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Managerial Briefing 13. Enterprise Resource Planning Systems. Enterprise Resource Planning Defined R/3 System Components Reasons for Implementing R/3. OBJECTIVES . Enterprise Resource Planning (ERP) Systems.
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Managerial Briefing 13 Enterprise Resource Planning Systems
Enterprise Resource Planning Defined • R/3 System Components • Reasons for Implementing R/3 OBJECTIVES
Enterprise Resource Planning (ERP) Systems • Enterprise Resource Planning Systems is a computer system that integrates application programs in accounting, sales, manufacturing, and other functions in the firm • This integration is accomplished through a database shared by all the application programs
SAP AG • The largest European software company and the largest ERP software company in the world with headquarters in Walldorf, Germany. • AG = Aktiengesellschaft = public company • SAP was founded in 1972 as Systemanalyse und Programmentwicklung by five former IBM engineers in Mannheim, Germany (Dietmar Hopp, Hasso Plattner, Klaus Tschira, Claus Wellenreuther and Hans-Werner Hector). • The acronym was later changed to stand for Systeme, Anwendungen und Produkte in der Datenverarbeitung ("Systems, Applications And Products in Data Processing“)
SAP AG • Main product: mySAP ERP • Predecessor: SAP R/3 • Before SAP R/3: SAP R/2 (only for mainframe) • R = real time data processing • 3 = 3-tier architecture: database server, application server and client/front end server (SAPgui) • GUI = Graphical User Interface
SAP AG’S R/3 • -Designed to operate in a three-tier client/server configuration • -Applications are fully integrated so that data are shared between all applications
SAP ABAP • ABAP = Programming language used by SAP. It is a 4GL (fourth generation language) • ABAP = Allgemeiner Berichts aufbereitungs prozessor (Germany) = generic report preparation processor (English). • New English name = Advanced Business Application Programming.
SAP Industry Solution`:Customization • Automotive • Chemical • Electronics • Banking • Etc.
Financial Accounting Sales & Distribution Human Resources Manufacturing & Logistics R/3 System Functional Components R/3 System Functional Components
Financial Accounting • Financials • Controlling • Asset management
Human Resources • Payroll • Benefits administration • Applicant data administration • Personnel development planning • Workforce planning • Schedule & shift planning • Time management • Travel expense accounting
Manufacturing & Logistics • Materials management • Plant maintenance • Quality management • Production planning & control • Project management system
Sales and Distribution • Prospect & customer management • Sales order management • Configuration management • Distribution • Export controls • Shipping and transportation management • Billing, invoicing, and rebate processing
Reasons for Implementing SAP R/3 • Desire to standardize and improve processes • To improve the level of systems integration • To improve information quality
Question Bowl Which of the following is considered a part of the “triple client server configuration” of the SAP R/3 system? • Front-end server • Application server • Database server • All of the above • None of the above Answer: d. All of the above
Question Bowl Which of the following is a “program” in the SAP Production Planning Application? • Purchasing • Workforce planning • Sales and operations planning • Project planning • None of the above Answer: c. Sales and operations planning
Question Bowl Which of the following is a SAP Application? • Quality management • Project system • Logistics general • All of the above • None of the above Answer: d. All of the above
Question Bowl Which of the following SAP Applications contains a full set of capabilities needed to manage, schedule, pay and hire people to run a company? • Financial accounting • Manufacturing and logistics • Sales and distribution • All of the above • None of the above Answer: e. None of the above (Correct answer is Human Resources or HR.)