ERP and SAP Fundamentals

Flashcards covering the definition of ERP, the history and features of SAP, various SAP Functional and Technical modules, and the components of SAP FICO.

ERP

Enterprise Resource Planning; a software system used by organizations to manage and integrate all business activities in one centralized system.

Definition of ERP

An integrated business management software that allows organizations to automate and manage core business processes in a centralized database.

Real-Time Integration

The process where information updated in one department is automatically reflected in all related departments instantly (e.g., Inventory automatically updates when a Purchase Order is created).

SAP

Systems, Applications, and Products in Data Processing; a leading ERP software developed in Germany in 1972.

SAP Founders

Dietmar Hopp, Hasso Plattner, Klaus Tschira, Hans-Werner Hector, and Claus Wellenreuther; five former IBM employees who founded SAP.

SAP S/4HANA

The latest modern ERP platform version of SAP.

SAP Module

A specific component of SAP designed to manage a specific business function, such as Finance or Human Resources, which shares data in real time with other modules.

SAP FICO

A functional module consisting of Finance (FI) and Controlling (CO), used for accounting, financial reporting, cost control, and profit analysis.

SAP MM

Materials Management module; used for procurement, purchasing, inventory management, and vendor management.

SAP SD

Sales and Distribution module; used for sales processing, customer management, billing, and shipping.

SAP HCM

Human Capital Management module; used for employee management, payroll, attendance, and recruitment.

SAP PP

Production Planning module; used for the manufacturing process, production scheduling, and material planning.

SAP QM

Quality Management module; used for quality inspection, product quality control, and audit management.

SAP PM

Plant Maintenance module; used for equipment maintenance, machine servicing, and maintenance planning.

SAP WM

Warehouse Management module; used for warehouse operations, stock movement, and storage management.

SAP ABAP

A programming language used in SAP for reports, forms, custom development, and enhancements.

SAP BASIS

A technical system administration module used for server management, user administration, system monitoring, and SAP installation.

SAP HANA

Database technology used by SAP that provides high-speed data processing and real-time analytics.

SAP FI

Financial Accounting; used to manage external financial activities including General Ledger, Accounts Payable, and Asset Accounting.

SAP CO

Controlling; used for internal management reporting and cost control, including Cost Center Accounting and Profitability Analysis.