ERP & SAP
ERP Systems
ERP systems increase productivity. Because
an ERP system integrates data and processes
across multiple departments and locations, it
allows a company to move product faster,
process orders quicker, invoice customers more
rapidly and reconcile shipments sooner.
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Why do companies need ERP systems?
Enterprise resource
planning (ERP) systems are used by
organizations looking to manage their business
functions within a centralized and
integrated system. ERP is commonly used
by companies working within the supply chain to
help keep track of all the moving parts of
manufacturing and distribution.
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What is scope of ERP?
ERP has a huge scope & helps in fulfilment of
various business needs: Production
Department. It includes Engineering, Bills of
Material, Scheduling, Capacity, Workflow
Management, Quality Control, Cost
Management, Manufacturing Process,
Manufacturing Projects, Manufacturing Flow.
Supply Chain Management.
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How does ERP system work?
In general, ERP uses a centralized database for
various business processes to reduce manual
labour and to simplify existing business
workflows. ERP systems typically contain
dashboards where users can look at real-time data
collected from all across the business to measure
productivity and profitability.
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Advantages of ERP
1.
Focused IT Costs
Although ERP is often a large investment, it can unify your
IT costs and improve efficiency. Instead of spending
resources on multiple systems that all need dedicated staff,
infrastructure, support teams and licenses, you can focus all
these costs into one ERP.
2. Total Visibility
This benefit of ERP is one of the biggest selling points for
the software. ERP allows total access to every important
process in your business by making data from every
department easily accessible to you and your senior
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management.
3. Improved Reporting and Planning
Along with improved visibility, better insight is a major
advantage of ERP. Implementing an ERP suite across
departments means your organization has a single,
unified reporting system for every process. By having a
single source of truth, an ERP system can readily
generate useful reports and analytics at any time. This
software gives you the ability to analyse and compare
functions across departments, without the hassle of
multiple spreadsheets and emails.
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4. Complete Customization
One of the biggest advantages of enterprise resource
planning software in the present day is its modular
makeup. Most ERP vendors offer several
applications that can be implemented together
according to business needs. Barring a few
exceptions, each application is designed to be able
to stand alone or integrate with the larger suite. This
way, your company can pick and choose which
components work best and can leave out what you
don’t need.
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5. Improved Efficiency
Along with reduced IT and training costs, an ERP can
reduce the time and effort required by your workforce to
carry out their daily activities. Properly implemented, an ERP
can greatly reduce or eliminate repetitive manual processes,
thus freeing up team members to focus on revenue-affecting
tasks.
6. Customer Service
Your company’s clients also receive ERP system benefits,
even if they don’t know it. Because client information is
centralized and streamlined, your sales team will be able to
focus on building and maintaining customer relationships
instead of maintaining spreadsheets.
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7. Data Security and Quality
One of the biggest advantages of an ERP system is
data security. After all, at the heart of the ERP
concept is data. Sharing data across functional silos
such as customer service, sales, marketing and
business development enhances collaboration
throughout a company. The other side to widespread
data access is controlling who can see and edit the
information. ERP solutions have intrinsic controls to
ensure the security of your data.
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8. Improved Collaboration and Workflows
Collaboration is an essential part of a thriving business. But
more often than not, companies find their teams working in
silos simply because collaboration requires more time and
effort. But ERP makes collaboration a piece of cake. An ERP
platform streamlines the process of collaborating with others
by providing employees with access to the data they need
when they need it.
9. Standardized Business Processes
Most ERP systems are developed according to industry best
practices. These tried-and-true processes bring major
benefits to the table for businesses of all sizes. It also allows
businesses to standardize their own processes and systems,
which further enhances productivity and efficiency.
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10. Facilitated Regulatory Compliance
One of the most difficult ongoing tasks for businesses is meeting
compliance requirements. Maintaining perfect accuracy within your
financial records isn’t exactly easy, but needs to be done nevertheless.
ERPs aid in regulatory compliance by virtue of secure and validated data,
combined with built-in reports. These reports can also be automated to
reduce the cost of continual audits.
11. Improved Supply Chain Management
For companies that deal with the moving of physical inventory and
production, an ERP system bolsters supply chain management in a
variety of ways. This improvement results in shortened lead times, more
on-time deliveries and many other benefits that enhance the overall
operation and success of your business. Through a well-designed ERP
platform, your supply chain can become better and more responsive via
improved demand forecasting, inventory management, procurement
and
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more.
12. Superior Scalability
To ensure the ongoing success of your business, you
have to keep an eye on the future. All too often,
businesses fail to plan properly and experience
serious growing pains that pose serious roadblocks
to whatever progress they’re enjoying. Having a
system in place that can elegantly and efficiently
accommodate your company’s growth is of the
utmost importance, and the right ERP system makes
it easy.
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Should You Invest in ERP or Not?
When making a decision about which platform is right for your
business, it’s important to consider the pros and cons of ERP
software. But you shouldn’t let the potential downfalls scare
you away from the tools that could take your business to the
next level. Experts like Star It Consultancy Services
recommend making an honest assessment of your
organization’s needs and problem areas and then seeking out
an ERP system that will give your business the most potential
to improve. The potential for totally streamlined business
functions and boosts in productivity over the long-term makes
the benefits of implementing ERP systems a worthwhile
investment of time and resources.
SAP
SAP: SAP stands for Systems,
Applications, Products in data
processing.
SAP is the third largest enterprise
software company in the world.
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About SAP ERP
SAP Has no. of products but in ERP
segment SAP has total three popular ERP:
1.) SAP S4 HANA(On Premises and On
Cloud)
2.) SAP Business One SQL & HANA(On
Premises and On Cloud)
3.) SAP Business By design( On Cloud)
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SAP On HANA
SAP S/4 HANA and SAP Business One on
HANA ERP is the next-generation go-to Business
Suite tool for SAP. The on-premise version gives
you high degrees of control and Flexibility, SAP
HANA brings together transactions and analytics
into a single in-memory platform for smarter
business innovations, faster business processes,
and simpler business interactions. SAP S/4HANA
has been created to enable your business to
transform. Processes run quicker, real-time
analytics allow for more accurate decision-making.
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Versions




There are two current versions within S/4HANA with a different
scope:
SAP S/4HANA Finance is based on the core ECC solution. The
Finance modules, tables and processes have been simplified whilst
the remaining areas have been untouched. Additional new
functionality has been released within the Finance space.
SAP S/4HANA Enterprise Management has a wider scope, with
Materials Management and Operations simplified as well as
Finance. A number of new functionalities have been released and
many traditional modules have been removed.
With the aim to ‘run simple’, SAP has a paradigm of the ‘principle of
one’ where there will be only one module or process for a particular
area, rather than the few that were traditionally available within ECC.
Industry-specific functionality will be added to S/4HANA over time as
it evolves.
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Why SAP S/4HANA?

SAP S/4HANA has been created to enable your business to
transform. Processes run quicker, real-time analytics allow for more
accurate decision-making, and there is an improved user experience
for your teams.

Business transformation

SAP S/4HANA is designed to provide business transformation for
your organisation. This transformation may be subtle or very
dramatic. Each organisation will approach S/4HANA from a different
baseline, with different objectives and therefore there is not a single
set of motives to move to S/4HANA.

Simplified data model

One of the core concepts of S/4HANA is the change in which data is
held within it. The new data models will significantly reduce the size
of the database which in turn will lead to performance benefits and
hardware cost reductions. The new data model will allow processes
to be performed in a less complex manner and reporting can be
simplified as all of the data is now in a reduced number
of tables.
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SAP S4 HANA Modules

Plant Maintenance (PM)

Product Life Cycle Management (PLM)

Human Capital Management (HCM)

Production Planning (PP)

Project Systems (PS)

Finance ( FI)

Controlling (CO)

Sales and Distribution (SD)

Investment Management (IM)

Strategic Enterprise Management (SEM)

Customer Relationship Management (CRM)

Logistics Information Systems (LIS)

Supply Chain Management (SCM)

Customer Service (CS)

Materials Management (MM)

Supplier Relationship Management (SRM)

Enterprise Performance Management (EPM)

Treasury

NetWeaver

Environment, Health and Safety (EHS) and many more…!!
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Advantages of Using SAP HANA
 Following are the advantages of using SAP
HANA as underlying database.
 Real-time data analysis
 Elimination of unnecessary complexity of
hardware
 No latency in database due to nightly ETL jobs
 In-memory database
 Column store supports calculations on the run
 Parallel processing
 Data compression
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SAP Industry Solutions(Some Example)
SAP for Aerospace & Defence
SAP for Media
SAP for Automotive
SAP for Mill Products
SAP for Banking
SAP for Mining
SAP for Chemicals
SAP for Oil & Gas
SAP for Consumer Products
SAP for Pharmaceuticals
SAP for Engineering, Construction & Operations
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SAP Industry Solutions(Some Example)
SAP for Professional Services
SAP for Healthcare
SAP for Public Sector
SAP for High Tech
SAP for Retail
SAP for Higher Education & Research
SAP for Service Providers
SAP for Industrial Machinery & Components
SAP for Telecommunications
SAP for Insurance
SAP for Utilities and many more industries…!!
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SAP Business One on SQL/HANA
SAP Business One are arranged into 14 functional modules, covering the typical
functions in a business organization. The most widely used modules are Financials,
Sales Opportunities, Sales – A/R, Purchasing A/P, Business Partners, Banking and
Inventory.
Modules:
Administration, where setup of the various core settings in the application are
done.
Financials, where definition of Chart of Account are set up and the core Journal
Entries can be created.
Opportunities/CRM, where Lead generation are used to keep track of potential
Sales and Purchases.
Sales - A/R(Account Receivable), where the sales flow (Quotation > Order >
Delivery > Invoice) are managed.
Purchasing - A/P(Account payable), where the purchase flow (Quotation > Order
> Delivery > Invoice) are managed.
Business Partners, where master data of Leads, Customer and24Supplier are
maintained.
Banking, where payment of Incoming (sales) and Outgoing (purchase) payments
are created.
Inventory, where master data of goods to be sold/purchased are maintained and
their quantity/value in warehouses are tracked.
Resources, where master data of resources (machines and people) to be used in
production are defined (capacity and planning).
Production, where Bill of Materials master data are maintained and Production
orders are created.
Project Management, where you define projects (what you do when).
Material Requirements planning (MRP), where forecasts of needed items in
sales/production are defined in order to make purchase order recommendations.
Service, where management of service contracts are maintained and service calls
are created.
Human Resources, where employee master data (Names, contract information,
roles, etc.) are maintained.
Each module handled specific business tasks on its own, but is linked to the other
modules where applicable. For instance, an invoice from the billing transaction of
Sales & Distribution would pass through to accounting, where it25will appear in
accounts receivable and cost of goods sold.
SAP Business By Design
SAP Business ByDesign (ByD) is a cloud enterprise
resource planning software (Cloud ERP)
The software is designed to provide business processes
across application areas from financials to human resources
with embedded business analytics, mobility, e-learning, and
support.
SAP Business ByDesign is built on the principles of a service
oriented architecture (SOA). Integration between business
capabilities is accomplished via messages. The underlying
technology stack is a multi-tenancy enabled SAP NetWeaver
stack, leveraging SAP's in-memory HANA database.
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The main application areas and core business
scenarios are:
•Financial management(FIN): Cash and Liquidity Management,
Financial Closing, Fixed Asset Management
•Customer relationship management(CRM): Marketing
to Opportunity, Field Service and Repair, Order to cash (projects,
standard service, materials)
•Project management and professional service automation(PSA
/ PRO): Project Management
•Supplier relationship management and
procurement(SRM): Procure to pay (stock and non stock)
•Supply chain management(SCM): Demand Planning, Strategic
sourcing, Make to stock, Physical Inventory Management,
•Human resources management(HCM): Expense Reimbursement,
Resource Management, Time and Labor Management
•Business analytics(BA or BI)
•Executive support and compliance management27
SAP Implementation Approach &
Methodology in Five(5) Steps.
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Thank you
Dhirenjeet Saha
Founder & Director
Star IT Consultancy Services
www.staritcs.com
Cell: +91 96571 56561 & +91 96233 47833
Mail: dhirenjeet.saha@staritcs.com
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