SYSTEMS APPLICATION AND PRODUCTS IN DATA PROCESSING (SAP) is Enterprise Resource Planning Software and is the largest inter-enterprise software company in the world. This SAP business software aims to integrate every different module in a company with a very robust, customized and highly secured architecture. This software enables businesses to be done globally in a traditional way.
Enterprise Software Systems can be classified into two
1. Decentralized Systems
2. Centralized Systems ERP
The main problem with Decentralized system is that the data of one department cannot be accessed by the other departments thereby increasing the data management cost also increasing the time of data collection resulting in customer dissatisfaction hence loss in revenue generated. This will also result in the organisation losing its reputation.
These problems could be overcome by Centralized systems (ERP) where data will be stored centrally thereby enabling data access to all the business units thereby increasing productivity, quality and also increases revenue.
SAP and its significance:
According to a study 80% of Fortune 1000 companies run SAP and 87% of global 2000 companies use SAP with the remaining 13% using oracle. There are different modules in SAP and these are categorised into functional and technical modules.
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