
What is sap software used for in companies? . For those of you who are new to the world of SAP, you must be wondering what is SAP and is it important for the survival of the company?.
SAP is an ERP software which was developed to assist the management and planning of a companies activities.
SAP uses ABAP (Advanced Business Application Programming) which is categorized as a 4th Generation Programming Language. However the company is responsible for the development of SAP ABAP.
Which is a high-level programming language with a syntax similar to COBOL (Common Business Oriented Language).
SAP ABAP brings features from several other programming languages such as Visual Basic, Power Builder and SAP System, consisting of a number of integrated modules to cover every aspect of business management.
What is SAP Software?

SAP is a German company that is the largest software companies in Europe.
SAP was founded in 1972 under the name Systemanalyse and Programmentwicklung by 5 former IBM employees in Mannheim, Germany. Its head office is in Walldorf, Germany. The company had 35,873 workers in 2005.
SAP (System Application and Product in data processing) provides Enterprise Resources Planning (ERP) software in companies.
Because an IT and management tool to help companies plan and carry out their operational activities more efficiently and effectively.
SAP consists of a number of application modules that have the ability to support all transactions that need to be carried out by a company and each application works in conjunction with one another.
All application modules in SAP can work in an integrated/connected manner with one another.
Therefore, SAP is one of the world’s leading ERP software developed to support an organization in carrying out its operational activities more efficiently and effectively.
SAP supports high-level multi-tasking to support the company’s operational activities.
SAP Modules

1. Controlling (CO)
The CO module supports the work processes of planning, reporting, and monitoring business operations. It involves methods for viewing and managing costs required for financial reporting.
The CO module allows one to plan, track, perform and report on costs.
Controlling includes managing and configuring master data covering cost elements, cost centers, profit centers, internal orders and functional areas, and so on.
2. Financial Accounting (FI)
The FI module as a term suggests transactions in managing financial transactions within the company.
This module helps employees to manage the data involved in any financial and business transactions in a unified system. FI integrates with other modules such as SD, SAP MM, SAP PP, Payroll, and others for better work results.
3. Production Planning (PP)
The PP module includes software specifically designed for production planning and management. This module also consists of master data, system configuration, and transactions to complete production planning procedures.
The PP module collaborates with master data, sales, and operations planning, distribution resource planning, material requirements planning, product cost planning, and so on.
4. Sales and Distribution (SD)
The SD module handles the management of all transactions from requests, proposals, offers, prices and more. This module is very helpful in inventory control and management.
The SD module consists of master data, system configuration, and transactions.
Some of the sub-components of the SD module are master data, sales support, sales, shipping and transportation, billing, credit management, sales information systems, and so on.
5. Materials Management (MM)
The MM module helps to manage the materials needed, processed and produced in the company. Various types of procurement processes are managed with this system.
Some of the popular sub-components in the MM module are vendor master data, consumption-based planning, purchasing, inventory management, invoice verification, and so on.
6. Human Capital Management (HCM)
The HCM module improves work processes and data management within the company’s HR department.
The rights of hiring someone to evaluate a person’s performance, manage promotions, compensation, handle payroll, and other HR related activities are processed using this module.
SAP software also consists of a large number of programs and sub-programs. What is meant by the SAP program is a structured instruction or code written in the special programming language SAP or better known as ABAP.
It is this ABAP language that controls the behavior of computers to record business transactions and perform various analytical functions.
When the SAP program is operating. It has certain functions such as functions in finance, procurement, sales orders, warehouse management, and so on.
Companies that use SAP in their operations will retrieve and store company databases from all aspects according to the functions they use to make their daily operational activities more effective between departments.
7. Quality Management (QM)
The QM module helps in quality management in production across processes in an organization.
This module helps organizations to accelerate their business by adopting a structured and functional way of managing quality in various processes.
QM modules collaborate in procurement and sales, production, planning, inspection, notification, control, audit management and so on.
Benefits of SAP Software for Companies

1. Save Cost
For the price of one, the company gets a system that operates in every department. This reduces labor costs by ensuring everyone is working at the right time. This helps reduce administrative costs as well.
There are controls for replenishing inventory and this reduces inventory costs. This prevents unnecessary excess inventory of goods.
In addition to reducing compliance costs, the software ensures there is revenue coming in. This is because customers use a seamless system to order and pay for goods.
2. Increased productivity and efficiency
With real-time information, employees can do more work and handle customer requests faster. Different departments can communicate effectively because all information is always up-to-date.
In addition, employees can also use the supply chain management system to monitor inventory. They can track transactions between businesses, suppliers and customers.
Customers can also connect with the company as they can place orders, pay and track their goods. This customer relationship system also ensures the company can improve its customer service.
3. Maintain consistent operation
With this system, managers direct all departments to achieve the same goal. This can speed up the decision-making process.
Companies can also make system updates centrally and this applies to each department. In addition, the system manages global business so that it can resolve foreign exchange rates and allow group companies to communicate.Datacomm Cloud Business is a cloud provider that can provide Cloud infrastructure for SAP.
4. Data Analysis and Reporting
For large companies with high productivity levels, it is difficult to rely on people to provide accurate data analysis and reports. Human error can cost a company a lot of money.
In this case the SAP ERP system reduces the risk because there is no duplication of data. SAP systems also provide real-time reports of everything that is happening in the business, such as providing risk analysis and performance reports and updating transactions and inventory changes as they occur.
5. SAP offers enterprise-specific solutions
Since every company’s needs are different, every company gets a customized system with their operational and departmental needs in mind.
SAP is known as a simple ERP system, easy to use for every employee and flexible because there are different system modules for each different department.
Another advantage is that the system is available via mobile so that employees or management can use the software from anywhere.
Conclusion
The SAP system provides an integrated software solution that can process all the functionalities of a business organization in an integrated manner.
New and innovative standards regarding business information management applications and solutions have been provided by the SAP R/3 suite of enterprise applications that use a client/server model.
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