SAP – Systems Applications Products in Data Processing – Overview of SAP S/4HANA

Introduction

SAP S/4HANA, or SAP Business Suite 4 SAP HANA, is the fourth generation of SAP’s Business Suite. This next-generation enterprise resource planning (ERP) solution leverages cutting-edge technology to streamline operations, enhance performance, and drive digital transformation across organizations.

SAP is an ERP (Enterprise Resource Planning) Software

SAP ERP has different core modules like SAP MM, SAP PP, SAP SD, SAP FI/CO

Key Characteristics

  1. In-Memory Database (SAP HANA)
    SAP S/4HANA operates exclusively on the SAP HANA in-memory database, which stores data in main memory (RAM) rather than on disk. This enables:
    • High-Speed Data Processing: Accelerates data retrieval and processing for complex transactions and analytics.
    • Real-Time Analytics: Provides instant insights into business operations, supporting faster, data-driven decision-making.
  2. Simplified Data Model
    The data model in SAP S/4HANA is significantly simplified compared to older SAP ERP versions. Key features include:
    • Reduced Data Redundancy: Elimination of redundant tables (e.g., history tables) and streamlined sales document tables (e.g., VBAK for sales order headers, VBAP for sales order items).
    • Improved Performance: Simplified architecture reduces data footprint and enhances system efficiency.
    • Simplified IT Landscape: Fewer tables and dependencies streamline maintenance and integration.
  3. Intelligent Technologies
    SAP S/4HANA integrates advanced technologies such as:
    • Artificial Intelligence (AI) and Machine Learning (ML): Enables intelligent automation of repetitive tasks, such as invoice matching.
    • Predictive Analytics: Provides foresight into business trends, improving decision-making and operational efficiency.
  4. New User Experience (SAP Fiori)
    SAP S/4HANA offers a modern, intuitive, and role-based user experience through SAP Fiori apps, featuring:
    • User-Friendly Interface: Responsive design accessible on desktops, tablets, and mobile devices.
    • Personalized Access: Role-specific apps enhance productivity and simplify navigation.
  5. Deployment Flexibility
    SAP S/4HANA supports multiple deployment options to suit diverse business needs:
    • On-Premise: Full control over infrastructure and customization.
    • Public Cloud: Scalable, cost-effective, and managed by SAP.
    • Hybrid Model: Combines on-premise and cloud benefits for flexibility.
  6. Industry-Specific Solutions
    SAP S/4HANA provides tailored functionalities and best practices for a wide range of industries, including:
    • Manufacturing (e.g., support for Make-to-Stock [MTS] and Make-to-Order [MTO] strategies).
    • Retail, finance, healthcare, and more, ensuring industry-relevant processes and compliance.
  7. Real-Time Analytics and Reporting
    Leveraging SAP HANA’s in-memory capabilities, S/4HANA enables:
    • Real-Time Data Analysis: Processes vast amounts of data instantly for actionable insights.
    • Embedded Reporting: Delivers comprehensive reports and dashboards without external tools.

Benefits

Intelligent Automation: AI, ML, and predictive analytics streamline operations and reduce manual workloads.

Enhanced Performance: In-memory technology and simplified data models deliver unparalleled speed and efficiency.

Real-Time Insights: Enables immediate access to analytics, reporting, and forecasting for agile decision-making.

Scalability and Adaptability: Flexible deployment options and industry-specific solutions cater to diverse business needs.

Improved User Productivity: SAP Fiori’s intuitive interface enhances user engagement and efficiency.

SD Process Flow

Contract Types

  • Quantity Contract: Specifies a target quantity of goods to be delivered.
  • Value Contract: Defines a target monetary value for goods or services.

Return Sales Cycle

  • Process:
    1. Credit Memo Request: Created via VA01 to initiate a return.
    2. Delivery Return: Processed via VL01N, followed by Post Goods Receipt (PGR) in VL02N.
    3. Credit Memo: Issued via VF01 to finalize the return.
  • Inventory Example:
    • Initial stock: 1000 pcs.
    • Delivery Order (DO): 50 pcs → Post Goods Issue (PGI) reduces stock to 950 pcs (1000 – 50).
    • Return: Create Delivery Return in VL02N, perform PGR → Stock returns to 1000 pcs (950 + 50).

Key SD Transaction Codes

  • Inquiry:
    • VA11: Create Inquiry
    • VA12: Change Inquiry
    • VA13: Display Inquiry
  • Quotation:
    • VA21: Create Quotation
    • VA22: Change Quotation
    • VA23: Display Quotation
  • Sales Order:
    • VA01: Create Sales Order
    • VA02: Change Sales Order
    • VA03: Display Sales Order
  • Delivery Order:
    • VL01N: Create Delivery Order
    • VL02N: Change Delivery Order (e.g., modify quantity, perform PGI/PGR)
    • VL03N: Display Delivery Order
  • Invoice:
    • VF01: Create Invoice
    • VF02: Change Invoice
    • VF03: Display Invoice
  • Cancellations:
    • VF11: Cancel Invoice (with reference to original invoice)
    • VL09: Cancel PGI

Example Scenario

  • Delivery Order: Create DO for 20 pcs, invoice for 20 pcs.
  • Modification: In VL02N, update DO quantity to 22 pcs, save, perform PGI, and raise invoice via VF01.

Role-Based Access

  • Anshuman (User ID: AS01): Authorized for Sales (e.g., VA01, VA21, VF01).
  • Priya (User ID: PR01): Authorized for Purchase-related activities.