Systems Application And Products
SAP was started in 1972 by five former IBM employees in Mannheim, Germany. The original name for SAP, Systeme, Anwendungen, Produkte, is German for “Systems, Applications and Products.” The original idea for SAP was to provide customers with the ability to interact with a common corporate database for a comprehensive range of applications in real time.
In 1973, SAP released R/1, a financial accounting system. R/1 ran on IBM servers and DOS, and it had a single-tier architecture in which presentation, applications and data were on one platform.
In 1979, SAP released R/2, a mainframe system that provided real-time data processing across accounting, manufacturing, supply chain and human resources. R/2 used a two-tier architecture, where presentation was on one platform and applications and data were on another. R/2 helped power SAP’s growth, and the vendor expanded its customer base to about 200 companies.
In 1992, SAP released R/3, which represented a switch from mainframe computing to the client-server model, and from a two-tier to a three-tier architecture, in which presentation, applications and data were housed separately. R/3 was a critical product for SAP that launched the company onto the world stage.
In 1999, SAP launched mySAP, which marked a new strategy for the company of focusing on combining e-commerce software with the applications in R/3. One year after R/3’s release, SAP partnered with Microsoft to port the new version to Windows NT. By 1997, SAP employed 13,000 people.
In 2004, the company launched SAP NetWeaver, and it reported that more than 1,000 customers acquired the application development platform that year. Also in 2004, the successor to R/3, the SAP ERP system (or SAP ECC, for SAP ERP Central Component) was released. Customers already using R/2 or R/3 were still supported, but new customers were required to implement SAP ERP. By 2005, SAP was generating $8.5 billion, with upwards of 35,800 employees around the globe.
In 2006, the company claimed hefty revenue from SAP Business All-in-One and SAP Business One, its SAP ERP systems for SMBs.
MODULES WITH SAP
The SAP ERP system, or SAP ECC, is the collective term for SAP’s functional and technical modules that enable enterprises to manage business processes through a unified system. ECC is the on-premises version of SAP, and it is usually implemented in medium and large-sized companies. For smaller companies, SAP offers its Business One ERP platform.
SAP ERP has different main modules, which are separated into functional modules and technical modules, each of which has submodules.
SAP’s functional modules include:
- Human Capital Management (HCM)
- Production Planning (PP)
- Materials Management (MM)
- Project System (PS)
- Sales and Distribution (SD)
- Plant Maintenance (PM)
- Financial Accounting (FI)
- Quality Management (QM)
- Controlling (CO)
SAP also has cross-application components, which can be implemented with any of the main modules.
Some of the cross-application components are:
- Document Management System
- Product Lifecycle Management
SAP technical modules include:
- SAP NetWeaver
- IS (Information Systems) Management
- XI (Exchange Infrastructure)
- Business Intelligence (BI)
- Business Warehouse (BW)
- SAP HANA
Further, SAP also has industry-specific applications that support business processes unique to a particular industry. Some of these applications are:
- SAP for Utilities
- SAP for Insurance
- SAP for Oil and Gas
- SAP Healthcare
SAP Business Suite is a bundle of business applications that provides integration of business and processes, as well as industry-focused functionality. It has SAP ERP as its foundation, plus modules for customer relationship management, product lifecycle management, supply chain management and supplier relationship management. SAP customers can choose to run Business Suite on SAP HANA, its in-memory platform for processing large volumes of data in real time.
S/4HANA is the vendor’s in-memory version of the Business Suite ERP platform, and it is run on HANA. S/4HANA is meant to reduce complexity, according to SAP, and to replace SAP ECC, eventually.
CAREER WITH SAP
SAP Know-How will provide you with a new skill set that is in demand. It will enhance your credentials, open many doors of opportunities worldwide, as well as provide you with a financially secure and long lasting career.
With SAP consultants more in demand than ever, it’s no secret that SAP certification can open the doors to hundreds of opportunities. However, SAP software provides many areas for a career development and how do you decide which path is best for you?