Managing Using Sap Software Business Essay

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Information Systems for Managers

Information Systems for Managers (ISMs) are systems, which refer to the intersection of human and information technology, and help in decision making for users within and outside the organizational boundaries. These systems help in performing daily activities along with organizations current and future decisions. These information systems consist different functionalities for different functions or the business group they intend to work with.

State Bank Of India - Background

State Bank of India (SBI) is government-owned and is the largest bank in India in terms of market capitalization, deposits, advances and profits. It was founded in 1806 and is the oldest commercial bank in the Indian Subcontinent. SBI has more than 370,000 employees in its 14,500+ branches (largest in the world in terms of number of branches) in around 32 countries where it has 84 offices, and hence helping to fulfill the requirements of the bank's foreign customers. It has nation's largest ATM network. It is the lone Bank from India that figures in the list of top 100 banks in the world.

In the past few years the bank has paid attention to three priorities, first, staff reduction using schemes known as the Voluntary Retirement Scheme, which resulted in changing of employees to private sector. Secondly, controlling its operations using computer technology. Thirdly, changing the attitude of its staff.



The systems and processes involving Human Resource Management and Information technology comprise the Human Resource Management System (HRMS). With the help of Enterprise Resource Planning (ERP) information from different applications are compiled into one universal database. The software application becomes flexible and rigid by linking finance and human resource modules in a universal database which is an important feature to the individually and exclusive developed predecessors, and hence making.

(Human Resource Management System)

Different organizations have different evaluation, selection and payroll processes. The HR function consists of exploring employee data like history of person, skills, abilities of person, achievements, salary, etc. Introduction of Human Resource Management Systems reduces manual workload of the administrations. IT professionals within the organization or outside help HR executives to develop and maintain an integrated HRMS. Requiring high investment, HRMS were restricted to organizations having a large capital. Currently Human Resource Management Systems encompass:


Benefits Administration

HR management Information system



Employee Self-Service

(Redefining The Role of Strategic HR)

The Payroll Modules helps in pay process by collecting data on the number of working hours and days of the employee. Deductions in the payment are also made due to different reasons and taxes. Human Resource and time keeping modules help in feeding the required data.

The benefits administration module help to find out employees participation in different benefit programs. Insurance, profit sharing, compensation and retirement are included in this.

The HR management module covers HR aspects like address data, selection, training and development, capabilities and skills management, compensation planning records and other related activities of the employee. Leading edge systems provide the ability to read and enter relevant data to applicable database fields. Human resource management function involves the recruiting, placing, evaluating and development of the employees of an organization.

Recruiting using online systems is employed by HR departments to bring in possible candidates for available positions within an organization.

The training module helps organizations to manage and track employee training and development efforts. It allows HR to track education, qualifications and skills of the employees, as well as drawing what training courses, books, CDs, web based learning or materials are available to develop which skills.

The Employee Self-Service module allows employees to question HR related data. Employees may enquire about their attendance record from the system without concerning the HR personnel.


Many of these sub modules are further sub divided into many components for e.g. Time Management is further divided into Time Administration, Shift Planning, Incentive Wages, and Time Sheet. There is further sub-division of each sub module in SAP.



SAP (Systems, Applications, Products) in data processing was introduced in the 1980's as SAP R/2. Soft-real-time business, which could be used with multiple currencies and languages, was supplied to the users by this system. As client/server systems began to be introduced, SAP introduced a server-based version, capable to manage financial, asset, and cost accounting, production operations and materials, personnel, plants, and archived documents, called SAP R/3, now known as SAP, launched in 1992. SAP recognized as a Leader in Human Resource Management Systems, is the world's leading provider of business software.


The R/3 system runs on a number of platforms including Windows 2000 and uses the client/server model. The latest version of R/3 includes a comprehensive Internet-enabled package.

Collection of data in SAP is from legacy systems and hence it is important to ensure that the mapping of the relation between the legacy systems and SAP is systematic and complete. Without this any data from SAP would be suspect. It is essential to have the backup of all necessary data and to have a timely update check for disaster recovery plan to make sure smooth flow of business after a disaster. Users can change the SAP data with certain security. Output has to be confirmed to guarantee accuracy. SAP allows reviewing the data to ensure that it is being processed appropriately.

SAP software powered by the SAP NetWeaver®, assist organizations improve customer relationships, enhance partner collaboration and create efficiencies across their supply chains and business operations.


SAP, which is a client/server model, is based on the architecture of R/3 on a three-tier.

1.Presentation Server (GUI)

2.Application Server

3.Database Server

SAP allows the IT supported processing of a multitude of tasks, accruing in a bank. SAP ERP is differing from R/3 mainly because it is based on SAP NETWEAVER: core components can be implemented in ABAP and in Java and new functional areas are mostly no longer created as part of the previous ERP system, with closely interconnected constituents, but as self-contained components or even systems.

(SAP R/3)


SBI's HRMS portal is SAP (systems applications products) enabled Human Resources Management System. HR related task are accomplished by the user and the administrator in HRMS. HRMS works for human welfare. SAP assists SBI in its increasing the business requirements and assigning correct employees for every department.

HRMS is to appoint right person to the right place at right time. By executing mySAP ERP State Bank Group will progress in the areas of human capital management and enterprise resource planning such as e- learning, performance management and property management and development of career. SAP select employees as per bank needs.

(HR Policy & Manual)

The Bank makes available almost every product in the financial super market to its customers. The Bank has continued its profitable business as it has entered its 200th year. State Bank of India and its seven Associate Banks have already developed group synergy in areas like Real Time On-line Banking, ATM, Treasury and other IT areas. Human Resources operations would be further integrated using the proposed HRMS Solution across the group uniformly.

SBI reveals its leadership in the Indian Banking sector by leveraging technology tools for transformation and innovation to continue profitable business.


The State Bank Group selected SAP to support its human resource management system (HRMS) so as to meet up with the group's growing business and to allow its large number of employees to handle its processes in a collaborative environment. Using SAP® software, State Bank Group targets to react quicker to market demands, also allow real-time information access and allocate right people to the right positions at the right time. SBI has managed to increase their business necessities and also appoint skilled employees for every department with ease using SAP.