Download
1 / 88
E N D
ERP (SAP S/4 Hana )System Overview Procure to Pay(P2P) Module February,2024
Purpose Purpose and objectives ERP Module overview
Contents • Introduction 4 System Overview 11 • SAP MM 15 • SAP MM Organization structure 17 • EPSS Purchasing organization 24 • Master Data 28 • P2P cycle 34 • P2P Report 79
End to End Transformation with ERP SAP S4/HANA is an integrated business process pre-built on world-class best-in-class processes and implementations that help EPSS deliver consistent quality service across business processes and customer environments. • Lead with Best Practices • Boost productivity • Improved visibility and reporting • Remove duplications and reduce cost • Enhanced customer service and interactions • Paper-based transaction • Longer Lead time • Poor visibility and data quality • Time consuming and costly • Backward processes
EPSS will be benefiting from ERP investment in various ways including but not limited to the following Why EPSS is Investing in ERP system According to a recent Business case study, investment in ERP will generate an ROI of 9.8 Million USD in 3 years and free up 85 million USD in working capital. This in turn will enable EPSS to attain financial self-sufficiency in long term. EPSS currently has more than 10 different systems that serve the needs of various directorates in a scattered way. The ERP solution will now integrate this into one platform and reduce duplication. Integration Cost saving & Profitability Capacity & scalability EPSS will be enabled with information to monitor performance at all levels and clearly show where processes stuck, control cost, product expiry, lead time.. etc End-to-End Visibility EPSS is required to fulfil the growing needs of the country’s health facility demand for pharmaceuticals and medical equipment needs, and it needs a system that can serve these needs for capacity and also be scalable to accommodate future needs • After ERP Implimentation:- • 90% of Finance processes are expected to be fully automated and 10% partially automated, • 76% of SCM processes are expected to be fully automated, 15% partially automated • 57% of HR processes are expected to be fully automated, 40% partially automated Why EPSS is Investing in ERP System Operational Efficiency Automation of process ERP Investment is expected to double the inventory turn from 0.9 to 2.2; reduce procurement lead time and Enhanced Customer Service Standardization EPSS will benefit from SAP standard workflows and adapts world-class business processes which help in standardising pricing, reducing supply interactions, improve customer interaction ERP allows all actors (Internal & External) to gain access to on-time and accurate information by directly engaging with the ERP system (i.e Managers Portal, Employees portal, customer portal, suppliers portal & Candidates portal)
On a general level, ERP systems are classified into three tiers based on the organisation they serve and their level of complexity. EPSS is implementing tire 1 SAP/S4 HANA ERP Solution Type of ERP Systems
Note: EPSS is implementing On-premise ERP and currently investing hugely to modernise its IT infrastructure Modern ERP systems can be deployed in a number of ways: in a public or private cloud, on premise, or in various hybrid scenarios that combine environments. ERP System deployment options Hybrid ERP • For companies that want a mixture of both to meet their business requirements, there is the hybrid cloud ERP model. • This is where some of your ERP applications and data will be in the cloud and some on premise. Sometimes this is referred to as two-tier ERP. On-Premise ERP • This is the traditional model for deploying software where you control everything. The ERP software is typically installed in your data center at the locations of your choice. • The installation and maintenance of the hardware and software is your staff’s responsibility. • Many companies are modernizing and upgrading their on premise ERP systems to cloud deployments. • This requires careful planning of your ERP upgrade as well as a thoughtful process of evaluating ERP software and deployment options. Cloud ERP • With cloud ERP, the software is hosted in the cloud and delivered over the Internet as a service that you subscribe to. The software provider generally takes care of regular maintenance, updates, and security on your behalf. • Today, cloud ERP is the most popular deployment method for many reasons – including lower upfront costs, greater scalability and agility, easier integration, and much more.
Introduction SAP S/4 HANASAP portfolio for the digital value network
Basic Interfacing Options SAP S4/HANA Accessed through ‘GUI’ a Desktop Application Accessed via direct URL in your web browser
Introduction SAP S/4 HANAUnified UX Direction for all SAP Software
Exploring SAP FIORI Launchpad Search across and within apps to get immediate answers Catalogs Profile Tiles( Applications) Role based
Detail Scope of Tranche One ERP Implementation A total of 11 modules are part of the first Tranche ERP Project Implementation Sales and Distributionn Warehouse Management Financial Management Environmental Health & Safety • Risk Management • Incident Management • Incident Tracking & Reporting • Batch Management • Inventory Management • Inbound and Outbound shipments • Inventory Analytics • Customer Onboarding & Registration • Sales Order and Contract Management • Cash and Credit sales processing • Delivery management • Customer Recall and Return • General Ledger • Account Receivable • Account Payable • Finance Control • Fixed Asset Accounting • Bank and Cash Management Advanced Warehouse Management Quality Management Procurement • Quality Planning • Quality inspection • Compliant Handling • Quality Rules • Purchase Requisition • Supplier and Material Registration • Purchase order and Contract Management • Vendor Performance Management • Material Recall and Return • Warehouse structure management • Inbound and Outbound logistics integration • Warehouse task and resource management • Inventory Management & RFID configuration Human Resource Management (HCM) • Organisation Management • Personnel Management • Time Management • Payroll Management Transport Management Forecasting and Planning Maintenance • Transport Planning • Shipment tracking • Management of transportation charges • Sales and Operational Planning • Demand Management • Material Requirement Planning • Procurement Planning • Forecasting and Projection • Maintenance Planning • Preventive and Corrective Maintenance • Fleet Management • Paper Management • Fuel Management
No yes No yes yes No PR If source exist? Convert to RFQ If long term procurement? Maintain & Release quotation If fixed interval delivery? Compare quotation Select best quotation & reject others Outline Agreement (Contract) Scheduling Agreement Convert best quotation to PO Create PO or Scheduling Agreement Release PO as per Release Strategy GR & Invoice Verification
