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An Overview of the Most Important SAP Modules

SAP stands for ‘Systems, Applications and Products’ and its Turkish equivalent is ‘System Analysis and Programme Development’. SAP is a software founded by 5 friends who left IBM in June 1972. SAP, a world leader among ERP software (Enterprise Resource Planning), has enabled companies of different scales to manage their processes in the most efficient way. SAP software has different modules developed in accordance with the needs in different areas such as finance, HR, sales, inventory management, quality control. These modules enable teams in different departments to carry out business processes in an integrated manner. Let's take an overview of some of the SAP modules together.

  • SAP Financial Accounting (FI)
  • SAP Controlling (CO):
  • SAP FI and CO
  • SAP Sales and Distribution (SD)
  • SAP Production Planning (PP)
  • SAP Materials Management (MM)
  • SAP Warehouse Management (SAP WM)
  • SAP Extended Warehouse Management (SAP EWM)
  • SAP Extended Warehouse Management
  • SAP Quality Management (QM)
  • SAP Human Capital Management (HCM)
  • SAP Project Systems (SAP PS)
  • SAP Plant Maintenance (SAP PM)

What is SAP ERP Software? What Does It Do?

Before discussing SAP modules, let's answer the question ‘What is SAP’.

SAP ERP system is designed to automate the business processes of enterprises, increase performance, make more informed decisions and increase productivity. It provides a smooth flow of information by creating integration between all business processes such as financial, logistics, production, quality management, production, project management. In this way, the SAP system ensures that all processes are carried out on a single platform and eliminates disconnects, information deficiencies and delays between processes.

What are SAP Modules?

SAP ERP has many modules that enable the execution of different business processes. SAP Modules collect, store and manage data from many operational processes. These modules can be customised and integrated according to business needs. Some of the most common SAP modules are as follows:

SAP Financial Accounting (FI) Module

The SAP FI module covers the part related to the management of financial transactions in enterprises and is the most used module among hundreds of SAP modules. The priority reason for this is that, unlike other SAP modules, it can be used in all sectors. There is no industry limit, nor does the scale of the company restrict usage. All small, medium and large sized companies can use this module. One of its most important features is that it does not need SAP ERP for its use. SAP FI module can be integrated into any ERP system.

It helps finance department employees manage their data related to any financial and business transaction through a unified system. SAP FI is a flexible module and works very well when it comes to reporting requirements and economics. The Financial Accounting module helps a business to obtain its real-time financial status in the market. SAP FI is combined with other SAP modules such as SAP SD, SAP MM, SAP PP and more for better working results.

SAP Controlling (SAP CO): Management Accounting and Control Module

The SAP CO module is another important SAP module offered to businesses. The control module supports the process studies of the planning, reporting and monitoring operations of the enterprises. It includes methods for viewing and arranging costs required for financial reporting. The control module enables a person to plan, monitor, perform and report costs. Control includes cost elements, cost centers, profit centers, internal orders and functional area etc. It includes managing and configuring master data covering. Cost and Profitability analyzes are of great importance for all companies, so the SAP CO module is a module that all sectors need.

SAP FI and SAP CO: SAP Financial Accounting and SAP Controlling

SAP FI/CO module consists of a combination of financial accounting and control modules and works in an integrated manner for businesses to follow their financial transactions. SAP FI enables the execution of transactions such as vendor accounting, general accounting, customer accounting, cost accounting, fixed assets accounting. SAP CO module is used for processes such as budgeting, decision making, profit and loss tracking, planning of business strategies. SAP CO FI module automatically transfers the data in the FI module to the CO module by providing uninterrupted data flow between the two modules.

SAP Sales and Distribution (SAP SD) Module

The SAP SD module handles the management of enquiries, quotations, pricing and many more. The module greatly facilitates inventory control and management. With the SD module, pricing conditions are defined, credit and risk management is performed, offer follow-ups and customer contracts are managed. Planning programmes such as packaging, transport and dispatch are also functions covered by the module.

SAP SD module consists of master data, system configuration and transactions. Some of its subcomponents are master data, sales, sales support, sales information system, invoicing, credit management, transport and transfers.

SAP Production Planning (SAP PP): Production Planning

SAP PP module is another important module that includes software specially designed for production planning and management. This module also consists of master data, system configuration and processes to perform the planning procedure for production.

SAP's PP module cooperates with master data, sales and operations planning, distribution resource planning, material requirements planning, inventory management, capacity planning Kanban, product cost planning, etc. while working towards production management in enterprises.

SAP PP Module Components:

  • Sales Operation Planning (SOP)
  • Data Management (DM)
  • Material Requirements Planning / Master Production Planning (MRP/MPS)
  • Capacity Requirements Planning (CRP)
  • Long Term Planning (LTP)
  • Information Systems / Reporting

SAP Materials Management (MM) Module

The SAP MM module, as the term suggests, manages the materials required, processed and produced in businesses. With this system, different supply processes are managed. Some of the popular sub-components in the SAP MM module are vendor master data, consumption-based planning, purchasing, inventory management, invoice verification, etc.

SAP MM is part of the logistics functions and helps manage an organization's procurement activities. It supports all aspects of material management (planning, control, etc.). It is the backbone of logistics, which includes modules such as Sales and Distribution, Production Planning, Factory Maintenance, Project Systems and Warehouse Management.

SAP Warehouse Management (SAP WM): SAP Warehouse Management System

SAP EWM module is a module where businesses manage their warehouse inventories and all processes related to the warehouse. It is used to track the amount of goods in the warehouse, to track the entry and exit, to locate the materials, to manage stock transfer operations and to track warehouse address movements.

SAP Extended Warehouse Management (SAP EWM): SAP Extended Warehouse Management

SAP's EWM module is designed to manage storage processes more flexibly and efficiently. In addition to the WM module, SAP EWM module has some features for e-commerce businesses, workforce management, packaging solutions, warehouse space optimisation.

SAP Quality Management (QM) Module

SAP QM module assists in quality management in productions throughout processes in an organization. This quality management module helps an organization accelerate their business by adopting a structured and functional way of managing quality across different processes. SAP QM module, procurement and sales, production, planning, inspection, notification, control, audit management etc. cooperates on issues. SAP QM performs the following basic functions in the production of goods:

  • Quality Planning
  • Quality Notices
  • Quality Inspection

SAP Human Capital Management (HCM) Module

The SAP HCM module improves the business process and data management in the HR department of enterprises. From hiring a person to evaluating the person's performance, managing promotions, salaries, managing payroll and other related activities of an HR are handled using this module. The task of managing the details and task flow of the most important resource, namely the human resource, is managed using this SAP ERP HCM module.

SAP Project Systems (SAP PS): SAP Project Systems

SAP PS is a project management module of the SAP system. SAP PS module helps to manage a project efficiently throughout the life cycle of the project, from the creation of a project to the preparation of a detailed plan, from the execution of the project to its completion.

It is a must-have module for businesses that carry out project-based work such as construction and shipbuilding. With this module, it is easier to follow important steps such as sales, after sales, determining the cost of projects, and progress level.

SAP PS Module Components

  • Project Structure
  • Timeline
  • Income and Expenditure Planning
  • Budgeting
  • Project Progress Analysis
  • Reporting

SAP Plant Maintenance (SAP PM): SAP Plant Maintenance

SAP PM module is used to maintain the machines and equipment in the production line, to follow up maintenance, to eliminate malfunctions and to find the causes of malfunctions.

SAP continues its journey, which started with a small team of five people, with more than 440,000 customers in 180 countries today. If you want to be a part of this adventure with our SAP consultancy services provided by our expert staff and SAP compatible solutions that will accelerate your digital transformation process, you can contact us.

SAP continues its journey, which started with a small team of five, today with more than 440,000 customers in 180 countries. If you want to be a part of this adventure with our SAP consultancy services that we provide with our expert staff and our SAP compatible solutions that will accelerate your digital transformation process, you can contact us.

SAP Module Consultancy


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