Overview of SAP Modules

Sap Modules are based on the functional area and technical area of work. Even SAP has delivered standard SAP Modules related to specific industries such as real estate and banking etc.

Sap modules can be broadly divided into two categories;

  • Functional Modules
  • Technical Modules 

Under functional part, we have following sap modules;

  • Financial Accounting (SAP FI)
  • Financial Supply Chain Management (FSCM)
  • Controlling (SAP CO)
  • Materials Management (SAP MM)
  • Sales and Distribution (SAP SD)
  • Logistics Execution (LE)
  • Production Planning (PP)
  • Quality Management (QM)
  • Plant Maintenance (PM)
  • Project System (PS)
  • Human Resources (HR)
  • Business (Data) Warehouse (BW)
  • Enterprise Controlling
  • Treasury
  • Investment Management

Under Technical part we have following SAP Modules;

  • SAP Basis
  • ABAP
  • SAP Net weaver
  • Exchange Interface
  • Business information warehousing

Sap modules specific to certain industry or based on type of business;

  • SAP – Cross Application Components
  • Customer Relationship Management
  • Supply Chain Management
  • Product Life Cycle Management
  • Supplier Relationship Management
  • Customer Service
  • Real Estate
  • Personnel Management
  • SAP- Banking
  • Payroll

All the above SAP modules are sub divided to sub modules for better management and use. Functional sap modules in sap are integrated and are very flexible to provide you the desired result. Followings are the some of the most important sap modules which are highly used by industries;

Financial Accounting (SAP FI)

Financial accounting module is backbone of entire implementation project. Your project will start with financial accounting configuration and ends with it. It has sub modules within it for easy management and better productivity. General ledger accounting, accounts payable, accounts receivable, bank and cash management, asset accounting, funds management and treasury managements are part of financial accounting module.

Financial accounting is required for external reporting i.e. for the purpose of creation of financial statements. All the legal reporting is taken care by this module.

Controlling (SAP CO)

Controlling module is implemented for internal reporting of companies. At regular interval the internal management of the company will be requiring different reports either related to cost or to revenue. These reports can be derived through this module. Controlling module is highly integrated with other modules like production planning, sales and distribution and financial accounting. Data are entered in other modules which in turn processed in to controlling module.

Cost element accounting, cost center accounting, profit center accounting, product costing, internal order, project system and profitability analysis are sub modules of sap controlling module.

Sales and Distribution (SAP SD)

Sales and distribution is part of the logistic module of sap and helps to integrate with the organisation’s customer. The process will start from receiving quotation, sales order creation, delivery of goods and finally billing to customer. This sap module is highly integrated with other sap modules and especially with FI module to flow the data from this module to FI. Controlling module also gets data related to revenue and some portion of the cost.

Sales order processing, shipping, invoice generation, credit management, bill of material, pricing and discounts are part of this sap module.

Production Planning (SAP PP)

The entire production process is managed by production planning module. This sap module is integrated with controlling module and provides cost data related to work centers and different processes. Production planning, production order processing, demand management, material requirement planning, shop floor control and capacity requirement planning are part of production planning of sap module.

Material Management (SAP MM)

Material management module manages the entire material process of the organisation starting from purchase of material to invoice verification. Purchase, inventory management, inventory valuation, vendor valuation and rating and invoice verification are part of material management module.

Through this sap module the material master data is integrated with financial accounting, controlling, sales and distribution and production planning module.

Human resource (SAP HR)

SAP module HR is used for organisational management related to human resource. Organisational management, personal administration, recruitment management, planning budget, payroll and training management are part of human resource module of sap module. This sap module is integrated with financial accounting to provide data related to salary processing and other human resource related costs.

Other modules like project system, quality management and plant maintenance are also important but the above discussed modules are in high demand and very well used across industries.

SAP modules cannot be purchased module wise. If you want a single sap module then all other modules will come with it by default.

All technical sap modules like abap, basis and netweaver are helping these sap functional modules for any development or developing any new report based on the business requirement and for technical requirements.

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