NO, it does not , its used to snyc users without password.
but you have an option to create in database, depends upon your leading system you can choose the right option.
Execute report RSLDAPSYNC_USER with a background job for delta synchronization (for example, using transaction SA38).
The users SAP*, DDIC and EARLYWATCH are excluded from the synchronization, and you do not need to exclude them explicitly. On the other hand, other communication users, such as those for RFC connections, are treated like normal users.
Specify the logical LDAP server.
Choose an LDAP Connector. If you do not specify a particular LDAP Connector, the system automatically selects one.
Define how the synchronization report should process the entries of the objects that are found during the search. The search result is made up of three subsets:
Objects that exist in both the directory and the database
Objects that only exist in the directory
Objects that only exist in the database
Setting in the Objects that exist in both the directory and the database group frame
Comment
Compare Time Stamp
Delta synchronization: Only objects whose time stamp was changed are synchronized. The synchronization is performed in accordance with the synchronization indicators in transaction LDAPMAP.
Ignore Time Stamp
Complete synchronization: All objects are synchronized according to the synchronization indicators in transaction LDAPMAP.
Ignore Objects
Delta synchronization: Objects that already exist are not updated, but, depending on the settings in the other group frames, objects that do not exist may be created.
*The settings are only different in terms of the scope of users to be synchronized.
Setting in the Objects that only exist in the directory group frame
Comment
Create in Database
The directory is the leading system; that is, it exports all entries to the SAP system
Delete from Directory
The SAP system is the leading system; that is, entries that do not exist in the SAP system are to be deleted from the directory
You must be absolutely certain that the directory entries that are to be deleted are only used for SAP applications and do not contain any external attributes. Otherwise, you may delete entries that other systems are still using.
Ignore Objects
For example, if the users are not used in the SAP system
Setting in the Objects that only exist in the database group frame
Comment
Create in Directory
The SAP system is the leading system; that is, it exports all entries to the directory.
Delete from Directory
The directory is the leading system; that is, entries that do not exist in the LDAP-compatible directory service are to be deleted from the SAP system.
We recommend that you only lock the users. This means that the master data is kept, and the actions of the user can be traced later (for example, for review purposes).
Lock in Database
The directory is the leading system; that is, entries that do not exist in the LDAP-compatible directory service are to be locked in the SAP system.
Ignore Objects
For example, if service users exist in the SAP system that are not used in the directory
Save your entries.
Choose Execute.