First Article : SAP Organization Stucture

ERP systems construct their logical structure using hierarchical elements (organizational units). Due to the technical origin and the development more than 30 years ago, SAP ERP terms differ from business terminology used in theory and practice today. Following, many possible organizational units are introduced which can be used to represent an enterprise structure within an SAP ERP system.

General Organizational Units

SAP System

Technically, an SAP system comprises one database, one or more application servers, central services (such as a message or enqueue server) and optionally other components (such as TREX and LiveCache). An SAP system is identified by its 3-digit system ID.

Within an SAP ERP system, business processes from enterprises of any size and kind can be configured to their specific needs. In order to do so, SAP systems provide a defined set of organizational units which can be used to flexibly map complex enterprise structures.

Client

Technically, an SAP client is an area within an SAP ABAP Application Server with independent application data. It is identified by a 3-digit client number which needs to be specified when logging onto an SAP system. An SAP system can consist of many independent SAP clients.

 

From a business point of view, a client represents the highest organizational unit of a given enterprise in an SAP system, e.g. a group or corporation, and is an independent unit in an SAP system in commercial and tax terms. It stores its own master records and set of database tables.

 

 

Generally, organizational units can be classified in four different perspectives: Accounting, Sales and Distribution, Logistics, and Human Resources