Monday 29 May 2017

Decoding Typical Business Process by ERP SAP

System Applications and Products in Data Processing popularly known as SAP. By definition, it is also known as ERP i.e. Enterprise Resource Planning software founded in 1972 by Hopp, Hector, Plattner, Wellenruther, Tschira. SAP System comprises of various completely coordinated modules, which covers for all intents and purposes each part of the business administration. SAP is the number 1 ERP Market, starting at 2010 SAP has more than 15Lakhs establishments around the world, having industry particular business and more than 75k clients crosswise over 120 countries.

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Why ERP SAP is required?

Let’s take a hypothetical situation in which a client approaches the sales team asking for a particular product. The sales team will then contact the Inventory department to check the availability of the product. But surprisingly the sales team found that the product is out of stock. That is why an SAP ERP tool is introduced so that next time this doesn’t happen. But hold on, before we actually get into the details, what ERP is and how it helps you in your business, we will understand how different departments are involved in the whole business process right from the ordering of raw material to manufacturing and finally delivering the product or services to the customer.

This is what is followed in the Business process
This is a typical business process for any Manufacturing Company.

Key benefits of ERP SAP in any business organization: it provides information across departments in real time, it eliminates the duplication, discontinuity and redundancy in data, it increases productivity, better inventory, promotes quality, reduced material cost, effective human resource management, it helps in better customer interaction and increased and a better customer service, it allows easier global interaction ( barriers of currency exchange rates, cultures and language is automatically bridged), it updates only the need of the company to be implemented, it provides real time information, reducing the possibility of redundancy errors, it creates a more efficient work environment making it easier for employees to do their job which leads to effectiveness, SAP software is a centralized enterprise management system also known as Enterprise Resource Planning.

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