Configuring SAP R/3

Presentation by Raimundas MATULEVICIUS & Darijus STRASUNSKAS Literature: Nancy H.Bancroft, Henning Seip & Andrea Sprengel: Implementing SAP R/3 How to introduce a large system into a large organization

Configuration Concepts
The SAP system is standard business software package based on a data model. The SAP data model is implemented in relational database systems such as Oracle or Informix. The software can be configured quickly if:
experienced support staff is available; all business requirements have been defined and can be met by the software.
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The client Data Structure

The client Data Structure

Companies traditionally have built their own proprietary systems responding to the unique business requirements of their user community. These requirements vary from company to company in all areas except one: finance.

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The client Data Structure

Accounting firms, which maintain the financial data of many large organizations, want to have data structured in the same way, thus one separate company must be maintained independently of other data of other client. This triggered the development of client-oriented system. A client-oriented system is a software package, which has the ability to maintain and protect data of different clients within the same database using the same program code. 08/10-2001 5

The client Data Structure

These environments can be set up within the same physical SAP system, eliminating the need to purchase hardware and software for each of them individually. Technically a client-oriented system is implemented by defining a client key for all data tables, which should be separated by client.
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The client Data Structure

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The client Data Structure

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The client Data Structure

In SAP the client concept is implemented for most of the data tables. One important exception: ABAP/4* programming environment, which is called workbench. ABAP/4 programs are stored in client-independent tables, which means that all clients have to share the same programs.
* ABAP/4 - Advanced Business Application Programming/4. SAPs fourth generation programming language used to develop dialog applications and to evaluate databases.
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Architecture of SAP applications

Architecture of SAP applications

There is a common architecture all applications share. Common elements are called architectural elements:
Central and client-independent functions Organizational elements Control elements Master data Documents/operations Reports

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Architecture of SAP applications

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Architecture of SAP applications

Client-independent function, central function, organizational elements, and control elements are software functions within the SAP system used to configure and program it to a companys requirements. The architectural elements master data, documents/operations, and reports are the SAP functions used by the end user who is working with the system on a daily basis.
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Architecture of SAP applications

The project team works with: the Business Engineering function, manipulating the configuration tables. a tool called Implementation Management Guide (IMG) to configure each application by selecting parameters and assigning the table. The team can store the parameters setting in the project documentation with the project history.
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Architecture of SAP applications

The ABAP/4 Developers work with the ABAP/4 Workbench to create reports and new customer applications. To test configuration, the project team also creates master data and documents. Once the customization process is complete and the R/3 system goes live, the business work only with the function provided by the SAP applications.
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Tables and Data Types

Tables and Data Types

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Application data

Application data
Application data tables contain either master data or transaction data. Transaction data is used only once. Master data is used multiple times after it has been created. The majority of transaction data is derived from master data at the time of transaction. This composition results in a transaction and is called a document by SAP. A document ties together all data of the transaction. A transaction is unique and gets document number assigned by the SAP system. 08/10-2001 19

Application data
Document number Master data Master data Master data Master data Master data Master data Transaction data Transaction data Transaction data Transaction data

Transaction data Master data Transaction data

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Master data

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Configuration Data

Configuration Data
The adaptation of the SAP R/3 system to your business requirements is a key process in the SAP project:
Create the companies organizational structure Change table entries for validation Change a business process in its flow Change the characteristics of a business transaction or business function Change report selection, displays, summation levels Change screens 22

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Configuration Data
The degree to which this adaptation can performed through configuration depends on the flexibility of the specific application and the type from the business since the configurability has its limits.

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Configurable Elements

Configurable Elements
The configurable elements, which are accessed through the IMG, are:
central functions; organizational elements; control elements; data validation; and system control.

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Central Function

Central Function
When a project team starts to configure the SAP system, it first describes its current environment.
The currency used and the exchange rates with other countries. The country in which the company is legally registered.

What calendar is used.

Which rounding rules are applied when dealing with currency. Which units of measure are being used for products and services.

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Central Function
Mapping process means to match the existing data fields of your legacy system with the fields available in the SAP. This is a very important process since you will be laying the foundation for moving your existing data into SAP system.

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Organizational Elements

Organizational Elements
A company can be described by its organizational elements, that is, the entire company, a department, a division, a plant, or a subsidiary. Later, all company master and transaction data will be linked to these organizational elements. Organizational elements are defined in the corporate structure of the enterprise IMG. SAP uses its own language to name things.
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Organizational Elements
The company description is configured by these SAP org. elements:
control area, functional area, plants, sales organization & etc.

These elements are parts of the description of the company which is then by entering the respective data of your company into the appropriate tables.
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Organizational Elements

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Organizational Elements
It is not necessary to define all organizational elements provided by SAP. But some organizational elements are mandatory. For example:
Company code, which defines the company as a legal entity and separates the general ledger accounts from accounts of other companies. If you are selling products or services you must define a sales organization, a division, and a distribution channel.
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Organizational Elements
After entering all elements the assignment have to be done. That is, you have to tell the system how the organizational elements (tables) which you define, relate to each other

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Organizational Elements
Structuring the company into five sales organizations will request necessity to go through the assignment screen of SAP for these two organizational elements five times.

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Organizational Elements
The definition of the organizational elements for your company and their relationships is known as the SAP hierarchy. The project team is determines how companys organization is structured and, by this definition, is created or limited the flexibility of the overall system for your company.

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Control Elements

Control Elements
Configuration table define and control documents and the way data can be entered into these documents. They are referred to as control elements and take various appearances depending on the application. The project team will define what fields are visible on the screen for a particular user or what number ranges can be entered by a user.
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Control Elements
In R/3 a document is composed of master data and additional input. The composition is assigned a unique number by the SAP system at the time of creation to identify it throughout the existence of the SAP installation. The programs and configuration tables used to configuration documents are called control elements.
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Data Validation

Data Validation
Tables used for data validation are simple configuration tables used to maintain text information that appears as straight output only. This means that no calculation or any other manipulation of the information in these tables is performed in order to display the information on the screen or on a printed document.

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Data Validation
These tables only contain a key and an associated text, which appears in the document. The R/3 system uses the key in order to determine the text. Project teams can easily extend these tables to satisfy their requirements.

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System Control

System Control
System control tables are used to configure the Basis System of R/3. This includes the ABAP/4 development environment, user authorizations, printer setup, and others. These tables are maintained by the system administration.

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Configuring an SAP Document

Configuring an SAP Document (1)

During configur ation of a document type there are often information items, which are automatically generated on creation of a document.

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Configuring an SAP Document (2)

Creating a sales document in the SAP system user has to enter the following information into SAP screen: Document type (sales order, quotation) Customer (sold-to party) Sales area (sales organization, sales channel, division)

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Configuring an SAP Document (3)

There are six types of information on a sales document , which can be generated automatically: Price Tax Material Business partners Output Text
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Configuring an SAP Document (4)

In the IMG*, SAP provides the necessary configuration tools to set the parameters. All steps to determine the data appearing on the screen (for example price) within a document during its creation or change are called a determination procedure in the IMG.
IMG* - Implementation Management Guide is an online documentation tool that steps the project team through the implementation process.

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Configuring an SAP Document (5)

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Configuring an SAP Document (6)

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Configuring an SAP Document (7)

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Configuring an SAP Document (8)

The SAP system comes with: about 30 standard price determination procedures - for customization a project team should select the procedure which closest matches the requirements. over 100 standard condition types, which may be used as templates.

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Working with Master Data

Working with Master Data (1)

Users may have to maintain master data in their daily work. The creation of master data is not part of the configuration process and should not be confused with it. Responsibility for the maintenance of master data is assigned to departments by defining the appropriate authorization. Since master data is the primary source for transaction data, it has to be dealt with carefully.
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Working with Master Data (2)

Example of master data:
Area Accounting Asset management Controlling Material management Sales Purchasing Human resources Production Plant maintenance Warehouse Projects
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Master Data G/L accounts Asset Cost elements, cost centers Materials Customer Vendor Employee Work center, routings Plant Storage bins Work breakdown structure
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Working with Master Data (3)

Dealing with master data can become complex depending on the aspects of its use. Employees of different departments often have a different perspective on the same data.

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Working with Master Data (4)

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Working with Master Data (5)

The most complex master data structure in the SAP system is the material master.

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Working with Master Data (6)

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Working with Master Data (7)

The number of data items in the material master file is very large. It is the heart of the SAP system. Once it is set up correctly, the various user groups can easily use it.

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Working with Documents

Working with Documents (1)

The term working with documents means to execute a business transaction within the SAP system. A document contains header and item information.
The header contains the document number and context information for the transaction while the line items specify why the transaction takes place. The line items specify the article bought from the vendor / sold to the customer.

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Working with Documents (2)

In areas, which are production-related, SAP uses the term operation instead of line item. In production planning, an operation is a processing step within the context of a production plan for a specific product. In the plan maintenance application, the equipment is maintained through operations which are performed by a service technician.

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Working with Documents (3)

The main source for transaction data within a document is the master data. The master data is retrieved from the master tables and manipulated by the SAP programs before it appears on the screen. The user has the ability to further change some of the data items (manual override) before he or she stores the set of data items as a document.

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Working with Documents (4)

Depending on the configuration, either the SAP system assigns a unique document number or the document number is manually assigned by the user.

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Working with Documents (5)

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Working with Reports

Working with Reports (1)

Within every application, SAP gives the user the capability to select from the menu standard reports, which display information about a certain subject. Online reports are executed and produce results on the screen while the user waits for them. Batch reports are like online reports except their execution is scheduled for a later time. They are placed into a queue to wait for their execution.

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Working with Reports (2)

Whether user should execute the report online or in batch depends on the runtime of the report itself. The runtime depends on the complexity of the report and the amount of data that has to be processed.

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Working with Reports (3)

The simplest report is straight list, which can be displayed on screen, printed and/or sent via email to another user. A more sophisticated approach is the type of report where the layout is configured by the project team:
The user may select from different report display variants. In these types of report the user can also restrict the selection of items he or she wants to appear in the list.

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Working with Reports (4)

The report is a list of SAP objects which can be manipulated directly by double click on specific data element. When selecting:
a sales document number, the user branches info the maintenance transaction of the contract. a equipment number, the user branches into the maintenance transaction of the equipment. a customer, the user branches into the customer maintenance transaction.

In addition, data can be summarized directly on the report.

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Working with Reports (5)

The interactive reports give even more flexibility to the user. These reports give users direct control over how the data appears on the screen:
User can directly change the sort sequence or the displayed columns, and generate graphics from the data, or branch into transactions related to the data on the screen. Columns can be hidden or additional columns can be displayed as part of the report.

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Working with Reports (6)

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Summary
Understanding basic IT concepts becomes more and more important for business departments. Configuration of SAP is very complex due to the flexibility the package provides. Functions and processes, which are relatively easy to configure can also be maintained by the key user in the business departments. Traditionally, ITs role was to coordinate the integration of software functions and, with this, the integration of business process. Business users must understand how their software tools work in order to apply them most effectively.
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Configuring SAP R/3

Presentation by Raimundas MATULEVICIUS & Darijus STRASUNSKAS Literature: Nancy H.Bancroft, Henning Seip & Andrea Sprengel: Implementing SAP R/3 How to introduce a large system into a large organization