Introduction to SAP S/4HANA for Absolute Beginners

We discussed the three major processes in SAP: procurement, production, and sales, along with their corresponding SAP modules. Procurement corresponds to the MM module, which creates value through quotation management and accurate invoice posting (remember the three-way match). Production corresponds to the PP and CO modules, creating value through comprehensive cost recording and the development of effective plans. Sales corresponds to the SD and FI modules, and the key elements in creating value are swift and accurate delivery and collection of payments. We also summarized the relationship between value creation and profitability from the value chain's perspective, emphasizing the crucial role of integrating resources and information in enhancing enterprise value creation.

In this session, we discussed several commonly used upper-level organizational structures in SAP, the most important of which is the company code, as well as plants, sales organization, purchasing organizations, etc. You should be familiar with these icons now. If not, please go back and review. We also introduced the concept of layered or classified master data, which works with org structure to benefit from both "commonalities and differences". Finally, we explained how to search for the organizations or master data you need in the system.

We covered the components of the SAP GUI interface and some commonly used buttons. We also went through demos using three t-codes and explained the naming pattern of t-codes. If you have access to a SAP sandbox system, I highly recommend that you follow along with the operations in this lesson to familiarize yourself with the system.

This lesson covered report selections, modifying layouts, exporting reports, and running reports in the background in SAP GUI. Selection variants and layouts can be saved for future use, and there are various ways to export reports based on the available options in different transactions. Running reports in the background is a useful option for large reports, although it comes with certain limitations on format.

In this lesson, I introduced how S/4HANA, through the innovation on database and other aspects, led SAP into a revolutionary new system. It also mandates all users to upgrade by 2027. Then, I introduced Fiori, an APP-based web interface, which represents both the present and future of SAP. Finally, I took you on a tour of the 2021 version of Fiori and recommended two tools: Enable Now and the Fiori Apps Reference Library in App Finder. These are two learning tools, and if you have the opportunity, it's worth spending some time there.

This session we first discussed the background of this large-scale S/4 HANA upgrade. SAP advocates for less customized design and encourages aligning with their best business practices. Cost saving is the major benefit to attract enterprises of all sizes to follow this call, and it seems to be effective.

Then, we introduced the mainstream project management methods, waterfall and agile. They each have their pros and cons. The key to project success is controlling and understanding the project scope, and this requires the wisdom from the leadership.

Lastly, we provided a few suggestions for different management levels of client users during the S/4 project and after go-live. It can be summarized into three words: focus on process. Those joining the project late can try to become super users, and those doing repetitive work like data input can try to use keyboard shortcuts to improve productivity.

In this session, we introduced the importance of the knowledge in finance, the commonly used financial statements (balance sheet and income statement), and emphasized their relationship and differences. In the second part, we discussed the concept of Reconciliation Accounts in SAP's financial module. This is crucial for understanding SAP's mechanism for forming balance sheet. In the final part, we explained SAP's two-dimensional design for posting to the income statement, where all posted amounts can be observed from two perspectives, namely external financial statements and internal controlling reports. The internal control reports can be further consolidated into profit centers, helping top management have a big picture of the return on investment for various business segments.