Tuesday, December 09, 2008

Modules For SAP R/3 - Integration and Implementation

By Crystal Ling

The SAP R/3 is an organization resource planning system, developed by Systeme, Andwendungen, Produkte in der Datenverarbeitung, or in English Systems, Applications, Products in Data Processing. The corporation is based out of Germany and begun trading to the European market in the mid-80's, later on flourishing to North America, and then international.

Like any enterprise resource planning system, SAP R/3 is fashioned for corporate function. It permits a corporation to integrate all corporate sections into a individual system that enhances coordination of all views of corporation management.

The SAP R/3 is firstly established with certain standard operations activated, and all the numerous nonobligatory processes and features turned off, for subsequent activation as needed. Each system demands a customised configuration, which is not included in the cost of purchase and installation.

Modules available with the SAP R/3 include: Financial Accounting, Management Accounting, Sales, Distribution, Manufacturing, Production Planning, Purchasing, Human Resources, Payroll, and numerous more (including several industry specific features); this form of modules gets the system genuinely capable of handling all prospects of enterprise activities.

SAP R/3 is, at this time, chiefly practiced by large organisations, including many Fortune 500 companies. However, a number of micro companies and enterprises have set out implementing SAP R/3. Smaller companies can profit greatly from the streamlining and coordination SAP R/3 provides, but can too have difficulty budgeting for the high cost of the system. It is fundamental for companies considering SAP R/3 to take care with their price benefit analysis, to be certain that a return on investment can be accomplished in a reasonable time frame.

The cost of applying the system is a combination of per-user cost, and price of installation, which includes how many work hours installation will get, resource requirements, and hardware necessities. As previously observed, the costs of configuration is additional, and can easily run over 1 million dollars, depending on the size of the organization and complexity of the configuration. Most enterprises use advisors for the customization procedure, peculiarly if there is already an accomplished with relationship with a consulting firm knowledgeable with SAP R/3.

SAP R/3 does have several competing systems. It's greatest competitors are Oracle Financial (primarily built for financial organisations ), and PeopleSoft (which has been bought by Oracle in early years). Unlike its rivals, SAP R/3 offers a kind of industry particular results, and is flourishing it's offerings to include CRM, or client relations management (Oracle provides a different system for client relations, called Siebel); as well as applying mySAP.com, an internet based client center, to serve companies in dealing with their system.

SAP is not planning on releasing an SAP R/4. Rather, the future of SAP will be mySAP.com, which will contain all SAP productions. Currently mySAP.com "sits on-top" of SAP R/3.

A note on SAP's industry specified solutions: until 1994/95, SAP ran a one-size fits all integrated result. Presently they volunteer twenty one Industry Answers; all of which are kept on a parallel path, and mixed with their core growth. Their website includes an Industry Solutions page where you can find data on advantages limited to your industry.

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