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SAP Module


SAP R/3 was arranged into distinct functional modules, covering the typical functions in place in an organization. The most widely used modules were Financials and Controlling (FICO), Human Resources (HR), Materials Management (MM), Sales & Distribution (SD), and Production Planning (PP).

Each module handled specific business tasks on its own, but was linked to the others where applicable. For instance, an invoice from the billing transaction of Sales & Distribution would pass through to accounting, where it will appear in accounts receivable and cost of goods sold. SAP typically focused on best practice methodologies for driving its software processes, and SAP also produced specialized modules (referred to as IS or Industry Specific) geared toward a particular market segment, such as utilities or retail.