ArtsAutosBooksBusinessEducationEntertainmentFamilyFashionFoodGamesGenderHealthHolidaysHomeHubPagesPersonal FinancePetsPoliticsReligionSportsTechnologyTravel

Sap Fico Training Tutorial : Free Sap Fico Training and Materials

Updated on September 1, 2018

SAP System Understanding

What is SAP System?

SAP system is a top ERP system. ERP is a short form of Enterprise Resource Planning while SAP is the short form of Systems, Applications, and Products in data processing.
SAP system has many modules such as FI (Financial), CO (Controlling), SD (Sales & Distributions), MM (Material Management), and HR (Human Resources). These are the basic modules of the SAP system.

SAP system is one of the best ERP software available for the corporations. Here I am going to discuss some of the main submodules of SAP system. SAP Finance or SAP FI includes General Ledger (GL), Account Payable (AP), Account Receivable (AR) and Asset Accounting (AA). Other than these modules, SAP also has some other sub-modules or parts such as new General Ledger (New GL), Project System (PS), Financial Supply Chain Management (FSCM) and Treasury and Fund management. Moreover, the SAP system is coming with many industry-specific suits to give more easy and comfortable solution to different industries.SAP provides Apparel and Footwear industry solution (AFS), Reinsurance and collection (FSCD) for the insurance industry, Oil and gas specific suit for Oil and gas industry, Retail suit for retail industry and finance solution for the Finance industry.

SAP also introduced its Big Data solution in SAP HANA. SAP HANA is a short form of High-Performance Analytic Appliances. It is still emerging to provide an in-memory computing solution for the SAP system.


What is the best ERP system ?

See results

Live Data Flow in Net Like Structure for SAP System

SAP system is a net-like structure which keeps connecting all of the above areas. SAP system provides real-time data flow among different departments. This means one department will get real-time data from another department inside the system itself. This is very important aspects for an easy transaction for a large organization.

For example, in order to cash (OTC) cycle is a combination of both sales, distribution as well as finances integration. To run this cycle effectively, one needs both sales and finance integration for data. In addition, we can always link up a third-party tool such as vertex, sabrix and other software.

Modules in SAP System

SAP system has many submodules such as Finance Accounting (FI), Controlling (CO), Project System (PS), Financial Supply Chain Management (FSCM), Sales and Distribution (SD), Material Management (MM), Production Planning (PP), Customer Relation Management (CRM), Human Resources (HR), Warehouse etc.

SAP system also provides many other industry-specific submodules. There are many other industry-specific modules for SAP such as SAP Travel, SAP security, SAP appear and footwear SAP AFS and many more. SAP provides modules for each and every business domain.

On top of these modules, there are many integration points such as Order to cash (OTC) and Procure to Pay (PTP), FI-HR integration etc. There are many third-party solutions such as Third party tax ware, Third party analytic solution such as Runbook to make SAP system enhanced.

Basics of SAP Finance (SAP FI)

Here are some basic settings for SAP FI modules.

SAP Financials have two major modules:

1) Finance (FI) and

2) Controlling that is CO

SAP FI module uses for outside reporting purposes like the IRS and other accounting entries. SAP CO module uses mostly for internal reporting purposes. FI and CO both together know as SAP FICO. Some other important modules related to FICO are Project System (PS) and Financial Supply Chain Management (FSCM).

General Ledger (GL), Account Payable (AP), Account Receivable (AR) and Asset Accounting (AA) are the main four submodules in FI. Moreover, Integration points with SD and MM that is Order to Cash (OTC) and Procure to Pay (PTP) cycles respectively are also very important when considering SAP FICO. Also, there are other integration points to consider such as FI-CO, FI-PS, and FI-HR.

Here are some outline and some most important topics in some top submodules in FI. Although this material is strictly based on my understanding and knowledge and also it is a very high-level concept.

General Ledger (GL): General Ledger consists of General ledger accounts, Charts of account (COA), Retained earning account, Fiscal year variant, posting period variant, Posting/parking and blocking of a document.

SAP Account Payable (AP): It includes vendor master data, invoice posting, outgoing payment, residual/partial payment and automatic payment program (APP).

SAP Account Receivable (AR): It includes Customer master data, invoice posting, house bank configuration, lockbox, electronic bank statement (EBS) and dunning.

SAP Asset Accounting (AA): It includes asset master data, charts of depreciation, asset types, asset classes and depreciation methods.

SAP New General Ledger (SAP new GL)

New General Ledge is the new functionality of SAP ECC 6.0. It is basically the same General Ledger (GL) but with some additional new functionality. Here is that new functionality.

  • Parallel Ledger
  • Document splitting
  • Segments

In addition to these new functionalities, new GL allows seamless integration with other modules allowing data to be used for quick turn around of data for reporting purpose.


Reporting in SAP can be done at various levels. Reporting can be done at General Ledger (GL), Account Payable (AP), Account Receivable (AR) and at FI levels also. Financial Statement Version can be drawn down at various levels as below.

  • Financial statement version
  • General Ledger
  • Accounts Payable
  • Accounts Receivable
  • Assets Reports


Overall, SAP is a great ERP tool but it is complicated if you try to look all modules at once. Try to understand the big picture if you are new to SAP. If you are experienced in one of the modules, you can slowly get introduced to other related modules if you want.


    0 of 8192 characters used
    Post Comment

    • profile image

      Lara Coxson 

      17 months ago

      I'm interested in studying SAP software. What is the duration of study. Any center of learning in Newark New Jersey and the course fee.

    • ktnptl profile imageAUTHOR


      3 years ago from Atlanta, GA

      Thanks Joey

    • profile image


      3 years ago

      Great article!

    • profile image


      3 years ago

      A user in SAP does not even have to manually post a docnmeut / line item. SAP can be configured for automatic posting though an option is available for manual posting as well. Filed Under: Web Tagged With: SAP

    • profile image

      Abhishek Pandey 

      4 years ago

      I wont to do SAP so please give me all information about SAP like duration, fee structure, syllabus & opportunity after completing this program.


    This website uses cookies

    As a user in the EEA, your approval is needed on a few things. To provide a better website experience, uses cookies (and other similar technologies) and may collect, process, and share personal data. Please choose which areas of our service you consent to our doing so.

    For more information on managing or withdrawing consents and how we handle data, visit our Privacy Policy at:

    Show Details
    HubPages Device IDThis is used to identify particular browsers or devices when the access the service, and is used for security reasons.
    LoginThis is necessary to sign in to the HubPages Service.
    Google RecaptchaThis is used to prevent bots and spam. (Privacy Policy)
    AkismetThis is used to detect comment spam. (Privacy Policy)
    HubPages Google AnalyticsThis is used to provide data on traffic to our website, all personally identifyable data is anonymized. (Privacy Policy)
    HubPages Traffic PixelThis is used to collect data on traffic to articles and other pages on our site. Unless you are signed in to a HubPages account, all personally identifiable information is anonymized.
    Amazon Web ServicesThis is a cloud services platform that we used to host our service. (Privacy Policy)
    CloudflareThis is a cloud CDN service that we use to efficiently deliver files required for our service to operate such as javascript, cascading style sheets, images, and videos. (Privacy Policy)
    Google Hosted LibrariesJavascript software libraries such as jQuery are loaded at endpoints on the or domains, for performance and efficiency reasons. (Privacy Policy)
    Google Custom SearchThis is feature allows you to search the site. (Privacy Policy)
    Google MapsSome articles have Google Maps embedded in them. (Privacy Policy)
    Google ChartsThis is used to display charts and graphs on articles and the author center. (Privacy Policy)
    Google AdSense Host APIThis service allows you to sign up for or associate a Google AdSense account with HubPages, so that you can earn money from ads on your articles. No data is shared unless you engage with this feature. (Privacy Policy)
    Google YouTubeSome articles have YouTube videos embedded in them. (Privacy Policy)
    VimeoSome articles have Vimeo videos embedded in them. (Privacy Policy)
    PaypalThis is used for a registered author who enrolls in the HubPages Earnings program and requests to be paid via PayPal. No data is shared with Paypal unless you engage with this feature. (Privacy Policy)
    Facebook LoginYou can use this to streamline signing up for, or signing in to your Hubpages account. No data is shared with Facebook unless you engage with this feature. (Privacy Policy)
    MavenThis supports the Maven widget and search functionality. (Privacy Policy)
    Google AdSenseThis is an ad network. (Privacy Policy)
    Google DoubleClickGoogle provides ad serving technology and runs an ad network. (Privacy Policy)
    Index ExchangeThis is an ad network. (Privacy Policy)
    SovrnThis is an ad network. (Privacy Policy)
    Facebook AdsThis is an ad network. (Privacy Policy)
    Amazon Unified Ad MarketplaceThis is an ad network. (Privacy Policy)
    AppNexusThis is an ad network. (Privacy Policy)
    OpenxThis is an ad network. (Privacy Policy)
    Rubicon ProjectThis is an ad network. (Privacy Policy)
    TripleLiftThis is an ad network. (Privacy Policy)
    Say MediaWe partner with Say Media to deliver ad campaigns on our sites. (Privacy Policy)
    Remarketing PixelsWe may use remarketing pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to advertise the HubPages Service to people that have visited our sites.
    Conversion Tracking PixelsWe may use conversion tracking pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to identify when an advertisement has successfully resulted in the desired action, such as signing up for the HubPages Service or publishing an article on the HubPages Service.
    Author Google AnalyticsThis is used to provide traffic data and reports to the authors of articles on the HubPages Service. (Privacy Policy)
    ComscoreComScore is a media measurement and analytics company providing marketing data and analytics to enterprises, media and advertising agencies, and publishers. Non-consent will result in ComScore only processing obfuscated personal data. (Privacy Policy)
    Amazon Tracking PixelSome articles display amazon products as part of the Amazon Affiliate program, this pixel provides traffic statistics for those products (Privacy Policy)