Notes on SAP Implementation Project Steps

Jul 5, 2024

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SAP Implementation Project Steps

General Overview

  • Purpose: Understand the company's complete requirements.
  • Example: Implementation for Dr. Daps Group, a multinational company headquartered in India.

SAP Methodology

Requirement Gathering

  1. Consultant Discussions: Each department consulted by specific consultants:
    • FICO Consultants: Finance managers and end users for finance.
    • MM SD PP Consultants: Relevant to their departments.
  2. Document Preparation: As-Is Document and Blueprint.

SAP Configuration

  • Group Definition: Group company setup.
  • Legal Entities: Defined as company codes in SAP.
  • Business Areas: Defined (Hyderabad, Shamirpet, Bangalore, Chennai).

Company Structure in SAP

  • Group Company: Referred to as 'company' in SAP.
  • Subsidiary Companies: Referred to as 'company codes’ (e.g., DRL B, DRL PHA).
  • Business Area: Areas where business is conducted, could transition to Profit Center Accounting.
  • Chart of Accounts: One chart for multiple company codes, essential for consolidated financial statements.

Detailed Configuration Steps

Organizational Structure

  1. Define Company: SAP SPRO - Enterprise Structure - Financial Accounting - Define Company.
    • Example: DRL Group.
  2. Define Company Code: SAP SPRO - Define company code (e.g., DRL BTR for India).
  3. Assign Company Code to Company: Link subsidiary company code to parent group company.
  4. Create Business Area.

General Ledger Accounting

  1. Define Chart of Accounts: Register all GL accounts needed (e.g., DNL CA).
  2. Assign Chart of Accounts to Company Code.
  3. Define Account Groups: Segregate GL accounts into groups (liabilities, assets, income, expenditure).
  4. Define Retained Earnings Account: Specify where retained earnings are posted.
  5. **Define Fiscal Year Variant: Specify financial year patterns (e.g., April-March or Jan-Dec).
  6. Assign Fiscal Year Variant to Company Code.

Posting Periods

  1. Define Posting Period Variant: Set periods for posting entries.
  2. Assign Posting Period Variant to Company Code.
  3. Define Open and Close Posting Periods: Keep current month open, others closed.

Field Status Varients

  1. Define Field Status Variant: Determine required, optional, or suppressed fields.
  2. Assign Field Status Variant to Company Code.

Document Control

  1. Define Document Types and Number Ranges: Assign numbers to different document types (e.g., SA for GL Document).
  2. Define Employee Tolerance Groups: Set authorization limits based on roles (e.g., AO up to 5 lakhs, FM up to 25 lakhs).

Tax Procedures

  1. Define Tax Procedure: Create a basic tax procedure.
  2. Assign Tax Procedure to Country.

Global Settings

  1. Define Global Parameters: Setting up global parameters for company codes.

Practical Usage

  • SAP Logon Pad: Interface for configuring and testing SAP implementation.
  • IMG Screen: Used by consultants for configuration and customization.
  • Easy Access Screen: Used for day-to-day operations (e.g., master data creation, transactions).

Summary

The lecture detailed the SAP implementation methodology, involving requirement gathering, defining organizational structure, configuring account systems, defining fiscal and posting periods, and setting up document controls and tax procedures. Practical steps for accessing and configuring SAP were also discussed.