ability of the modules to communicate with each other enables R/3 to handle the business
management tasks of an organisation.
Unit ": Using the R/3 System
The 9nit 9sing the R/3 System is designed to show you how to access the system and give you
some e(#erience of working with R/3 transactions. There are four lessons.
6 The R/3 9ser 5nterface
6 R/3 System Access
6 3orking 5nteractively
6 The A/AP/0 :uery
The R/3 User Interace
The R/3 System uses the 3indows gra#hical interface. So the 3indows Program manager has
an SAP R/3 #rogram grou#. 'ouble clicking on the grou# dis#lays the R/3 icon.
Active entry field is coloured yellow. Any ty#ing will a##ear there.
A 2uestion mark in an entry field indicates that an entry must be made in order to com#lete the
screen.
R/3 System Access
To carry out business management tasks& the R/3 System must handle data which is highly
confidential. For e(am#le& the system will contain information about a com#any)s #roducts&
finances& future strategy and the #ersonal details of all em#loyees.
7nly authorised users have access to the system.
*ach R/3 user is assigned access rights& which determine the data they may read& write or
modify in the system. 4our access rights de#end on the ty#e of work you)re re2uired to do.
The system kee#s a log of all actions taken.
3hen starting the R/3 System& there)s a log!on screen. 4ou must enter your username and
#assword to access the system.
The system administrator can e(#and authorisation #rofile.
A #assword must be between 3 and > characters long and all of the characters on the keyboard
are allowed.
A #assword cannot start with an e(clamation #oint& a 2uestion mark& or a blank s#ace and the
same three characters cannot be re#eated three times in a row.
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SAP R/3 Fundamentals
#or$ing Interacti%ely
4our work with the R/3 System is a dialog between yourself and the system. 5n this dialog you
will in#ut data& dis#lay information and #rocess tasks.
The A&AP/' (uery
The R/3 System manages an e(tensive amount of data about a com#any& its #roducts& its
customers and the market #lace.
5t is very im#ortant that you can e(tract #articular information 2uickly and in a form that is
a##ro#riate for your needs.
R/3 #rovides . main methods for e(tracting and organising data. The first is the Re#ort. This is
a very fle(ible method through which you can tailor the out#ut very closely to #articular needs.
,owever& you do have to be #roficient in A/AP/0 #rogramming language to #roduce re#orts.
The second is the A/AP/0 :uery. This #rovides a more standardised out#ut in the form of a
list. 5t is les fle(ible than the re#ort but it doesn)t re2uire any A/AP/0 #rogramming skill. 3e
are going to concentrate on an e(am#le of the A/AP/0 :uery in this lesson.
4ou start an A/AP/0 :uery by first clicking on the System item on the menu bar. The :uery is
found on the Services sub!menu.
The 5nitial Screen of the :uery is dis#layed. This #rovides a list of standard 2ueries from which
you can choose. 4ou can)t modify these 2ueries in anyway. ,owever& having standard 2ueries
does mean that you can obtain your re2uired data very 2uickly.
5f 2uery already in dis#lay& click on *(ecute& and select the 2uery to e(ecute.
Although you can)t modify the 2uery itself& you can limit the amount of data through which it
has to search for the #ieces of information you re2uire. The Stock Analysis . screen enables
you to narrow the search down and so reduce the amount of time that the 2uery will take.
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