System-wide Concept

Unit 3These concepts, organizational elements, master data, and transactions, are the basic elements designed and utilized to represent a company’s enterprise structure and business processes within SAP system.

Organizational Elements

A company’s enterprise structure is mapped to Sap applications using organizational elements.

·       Client

The client is the highest-level element of all organizational elements; it represents the enterprise/headquarters group.

·       Company Code

Company code is a legal independent accounting unit representing the central organizational elemnt of financial accounting. The company code also represent the tax law (national) view of the company, the fiscal calendar, the local currency, and the tax reporting requirements.

·       Plant

A plant can manufacture product, distribute product, or provide a service; it is the central organizational unit of production

·       Storage Location

Material stocks in Inventory Management can be differentiated within one plant according to storage location

·       Sales Organitazion

The sales organization is the central organizational element in sales order management that controls the terms of sale to the customer

·       Distribution channel

Distribution channels can be used to define how different products reach consumers, for example, wholesale

·       Organizational unit

Organizational units describe the various business units that exist in an enterprise. Often units are loosely defined as functional or regional departments.

·       Position

Positions are the individual employee assignments in the enterprise.

IDES

IDES (International Demonstration and Educational System) is an international company dependent upon collaboration with external business partners and a global outlook.

Master Data

Created centrally and available to all applications and all authorized users, master data also has an organizational aspect because its information is organized into views that are assigned to organizational elements.

·       Customer Master

A customer master contains key information that defines the business relationship between a company and its customer. Company code data controls the posting procedure and subsequent processing, such as payments and dunning. The customer master’s “three-part structure” is represented by :

1.   General Data : This data equally relevant to every company code and every sales organization within company.

2.     Data for Company Codes : this data reflects company-specific agreements with the customer.

3.     Data for Sales : This data has different characteristics for a company’s sales organizations and channels.

·       Material Master

The material master contain all of the key information a company needs to manage a material within its organization. The material master defines, among other things, how a product is sold, manufactured, purchased, inventoried, accounted, and costed. The information in the material master is grouped into views that are organized by business function.

·       Personnel File

Personnel Files are master data record used primarily mySAP ERp human capital management. These master record follow the same basic three-part structure, as do other master records.

·       Organizational Units

Describe the various business units that exist in your enterprise. Multiple organizational units and their relationships form the organizational structure.

·       Jobs

Jobs serve as descriptions, or templates, that apply to several positions with similar requirements, tasks, or other characteristics.

·       Positions

Positions are the individual employee assignments in the enterprise. A position inherits a job’s characteristics specific to that position.

·       Persons

Persons hold positions within the organizational structure. Persons represent employees in your company.

Transactions

Transactions are application programs that execute business processes in the SAP system. Examples include create sales order, change customer master, or display a sales order’s list report.