AI Glossary for Businesses

Glossary

Key terms in digitalization, AI, SAP and ERP — explained concisely and practically.

ACDOCA (Universal Journal)

ACDOCA is the central posting table in SAP S/4HANA. It merges 20+ FI/CO tables into one Universal Journal.

Central Finance (cFIN)

Central Finance consolidates financial data from multiple SAP systems in real time. A path to S/4HANA without a big-bang migration.

Chatbot

Chatbots automate customer communication, from rule-based scripts to GPT-powered dialogues. Types, costs, and enterprise use.

Computer Vision

Computer vision recognizes and interprets images automatically. Quality control, OCR, and medical imaging with 90%+ accuracy.

Fine-Tuning

Fine-tuning adapts pre-trained AI models to your domain. When it pays off, what it costs, and when RAG is the better choice.

Generative AI

Generative AI creates text, images, code, and video. 71% of companies already use it. Capabilities, limits, and how to get started.

AI Agent

AI agents act autonomously: analyze, decide, execute. The difference from chatbots and what it means for enterprises.

AI Consulting

AI consulting guides businesses from strategy to deployment. What it costs, what it delivers, and how to choose the right partner.

AI Implementation

AI implementation moves models into production. 80% of projects fail, not because of technology. Here is what you need to know.

AI Strategy

An AI strategy defines where AI creates the most value and how to prepare your organization. A practical framework for decision-makers.

Artificial Intelligence (AI)

Artificial intelligence encompasses systems that learn, recognize, and decide. The German AI market reaches €9 billion in 2025.

Large Language Model (LLM)

Large language models like GPT and Claude process language with billions of parameters. How they work and where their limits are.

Machine Learning

Machine learning finds patterns in data without explicit programming. Three types, one goal: better predictions for your business.

Model Context Protocol (MCP)

MCP connects AI models with enterprise systems via an open standard. Developed by Anthropic, adopted by OpenAI and Google.

Natural Language Processing (NLP)

NLP makes language machine-readable for chatbots, text analysis, and translation. The foundation of modern enterprise AI applications.

Prompt Engineering

Prompt engineering controls AI output through targeted inputs. The right technique can improve result quality by up to 50%.

RAG (Retrieval-Augmented Generation)

RAG connects LLMs with your company data and reduces hallucinations by up to 68%. How the architecture works in practice.

RISE with SAP

RISE with SAP bundles cloud ERP, BTP, and managed services in one contract. What this means for your S/4HANA journey.

SAP Asset Accounting (FI-AA)

SAP FI-AA manages fixed assets from acquisition to depreciation. In S/4HANA, asset accounting merges into the ACDOCA table.

SAP Business Partner

SAP Business Partner replaces separate customer and vendor master records in S/4HANA. A mandatory migration for every conversion.

SAP CO-PA (Profitability Analysis)

SAP CO-PA analyzes profitability by market segments. In S/4HANA, account-based and costing-based CO-PA merge into one model.

SAP FICO

SAP FICO connects Financial Accounting and Controlling in the ERP. In S/4HANA, FI and CO converge through the Universal Journal.

SAP General Ledger (New GL)

The SAP General Ledger is the core of financial accounting. In S/4HANA, the New GL becomes the sole posting journal via ACDOCA.

SAP Cost Center Accounting

SAP Cost Center Accounting allocates overhead costs by cause. In S/4HANA, all postings flow directly into the Universal Journal.

SAP S/4HANA

SAP S/4HANA is the next-generation ERP on the HANA database. ECC maintenance ends 2027. Migration is now mandatory.