By Roshly Roy, Faculty – SAP FICO
The most frequently asked question in the field of additional skills, certification, and job search is about SAP certification. Learning more about SAP FICO can be excellent for your career growth.
“The core of what SAP delivers – running the world’s most critical business processes – had never been more essential than in this current moment. Our full focus is on supporting you through this crisis and beyond.”
– Christian Klein, SAP CEO
What is SAP?
SAP (System Applications and Products in Data processing) is an ERP software introduced in 1972 by the German multinational software company SAP SE (System Analysis and Program development Society of European). Headquartered in Walldorf, Germany, the company has regional offices in more than 130 countries. The company has over 3,20,000 customers in 190 countries.
The name S-A-P being a German Company is an acronym for SystemeAnwendungenProdukte in der Datenverarbeitung (in English – System Applications and Products in Data processing). Therefore, it is pronounced as individual letters S-A-P. SAP is not pronounced just like the word “sap”.
It is developed by five ex-IBM employees:
3. Hans-Werner Hector
4. Klaus Tschira and
5. Claus Wellenreuther
There is a misconception that SAP is accounting software. But SAP is not just accounting software. SAP offers job opportunities for people in any field. FICO is a module in SAP that deals with accounting matters.
What is ERP (Enterprise resource planning)?
ERP is a centralized system that controls all functional areas in an organization. A business organization has many departments, such as sales, purchases, HR, logistics, and finance. The ERP is that all of these can be integrated and run under a common database. ERP is a product. SAP is the company that makes it.
SAP FICO (Financial Accounting and Controlling)
FI and CO are the two modules used for financial reporting in SAP. Financial management requirements are constantly changing and it is more important than ever to improve your accounting skills accordingly. SAP Financial Accounting (FI), and Controlling (CO) provide expert professionals the most needed support for the better management of financial accounting and reporting in enterprises.
Scope of SAP FICO module
SAP FICO professionals are the highest-paid among all accounting professionals. Many companies are looking for SAP FICO professionals who have completed the course from a recognized institution. But getting a job as an SAP FICO professional isn’t really easy because the competition is so high. Most construction, manufacture, chemical, IT (software) companies prefer SAP FICO.
What are the different types of industries that implement SAP FICO?
SAP FICO is one of the modules that deal with the financial solutions of an organization. SAP FICO is implemented by most companies from various sectors such as automobile, engineering, manufacturing, consumer products, oil and gas, healthcare, pharma- medical, telecommunications, chemicals, government sector, and IT (Software). The Finance Department is an indispensable department in any business. That is why SAP FI is known as the King of SAP and CO is known as the sister module of FI.
Roles and Responsibilities SAP FICO Power user
SAP Power users are responsible for making daily transactions after SAP Project Goes Live. User responsibilities vary according to different SAP modules. For example, sales order creation, managing warehouse, and sales invoice are the responsibility of the logistics module users. The collection from the customer is the responsibility of the finance module users.
Is it good to start a career as an SAP FICO power user?
SAP power users are in great demand mainly in finance. Many industries are working on the ERP Central Component model and use FICO for the operational part of their business process. SAP Power-user certification is even better if you are from accounts or financial background.
Who can do the SAP FICO Power user program?
A person with B.Com/M.Com, BBA/MBA
Anyone who has done CA, ACCA, CFP, CPA, etc.
Anyone having working experience on any Accounting software like Tally, QuickBooks, etc.
Anyone with a basic knowledge of accounting or interested in learning to account.
Financial accounting i.e. SAP Finance (FI) enables company-wide control and integration of monetary information that’s essential for the strategic higher cognitive process. It complies with international accounting standards like the US GAAP (Generally Accepted Accounting Principles) and IFRS (International Financial Reporting Standards). The SAP Finance component has several new functions. Its modern enhancements help to fulfill today’s financial and management requirements in accounting and reporting.
Sub modules of SAP Finance
General Ledger Accounting (New G/L)
Accounts Payable (AP)
Accounts Receivable (AR)
Asset Accounting (AA)
Bank Accounting (BA)
Special Ledger (SL)
Document Types in SAP
In a real business process, thousands of accounting documents are posted every single day. Every transaction that we post in SAP is called Documents. We can segregate the documents which are G/L Accounting, purchase, sales, incoming payment, outgoing payment, purchase return, sales return, etc. Each document has its own document type. Document types are the code used to identify a document. For example, SA is the document type of General Ledger.
They need to be assigning a number range at the time of posting. The number range is assigned to the two-character code for every document type. The code of the document type SA is 01. We can customize it. Number range intervals must not overlap.
No documents can be posted without assigning number ranges to the document type. Document type plays a crucial role in filtering documents to get the appropriate data for the report.
Is SAP difficult to learn?
If you get good guidance you will be able to proceed with the SAP study very well and easily manage the software. Practical knowledge is important in SAP. So it is important to note that studying at an authorized training institution with good training is of topmost priority.
Benefits of SAP Power-user Certification
Career: With the SAP Power-user Certification Course, you can fulfill your dream job as it creates greater opportunities.
Well-paid Salary: You can have higher salary packages when compared to non-certified professionals.
Admiration: Getting a certificate is a way to demonstrate your accounting skills and helps to gain expertise in software that earns respect among your colleagues and employers.
Promotion: You can perform better and enhance your work in an organization, after the Power-user certification and, as a result, have a greater chance of getting a promotion.
SAP is the sector with the highest job potential today among the leading multinational companies. So, if you choose to become an SAP FICO Power user, you definitely have a great career ahead of you. Make sure you choose an authorized SAP training institute to study the SAP course.