SAP FICO stands for FI (Financial Accounting) and CO (Controlling) in SAP ERP. SAP FICO module covers all business process occurred in several industries. SAP FICO is very important and widely implemented in SAP technologies.

Financial Accounting(FI) application component handles all the processes happened by the financial accounting department of an organization. In another words, it records the financial statements that are produced by all financial transactions. These explains the major functionalities along with SAP FI module. SAP FI modules is used to report internally and externally.

Features: -

SAP Financial Accounting provides below features -

• All accounting data management and representation.
• Open and integrated data flow between FI and other components.
• Preparing operational information to assist decision-making.

Sub Components: -

The Financial Accounting application component include below sub-components:

• Accounts Payable (FI-AP)
• Accounts Receivable (FI-AR)
• Asset Accounting (FI-AA)
• Bank Accounting (FI-BL)
• Funds Management (FI-FM)
• General Ledger (FI-GL)
• Special Purpose Ledger (FI-SL)
• Travel Management (FI-TV)

SAP Financials accounting enables to manage financial accounting data within an international requirement of an organization. SAP FI module deals with the below financial components: -

• Accounts receivable and payable
• Accrual
• Cash journal
• Fast close functions
• Fixed asset
• General ledger
• Inventory
• Tax accounting