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Free and Open Source ERP - ERP next

  Introduction What is an ERP system? And why should businesses use it? Today, small and medium-sized businesses (SMEs) also face some of the problems that large enterprises do. One of them being planning and managing their resources. SMEs face similar complexities but have limited resources to deal with them. Small businesses (like their bigger counterparts) have to: Do accounts to track their sales/purchases. Do their taxes. Pay their employees. Manage deliveries within promised timelines. Deliver quality goods and services. Communicate with customers, answer their queries. Large enterprises invest millions of dollars in highly sophisticated systems like SAP. SAP and similar systems are able to handle requirements from these large enterprises to bring their  multi-country ,  multi-company ,  multi-currency , global businesses into a single platform. This has helped them achieve consolidation of data/records in the fundamental processes such as accounting, taxation, payroll, reporting
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SAP FI - Chart Of Accounts

You can create a SAP FI chart of accounts group as per your requirement. To effectively manage and control a large number of G/L accounts, you should use COA groups. How to define Chart of Accounts Group? There are two ways you can create a new COA group. The first method is to use the  T-code  OBD4. You can also reach to this screen by following the path − T-code  SPRO → SAP Reference IMG → Financial Accounting → General Ledger Accounting → G/L Accounts → Preparations → Define Account Group → Execute → New window will open → New Entries. Populate the following fields in the COA group: Chart of Account Key, Acct Group, Name, From Acct. and To Account details. After providing the required details, click the Save Configuration option to create the COA group.
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SAP FI GENERAL LEDGER

The General Ledger is used to record all the business transactions in a software system. SAP FI – Chart of Accounts The FI chart of accounts represents the list of GL accounts that are used to meet the daily needs and the operating country’s legal requirement in a company. The master chart of accounts must be assigned to each company code. Chart of accounts (COA) can be divided into the following types − Operating Chart of Accounts  − It contains all the General Ledger accounts that are used to meet the daily needs in a company. The operating chart of accounts has to be assigned to a company code. Country Chart of Accounts  − It contains a list of all General Ledger accounts that are required to meet the operating country’s legal requirements. You can also assign a company chart of account to the company code. Chart of Accounts Group  − This COA group contains a list of all the G/L accounts that are used by the entire company. How to create a new Chart of Accounts? You can create a new
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SAP FI - DEFINE CREDIT CONTROL

Credit Control in FI is used to check the credit limit for the customer and it can use one or more codes. It is used for credit management in Application components such as Account Receivable (AR) and Sales and Distribution. The credit control area is determined in the following sequence − User exit Distribution channel Customer master Company code for the sales organization How to define a Credit Control Area? A Credit Control Area is defined in accordance with the areas of responsibility for credit monitoring. Use the  T-code  SPRO → click SAP Reference IMG. It will open a new window. Expand SAP Customizing implementation guide → Enterprise Structure → Definition → Finance Accounting → Define Credit Control Area → Execute. Click Execute → New entries → Enter the below details → Save. Now you have successfully configured the Credit Control Area. Once you create the Credit Control Area, the next step is to assign a company code to the credit control area. Expand Enterprise structure →
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SAP FI - Functional Area

Function Areas in finance accounting are used to define the expenses in a company according to individual function units. The most common Functional Areas are − Manufacturing Sales and Distribution Production Administration How to Define a Functional area in SAP FI? You can define a Functional Area using the  T-code  FM_FUNCTION (Earlier it was OKBD, but this is obsolete). It will open a new window. Click on Create Functional Area as shown below and a new window will open. Enter the following details − Name of Functional Area. Description Validity to and from date Expiration date and Authorization. Once all the details are provided, click the Save button at the top. Once you click Save, you will see a message at the bottom that a new functional area has been created. Functional Areas are used to create Profit and Loss statements using the cost of sales accounting and they are also used to analyze the cost of sales accounting. For this, you need to activate the cost of sales accounting
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