SAP SYSTEM Essay Example | Topics and Well Written Essays - 2000 words

SAP SYSTEM - Essay Example The following report is a critical analysis of adoption of SAP systems in business environment and challenges and benefits that are derived by implementing SAP from accounting perspective. For the purpose of analysis first an overview of the SAP systems is provided and is compared with Oracle financial accounting. Challenges and benefits of SAP are analyzed by means of literature review. From the analysis of challenges recommendations are provided which lead to the success factors of SAP. SAP stands for Systeme, Anwendungen, Produkte which is the German word meaning Systems applications and products. SAP ERP system is used to encompass a wide range of software products that supports day-to-day business operations and activities. ERP serves different industries and several functional aspects in integrated approach. The attempt is to automate different operations from supply chain management, inventory control and almost any management process that uses data. Many business organizations use SAP for their entire business functions. Other business organization use SAP for some specific business functions only. The reason for the wide acceptance and the popularity behind SAP is this functionality that allows it to be designed and customized in accordance with the requirement of particular organization. Most organizations earlier used standalone software to perform  ­Ã‚ ­Ã‚ ­Ã‚ ­individual functions. However since ERP has been invented all these individual and stand alon e functions have been integrated and can be performed by this single software package alone. In case of standalone system for a particular change to be incorporated and taken into account the companies had to modify each functional software separately which was time consuming and expensive. However, since SAP has come into the picture all this cumbersome and difficulties have been resolved. For example if a salesman would have earlier completed an order then it was required that