SAP-FUNDAMENTALS

SAP ( Systems Applications and Products ) is basically an ERP.

* : What is ERP ?
Answer : ERP is an acronym for "Enterprise Resource Planning".
an ERP attempts to integrate all departments and functions across a company onto a single
computer system that can serve all those different department's particular needs.

E : Enterprise is a huge business Organization.

R : Resources are Money ,Material ,Man power ,Machinery ,Methods
P : Planning for optimal Utilization of resource for a huge business Organization.

Why ERP ?

Why do Enterprises(Companies) Fix ERP in their Organizations ?

There r 5 major reasons Y companies undertake ERP.

(1) Integrate financial Information

(2) Integrate Customer Order Information
(3) Standardize and speed up manufacturing processes
(4) Reduce inventory
(5) Standardize HR information.

(1) Integrate financial Information : As the CEO tries 2 understand D company's overall
performance ,he may find many different versions of the truth .Finance has it's own set of
revenue numbers, sales has another version and the different business units may each have their
own versions of how much they contributed 2 revenues. ERP creates a single version of D truth
that cannot be questioned because everyone is using D same system.

(2) Integrate Customer order information : ERP system can become D place where D customer
order lives from D time a customer service representative receives it until D loading dock ships
D merchandise & finance sends an invoice .By having this info in one software system
,companies can keep track of orders more easily and coordinate manufacturing, inventory and
shipping among many different locations @ same time.

(3) Standardize and speed up manufacturing processes : Manufacturing companies -especially

those with appetite 4r mergers & acquisitions often find that multiple business units across D
company make D same widget using different methods & computer systems. ERP systems come
with standard methods 4r automating some of D steps of steps of a manufacturing process.
Standardize those processes & using a single, integrated computer system can save time ,increase
productivity & reduce head count.
(4) Reduce inventory: ERP helps D manufacturing process flow more smoothly & it improves
visibility of D order fulfillment process inside D company .That can lead 2 reduced inventories
of D stuff used 2 make products & it can help users better plan deliveries 2 customers , reducing
D finished good inventory @ D warehouse & shipping docs

(5) Standardize HR information - especially in companies with multiple business units, HR may not have
a unified, simple method for tracking employees time & communicating with them about benefits and
services.ERP can fix that .In D race 2 fix these problems ,companies often lose sight of D ERP packages
r nothing more than generic representatives of the eays a typical company does business, While most of
packages r exhaustively comprehensive ,each industry has its own qurks that make it unique. Most of the
ERP systems r designed 2 be used by discrete manufacturing companies . The ERP programs r modified
according 2 D needs of each industry which install them.

Need of ERP

Need Of An ERP :ERP Is used for planning our reources to get maximum profits with minimum
Efforts.

How to Provide ERP Solutions ?

(1) Business Process Analysis
(2) Document Analysis
(3) Client Sign Off
(4) GAP Realization
(5) Realization
(6) Testing
(7) Q.A. ( Quality Analysis )
(8) Go- live
(9) End User Training
(10) Post Production Support

SAP - HISTORY

HISTORY OF SAP.
Founded in 1972,SAP is the recognised leader in providing collabrative business solutions for all
types of industries and for every major market. Headquartered in Willdorf,Germnay,SAP is the
world's largest inter-enterprise software company,and the world's third largest independent
software supplier overall. SAP employs over 28,900 people in more than 50 countries SAP
profesionals are dedicated to providing high-level customer support and sevices.

1972 - Five former IBM employees (1) Dietmer Hopp

(2) Hans-Werner
(3) Hasso Plattner
(4) klaus Tschira
(5) Claus Wellenreuther
Launch a company called
SAP - Systems Analysis and Program Development.later known as
SAP - Systems Applications and Products.

1973 - R/1 system is created

R stands for Real Time
1 stands for one tier.

1980 - SAP MOVES TO Max-Planck-Strasse in an industrial

park in Walldorf,near Heidelberg,Germany.

1981 - SAP R/2 is widely accpeted.

R stands for Real time
2 stands for two tier.

1986 - SAP moves outside Germany,Austria.Revenues reach DM 100 million around U.S. $52
million ) earlier than expected.

1988 - SAP GmbH becomes SAP AG.Nov 4 ,1.2 million shares are listed on Frankfurt and
Stuttgart stock exchanges.

1992 - SAP R/3 is unleashed in market.

1996 - 1,089 new SAP R/3 customers have been won.

1997 - SAP celebrates it's 25th anniversary and now employs around 12,900 people.

1998 - SAP stocks now trades on New York Stock Exchange (NYSE).

1999 - In May Co-Founder,Co-Chairman and CEO Hassao Plattner announces the mySAP.com
stratergy.

2000 - More than 10 million users work with SAP solutions.There are now 36,000 installation

Some Addition to this content

SAP's products focus on Enterprise Resource Planning (ERP), which it helped to pioneer. The
company's main product is SAP ERP. The name of its predecessor, SAP R/3 gives a clue to its
functionality: the "R" stands for release the number 3 means it's the 3rd release, which also
happens to relate to a 3 tier client-server architecture (database layer-application layer-
presentation layer)3-tier architecture: database, application server and client (SAPgui). R/2,
which ran on a Mainframe architecture, was the first SAP version.
Other major product offerings include Advanced Planner and Optimizer (APO), Business
Information Warehouse (BW), Customer Relationship Management (CRM), Supply Chain
Management (SCM), Supplier Relationship Management (SRM), Human Resource Management
Systems (HRMS), Product Lifecycle Management (PLM), Exchange Infrastructure (XI),
Enterprise Portal (EP) and SAP Knowledge Warehouse (KW).

The APO name has been retired and rolled into SCM. The BW name (Business Warehousing)
has now been rolled into the SAP NetWeaver BI (Business Intelligence) suite and functions as
the reporting module.

The company also offers a new technology platform, named SAP NetWeaver which replaces
SAP Business Connector for Integration/middleware capabilities [5] and offers a systematic
approach to Enterprise SOA solutions with a collection of products. While its original products
are typically used by Fortune 500 companies, SAP is now also actively targeting small and
medium sized enterprises (SME) with its SAP Business One and SAP All-in-One.

SAP officials say there are over 100,600 SAP installations serving more than 41,200 companies
in more than 25 industries in more than 120 countries. [6]

SAP-Introduction

SAP(Systems applications and products) is an ERP(Enterprise Resource Planning)

package,where in the functions of enterprise are planned and performed by the software,I am into
ABAP(Advanced Busines Application Programming) module,
We program (Change the standard code of SAP),or (Write a new code) According to requirments
of Functional People.Functional people will say us their requirements,For example for creating
pay rolls of employees,in standard SAP their is no VAT tax deduction,so we modify the standard
code.
This(ABAP) is the only module through which we can write the code(progamme),
there are 12 functional modules,PP- Production planning
MM -Material Management
SD -Sales and distribution
FI -Financial Accounting
CO -Controlling
AM -Fixed Assest Management
PS -Project system
WF -Work force
IS -Industry Solutions
HR -Human resources
PM -Plant Maintainance
QM -Quality Management
The above modules are the basic modules,we will talk about latest modules in near future.
So where does CRM comes?

So where does CRM stands in SAP...as there are only about 12 modules which does not feature
CRM.

Answer:

SAP is a company and a package as well,I mean both have the same name.
SAP AG (the company deals with both ERP & CRM),what we are talking in our grp is SAP software
which is a kind of ERP.

CRM is not an ERP. CLEAR ?

C - Customer
R - Relation-ship
M - Management

E - Enterprise
R - Resources and
P - Products.

SAP AG has both the soft wares.

ABAP is the only programming language 2 SAP, The one who is working with ABAP is called technical
consultant .They write the coding(programs).
All others are called Functional consultants.

Ex: Let us consider a vehicle. Comparing a vehicle with SAP.

Now (1) A Functinal Consultant is like a Driver.

(2) A Technical Consultant(ABAPer) is like Mechanic.
(3) SAP AG is like The one who manufacture vehicle

SAP is the fourth largest software company in the world. It ranks after Microsoft,IBM and Oracle in
terms of market capitalization. SAP is the largest Enterprise Resource Planning (ERP) solution software
provider.SAP's products focus on ERP, which it helped to pioneer. The company's main product is SAP
R/3;the "R" stands for real time data processing and the number 3 relates to a three-tier application
architecture: database, application server and client SAPgui.Other major product offerings include

(1).Advanced Planner and Optimizer (APO),

(2).Business Information Warehouse(BW),
(3).Customer Relationship Management(CRM),
(4).Supplier Relationship Management(SRM),
(5).Human Resource Management Systems(HRMS),
(6).Product Lifecycle Management(PLM),
(7).Exchange Infrastructure(XI) and
(8).Knowledge Warehouse(KW).
Reportedly, there are over
91,500 SAP installations at more than
28,000 companies. SAP products are used by over
12 million people in more than
120 countries."

Functional Modules-Description

Material Management covers the functionality required to

(1) purchase goods and services,
(2) manage inventory, and
(3) inspect incoming materials.

The Purchasing function includes creation of requisitions, requisition approval, purchase order
generation, and receipt of goods and services. Inventory Management includes issuing and
transferring inventory, inventory restocking, and the inventory count and adjustment processes.

Eight Reasons to use SAP.

(1).Global Basis
(2).Faster Speed
(3).Flexibility for Changes (Business & IT)
(4).Agility
(5).Extended Supply Chain Management
(6).Reach New Opportunity
(7).Knowledge Sharing
(8).Creativity Focus

SAP R/3 Overview

SAP R/3 is SAP's integrated software solution for client/server and distributed open systems.
SAP's R/3 is the world's most-used standard business software for client/server computing. R/3
meets the needs of a customer from the small grocer with 3 users to the multi-billion dollar
companies The software is highly customizable using SAP's proprietary programming language,
ABAP/4. R/3 is scalable and highly suited for many types and sizes of organizations.

The R/3 architecture is comprised of application and database servers. The

application servers house the software and the database servers handle document
updates and master file databases. The system can support an unlimited number of
servers and a variety of hardware configurations. For more info. see SAP R/3
Architecture at SAP home page.

SAP R/3 is based on various hardware and software architectures, running on most
types of UNIX, on Windows NT and OS/400. For more info...see SAP R/3 Platform
Support at SAP home page.

SAP R/3 runs on several databases Oracle, Adabas D, Informix, DB2 for UNIX,
DB2/400, Microsoft's SQL Server 6.0. For more info...see SAP R/3 Databases at SAP
home page. Since R/3 foundation, SAP has made significant development and
installed thousands of R/3 systems. Here is the SAP R/3 installations chart by
customer class.

SAP ERP - Business Benefits

SAP ERP delivers a comprehensive set of integrated, cross-functional business processes. With
SAP ERP, you can gain the following benefits:

Improve alignment of strategies and operations

*Run your enterprise in accordance with strategy and plans, accessing the right information in
real time to identify concerns early.
*Pursue opportunities proactively.
*Achieve corporate objectives by aligning workforce and organizational objectives.
*Find the best people and leverage their talent in the right job at the right time.

Improve productivity and insight

*Leverage self-services and analytics across your organization.
*Improve operational efficiency and productivity within and beyond your enterprise.

Reduce costs through increased flexibility

*Use enterprise services architecture to improve process standardization, efficiency, and
adaptability.
*Extend transactions, information, and collaboration functions to a broad business community.

Support changing industry requirements

Take advantage of the SAP NetWeaver platform's latest open, Web-based technology to
integrate your end-to-end processes seamlessly.

Reduce risk
*Solve complex business challenges today with SAP, your trusted partner for long-term growth,
with 30 years of experience working with organizations of all sizes in more countries than any
other vendor.

Improve financial management and corporate governance

*Gain deep visibility into your organization with financial and management
accounting functionality combined with business analytics.
*Increase profitability, improve financial control, and manage risk.

Optimize IT spending
*Integrate and optimize business processes.
*Eliminate high integration costs and the need to purchase third-party software.
*Deploy other SAP Business Suite applications incrementally to improve cash flow
and reduce costly borrowing.

Gain higher ROI faster

*Install SAP ERP using rapid-implementation techniques that cost less than half
what traditional approaches cost.
*Leverage preset defaults and prepackaged versions available for specific
industries.

Retain top performers

*Retain your top performers through clearly defined career and development plans.
*Link employees' performance to compensation programs such as variable pay
plans and long-term incentives.

Provide immediate access to enterprise information

*Give employees new ways to access the enterprise information required for their
daily activities.

Role of a Funtional Consultant

Role of a SAP Functional Consultant

For those who wished to know the role of a functional consultant. Below is one view:

A functional consultant evaluates the demands in talking with the customer's representatives,
transforms the essence into an abstract and algorithmic business model. Hence, he identifies the
use cases and transforms them into logical and technical views.

Then the main task starts: customizing the respective business area and making sure the system
reacts in the manner according to the constraints of the requested use case.

The consultant documents the settings and prepares proper guidelines that allow other
consultants to do further changes or repairs with due efforts.

The consultant takes care that proper training is given to the users and that the system is usable,
performing appropriately and the business flow is complete and correct.

During go live he assists the technical staff by testing the behaviour of the system.

After go live he guarantees that the procedures remain usable and consistent in real live situation
and proposes enhancements.

The main duty of a consultant is to transfer external know-how to the client. It is not manpower
that counts but intelligence, understanding of processes, a feeling for defects and general a
common sense.
Role Of Functional Consultant.

1. Functional consultant is expected to generate knowledge about the current

business process, design current business flows, study current business processes
and its complication, in all we can say getting through with current business setup.
Flow diagrams and DFD are prepared, most of the time in Vision format, all this
forms the part of AS IS document.

2. Everything configured has to be documented as per their categories in the form

of predefined templates, these have to be then approved by the team leads or who
ever the consultant is reporting to.

3. Mapping and GAP analysis is done for each module, I have seen people defining
integration after mapping, gap analysis and configuration is done, but as per my
experience in implementation, it is a simultaneous process.

4. Before starting configuring future business processes in SAP, the DFD/ERD are
prepared, this documentation is called TO BE, which can be also siad as the result of
mapping and gap analysis.

5. Sometimes Functional consultants are also expected to prepare test scripts for
testing the configured scenarios.

6. End user manual and user training is also expected from F.Consultants.

The project normally starts off with a Kick off meeting in which the team size, team
members, reporting system, responsibilities, duties, methodlogy, dates and
schedules, working hours which have been predicided are formally defined.

ASAP, it won't be possible for me to explain it here, but all I can tell you about it is
that it is SAP standard implementation methodology, which SAP prescribes but is
not mandatory for any company to follow, such as IBM follow some blue
Methodlogy, some companies follow typical SDLC steps, ASAP stands for Accerlated
SAP, you can find all the steps on SAP site, through google, reading it from there
won't give you a great knowledge about ASAP but will obviously get you to know the
definitions of various term.

What is the Difference between Consultant & End users?

SAP consultant role is to build the system, changes & modification/updation in

currently installed SAP system for the end users.

SAP End user only use the SAP system just to fetch some info, or to create new
thing. So a end user is just using the final product which it is meant for and
consultnat design the product/updation and modification.
Sales and Distribution

Sales and Distribution helps to optimize all the tasks and activities carried out in sales, delivery
and billing. Key elements are; pre-sales support, inquiry processing, quotation processing, sales
order processing, delivery processing, billing and sales information system.

The sales logistics business process scenario in R/3 allows users to manage sales and distribution
activities in an effective manner. The business processes include scenarios for sales, shipping,
billing, sales support, and sales information. With real time, on line access to sales information,
such tasks as order entry, delivery, and billing are all streamlined. In addition, sales and
distribution can be integrated with procurement and production planning, improving turnaround
time up and down the value chain. The sales function in R/3 utilizes a configurator to select
configured products as well as a "conditions" program to manage complex pricing scenarios. The
sales order process sends requirements to manufacturing. The R/3 system uses a technology,
called Application Linking and Enabling (ALE), to implement distributed solutions such as
decentralized shipping. In this approach, special types of business information documents, called
Intermediate Documents or IDOCs, are automatically transmitted between communicating
systems. This database is used by R/3 to automatically generate the IDOCs used in
communicating between the host and remote systems. In the recent years, many of SAP's
customers have found that the integration of sales and distribution applications in R/3's logistics
chain has improved the performance of their companies.

Modules in R/3

Many people have asked me abt the prior Knowldge required to go fora particular Module,Here r
the fields in which U need to be perfect to Have a better understanding of the module in SAP.

A brief description of FM's ,what U'll need to learn ?

Asset Management(AM) :
* Purchase
* Sale
* Depreciation
* Tracking

Controlling (CD) :
* Cost elements
* Cost centres
* Profit Centres
* Internal Orders
* Activity based costing
* Product Costing

Cross Applications(CA).
* Work Flow (WF)
* Business Inforamtion Ware house (BW)
* Office
* Industry Solutions
* Work place
* New Dimension products

Financial Accounting(FI). :
* General Ledger
* Book close
* Tax
* Accounts receivable
* Accounts Payable
* consolidation
* Spcial Ledger

Project systems (PS) :

* Plant shut downs
* Make to order
* Third-party billing
* Human resouces

Plant Maintance (PM) :

* Labour
* down time & outages
* Material

Matearial Management(MM) :
* Requsitions
* Purchase Orders
* Accounts Payable
* Goods reciept
* Inventory Management

Sales and Distribution (SD):

* From order to delivery
* Shop Floor
* Sales orders
* Pricing
* Picking
* Shipping
* Packing

Quality Management (QM):

* Planning
* Inspections
* Executions
* Certificates
Prodution planning (PP):
* Capacity Planning
* Master production scheduling
* RFQ

Production Planning (PP)

Prodution planning (PP)Mainly consists of :

* Capacity Planning
* Master production scheduling
* RFQ

Lets start with the description of BOM(Bill Of Materials)

What is this BOM (Bill Of Materials) ?

Definition

A formally structured list of the components that make up a product or assembly. The list
contains the object number of each component, together with the quantity and unit of measure.

BOMs are used in their different forms in various situations where a finished product is
assembled from several component parts or materials. Depending on the industry sector, they can
also be called recipes or lists of ingredients and so on.

They contain important basic data for numerous areas of a company, for example:

MRP
Material provisions for production
Product costing
Plant maintenance
You can create the following BOMs in the SAP system:

Material BOMs
Equipment BOMs
Functional location BOMs
Document structures
Order BOM
Work breakdown structure (WBS) BOM

Selection Criteria
Selection is necessary if you plan production in the R/3 System or if you want to maintain BOMs
for technical objects from the area plant maintenance. If very large documents about BOMs are
to be cumulated in the document management system (DMS), you also have to select the se
components.

BIW

Purpose

The reporting, analysis, and interpretation of business data, as well as the corporate planning that
is based on this data, is of central importance to a company in guaranteeing its competitive edge,
optimizing processes, and enabling it to react quickly and in line with the market.

With the BI and BI Java usage types, SAP NetWeaver provides the following functionality:

· Enterprise data warehousing

· Business intelligence platform for business planning and analytical services

· Business Explorer suite; a suite of business intelligence tools for enterprise reporting, query and
analysis
Integration with SAP BI Content Add-On

SAP NetWeaver delivers preconfigured, role-based information models and reporting and
planning scenarios for SAP BI. These are based on consistent metadata. SAP BI Business
Content offers selected roles in a company the information they need to carry out their tasks. The
information models delivered cover all business areas and integrate content from almost all SAP
applications, as well as selected external applications.

S.D.Module

What is the function of SD( Sales and department) Departement in an Oraganisation ?

Sales and Distribution helps to optimize all the tasks and activities carried out in sales, delivery
and billing. Key elements are; pre-sales support, inquiry processing, quotation processing, sales
order processing, delivery processing, billing and sales information system.

How does SAP R/3 help in this ?

The sales logistics business process scenario in R/3 allows users to manage sales and distribution
activities in an effective manner. The business processes include scenarios for

(1) Sales,
(2) Shipping,
(3) Billing,
(4) Sales support and
(5) sales information.

With real time, on line access to sales information, such tasks as order entry, delivery, and billing
are all streamlined. In addition, sales and distribution can be integrated with procurement and
production planning, improving turnaround time up and down the value chain. The sales function
in R/3 utilizes a configurator to select configured products as well as a "conditions" program to
manage complex pricing scenarios. The sales order process sends requirements to
manufacturing.

The R/3 system uses a technology, called Application Linking and Enabling (ALE), to
implement distributed solutions such as decentralized shipping. In this approach, special types of
business information documents, called Intermediate Documents or IDOCs, are automatically
transmitted between communicating systems.

This database is used by R/3 to automatically generate the IDOCs used in communicating
between the host and remote systems. In the recent years, many of SAP's customers have found
that the integration of sales and distribution applications in R/3's logistics chain has improved the
performance of their companies.

Before going into details U need to be aware of basics of Sales & Distribution.
First let us know abt Sales Organisation.

what is Sales Organisation ?

The sales organization is an organizational unit within logistics, that structures the
company according to its sales requirements.

what is the Use ?

A sales organization is responsible for the sale and distribution of goods and
services.

It represents the selling unit as a legal entity. It is responsible for product

guarantees and other rights to recourse, for example. Regional subdividing of the
market can also be carried out with the help of sales organizations. Each business
transaction is processed within a sales organization.

The sales organization must be specified in all sales documents. It is therefore

available for all basic functions of SD (such as pricing, availability, etc.).

Structure

A sales organization can be subdivided into several distribution chains which

determine the responsibility for a distribution channel.

Several divisions can be assigned to a sales organization which is responsible for

the materials or services provided.
A sales area determines which distribution channel can be used to sell the products
from one division in a sales organization.

Integration

Each sales organization is assigned exactly one company code for which you enter
all accounting details of the sales organization.

A distribution chain can be active for several plants and the plants can be assigned
to different company codes. If the sales organization and plant are assigned to
different company codes, an internal billing document is sent between the company
codes before the sales transactions are entered for accounting purposes.

What is HR,what r it's functions

Ans:
HR provides solutions planning and managing company's human resources, using integrated
applicatons that cover all perosnnel management tasks and help simplify and speed the process.

Time Management. Time Management offers a wide range of options for the planning,
administration and evaluation of time data so time data can be used more efficiently and business
processes can be optimized. It accommodates legal requirements, collective bargaining
agreements and internal company policies.

Payroll. No other payroll accounting system is as powerful or global. Its extensive range of
functions satisfies current legal and business requirements around the world. The application can
be quickly and easily modified to suit customer-specific requirements. Its integrated processes
take into account current regulations applying to multiple factors such as valuation of time data,
partial payment calculation, garnishment reducations or company loans.

Employee Self Service. Internet and intranet technology has opened up important new
opportunities for human resource management. Employee Self-Service (ESS) empowers
employees to view, create and maintain their own data at any time from their workstations,
anywhere in the world. ESS gives employees real-time, direct access to data such as balances of
leave or vacation or benefits selections. Employees can review and update address data, submit
travel expenses or leave applications. They can even display and print paystub information or
maintain their own skills and competencies. Employee Self-Service gives employees more active
participation in the organization's human resources programs and more autonomy over their own
data.

Organizational Management. Organizational Management is a central element of

mySAP.com Human Capital Management that provides important tools for the
control and coordination of personnel planning and development. It enables the
user to model and modify organizational structure to reflect dynamic development.
Using Organizational Management coupled with the enterprise's organizational
model, the entire organizational structure, including organizational units, positions,
jobs, tasks and the reporting structure, can be maintained via an easy-to-use
graphical planning tool.

Personnel Management. Personnel Management provides a streamlined,

comprehensive and fully integrated personnel data structure. Its user-friendly and
intuitive online navigation coupled with its process-oriented data entry provide for
speedy and efficient data maintenance. Integrated workflow processes accelerate
data entry and streamline the flow of information allowing it to get to where it is
needed. Optical archiving links enable scanning of original documents such as
employment contracts or employee photographs.

Recruitment.
Recruitment helps set up an effective recruitment strategy for finding and hiring the
right people with the right skills that will contribute to the continued success and
competitiveness of the enterprise. Its streamlined processes optimize recruitment
procedures and reduce administrative overhead. The Recruitment model provides
recruiters and personnel managers with all the necessary data on vacant positions -
before they can become a threat to productivity - and leverages powerful global
functionality and Internet technology to offer the most advanced global recruitment
tools and media.

Training and Event Management. Training and Event Management enables the
planning, managing and evaluation of data on internal and external events. It stores
data on event prerequisites, objectives, contents and time schedules. Information
on prices, capacity and locations is accessible via easy-to-use functions that support
billing and budget planning.

Compensation Management. Compensation Management enables the development

of compensation policies that can function as strategic management tools for a
competitive edge. It provides a powerful toolset for putting together fixed or
variable compensation packages. Integration with Organizational Management
means that budgets can be assigned to organizational units along the
organizational structure. Multiple compensation plans can be developed to reflect
company-specific remuneration guidelines, eligibility rules and criteria, as well as
calculation regulations for immediate application.

Benefits Administration. Benefits Administration has powerful and flexible functions

for creating, managing and tailoring every kind of benefits plan, from healthcare to
insurance programs or credit plans. Seamless checking and enrollment processes
minimize administration work. Integration with Personnel Administration ensures
that checks are always carried out against the most up-to-date personnel data.
Open enrollment is fully supported.
Travel Management. This application streamlines the processing of all aspects of
travel administration from the initial travel request through expense posting and
taxation to employee reimbursement in multiple currencies and formats. Employees
can create and edit travel plans, create variants of these for comparison purposes,
and make their selection based on preferred routes or costs as appropriate.
Simulation functions let the user determine travel costs in advance. A connection to
a global reservation and distribution system such as Amadeus provides added
convenience for the person traveling.
Personnel Development. Based on a company's individual personnel development
strategies, Personnel Development provides active support to recognize, promote
and properly exploit the existing potential of employees. It provides a detailed
picture of existing and required qualifications in the company and enables
personnel development measures to be tailored to ensure that employees develop
in line with company goals while at the same time accommodating individual
preferences.

HR - Time Management (for Payroll processing)

SAP HR Time Management functionality includes time collection, evaluation of time

and absence data for payroll, leave management and reporting. It also
automatically calculates leave accruals, overtime, shift premiums and bonuses.

Time data is used to process Payroll, internal & external reporting. Payroll needs
Time data to process:

Hours worked
Overtime
Shift times
Vacation
Absence to be paid
Time is also used for

Internal reporting - by management to evaluate and project costs.

External reporting - tracking of time data for Labor Union requirement etc. For eg.
Labor union requires statistical data concerning the amount of overtime spent on
certain shifts etc.
Time data is stored in various infotypes. This data is evaluated according to various
rules during time evalution and the processed data is transferred to payroll.

Time data is generally collected by a third party recording terminal. Time data is
recorded in various ways. eg. Punch cards, Manual time sheets that stores hours
worked for each day along
with any absenses.

All the absence's and attendance in a day are uploaded into SAP and analysed using
the pre-defined times in the employees Work Schedule rule. After processing the
time events, the system generates wage types and time types based on pre-defined
rules within the time evaluation program. These wage types and time types are
then used for Interfacing to payroll, reporting etc.

Check for Completed and Approved Time Sheets (CAPS): The Time Evaluation
process begins after all employees have entered time and supervisor has approved
it. This can be done using transaction CAPS.
Important Note: When you use the transaction CAPS to approve time, you will be
locking the employee records from any changes (i.e. no one else can make
changes, enter time, approve time, etc., while you are in this transaction).
Therefore, to reduce the number of locked records and improve system
performance, perform this step by cost center instead of for the entire personnel
area. Once finished, you may then run the transaction for the entire personnel area
to validate completeness.

Use Menu Path: Time Management> Time Processing> CAPS-Check for Completed/
Approved Time Sheets.

Transfer Time (CATA): The Transfer Time step take time data that has been entered
on the time sheet and moves it to the HR and Controlling databases for further
processing (i.e. payroll cannot be processed unless this step is performed correctly).
The system transfers time data automatically to HR when time has been approved
by the either supervisor or CSR. A batch program that runs nightly will transfer time
data to Controlling for further processing.
Although this is an automatic process, there are situations where the initial transfer
can fail and the time will need to be transferred manually (for example, if the
employee record was locked by another user). Therefore, as a matter of precaution,
always execute this step before you perform the “Review Time Data” step.

Use Menu Path: Time Management> Time Processing> CATA Transfer Time

Use Menu Path: Time Management> Time Processing> CATA Transfer Time

Review Time Data: Once the time sheets have been entered, approved and
transferred to the HR database, the final step is the validate that the time data has
been correctly entered. Check for overtime, public holidays etc. If any check fails,
you will have to correct and re-approve (via CAPS) the employee’s time sheet,
transfer the time (CATA) and then review the entries again.
Use Menu Path: Time Management> Time Processing> S_AHR_61018659 – Review
Time Data.

Run TIME Evaluation (RPTIME00) for pay period (PT60)

Personal management

(1) Recruitment.

Purpose
The ability to meet personnel requirements is key for enterprises. The success of an enterprise
depends on such factors as the quality and availability of personnel. It is particularly important
for the development and success of expanding enterprises that they have quick access to
adequate personnel.

This component has all the functions you need for working through the entire recruitment
procedure, from creating applicant data to filling vacant positions.

The Recruitment component contains an entire range of powerful, flexible functions that you can
use to implement an effective – and largely automated – recruitment strategy.

You can use the Recruitment component to recruit human resources according to requirements,
at any time. You can increase the number of applicants available to your enterprise, and include
them in the selection procedure for vacancies, by advertising for personnel (using job
advertisements, for example) or by receiving unsolicited applications. You can store applicants
that you have not deemed suitable for a particular vacancy in the Applicant Pool, where they can
be considered for other or future vacancies.

This component enables you to define a recruitment procedure that suits the needs of your
enterprise. You can distribute tasks and responsibilities to different people involved in the
recruitment process. Recruitment supports you in dividing and assigning administrative and
decision-making task areas. Many tasks can be processed via mass processing.

The Recruitment component provides dynamic actions to enable you to automate many
processes. For example, when you 1st enter applicant data, the system creates a confirmation of
receipt in the form of an applicant activity and a letter confirming receipt of application. This
reduces the administrative tasks required of the HR department for applicant correspondence.

Integration

If you want to use all of the functions in the Recruitment component, you are
advised to implement the following components:

Component
Provides the Following Extra Functions

Personnel Administration
Easy transfer of applicant data to Personnel Administration once an applicant is
hired
Easy transfer of employee data to Recruitment when an internal applicant
(employee) submits an application within your enterprise

Personnel Development
Search for applicants with particular qualifications
Profile comparison between applicants’ qualifications and the requirements for
(vacant) positions
Organizational Management
Vacancies maintained in Organizational Management are automatically available in
Recruitment

Manager's Desktop
Manager’s can make decisions relating to the selection procedure for vacancies and
represent them using the Manager’s Desktop. Additional administrative steps are
forwarded to the HR department via an automatic e-mail connection.

Features

SAP Recruitment is made up of the following subcomponents:

Workforce Requirements and Advertising

Applicant Administration
Selection of Applicants
Each component supports a different phase of the recruitment process.

SAP Recruitment also provides high-performance functions for the Internet and
intranet, and in SAP Business Workflow.

Workforce Requirements and Advertising

Your enterprise’s workforce requirements are represented in the system by

vacancies. You can create vacancies manually in Recruitment. If you have an
integrated system, you have access to the vacancies that are maintained in
Organizational Management.

You can use Recruitment to manage advertising centrally. Advertising enables you
to publicize your enterprise’s workforce requirements.

The following functions are provided for workforce requirements and advertising:

Create and manage vacancies

Manage media and recruitment instruments
Manage advertisements and advertisement costs
Assign vacancies and applications to advertisements
Use a variety of reporting options (for example, the effectiveness of recruitment
instruments and publication costs, response rate to advertised vacancies, etc.)

(1)Administration of Applicants

(2)Applicant administration contains the following subfunctions:

(3)Applicant classification