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SAP SCM - EWM
SAP SCM-EWM Solution
AGENDA
 Current Markets
 Why SAP?
 Supply Chain Execution
 SCM–EWM Overview
 SCM-EWM Introduction
 SCM-EWM Integration
 SCM-EWM Enterprise Structure
 SCM-EWM Master Data Elements
 SCM-EWM Processes: Overview
 EWM Inbound Process
 EWM Outbound Process
 EWM Key Functionalities
2
CURRENT MARKETS
 Various solutions for Supply Chain Execution available in market,
Cloud based as well as on – premise
 Top 4 Supply Chain Management Software vendors
 SAP Business By Design
 Oracle SCM Cloud
 JDA Software
 Infor SCM
3
WHY SAP?
 Most sort after vendor for SCM E2E Solutions
 Some statistics to ponder:-
 SAP Market Share = 26.6% (As of 2017);
 Total no. of Customers worldwide = 390,000;
 % of transactions done using SAP = 77%
4
SUPPLY CHAIN EXECUTION
5
CASE FOR SCM – EWM
 Complexity & Volatility in Demand: - Foremost challenges
within Supply Chain Management nowadays
 Customer – Centricity & Speed: - Key tenets of smooth &
seamless Supply Chain Management
 Current Supply Chains: - Need to be demand-driven,
responsive, efficient & customer-centric
 SAP SCM – EWM is the perfect solution for current demand
driven Supply Chains
 Part of the SAP Supply Chain Execution (SAP SCE) package
6
THE SAP PLATFORM
7
SCM EWM OVERVIEW
8
SCM - EWM
OVERVIEW
Prior to releasing SCM -
EWM, SAP basically built up
functionalities on top of its R/3
architecture
Higher complexities, better
benefits provided with every
release
2005: SAP SCM - EWM
Solution released
As of 2017, SAP SCM - EWM
release 9.5 is being utilized in
Businesses
9
WHAT IS SAP SCM – EWM?
 Best-in-class WM solution designed to manage/track
Supply Chain Execution processes
 Offers flexible, automated support for processing various
goods movement & stock management in warehouses
 Provides Labor Management, Slotting, Advanced
Optimization Techniques & connection to automation all in
one solution
10
SCM – EWM BENEFITS TO
CUSTOMERS
11
SCM EWM INTRODUCTION
12
SCM - EWM Evolution
13
SCM - EWM Positioning
 Positioned as a new generation Warehouse process flexibility,
performance & coverage solution
 Strategic investment solution with a strong roadmap
 Next generation integrated Supply Chain Execution (SCE)
solution
14
SCM – EWM: KEY CAPABILITIES
 Multi customer warehouse
 Flexible modeling of WH processes
 Stock/Process transparency
 Optimization in Storage Planning & Process Execution
 Seamless, out-of-box integration with SAP ERP, APO, CRM,
GTS & BI Applications
 Seamless integration of Automation tools (RF, RFID, Pick-by-
Voice etc.)
 Integration with overall SAP Supply Chain Execution Solution
15
SAP WM & EWM Functionalities
16
ECC - IM vs. ECC - WM vs. SCM
- EWM
17
SCM EWM INTEGRATION
18
Methods
 Important to examine how both master data as well as
transactional data move between ERP & EWM clients.
 Prerequisites: -
 Existence of RFC user in each target system / client with which EWM
system requires integration with
 Existence of RFC destinations between the corresponding ERP &
EWM target systems / clients
 TWO Integration / Data Transfer Techniques: -
 Core Interface or CIF;
 qRFC functionality
19
Data Transfer Techniques
 Core Interface / CIF: -
 Location Master (Location
Key & Names / Addresses):
 Plant / DC’s – Plant
definition tables (ERP)
 Shipping Points – Shipping
Point tables (ERP)
 Product Master:
 Material Master
 Batch Master
 Classification
 Other ERP Master Data:
 Vendor Master – Vendor
Master (ERP)
 Customer Master –
Customer Master (ERP)
 qRFC Technique: -
 For transactional data
transfer to EWM client
 Inbound Deliveries
 Outbound Deliveries
 Production Material
Requests
20
SCM – EWM: ENTERPRISE
STRUCTURE
21
WM & SCM – EWM: MASTER
DATA ELEMENTS
 Relevant WM Master
Data
 Material Masters
 Batches
 Customer Masters
 Vendor Masters
 Plants
 Shipping Points
 Classes & Characteristics
 Key EWM Master Data
 Product Masters
 Batch
 Business Partner
 Supply Chain Unit (SCU)
 Storage Bin
 Packaging Specifications
22
EWM: PRODUCT MASTER RECORDS
 Material Master records in WM
converted to Product Master records in
EWM
 Core data elements captured from WM
 EWM specific core data elements
maintained in EWM system only
o Similar to maintenance of WM views in
Material Master records (WM)
 Transactions used are as follows:-
o Product Master = /SAPAPO/MAT1
o Warehouse Product Master =
/SCWM/MAT1
 5 EWM Views:-
o Packaging data
o Storage
o Warehouse data
o Slotting
o Storage Type data
23
EWM: BUSINESS PARTNER
Vendors, Customers & Plants as well get
converted to Business Partners in SCM – EWM
Transaction = BP
Created with a ‘General Role’ assignment
o Contains basic data (Name, Address,
Partner Type)
o Other BP role types created for various
purposes viz. Vendor, Sold-To Party, Ship-
To Party, Plant etc.
Creation of Business Partner always done
automatically via the CIF interface
Changes done to business partner data viz.
Address change, name change etc., not sent
back to WM system automatically
Changes to source data (WM system) result
in overwriting of values changed in EWM
system
24
EWM: SUPPLY CHAIN UNIT (SCU)
Supply Chain Unit (SCU) EWM –
specific concept as far as
organizational hierarchy is
concerned
Transaction:
/SCMB/SCUMAIN
Assign a Category / Type to
the SCU
Plant, Shipping Point,
Receiving Point
Customer / Vendor
etc.
Link it to a Business Partner
record
Mandatory set up for the
following cases:
Plant, Shipping Point,
Warehouse
25
0
EWM: PACKAGING SPECIFICATIONS
Master data record wherein information
on how to package a product for storage
or shipping is maintained
Contains:
o Accurate product & quantity details;
o Combination of packing materials & work
steps
Can contain multiple levels with specified
target quantities for each level
Describes in detail which quantities
product can be packed with which packing
materials as well as in what sequence
Can be easily used in: Inbound,
Outbound & Internal processes
26
EWM: STORAGE BINS
27
EWM PROCESSES: OVERVIEW
28
EWM: PROCESS - ORIENTED
STORAGE CONTROL
Also called POSC
Warehouse Process Type
(WHPT) determines need for
Storage Control.
Intermediate steps (Inbound):
Unloading, Deconsolidation,
Counting, QI, Packing.
System creates Warehouse task
(WT) from Receiving area to
intermediate storage.
Auto WTs for next steps; Created
upon completion of intermediate
activity.
Works with packed HU’s
29
EWM: LAYOUT – ORIENTED STORAGE
CONTROL
Also called LOSC
Works most efficiently &
effectively if there is no direct
path to the destination bin
but inventory has to go
through intermediate steps.
Works when inventory is
taken to some intermediate
identification or “ID Point”
before being put away to the
final destination bin.
30
EWM: INBOUND PROCESS
31
EWM: INBOUND PROCESS
(CONTD.)
32
EWM: INBOUND PROCESS
(CONTD.)
 Multiple Goods Receipts options
 Goods Receipt for PO (Expected GR)
 Goods Receipt against Inbound Delivery (ASN)
 Goods Receipt via Handling Units (LPN’s)
 Goods Receipt via Dock Door / Trailer ID
 Real – Time integration & validation of ERP documents & Master data
 Real – Time validation against PO, Material master
 Batch & / or Serial Number creation directly during GR via desktop / RF
transactions
 Ability to carry out SLED (Shelf-Life Expiration Date) check against allowed
tolerances
 Checking & validations of over / under – delivery tolerances on PO
33
EWM INBOUND: PUT AWAY
 SCM EWM supports system – guided put away strategies
 Addition to Existing Stock
 Next Empty Bin
 Fixed Bin
 Near Picking Bin
 Manual Stock Placement
 Open Storage
 Bulk Storage
 Bin Capacity Management possible. Allows system to only
propose bins that have available capacity
34
EWM: OUTBOUND PROCESS
35
EWM: OUTBOUND PROCESS
(CONTD.)
36
EWM OUTBOUND: PICKING
 SCM EWM supports following system – guided picking strategies: -
 Stringent FIFO: Searches for absolute oldest inventory by receipt date in
the Warehouse
 Partial Quantity Management: Minimize number of partial pallets, by
removing partial pallets for pick quantities less than full pallet
 FIFO: Searches for oldest inventory within section of Warehouse, with
ability to sequence section searches
 Shelf Life Expiration Date (FEFO): Searches for inventory with least
shelf life (but not expired) in given sequence of Warehouse sections
 LIFO: Searches for newest inventory in Warehouse. Helps prevent users
to having to move new stock to access older stock behind it
 Large / Small Quantities: Used to break Each / Case / Pallet picks
 Fixed Bin: Fixed Bin storage. Ideally suited for forward pick locations
37
SCM EWM SOLUTION
KEY FUNCTIONALITIES
38
WAVE MANAGEMENT
 Significant advantage with SCM EWM: Individual Outbound
Delivery Order (ODO) items can be assigned to separate
waves
 ERP WM: Entire Outbound Delivery needed to be assigned
to individual waves
39
EWM: YARD MANAGEMENT &
MONITORING
 Yard Management
 Check In / Check Out
 Load / Unload
 Yard Movements
 Dock Door Scheduling &
Assignment
 Sealing / Unsealing
 Weighing
 Driver & Equipment
Registration
Monitoring
 Inbound Processes
 Outbound Processes
 Physical Inventory
 Resources
 Labor Management
 Bin Locations
 Yard Activities
 Stocks
40
EWM: LABOR MANAGEMENT
 Capture of Indirect Labor Tasks
 Integration to SAP HR for performance – based incentives
 Employee Performance Evaluation
 Planned workload visibility (task – based)
 Executed workload visibility (task – based)
 Integration of Engineered Labor Standards used to calculate planned
duration of Warehouse Tasks (WT’s)
 Integrated reporting with SAP BI
 Use of SAP Measurement Services in EWM for graphical reporting
 Travel Distance Calculation for creation / planning of WT’s
41
EWM: RF PROCESSING
 SAP offers two standard native options for integrating mobile data
collection in real – time via handheld RF devices / VMU’s (Vehicle
Mounted Units); Task – based
 SAP Console
 SAP ITS Mobile
 SAP Console: Telnet based solution (Character based display)
 ITS Mobile: Web browser based solution for GUI displays
 Standard transactions for full scope of processing from inbound to
outbound & all internal processes
42
MATERIAL FLOW SYSTEMS (MFS)
 Enables connection of
Warehouse automation
equipment to EWM
 Additional WCUs (Warehouse
Control Units) or WCS
(Warehouse Control Systems)
not required
 Provides direct control over PLCs
from within EWM
 Supported Processes: -
 Put Away
 Picking (Full Pallet / Pick HU)
 Replenishment
 Rearrangement
 Empty Pallet Removals
 Capabilities: -
 Real – Time integration between
EWM & PLC
 Asynchronous data exchange via
RFC
 Background execution
transparent to human users
 Sub - second response times
 Automatic sensing of failed
PLC’s, Blocking of resources &
redirection of tasks
 Integrated monitoring
 Scalable
 BAdIs available to extend logic &
capabilities
43
RFID INTEGRATION WITH EWM AND
AII
 SCM – EWM seamlessly integrated with SAP AII (Auto – ID
Infrastructure)
 SAP’s RFID suite managing EPC data, business events (tag reads) &
controlling hardware
 Integrated RFID processes in EWM include: -
 Vehicle Check – In / Check - Out
 Vehicle Unloading & Receiving
 Location to Location (Bin to Bin) movements
 Packing
 Vehicle Loading
44
QUESTIONS?

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SCM EWM Solution

  • 1. SAP SCM - EWM SAP SCM-EWM Solution
  • 2. AGENDA  Current Markets  Why SAP?  Supply Chain Execution  SCM–EWM Overview  SCM-EWM Introduction  SCM-EWM Integration  SCM-EWM Enterprise Structure  SCM-EWM Master Data Elements  SCM-EWM Processes: Overview  EWM Inbound Process  EWM Outbound Process  EWM Key Functionalities 2
  • 3. CURRENT MARKETS  Various solutions for Supply Chain Execution available in market, Cloud based as well as on – premise  Top 4 Supply Chain Management Software vendors  SAP Business By Design  Oracle SCM Cloud  JDA Software  Infor SCM 3
  • 4. WHY SAP?  Most sort after vendor for SCM E2E Solutions  Some statistics to ponder:-  SAP Market Share = 26.6% (As of 2017);  Total no. of Customers worldwide = 390,000;  % of transactions done using SAP = 77% 4
  • 6. CASE FOR SCM – EWM  Complexity & Volatility in Demand: - Foremost challenges within Supply Chain Management nowadays  Customer – Centricity & Speed: - Key tenets of smooth & seamless Supply Chain Management  Current Supply Chains: - Need to be demand-driven, responsive, efficient & customer-centric  SAP SCM – EWM is the perfect solution for current demand driven Supply Chains  Part of the SAP Supply Chain Execution (SAP SCE) package 6
  • 9. SCM - EWM OVERVIEW Prior to releasing SCM - EWM, SAP basically built up functionalities on top of its R/3 architecture Higher complexities, better benefits provided with every release 2005: SAP SCM - EWM Solution released As of 2017, SAP SCM - EWM release 9.5 is being utilized in Businesses 9
  • 10. WHAT IS SAP SCM – EWM?  Best-in-class WM solution designed to manage/track Supply Chain Execution processes  Offers flexible, automated support for processing various goods movement & stock management in warehouses  Provides Labor Management, Slotting, Advanced Optimization Techniques & connection to automation all in one solution 10
  • 11. SCM – EWM BENEFITS TO CUSTOMERS 11
  • 13. SCM - EWM Evolution 13
  • 14. SCM - EWM Positioning  Positioned as a new generation Warehouse process flexibility, performance & coverage solution  Strategic investment solution with a strong roadmap  Next generation integrated Supply Chain Execution (SCE) solution 14
  • 15. SCM – EWM: KEY CAPABILITIES  Multi customer warehouse  Flexible modeling of WH processes  Stock/Process transparency  Optimization in Storage Planning & Process Execution  Seamless, out-of-box integration with SAP ERP, APO, CRM, GTS & BI Applications  Seamless integration of Automation tools (RF, RFID, Pick-by- Voice etc.)  Integration with overall SAP Supply Chain Execution Solution 15
  • 16. SAP WM & EWM Functionalities 16
  • 17. ECC - IM vs. ECC - WM vs. SCM - EWM 17
  • 19. Methods  Important to examine how both master data as well as transactional data move between ERP & EWM clients.  Prerequisites: -  Existence of RFC user in each target system / client with which EWM system requires integration with  Existence of RFC destinations between the corresponding ERP & EWM target systems / clients  TWO Integration / Data Transfer Techniques: -  Core Interface or CIF;  qRFC functionality 19
  • 20. Data Transfer Techniques  Core Interface / CIF: -  Location Master (Location Key & Names / Addresses):  Plant / DC’s – Plant definition tables (ERP)  Shipping Points – Shipping Point tables (ERP)  Product Master:  Material Master  Batch Master  Classification  Other ERP Master Data:  Vendor Master – Vendor Master (ERP)  Customer Master – Customer Master (ERP)  qRFC Technique: -  For transactional data transfer to EWM client  Inbound Deliveries  Outbound Deliveries  Production Material Requests 20
  • 21. SCM – EWM: ENTERPRISE STRUCTURE 21
  • 22. WM & SCM – EWM: MASTER DATA ELEMENTS  Relevant WM Master Data  Material Masters  Batches  Customer Masters  Vendor Masters  Plants  Shipping Points  Classes & Characteristics  Key EWM Master Data  Product Masters  Batch  Business Partner  Supply Chain Unit (SCU)  Storage Bin  Packaging Specifications 22
  • 23. EWM: PRODUCT MASTER RECORDS  Material Master records in WM converted to Product Master records in EWM  Core data elements captured from WM  EWM specific core data elements maintained in EWM system only o Similar to maintenance of WM views in Material Master records (WM)  Transactions used are as follows:- o Product Master = /SAPAPO/MAT1 o Warehouse Product Master = /SCWM/MAT1  5 EWM Views:- o Packaging data o Storage o Warehouse data o Slotting o Storage Type data 23
  • 24. EWM: BUSINESS PARTNER Vendors, Customers & Plants as well get converted to Business Partners in SCM – EWM Transaction = BP Created with a ‘General Role’ assignment o Contains basic data (Name, Address, Partner Type) o Other BP role types created for various purposes viz. Vendor, Sold-To Party, Ship- To Party, Plant etc. Creation of Business Partner always done automatically via the CIF interface Changes done to business partner data viz. Address change, name change etc., not sent back to WM system automatically Changes to source data (WM system) result in overwriting of values changed in EWM system 24
  • 25. EWM: SUPPLY CHAIN UNIT (SCU) Supply Chain Unit (SCU) EWM – specific concept as far as organizational hierarchy is concerned Transaction: /SCMB/SCUMAIN Assign a Category / Type to the SCU Plant, Shipping Point, Receiving Point Customer / Vendor etc. Link it to a Business Partner record Mandatory set up for the following cases: Plant, Shipping Point, Warehouse 25 0
  • 26. EWM: PACKAGING SPECIFICATIONS Master data record wherein information on how to package a product for storage or shipping is maintained Contains: o Accurate product & quantity details; o Combination of packing materials & work steps Can contain multiple levels with specified target quantities for each level Describes in detail which quantities product can be packed with which packing materials as well as in what sequence Can be easily used in: Inbound, Outbound & Internal processes 26
  • 29. EWM: PROCESS - ORIENTED STORAGE CONTROL Also called POSC Warehouse Process Type (WHPT) determines need for Storage Control. Intermediate steps (Inbound): Unloading, Deconsolidation, Counting, QI, Packing. System creates Warehouse task (WT) from Receiving area to intermediate storage. Auto WTs for next steps; Created upon completion of intermediate activity. Works with packed HU’s 29
  • 30. EWM: LAYOUT – ORIENTED STORAGE CONTROL Also called LOSC Works most efficiently & effectively if there is no direct path to the destination bin but inventory has to go through intermediate steps. Works when inventory is taken to some intermediate identification or “ID Point” before being put away to the final destination bin. 30
  • 33. EWM: INBOUND PROCESS (CONTD.)  Multiple Goods Receipts options  Goods Receipt for PO (Expected GR)  Goods Receipt against Inbound Delivery (ASN)  Goods Receipt via Handling Units (LPN’s)  Goods Receipt via Dock Door / Trailer ID  Real – Time integration & validation of ERP documents & Master data  Real – Time validation against PO, Material master  Batch & / or Serial Number creation directly during GR via desktop / RF transactions  Ability to carry out SLED (Shelf-Life Expiration Date) check against allowed tolerances  Checking & validations of over / under – delivery tolerances on PO 33
  • 34. EWM INBOUND: PUT AWAY  SCM EWM supports system – guided put away strategies  Addition to Existing Stock  Next Empty Bin  Fixed Bin  Near Picking Bin  Manual Stock Placement  Open Storage  Bulk Storage  Bin Capacity Management possible. Allows system to only propose bins that have available capacity 34
  • 37. EWM OUTBOUND: PICKING  SCM EWM supports following system – guided picking strategies: -  Stringent FIFO: Searches for absolute oldest inventory by receipt date in the Warehouse  Partial Quantity Management: Minimize number of partial pallets, by removing partial pallets for pick quantities less than full pallet  FIFO: Searches for oldest inventory within section of Warehouse, with ability to sequence section searches  Shelf Life Expiration Date (FEFO): Searches for inventory with least shelf life (but not expired) in given sequence of Warehouse sections  LIFO: Searches for newest inventory in Warehouse. Helps prevent users to having to move new stock to access older stock behind it  Large / Small Quantities: Used to break Each / Case / Pallet picks  Fixed Bin: Fixed Bin storage. Ideally suited for forward pick locations 37
  • 38. SCM EWM SOLUTION KEY FUNCTIONALITIES 38
  • 39. WAVE MANAGEMENT  Significant advantage with SCM EWM: Individual Outbound Delivery Order (ODO) items can be assigned to separate waves  ERP WM: Entire Outbound Delivery needed to be assigned to individual waves 39
  • 40. EWM: YARD MANAGEMENT & MONITORING  Yard Management  Check In / Check Out  Load / Unload  Yard Movements  Dock Door Scheduling & Assignment  Sealing / Unsealing  Weighing  Driver & Equipment Registration Monitoring  Inbound Processes  Outbound Processes  Physical Inventory  Resources  Labor Management  Bin Locations  Yard Activities  Stocks 40
  • 41. EWM: LABOR MANAGEMENT  Capture of Indirect Labor Tasks  Integration to SAP HR for performance – based incentives  Employee Performance Evaluation  Planned workload visibility (task – based)  Executed workload visibility (task – based)  Integration of Engineered Labor Standards used to calculate planned duration of Warehouse Tasks (WT’s)  Integrated reporting with SAP BI  Use of SAP Measurement Services in EWM for graphical reporting  Travel Distance Calculation for creation / planning of WT’s 41
  • 42. EWM: RF PROCESSING  SAP offers two standard native options for integrating mobile data collection in real – time via handheld RF devices / VMU’s (Vehicle Mounted Units); Task – based  SAP Console  SAP ITS Mobile  SAP Console: Telnet based solution (Character based display)  ITS Mobile: Web browser based solution for GUI displays  Standard transactions for full scope of processing from inbound to outbound & all internal processes 42
  • 43. MATERIAL FLOW SYSTEMS (MFS)  Enables connection of Warehouse automation equipment to EWM  Additional WCUs (Warehouse Control Units) or WCS (Warehouse Control Systems) not required  Provides direct control over PLCs from within EWM  Supported Processes: -  Put Away  Picking (Full Pallet / Pick HU)  Replenishment  Rearrangement  Empty Pallet Removals  Capabilities: -  Real – Time integration between EWM & PLC  Asynchronous data exchange via RFC  Background execution transparent to human users  Sub - second response times  Automatic sensing of failed PLC’s, Blocking of resources & redirection of tasks  Integrated monitoring  Scalable  BAdIs available to extend logic & capabilities 43
  • 44. RFID INTEGRATION WITH EWM AND AII  SCM – EWM seamlessly integrated with SAP AII (Auto – ID Infrastructure)  SAP’s RFID suite managing EPC data, business events (tag reads) & controlling hardware  Integrated RFID processes in EWM include: -  Vehicle Check – In / Check - Out  Vehicle Unloading & Receiving  Location to Location (Bin to Bin) movements  Packing  Vehicle Loading 44