SAP (System Application Product)

WHAT?
SAP stands for “ System Application Product “
It is an integrated business solution, which provides high level of information
integrity,
Especially for huge volume organization. SAP is a strong ERP (Enterprise Resource
Planning)
Project implemented with Six (6) Modules, and this was the first time in the history of
Pakistan, that all Six (6) Modules got live at the same time.
These Modules are:

1. FI (Finance)
2. CO (Controlling)
3. PP (Production Planning)
4. QM (Quality Management)
5. MM (Material Management)
6. SD (Sale & Distribution)

All modules are highly integrated having complex scenarios, including mechanical
manufacturing. All the models implemented are having following process covered
under ERP Umbrella.
Respective details areas under:

1- FI (Finance):
FI module synchronized the organization process in A/C
a) Payable:
Vendor payments, Contractors payments etc.
b) Receivable:
5S Dealers, Antenna Dealers etc.
c) Sales Tax.
d) Fixed Assets.
f) Credit Management (Customs)

2- CO (Controlling):
Reporting regarding, cost controlling, process &
manufacturing costs, appraisal costs, product costs etc.
3- PP (Production Planning):
a) MRP ( Material Requirement Planning) regarding synchronized
inhouse production orders generation interplant requirements etc.
based on sales forecast.
b) Sequence planning.
c) Capacity planning at production shop level.
d) Production & process rejection etc.

4- QM (Quality management):
a) Quality inspection of components as well as finished product.
b) Vendor evaluation according to deliveries & rejections based on its
certified & non certified nature.
c) Reporting regarding problem & defect analysis.

5- MM (Material management):
a) MRP(Material Requirement planning) regarding generation of
purchase order and their scheduling to Vendors/Supplier.
b) Goods receiving (valuated stock).
c) Goods issuance (valuated stock).
d) Stock transfer: interplant, subcontracting & outbound return deliveries
etc.
6-SD (Sales & Distribution):
a) Sales order creation.
b) Reporting regarding orders, deliveries, back orders & pending orders
etc.
c) Allotments / Allocation to customers.
d) Pricing scenarios.

WHY:
Same

WHEN:
ERP implementation project started in Nov-04 Got live in July-06.
 HOW:
ERP implementation project was splitted into phases are as follow.

PHASE 1:
PROJECT PREPARATION:
A) Initial project planning, regarding budget approval, product
selection, vendor / service providers selection etc.
B) Project procedures finalization of organization hierarchy &
implementation teams for both client & service provider.
C) Resources & Technical requirements. It includes the
finalization for the space and hardware for project team.
D) Training: Initial overview for all modules regarding processes
and all options and scenarios, which ERP is containing
equipment requirement up to Go-live including WAN status,
server capacity and other technical aspects.

PHASE 2:

BUSINESS BLUE PRINT: In this phase, requirement

workshops are conducted. Existing Business Process of the company are mapped.
These documents requirements. Help service provider to create the business blue print
(BBP). On this basis, a common understanding is developed as to now the company
intends to now their business processes within the ERP environment Business Blue
Prints initially created for individual modules.