Introduction to SAP

What is an ERP System from a Finance Professionals' Perspective

Accounting & Reporting in Non-Computerized Environment

 Manual Registers for each area or type of activity for example cash register, customers
register, supplier’s register, Inventory Register
 General Ledger Register for recording G/L entries
 Total or summary from other registers to be recorded as G/L entry in GL register on daily or
weekly basis
 Trial Balance to be prepared based on total of each account in GL register
 Financials to be prepared manually from the Trial Balance
Accounting & Reporting in Computerized Non-ERP Environment
 Accounting system/or software modules for each area or type of activity for example Stock
module, customers module, Accounts Payable module
 General Ledger module for recording G/L entries
 All transactions from each module to be uploaded to GL module on daily or weekly basis in
the form of batch processing
 Trial Balance is extracted by the system from GL module
 Financials are extracted by system from Trial Balance
What is an ERP System from a Finance Professionals' Perspective

Accounting & Reporting in an ERP Environment

 Accounting system/or software modules for each area or type of activity for example Stock module,
customers module, Accounts Payable module
 General Ledger module for recording G/L entries
 Every module can communicate with each other, so every single transaction gets updated in relevant
module including GL on real time basis
 Trial Balance & Financials are extracted by the system from GL module on real time basis