SAP FINANCE

SAP ERP

SAP –Stands for system application and product in data processing.

FI –stands for financials.
ECC-is for Enterprise Central component.
Founded in 1972 by 5 IBM Engineer Wellenreuther,Hopp,Hector,Plattner and Tschira.
ORGANIZTIONAL STRUCTURE
Organizational Structure

• Finance structure of company using SAP organizational units

• Maximum and Minimum structure

• Client
• Company Code

Organizational Units in Financial Accounting_

• Business Area
• Segment
• Profit Centre
• Company
FINANCE SUB- MODULES
What is Finance and Controlling?

Financial Accounting (FI) and Controlling (CO) are independent components in the SAP system.
Financial Accounting (FI) runs the applications that track and manage all financial transactions
Controlling (CO) interprets financial data and analyzes it for internal reporting and profitability
analysis.

FI
General
Ledger Manages all financial accounts

FI
Accounts
Payable Manages vendor invoices

FI
Accounts
Receivable Manages customer billing

FI
Asset
Accounting Manages fixed assets and depreciation

CO Controlling Manages responsibility accounting

MASTER DATA /TRANSACTIONAL DATA
Organization Structure, Master Data and transactional Data
relationship in SAP

All activities that use or

generate data within SAP
Transactions

G/L accounts, Vendors, Customers,

Cost Centers, etc.
Master Data

The foundation for all data within Organizational

SAP Structure
DOCUMENT CONTROL
Header Data and Line Item Data

Every document in SAP follows the same basic structure:

Header information applicable to the entire document
Line Item information with more detailed information for each specific entry

Header Data includes general

information such as:
- Document Number
- Document Date
- Currency
- Org Structure
- Fiscal Year

Line Item Data includes specific

information such as:
- The account type
- If the item is posted as
Debit. or Credit.
- The field status of
additional fields.
 Document Types – Control the Type of Document

Defined at the client level. This means that the same document types apply across the entire global entity. Different company codes in
different countries are not allowed to have their own document types.

 Document Type Configuration controls the following

elements:
• Number ranges for document numbers
• Account types permitted for postings
Required Entry-??
Posting Keys – Control the Type of Line Item

Defined at client level

Postings keys controls the following

Line item can be posted to which account type
Line item is either Debit or Credit.
Field status.

Valid account type For G/L postings, out of

(D, K, S, M, A) Material Management

Debit or Credit Entry

Controls
Sales-relevant posting

Screen selection entry rules for posting

Questions??
Thank you