SAP FICO is an acrostic for FI (Financial Accounting) and CO (Controlling). SAP that is an acronym for Systems Application and Products in Data Processing is an ERP system. ERP aka Enterprise Resource Planning is a technique that constraint the enormous departments of an organization. SAP headquartered in Walldorf, Germany began its journey in 1972 with a single client in Germany under the administration of 5 ex-IBM professionals. They brought the revolutionary change in data processing as per the usage rather than the timed overnight batch jobs. In current generation of transformation via Information Technology, SAP is precisely a vigorous package to diversify, integrate and streamline the organizational operations with multi-dimensional potential.SAP has been classified under various integrated modules such as Sales & Distribution(SD), Material Management(MM), Human Resources(HR) etc; FICO is one of the modules that covers Financial Accounting and Controlling. SAP FICO is an integral module, which encapsulates the financial transactions of data.
For each individual interested in Financial/Accounting profession, who can employ their practical expertise and knowledge to another status of irrational cognitive stimulation, SAP FICO training Configuration and Implementation is indeed the best scenario. Their Proficiency will contribute to promptly mentor its technical disposition. SAP Financial Accounting (FI) is a significant core module at which, the financial processing transactions are all encapsulated to yield the foundation through which data is rendered for external reporting. This SAP FI Module is amalgamated with various corresponding modules that facilitate organization to integrate processes that may be utilized by many software packages. Sales & Distribution (SD), Material Management (MM), Product Planning (PP), Human Resources (HR), Controlling (CO) are the other miscellaneous modules that are frequently integrated with FI.
The following sub-modules streamline and specialize in every facet of the Financial Accounting Processes:
• AA – Asset Accounting
• AR – Accounts Receivable
• LC – Legal Consolidations
• FM – Funds Management
• SL – Special Purpose Ledger
• AP – Accounts Payable
• GL – General Ledger Accounting
• BL – Bank Accounting
• TM – TravelManagement
SAP refers Controlling (CO) to “Managerial Accounting”. Operating concern, cost centers and controlling area are the organizational constituents in controlling. Therefore, SAP CO module ease the management by furnishing reports on profit, cost, margins, profitability etc. Its major concentration is on the internal users, where as FI targets on data extracted from external reporting. The transactions published in FI are utilized by CO for analytical reporting, cost accounting processing, and audit-controlling spectrum. There can be either a one-to-many relationship or one-to-one relationship between company codes and controlling areas. Therefore, CO befits as the governing module that administer the consolidation of costing data through which management can procure their panorama for analysis. The SAP Control (CO) Module is none segregated with SD, FI, PP, AA, and HR. Although FI is the major reference of data for CO; the others such as PP, SD and MD have numerous integration juncture with CO.
The SAP Controlling Module can be further segregated into the following components:
- Cost Controlling
- Profitability Analysis
- Internal Orders
- Cost Element Accounting
- Product Cost Controlling
- Profit Center Accounting
- Activity-Based Costing
Above is a concise synopsis and description about the dynamics of SAP FICO Training. It would be effectively lucrative for Finance/Accounting professionals to explore the scope of this unprecedented software for the endowment of one’s own vocational spectrum.
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This post is submitted by Sandeep Malik. This time he has explored information about Shivansh.co.in which provide SAP Consulting & Services, SAP Online Training, SAP Consulting India, corporate training for Universities & Colleges in India.
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