SOFTWARE APPLICATION AND

PRODUCTS IN DATA
PROCESSING
 INTRODUCTION
• ERP (Enterprise Resource Planning) is a tool which manages all
business functions. It is a process where a company manages and
integrates the important parts of its business. An ERP management
information system integrates areas such as planning, purchasing,
inventory, sales, marketing, finance and human resources.
The vendors of ERP comprises of the following:
• Oracle
• JD Edward Oracle

• BAAN JD Edwar d

BAAN
• People software
People softwar e
• Microsoft
Microsoft

• Tally Talley

• SAP SAP

SAP comprises of 92% of the share.

Others comprises of 8% of the share
 WHAT IS SAP?
• SAP (System application and products in data processing) is a German-
based multinational software corporation that enables the businesses to
manage their business operations and customer relationships efficiently
and effectively.
• SAP is headquartered in Walldorf, Germany with regional offices in 180
countries.
• The software version currently being used by SAP is ECC6.0,
(Enterprise Central Component) ; Ehp=7 (Enhancement Package).
• It is a software which is used for giving the information on time to the
employees.
• It is centralized in nature and is used globally.
 HISTORY OF SAP
• SAP was started in 1972 by five former IBM employees with a vision
of creating a standard application software for real-time business
processing. Since its inception SAP has issued several releases, such
as SAP R/1, SAP R/2, and SAP R/3. The R in these releases stands
for “Real-Time” data processing. The 3 in the R/3 stands for three-
tier client-server architecture.
FORMATION OF SAP
70’s:
70’s: R1-Real
R1-Real Time
Time 11st
st

Tier,Standalone
Tier,Standalone Version
Version

SAP (1972) 80’s:

80’s: R2-
R2- Real
Real Time
Time 22nd Tier,
Manframe
Manframe
nd
Tier,

90’s: R3 -Real
90’s: R3 -Real Time
Time 33rd Tier,
rd
Tier,
Client
Client Server
Server

21
21 ST:: Hybrid,
ST
Hybrid, HANA
HANA (High
(High
Performance
Performance Analytical
Analytical
Application)
Application)
 FICO ( FINANCIAL & CONTROLLING)
• SAP FICO is the Finance and Cost controlling module in SAP ERP
where FI stands for Financial Accounting and CO stands for
Controlling.
• SAP FICO module is very robust and covers almost all business
process encountered in various industries.
• It is one of the very important and widely implemented modules in
SAP.
 FICO ( FINANCIAL & CONTROLLING)

FINANCIAL
• For external users.
• It is used to record the
financial statements in (P/L,
B/S and Cash flow
statements).
CONTROLLING
• For internal users.
• It is used for the decision
making process.
 WHAT IS A COMPANY?
• A company is an artificial person that is created by law. It has
separate legal entity, is for a perpetual succession and has a common
seal.
• The company and the board of members are two different entities and
are recorded separately in the books of accounts.
• The company has a perpetual succession ie; it is a going concern.
• A company has a common seal which is used on the official
documents along with the stamp of the board of directors.
 COMPANY CODE
• A company code is an alpha numeric 4 digits code used in SAP to
record the financial transactions of a company.
• It is the highest client of a company.
• It has mainly two methods which are;
a. Navigation method: It is a method used to follow a given path.
b. Transactional method: It is a T-Code method which is the shortest
method of SAP.
 TYPES OF COMPANY CODE DATA
• There are mainly four different company code data which are as following:
a. Master data: It is a centralized level data which is frequently used but
rarely changed.
b. System data: It is used for the classes of spatial database functionality. A
spatial database is a database that is optimized for storing and querying
data that represents objects defined in a geometric space.
c. Transactional data: It is used to record a time and relevant reference data
needed for a particular transaction record.
d. Configuration data : The additional data on a system that is not
configuration data such as read-only status information and
collected statistics
 WHAT IS A PACKAGE?
• A package is an important tool in SAP.
• It is a folder that stores the data.
 HOW IS A PACKAGE CREATED?
• Click on the home screen icon and type: /nse21
STEP 1

• Click on the tools- customizing- IMG- SPRO (Execute Project).

STEP 2

• Create a package name by Z-_____

STEP 3

• Write a short description of the company created.

STEP 4 • Click on the create.
• Following are the packages that were created:
1. Pnb
2. Citibank
3. Axis
4. Toyota
5. Mahindra
6. E&Y
7. KPMG
8. Snapdeal
9. Kellogs
10. Philips
 BUSINESS SUITES
• There are mainly 4 types of business suites that are as following:
a) ERP: Enterprise resource planning
b) CRM: Customer Relationship Management
c) SCM: Supply chain management
d) IS-U: Industry specific utilize
 ENTERPRISE STRUCTURE
• Enterprise structure is the structure that represents an enterprise in
SAP ERP system. It is subdivided into various organizational units
which for legal reason or business related reason are grouped
together. Enterprise structure defines various levels in an
organization.
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