Applications of SAP S4HANA in Mechanical by Sidhant Vohra (SET23A24040166).pptx
1. Applications of SAP S/4HANA in Mechanical
Manufacturing and Distribution
Seminar Submitted in Partial Fulfilment of the
Requirement for the Award of the Degree of
BACHELOR OF TECHNOLOGY
In
MECHANICAL ENGINEERING
BY
Sidhant Vohra
(Enrollment No: SET23A24040166)
SCHOOL OF ENGINEERING AND TECHNOLOGY, SHRI VENKATESHWARA
UNIVERSITY, U.P. GAJRAULA -244236
2025
2. DECLARATION
I, Sidhant Vohra declare that the work presented in this thesis entitled
‘‘Applications of SAP S/4HANA in Mechanical Manufacturing and Distribution”
submitted to the Department of Mechanical Engineering, in the Faculty of
Engineering and Technology,
Shri Venkateshwara University, U.P., India, for the award of the Bachelor of
Technology in Mechanical Engineering an original work. I have neither plagiarized nor
submitted the same work for the award of any other degree. Incase this undertaking is
found incorrect; my degree may be withdrawn unconditionally by the University.
Date: 16th Aug’25
Place: Dehradun
Sidhant Vohra
Roll No: A24040166
3. CERTIFICATE OF ORIGINAL WORK
This is to be certifying that the studies conducted by Mr. Sidhant Vohra
during 2025, as reported in the present thesis were done under my guidance
and supervision. The results reported by him are genuine and the candidate
himself has written the manuscript of the thesis, and no part of the thesis has
been submitted for any other degree or diploma.
His thesis entitled “Applications of SAP S/4HANA in Mechanical
Manufacturing and Distribution” is therefore, being forwarded for
acceptance in partial fulfilment of the requirements for the award of the
degree of Bachelor of Technology in Mechanical Engineering, to the Shri
Venkateshwara University, U.P., India.
4. CERTIFICATE OF RECOMMENDATION
This thesis entitled “Applications of SAP S/4HANA in Mechanical Manufacturing and Distribution”
has been prepared and submitted by Mr. Sidhant Vohra (Enrollment no SET23A24040166) for the
award of degree of Bachelor of Technology in Mechanical Engineering, in Faculty of Engineering and
Technology of Shri Venkateshwara University, U.P., India
This thesis is recommended for partial fulfillment of the award of Bachelor of Technology
degree.
MR. SIDDHATH SINGH
Assistant Professor (External Examiner)
Prof. (Dr.) Ashutosh Singh
(Dean Engg)
School of Engineering
and Technology
5. ACKNOWLEDGEMENT
I would like to express my special thanks of gratitude to my guide, Asstt. Prof. Siddharth Singh, who
gave me an opportunity to do this dissertation and provided support & his valuable inputs in
completing this dissertation.
I would also like to extend my gratitude to other faculty members and team members for providing
me with all the necessary information, resources and for their kind cooperation to accomplish my
dissertation successfully.
Dated:16th
Aug 2025
Sidhant Vohra
Roll No: A24040166
6. S.NO Content Page No
1 Introduction 8-9
2 Key Features of SAP S/4HANA 10-11
3 Relevant Modules in Mechanical Industry 12
4 Use Case – Manufacturing Operations 13
5 Use Case – Spare Parts Management 14
6 Use Case – Dealer and Distribution Management 15
7 Use Case – Plant Maintenance 16
8 Use Case – Quality Management 17
9 Case Study Example 18
10 Benefits of SAP S/4HANA 19-20
11 Challenges in Implementation 21
12 Future Scope 24-25
13 Conclusion 25
8. Introduction
SAP S/4HANA is a next-generation enterprise resource planning (ERP) system developed
by SAP. It leverages an in-memory database called SAP HANA to deliver real-time data
processing and analytics, enabling faster and more efficient business operations across
various functions such as finance, manufacturing, supply chain, sales, and more.
9. Introduction
ERP: Enterprise Resource Planning systems streamline and integrate all key business processes across an organization, such as
finance, procurement, production, and distribution.
SAP S/4HANA: This is SAP’s next-generation ERP suite, built on an in-memory database, delivering high performance and real-
time analytics.
Importance in Mechanical Industries:
• Enables real-time data access for faster and better decision-making
• Facilitates integration of manufacturing, maintenance, supply chain, and sales
• Drives efficiency by automating processes and reducing manual effort
10. Key Features of SAP S/4HANA
In-memory database for
speed.
Simplified data model.
Real-time analytics.
SAP Fiori user experience.
Data is processed and stored directly in memory, leading to
much faster operations than traditional databases
•Instant analysis and reporting enable quick decision-making.
•Less data redundancy, easier maintenance, and smoother
operations.
•Modern, easy-to-use interface for all users, accessible on
multiple devices.
12. Relevant Modules in Mechanical Industry
PP: Production Planning
Plans and controls manufacturing processes and resources.
MM: Materials Management
Manages procurement and inventory of raw materials and
components.
SD: Sales & Distribution
Handles sales, order management, and product distribution.
PM: Plant Maintenance
Organizes maintenance activities and schedules repairs for equipment.
QM: Quality Management
Ensures quality control across all stages of production.
13. Use Case – Manufacturing
Operations
BOM (Bill of Materials)
integration.
Production scheduling
optimization.
Real-time MRP (Material
Requirement Planning).
Shop floor monitoring.
Manages components and
materials required in
production.
Calculates material needs
and triggers timely
procurement.
Optimizes production
schedules for efficiency and
resource use.
Tracks operations and
progress on the
manufacturing floor live.
14. Use Case – Spare Parts Management
Inventory
optimization using
predictive analytics.
Stock visibility across
warehouses.
Automated reorder
points.
Reduction in dead
stock.
Analyzes data to
maintain optimal
inventory levels,
avoiding over- or under-
stocking.
Provides up-to-date stock
information from all
locations.
Systematically reorders
parts when stock
reaches preset levels.
Minimizes unsold or
obsolete inventory
through better
tracking.
15. Use Case – Dealer and Distribution
Management
Order-to-cash cycle
tracking.
Real-time dealer
performance
monitoring.
CRM integration for
customer
relationship.
Logistics and
shipping
management.
Monitors orders from
placement to payment,
ensuring transparency.
Continuously evaluates
dealer performance to
improve outcomes.
Centralizes customer
interactions and improves
service.
Streamlines delivery
processes and optimizes
logistics.
16. Use Case – Plant Maintenance
Predictive
maintenance with
IoT sensors.
Scheduled service
planning.
Spare parts
availability linked
with breakdown
alerts.
Downtime reduction.
Prevents breakdowns by
monitoring equipment
health in real time using
sensors.
Plans routine servicing
and preventive
maintenance.
Ensures spare parts are
on hand when
breakdowns occur.
Reduces unexpected
equipment failure and
lost production time.
17. Use Case – Quality Management
Real-time defect
tracking.
Inspection lots
integrated with
production.
Supplier quality
management.
Continuous
improvement via
analytics.
Captures and analyzes
defects as they happen,
allowing for quick
action.
Connects quality checks
directly to production for
tight control.
Monitors and manages
supplier performance for
better input quality.
Identifies trends and
areas for quality
improvement.
18. Case Study Example
Example
Siemens/Bosch adopting SAP S/4HANA.
These companies used SAP S/4HANA to modernize and
integrate their operations.
Results
20% faster production planning, 15% reduction
in inventory holding cost.
Achieved more efficient production and lower inventory costs
through real-time integration.
20. Benefits of SAP S/4HANA
Real-time decision
making.
Lower operational
costs.
Increased efficiency.
Better customer
satisfaction.
Immediate insights
allow quick responses to
business demands.
Automates and
optimizes processes to
reduce expenses.
Streamlines workflows;
minimizes manual tasks.
Delivers faster, more
reliable products and
services.
21. Challenges in
Implementation
High cost of
implementation.
Training and
change
management.
Data migration
issues.
Initial investment and setup are significant.
Requires employee training and
careful management of new
workflows.
Moving from legacy systems to
SAP S/4HANA can be complex.
22. SAP Transaction Codes
SAP Transaction Codes, commonly called T-codes, are shortcut codes used within
the SAP system to quickly access specific transactions or tasks without navigating
through complex menu paths. Each T-code represents a particular function or
process in SAP, such as creating a purchase order, displaying a report, or posting
financial documents. Example. VA01,CS03,ZSDR003 etc
T-codes help users:
• Save time by skipping menu navigation
• Access functions quickly and efficiently
• Simplify complex business processes
• Improve productivity in executing daily tasks
23. SAP S/4HANA Application
Overview
About VA01 – Create Sales
Order
Purpose:
VA01 allows users to input all relevant
details—such as customer, material,
quantity, pricing, and delivery dates—
to generate a new sales order within
SAP.
Business Importance:
Creating a sales order is often the
first and most essential step in the
Order-to-Cash business process. The
sales order drives subsequent
processes such as delivery creation
(VL01N), billing (VF01), and inventory
management.
24. Future Scope
Integration with AI & ML.
Cloud adoption for
scalability.
Digital twin technology.
Advanced analytics for
demand forecasting.
Adds automation and intelligence to business operations.
Creates digital replicas of assets for simulation and
optimization.
Cloud deployment allows growth and flexible operations.
Utilizes predictive tools for accurate planning.
26. Conclusion
SAP S/4HANA is transforming mechanical manufacturing & distribution
• SAP S/4HANA is a game-changer in mechanical manufacturing and
distribution, driving a bold new era of digital transformation.
Enhances efficiency, reduces cost, ensures sustainability
• It empowers businesses to achieve unparalleled efficiency, drastically cut
costs, and build sustainable, future-ready operations.
Strong tool for Industry 4.0 era
• As the backbone of Industry 4.0, SAP S/4HANA is not just an ERP system—
it’s the essential catalyst for innovation, competitiveness, and long-term
success in a rapidly evolving global marketplace.