System Application Products (SAP) Enterprise Resource Planning

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System application and products (SAP) is application software used by most businesspersons to carry out certain functions, such as data processing used in their businesses resulting to increased efficiency, effectiveness and also enhanced innovation. SAP AG was founded in 1972 in Germany and was modified in America where it changed to systems. It has over 183,000 customers in 130 countries translating to more than 10 million users worldwide. SAP incorporates the idea or concept of Enterprise Resource Planning by helping in processing and management of business transactions. SAP has since revolved, with modifications and improvement done to it as time goes by.

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SAP ERP is fast evolving, shifting to an e-business focus with recent developments incorporating internet-enabling architecture, CRM, SCM and DW. This has helped so many companies to carry out processes such as customer relation management, human resource, handling the expenses of a business and sourcing or procurement. In addition, it has been vital in helping businesses in accounting, payroll systems, sales and distribution, production planning and stock control. An ERP System can be defined as a modularised, integrated, real time information system, with broad functional scope that is responsible for the processing and management of business transactions (Hawking 2005, p. 34)

Customer relation management is a strategy used by business enterprises in their day-to-day business activities. This may include selling goods or offering services at a more reasonable or affordable price(s). A company or an organisation may also want to do a follow up on its customers to find out whether they are comfortable with the goods or services that they acquire from the company. The primary initiative here is normally to put the customer first in everything that is done in a company.

The aim of customer relation management is mainly to attract and retain customers. It is also useful because it helps businesses to spend much less in advertising and promotion, thus improving their sales and increasing profits (Weygandt, Kimmel & Kieso 2010, p. 12).

Customer relation management has proved to be beneficial to many companies that have used it, especially Banks. The result of customer relation management is that it enhances good decision-making. In production companies, it is easy to anticipate or predict sales since the company already knows its customers. A company that already knows its customers and what they need will never go out of the customers’ expectations. Customer relation management is important to companies because, without customers, there would not be business. Excellent customer relation results in greater customer diversity, increased public image, increased sales and as a result, profits and survival in terms of competition even in difficult economic times is guaranteed.

The banking industry is one of the major applicants of customer relation management. Barclays Bank has been on the lead in customer relation. All Barclays Bank branches have a customer relation officer in their banking halls. Their main duty is always to handle customer complaints and queries. This makes a customer at least get direct and personal response from the bank. The customer in this case will feel contented, as his issue is sorted, which makes him feel treated as an individual and not just as a mere customer.

However, this practice has not gone without challenges or issues as others would want to put it. CRM has never been successful where the customer relations officer lacks public relation skills. A cost associated with its implementation has also affected its success. There can never be a customer relation where there is no customer relation officer. In some cases, it is normally expensive to hire them.

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List of References

Hawking, S 2005, The Universe in a Nutshell, Transworld Publishers Limited, New York.

Weygandt, J, Kimmel, P & Kieso, D 2010, Managerial accounting, John Wiley & Sons, Hoboken.

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Premium Papers. (2022, May 1). System Application Products (SAP) Enterprise Resource Planning. Retrieved from


Premium Papers. (2022, May 1). System Application Products (SAP) Enterprise Resource Planning.

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"System Application Products (SAP) Enterprise Resource Planning." Premium Papers, 1 May 2022,


Premium Papers. (2022) 'System Application Products (SAP) Enterprise Resource Planning'. 1 May.


Premium Papers. 2022. "System Application Products (SAP) Enterprise Resource Planning." May 1, 2022.

1. Premium Papers. "System Application Products (SAP) Enterprise Resource Planning." May 1, 2022.


Premium Papers. "System Application Products (SAP) Enterprise Resource Planning." May 1, 2022.