ERP Software and Customization

FICO Configuration Series – Part 1

If you are not new to SAP configuration, skip this post.

If you don’t know what SAP is, click here….

  • Almost every other module affects FI/CO modules. Example: when a HR consultant runs the payroll incorrectly and posts it to the FI/CO modules, this affects the FI/CO consultants. So, FI/CO consultant mostly ends up reviewing all the financial updates to the system. As a FI/CO consultant, keep all this in your mind. So, the first thing you would ask yourself when you face a problem is which updates have come in from other systems J

What and Why ERP?

Companies can choose between buying packaged software and building applications from scratch to suit the organization’s needs.

Buy Packaged Software

Build Customer specific applications

Is the recent Trend

Old fashioned

Customizing the software for company’s needs

Develop Information systems that meet the specific requirement for the company

Better suited to meet the timeline based on experience

Tedious process especially given missed/changing business requirements

Software is updated regularly by the software provider on a regular basis

Maintenance was very costly as most of the programmers were retained

Integrated systems especially ERP software like SAP ensure data is not updated real-time and the various systems are well integrated

Various systems which were built were fragmented and stored data repetitively thus resulting in out-of-sync data


ERP (Enterprise Resource Planning) systems provide single source of data with designed integration between different functional modules to take advantage of an enterprise’s stored information.

What is Customization?

For these systems, a common set of source code was needed for these packages so that changes in technology could be rapidly introduced via upgrades to the programs. To facilitate these systems, a new way of customizing systems was needed. This new way was known as table-driven customization or configuration. Table-driven customization allows for rapid changes in business requirement with a common set of source code or programs. This is what makes the ERP systems so flexible.

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