SAP, founded in 1972 in Germany, is a public limited company providing integrated software solutions for various business functions such as financials, human resources, manufacturing, and sales. The document discusses the evolution of SAP's architecture from single-tier to three-tier (R/3), detailing its capabilities, components, and customizable nature within client/server environments. It also provides an overview of SAP's application modules, including financial accounting, controlling, and human resources.