Tuesday, March 20, 2007

Basis

BASIS provides administrative tools for SAP. It is a logical collection of R/3 software components. Basis is the layer between the hardware and R/3 system software.

BASIS provides for the following

Tools for administration:

Basis includes various administration tools for managing the system resources like hardware, software and printers. It includes tools for monitoring the system performance, monitoring user sessions, setting up alerts and deriving various statistics and graphs which give indications of the system performance.

User Administration:

This includes creating user ids, modifying user details and deleting users ids, viewing system users, sending messages to multiple users.

Runtime environment for the user:

The runtime environment for the user includes the default menu path for the user, the date format for the user, the default printer for the user, changing user’s password.

Provide Authorisations to the users:

In order to enable the user to access the various transactions, it is essential that the users have the correct set of authorisations. Setting of authorisations for the users based on their job roles. An authorisation tool is used to create the user authorisations. Once the authorisations have been created, profiles are created and the authorisations are attached to them. Each profile can have many such authorisations attached to them. The profiles are created based on the role definition of the user in the company. After the authorisations and profiles are created, user ids are created and the profiles are attached to the user profiles. Each user id could have multiple user profiles attached to them. For example, if we create a user profile for a business head, then that user id could have profiles relating to various departments / job definitions attached to it.

Printer Administration:

This includes installing the network printers and local and remote printers for the users, setting up printer queues, and managing printer spooler.

System Administration:

This includes starting and stopping the SAP service manager, diagnosing the system start-up, monitoring work processes, viewing transaction codes, clearing locked entries, monitoring system updates, transport of customising change requests and ABAP change requests at the OS level.

Database Administration (including Backup and Restore):

Database management including database backup and restore, database performance monitor, and analysing database activity.

Interfaces with non-SAP products:

BASIS also includes tools for interfacing with non-SAP products, which will continued to be in use in the organisation.

ABAP/4

ABAP is the development tool in SAP. All SAP Transactions and Reports are developed in ABAP/4. ABAP/4 aids in the development of new reports, batch conversion programs and data entry screens (module pool programs) and interfaces with third party standard software.

SAP software is totally transaction based. All the menu paths in SAP point to a particular transaction. A transaction is a four-letter alphanumeric code, which executes a program in SAP. Everything in SAP is a transaction. For e.g.- Creating a Purchase Order is a transaction, Changing the Purchase Order details is another transaction. Transactions are also used to run various reports. Each report has a unique transaction code. Each transaction code is unique in the SAP system.

ABAP/4 Reports

There are following types of ABAP/4 reports that can be developed.

Simple Lists:

ABAP/4 can be used to generate simple lists as well as interactive reports.

Interactive reports

Event Driven Reports: These reports are generated on click of a button.

Drill Down Reports: Reports are initially shown as simple upper level lists. If the user is interested in getting further details, then he can drill down on a particular item like material code or project number and get further details. Thus many levels can be incorporated into the report based on the user requirements.

Graphic Reports: Reports can be developed to provide a graphical representation of the data.

Layout Sets: ABAP also facilitates developing of various documents sent to external parties like customers and vendors. These documents require special formatting and printing of company logos. This can be done through ABAP Layout sets tool, which enables the programmer to specify various fonts, set the logo in the format and perform special formatting in the document.

ABAP/4 Batch Data Conversion

Batch Data Conversion programs are developed to import the data from legacy systems into SAP. Batch programs are written specifically for the particular transaction. For example, to upload all the purchase order data from the legacy system, a BDC for the purchase order transaction is developed.

Online or Scheduled: BDCs could be online or they could be scheduled to run at a particular time / date or after a particular other BDC has run.

ABAP/4 Job Scheduling: The user can schedule the running of reports / BDCs on a periodic basis (monthly / weekly).

ABAP Module Pool Programs: These are new data entry screens that can be developed in ABAP based on the user requirements.

ABAP Queries: ABAP Query is a quick and effective tool, which is used to create queries and generate simple lists.

ABAP Module Pool Programs: To build interactive data entry screens, Module Pool programs are developed in ABAP/4

implementation of SAP at site.

oftware / Hardware requirements for implementation of SAP at site.

VSAT: PAMA VSAT (preferably) or TDMA VSAT.

PC running NetWare or Router for Routing.

NetWare If a PC running Novell NetWare is used for routing then, the PC should have 2 NetWare Interface Cards (NIC), one NIC connected to the LAN and one NIC connected to the IDU of the VSAT. Both the NICs should have valid IP addresses assigned by LTITL.

Router If a Router is used for routing, then the router should have a serial port to connect to the IDU of the VSAT, and it should have one Ethernet port (NetWare interface card) to connect to the local area network.

Hardware One Personal Computer

Pentium 166MHz MMX / Pentium II with 32MB RAM 1.44MB FDD, 4 GB HDD

14" SVGA color monitor

VGA Card with 1MB RAM 101/102 keyboard Mouse Ethernet 32Bit Card SMPS,

2 serial & 1 Parallel Ports

Software MS-DOS 6.2, Windows 95 / Windows 98,MSOffice 97, SAP GUI 3.1H

Printer Printer connected to the LAN can be accessed.

To use the printer connected to the LAN,

1) Set the printer on the PC as the default printer

2) Select LOCL in the SAP print menu

What is SAP?

SAP is an ERP package, which caters to the key function of integration. It provides integrated functionality for finance, sales, materials management, production and human resources.

SAP is DBMS transactional software written in ABAP/4. Various modules provide various functionalities. It can be configured to meet the business process logic through customisation. SAP is customisable software. The database in SAP can be either Oracle or Informix.

Technical Architecture (refer diagram a)

The technical architecture of SAP R/3 is as per the diagram. The Technical Architecture of SAP R/3 is a three-tier architecture. This means that the architecture can be broken down into three layers. First is the Data base Layer. The Database layer hosts the central database. The central database is a Relational Database Management System (RDBMS). The next layer is the application layer. The business logic processing occurs in the application layer. The presentation layer is the Graphic user interface or the GUI, which interacts with the user and receives inputs and gives output to the user.

SAP recommends four concurrent Servers:

To have better control over the production system, SAP recommends four different servers in a typical SAP implementation. These are:

Development: All development work is carried out in the development server. Unit

testing is done in the development server.

Integration: The changes are then tested for their correctness by integration testing in the integration server

Consolidation: The consolidation system consolidates all the changes before they

are transported to the production environment.

Production: The production system is the live system which contains all the current data.

Technical Information - SAP

SAP is a 32 Bit Client Server Application.

SAP uses 4GL (4th Generation Language) called ABAP/4 for Front end Development

ABAP/4- Advanced Business Application Programming Language

Uses ALE (Application Link Enabling)

Loose Coupling of Database

Independent Servers

SAP uses Messaging Mechanism to Synchronize database

IDES - Integrated Documentation and Educational System. IDES contains example data for all transactions.

OSS - Online Support System. This is an Online Support System provided by SAP.

Modules in SAP

SAP is divided into various modules that cater to different functionalities. The various modules of SAP are as follows:

Sales and Distribution

Project Management

Materials Management

Quality Management

Finance and Controlling

Human Resources

Production Planning

Plant Maintenance

ERP and Change Management:

ERP calls for a lot of change. The changes can be categorised as follows:

Business Processes

The business processes are most likely to undergo some changes. These changes could even involve scrapping the process entirely or tasks in the process, if they are considered as a redundant tasks in the ERP environment.

Organisation Authority, Jobs and Roles

The organisation authority and role definition of an individual also changes. In the new environment, information is available on-line, and access to information makes it easier to take decisions quickly at any levels. This creates new jobs and role definitions and new authority definitions.

Performance Measures and Rewards System

The new system also calls for a revised set of performance measures and rewards system. This is necessary since ERP causes a change in the job definition and role definition of the organisation employees.

Technology and IT Infrastructure

ERP involves a change in the existing technology and IT infrastructure. The architecture of ERP system requires an upgradation of the existing hardware and implementing of new technology.

Post Implementation Activities:

The post implementation activities can be categorised as follows:

User Training

Constant training needs to be given to all users atleast in the initial phase after the go live. This is important, so that, users feel more comfortable with the new system.

Troubleshooting and Support

Troubleshooting of user related problems and Support to users forms the major chunk of the activity after the implementation of ERP. This also involves setting up a helpdesk functionality wherein the users can address their problems.

New developments

Another important activity, which is conducted in parallel to the other activities, is the development of new programs or modification of the existing programs. New Developments also include new configurations that were not envisaged earlier and come to light at this stage. This also involves upgrading the existing package to a higher version.

Implementing ERP – Business Process Re-engineering:

An ERP implementation involves a number of steps. In effect these steps lead to a BPR. Business Process Re-engineering can be of two types – The Big ‘R’ or the small ‘r’. The big ‘R’ re-engineering is the complete re-engineering of all the process. The small ‘r’ re-engineering is a package enabled re-engineering. At L&T, we have adopted the small ‘r’ or the package enabled re-engineering. In a package enabled re-engineering, the changes are made in the business process to adapt to the package.

A typical ERP implementation involves the following steps:

AS-IS Analysis:

This involves an in-depth analysis and mapping of the existing business processes. In the AS-IS phase, there were many good but disjointed systems. All the systems were independent of each other and there was no integration between the various systems.

TO-BE and GAP Identification:

This stage reflects the business process re-engineering phase. Once the existing business processes are mapped, then the second step is to identify how the organisation would require the particular business process to be addressed after implementing ERP. The business process may be continued to be addressed as it is being done so or the organisation might go in for a different method of addressing the business process. Thus each and every process mapped at the AS-IS phase is re-visited with a view of objectively analysing the same and thus increasing the effectiveness of the business process. Each AS-IS process is mapped to a TO-BE process.

After the TO-BE maps are prepared, each TO-BE map is studied with respect to how the ERP package addresses these processes. In this way each and every TO-BE map is studied and the end of the exercise, a list of issues that are not addressed directly by the ERP system, is generated. This list is called as the GAP List. GAPS are those business processes, which are not directly addressed by the ERP system. It is then decided whether to use workarounds, or develop patches, which will address these missing links, or decide not to address the GAP – if the process is not affected by it.

Prototyping and Design

In the prototyping and design stage, a design or prototype of the new configuration is created. This involves creating a story situation wherein the whole cycle of the business process is simulated in the system.

Construction

In the construction phase, the configurations are done, new developments (forms, reports and BDCs) are made for the new requirements. These configurations are first done in the development environment and then tested thoroughly before transporting the same to the production environment.

User Acceptance Test (UAT)

The users are trained in the new system and set of users representing the user community, are selected for conducting the testing and confirm their acceptance after testing the system and satisfying themselves regarding the same.

Go-Live

After the users have tested the system and given the user acceptance, a cut-off date is decided for going live in the new system. The go-live could be done by two methods. The organisation can decide to use the new system as well as the old system for some time. This method is called as handholding and is usually adapted for accounting systems. The other method is to decide a date from which all new transactions will be entered and will be available in the new system.


Implementation Approaches

The following are the implementation approaches for ERP

Big Bang Approach

In this approach, ERP is implemented at one-go at all the offices of the organisation.

Pilot Rollout

In the Pilot rollout approach, one subsidiary business unit (SBU) is selected as the pilot and ERP is first implemented in that unit. Then it is rolled out to other business units in a phased out manner.

Functional Rollout

In the functional rollout approach, one function like finance or materials management is selected for implementation. Then one by one ERP is implemented for each of the functions in the organisation.

Cross-Develop Global Prototype

In the cross-develop global prototype, a prototype is first developed and tested. Once successful, the implementation is done for the entire organisation.

ERP Vendors:

The following are the major ERP vendors locally and

internationally.

Local

RAMCO : Marshall

MASTEK : Mamis

International

SAP (Systeme Anwengdung Producte)

BAAN

PeopleSoft

Oracle

Mfg*Pro

J.D.Edword


Evolution of ERP:

MRP: ERP started with Materials Requirement Planning (MRP). MRP catered to the two basic functions of Materials Management and Inventory Management and typically catered to a manufacturing organisation.

MRP-II: An upgrade over MRP was MRP-II. MRP-II provided for production Planning along with Materials Management and Inventory Management.

ERP: Enterprise Resource Planning. This package provided for the complete suite of applications ranging from Sales and distribution, Planning, Materials Management, Quality Management, Human Resources and Financial Accounting.

The keyword with ERP is "Integration".


ERP: An introduction

Software Trends:

Initially application software was developed in-house. To maintain this in-house developed software, the organisation needed a team of experts – who were expensive to maintain. This gave way for outsourcing of application software development. Outsourcing led to over dependence on third parties. This also created a situation wherein there were several third party software, and it became increasingly difficult for the various applications to "talk" to each other. Data exchange between the various softwares became increasingly difficult or impossible. Integration between the various application softwares was grossly lacking. So, instead of buying best of breed solutions for Materials Management, Accounting, Human Resources and Planning, it was necessary to have a single window solution or a single package solution, which would address all the different business processes and offer the advantage of being totally integrated. ERP – Enterprise Resource Planning provided an integrated single window solution, which catered to the above need.