An SAP instance defines a group of resources such as memory, work processes and so on, usually in support of a single application server or database server within a client/server environment. Application servers share the same memory areas and are controlled by the same dispatcher process. There are 3 types of Instances available in SAP system as defined below. 1. Central Instance (Unique Instance or SID name for a SAP Server) 2. Database Instance (Which contains data with its own SID) 3. Dialog Instance (Used for Load balancing purpose when needed)
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