July 23, 2021

Uses of SAP

Uses of SAP


Thousands of mid to large size companies worldwide use SAP software to run the majority of their day-to-day business transactions and processes. Called an enterprise system, or ERP (Enterprise Resource Planning) solution, it can literally run an entire enterprise. Companies can run SAP’s transactions to support their Order to Cash, Procure to Pay, Plan to Produce, Hire to Retire business processes, and much. Among  the various products of SAP AG is SAP R/3 ,which fullfills all the business needs of an organization by providing various applications like Material Management(MM), Sales and Distribution(SD), Production Planning(PP), Finance and Controlling(FI/CO), Human Resources(HR)

Lets have look at some of the uses of SAP

  1. Integration – Integration can be the highest benefit of them all. The only real project aim for implementing ERP is reducing data redundancy and redundant data entry.
  2. Efficiency – Generally, ERP software focuses on integration and tends to not care about the daily needs of people. Individual efficiency can suffer by implementing ERP.
  3. Cost reduction – it reduces cost only if the company took accounting and reporting seriously even before implementation and had put a lot of manual effort in it.
  4. Less personnel – Same as above. Less reporting or accounting personnel, but more sales assistants etc.
  5. Accuracy – No People are accurate, not software. What ERP does is makes the lives of inaccurate people or organization a complete hell and maybe forces them to be accurate (which means hiring more people or distributing work better), or it falls.
  6. SAP allows customizing the software to specific needs of the company
  7. SAP is user-friendly, familiar looking, and has an experience of windows based applications
  8. SAP can be used worldwide
  9. It is easy to process user transactions with SAP
  10. SAP increases liability
  11. SAP improves the effectiveness and efficiency of the employees
  12. SAP improves upon the business process efficiencies
  13. SAP gives reliable, accurate, and instant information
  14. Old software systems do not meet the need of companies
  15. SAP is a affordable and no special software is required to access
  16. SAP supports all the fields, such as Marketing, Finance, Human Resource, Logistics, Operations, etc.

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