How to grasp High Level & Fundamental understandings of SAP System Architecture?
How to grasp High Level & Fundamental understandings of SAP System Architecture?Author: Dan OhIt is an undeniable fact that SAP gains more and more customers such as big US and global Corporations and government. SAP's greatest opportunity probably lies beyond Microsoft or IBM or Oracle. SAP AG is a global software company headquartered in Walldorf, Germany. SAP simply stands for Systems Applications and Products in Data Processing. It will be highly worthwhile to go over the essential components of SAP System as more and more companies are moving toward using ERP package such as SAP rather than relying on traditional in-house development of Corporate Application Systems. First, there is R/3 or ERD or ECC. The name of this component has been evolved, but the essential function of system component has not changed much. ERP stands for Enterprise Resource Planning Software product SAP AG. This component has its own several sub-modules such as MM (Material Management), SD (Sales Distributions), FI/CO (Financial and Costing and Billing), PM (Plant Maintenance/Production Planning), WM (Warehouse Management) and HR (Human Resource Management). It has Workbench environment where staff can develop customized program using ABAP programming and database tables to support companies' own internal business processing. Each sub modules support many screens/transactions and reporting transactions to easily keep track of inventory, orders, movement of goods. Either Business customers or traditional IT staff can relatively merge together to design and develop various business processes. ECC (Enterprise Central Component) is recent name for R/3 or ERD. Even huge company can be sufficiently supported by this one component. Second component is called APO (Advanced Planning & Optimization). This component is all about planning using demand data and the power of forecasting. Forecasting is one of core sub-modules, and Planning is based on sophisticated planned data which is forecast data. The name SCM (Supply Chain Management) is also used interchangeably to refer APO component. However, please remember that SCM itself is a generic term and discipline that is taught at major university or institution. DP (Demand Planning, i.e.
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