An Introduction to SAP

The SAP R/3 System

SAP R/3 is designed to handle all of the business management tasks of a company. Some particular examples that you'll see are: the payment of invoices, the management of production resources and the control of financial accounts.

SAP R/3 handles these tasks using application modules, usually known simply as modules. Their initials often refer to the modules. For example, SD is Sales and Distribution. MM is Materials Management.

The modules process information from all parts of the organisation. Since R/3 works within one system, this information is shared between modules despite any existing organisational limitations of a company.

R/3 works with a common database. This means that information, which is entered into the system by one part of the organisation, is immediately accessible to all other parts of the organisation. Everyone is always up to date.

The R/3 System is designed primarily to meet the needs of mid-sized businesses up to large corporations. However, the adaptability of R/3 makes it a sound investment for smaller businesses, enabling them to grow without ever having to change their system.

R/3 works with a company's existing computer system. This will have developed as the company has grown and is likely to be made up of a large number of different types of computer.

SAP R/2 was designed primarily for the mainframe environment. R/3 is used mainly in the open system or client/server environments.

Both R/2 and R/3 use the ABAP/4 programming language. This means that data can be moved easily between mainframe and open systems.

The SAP modules are grouped into three main areas: Logistics, Accounting and Human Resources. So, for example, Materials Management module is within Logistics group, and Controlling is a module within Accounting.

The modules are all linked. So, as a user enters or updates data on-line using one module, the information is immediately accessible to all modules.

The result is that up to date information is available to all parts of the company, regardless of any organisational limitations, which may exist.

The R/3 system is adaptable in a range of ways. Modules can be customised to meet the specific technical requirements of a company.

The R/3 modules can transfer data from a company's existing programs.

A company may install only the modules that it needs at the moment. Additional modules can be added when the business needs grow.

Terms used within R/3 can be modified to match those used within the particular company.

SAP R/3 applications are Windows and Menus driven, and contain graphical objects.

You will only have access to the parts of R/3 that you need. This is controlled through authorisation profiles allocated by your system administrator. Access can be expanded or reduced as your needs change.