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SAP S/4 Hana

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What is ERP?

Enterprise Resource Planning is a term originally used to describe concepts and methods for management reform. This is one of management approaches for efficiency and reforms by comprehensively controlling all management resources owned by the company for optimal allocation and distribution.
The ERP package refers to the information system to realize this approach.
Enterprise Resource Planning(ERP)is a methodology that enables businesses to reform or improve all internal operations (such as sales, logistics, inventory, financial management and accounting) from the perspective of management resources such as human, material, capital, information, and time. It is not a substitute for business operations through conventional computer systems but is a means of achieving business improvement.

Why ERP?
Why is it supported?
Four important points
to answer this.

  • Accelerate management decision-making

    In today's tough economic environment, with globalization and high value-added processes being sought after, simply making business decisions based on economic conditions won't lead to growth. The key to corporate growth lies in producing new value faster than competitors. This is why ERP is being recognized as an important management tool due to its ability to:

    • 1.

      Provide necessary information for prompt and accurate management decisions.

    • 2.

      Offer precise and timely information.

    • 3.

      Allow access to the necessary information at any time.

  • Responding to the demand for globalization

    With the globalization of business activities and the increasing complexity of business structures, it has become increasingly important to enhance information management at major production and sales bases, highlighting the need for high global compatibility capabilities, such as multilingual and multicurrency support in ERP systems. Furthermore, the fundamental principles of ERP, such as the optimization of business processes and standardization, can enhance the reliability of core system deployment across business locations and strengthen a company's competitiveness.

  • Responding to internal control requirements

    In recent times, there has been a growing awareness of compliance and risk management, and companies are strengthening their internal controls. The concept of business process definition and integrated databases provided by ERP is believed to have a significant impact on control requirements in the areas of internal and IT control.

  • Preparing for changing rules and external factors

    When there is a change in regulations within the business area, such as tax system changes or accounting standard revisions, it is always necessary to ensure compliance with the changes in the core system. ERP packages that are updated regularly for localization compliance are believed to contribute to reducing operational risks in system management by responding to system needs commonly.

What is SAP?

SAP is one of the world’s leading producers of software for the management of business processes, developing solutions that facilitate effective data processing and information flow across organizations.
Founded in 1972, the company was originally called "System Analysis Program Development (Systemanalyse und Programmentwicklung)", later shortened to SAP.
SAP is both a company name and synonymous with ERP software, one of which is SAP S/4HANA.