TAMM20 Materials Management Extended TAMM20

Release 676 12.11.2009

TAMM20 Materials Management - Extended.......................................................................................................... 0-1 Copyright ............................................................................................................................................................... 0-2 The R/3 Integration Model................................................................................................................................ 0-3 Materials Management ...................................................................................................................................... 0-4 Overview............................................................................................................................................................ 0-5 LIS.......................................................................................................................................................................... 1-1 LIS: Contents..................................................................................................................................................... 1-2 LIS: Goals.......................................................................................................................................................... 1-3 Data Warehouse Concepts ................................................................................................................................ 1-4 Data Warehouse Concepts: Unit Objectives..................................................................................................... 1-5 Data Warehouse Concepts: Overview .............................................................................................................. 1-6 Data Warehouse Concept: Business Scenario .................................................................................................. 1-7 Data Warehouse Concepts ................................................................................................................................ 1-8 The Logistics Data Warehouse in the SAP System.......................................................................................... 1-9 Online Transaction Processing........................................................................................................................ 1-10 Logistics Data Warehouse............................................................................................................................... 1-11 SAP Business Intelligence .............................................................................................................................. 1-12 From Document to Analysis ........................................................................................................................... 1-13 Accessing the Logistics Information System.................................................................................................. 1-14 Data Warehouse Concepts: Summary............................................................................................................. 1-15 Standard Analyses in LIS ...................................................................................................................................... 2-1 Standard Analyses in LIS: Unit Objectives ...................................................................................................... 2-2 Standard Analyses in LIS: Business Scenario .................................................................................................. 2-3 Data Selection.................................................................................................................................................... 2-4 Value Selection.................................................................................................................................................. 2-5 Variants.............................................................................................................................................................. 2-6 Navigation in Standard Analysis Lists.............................................................................................................. 2-7 Standard Drilldown ........................................................................................................................................... 2-8 Drill Down by.................................................................................................................................................... 2-9 Switch Drilldown............................................................................................................................................. 2-10 ABC Analysis .................................................................................................................................................. 2-11 Comparisons .................................................................................................................................................... 2-12 Goto Other Info Structure ........................................................................................................................... 2-13

Master Data and Documents ........................................................................................................................... 2-14 Default Settings ............................................................................................................................................... 2-15 Standard Analyses in LIS: Summary .............................................................................................................. 2-16 Early Warning System........................................................................................................................................... 3-1 Early Warning System: Unit Objectives........................................................................................................... 3-2 Early Warning System: Overview .................................................................................................................... 3-3 Early Warning System: Business Scenario....................................................................................................... 3-4 Early Warning System: Functionality............................................................................................................... 3-5

Early Warning System in Standard Analyses ................................................................................................... 3-6 Early Warning System as an Online Filter ....................................................................................................... 3-7 Periodic Analysis............................................................................................................................................... 3-8 Threshold Value Analysis ................................................................................................................................. 3-9 Trend Analysis................................................................................................................................................. 3-10 Planned/Actual Comparison............................................................................................................................ 3-11 Multiple Linking Using And and Or............................................................................................................... 3-12 Early Warning System: Unit Summary .......................................................................................................... 3-13 Flexible Analyses in LIS ....................................................................................................................................... 4-1 Flexible Analyses in LIS: Objectives................................................................................................................ 4-2 Flexible Analyses in LIS: Overview................................................................................................................. 4-3 Flexible Analyses in LIS: Business Scenario ................................................................................................... 4-4 Self-Defined Evaluations .................................................................................................................................. 4-5 From Data Basis to Data Presentation .............................................................................................................. 4-6 Simple Example................................................................................................................................................. 4-7 Flexible Analyses in LIS: Summary ................................................................................................................. 4-8 LIS Environment ................................................................................................................................................... 5-1 LIS Environment: Unit Objectives ................................................................................................................... 5-2 LIS Environment: Overview ............................................................................................................................. 5-3 LIS Environment: Business Scenario ............................................................................................................... 5-4 Transfer of LIS Data to Excel ........................................................................................................................... 5-5 Transfer from Standard Analyses to Excel ....................................................................................................... 5-6 Editing a PC File in Excel ................................................................................................................................. 5-7 XXL - Excel Display......................................................................................................................................... 5-8 XXL - Excel SAP Macros................................................................................................................................. 5-9 XXL - Excel Pivot Table................................................................................................................................. 5-10 Pivot: Optional Layout Design........................................................................................................................ 5-11 Pivot: Characteristics Combination and Sequence ......................................................................................... 5-12 Pivot: Calculated Key Figures ........................................................................................................................ 5-13 Pivot: Filter and Sort Functions ...................................................................................................................... 5-14 Pivot: Statistics Functions ............................................................................................................................... 5-15 Pivot: Graphics ................................................................................................................................................ 5-16 Pivot: Creating Pivot Tables from a Pivot Table............................................................................................ 5-17 Transfer to Excel from Flexible Analysis....................................................................................................... 5-18 LIS Environment: Unit Summary ................................................................................................................... 5-19 Warehouse Management ....................................................................................................................................... 6-1 Warehouse Management: Contents 1 ............................................................................................................... 6-2 Warehouse Management: Contents 2 ............................................................................................................... 6-3 Warehouse Management: Goals ....................................................................................................................... 6-4 Warehouse Management Structure ................................................................................................................... 6-5 Warehouse Management Structure: Objectives................................................................................................ 6-6 Materials Management (MM) Overview .......................................................................................................... 6-7

WM Overview ................................................................................................................................................... 6-8 WM Overview - Interface to other systems...................................................................................................... 6-9 Example of a Physical Warehouse Structure.................................................................................................. 6-10 Warehouse Structure in the System ................................................................................................................ 6-11 Storage Bins and Quants ................................................................................................................................. 6-12 WM-System Hierarchy.................................................................................................................................... 6-13 WM Data Model: Warehouse Complex ......................................................................................................... 6-14 Examples of a (Physical) Warehouse Structure.............................................................................................. 6-15 The Warehouse Structure in the IM System................................................................................................... 6-16 Possible Structure with the WM System (1-1) ............................................................................................... 6-17 Possible Structure with the WM System (1-2) ............................................................................................... 6-18 Possible Structure with the WM System (2)................................................................................................... 6-19 Possible Structure with the WM System (3)................................................................................................... 6-20 New Organization Structures in the Warehouse............................................................................................. 6-21 Warehouse Management Structure: Unit Summary ....................................................................................... 6-22 Summary (2) .................................................................................................................................................... 6-23 Summary (3) .................................................................................................................................................... 6-24 Master Data............................................................................................................................................................ 7-1 Master Data: Topic Objectives.......................................................................................................................... 7-2 Objectives (2) .................................................................................................................................................... 7-3 Master Data........................................................................................................................................................ 7-4 Storage Bin Data................................................................................................................................................ 7-5 Material Data ..................................................................................................................................................... 7-6 Views in a Material Master Record .................................................................................................................. 7-7 Screens in a Material Master............................................................................................................................. 7-8 Units of Measure ............................................................................................................................................... 7-9 Stock Display from the WM View ................................................................................................................. 7-10 Master Data: Unit Summary ........................................................................................................................... 7-11 Goods Receipt........................................................................................................................................................ 8-1 Goods Receipt: Objectives ................................................................................................................................ 8-2 Objectives (2) .................................................................................................................................................... 8-3 Goods Receipt Process ...................................................................................................................................... 8-4 Process for Stock Placement ............................................................................................................................. 8-5 Planning a Movement........................................................................................................................................ 8-6 Transfer Requirement Information ................................................................................................................... 8-7 Steps for Stock Placement................................................................................................................................. 8-8 Transfer Order Information............................................................................................................................... 8-9 Transfer Order for Transfer Requirement....................................................................................................... 8-10 Screen Sequence in Transfer Order Creation ................................................................................................. 8-11 Palletization Notices........................................................................................................................................ 8-12 Printing a Transfer Order ................................................................................................................................ 8-13 Handling Differences ...................................................................................................................................... 8-14

Transfer Order Confirmation .......................................................................................................................... 8-15 Cancel Transfer Order (Stock Placement) ..................................................................................................... 8-16 Stock Placement Strategy................................................................................................................................ 8-17 Pre-allocated Stock Check .............................................................................................................................. 8-18 WM Data Model: Stock Movements .............................................................................................................. 8-19 Goods Receipt: Unit Summary ....................................................................................................................... 8-20 Summary (2) .................................................................................................................................................... 8-21 Goods Issue............................................................................................................................................................ 9-1 Goods Issue: Objectives .................................................................................................................................... 9-2 The Goods Issue Process................................................................................................................................... 9-3 Steps for Stock Removal ................................................................................................................................... 9-4 Transfer Requirement Information ................................................................................................................... 9-5 Steps for Stock Removal ................................................................................................................................... 9-6 Transfer Order for Stock Removal.................................................................................................................... 9-7 Data Entry Help for Stock Removal ................................................................................................................. 9-8 Cancel Transfer Order ....................................................................................................................................... 9-9 Stock Removal Strategy .................................................................................................................................. 9-10 Goods Issue: Summary.................................................................................................................................... 9-11 Production Integration ......................................................................................................................................... 10-1 Production Integration: Topic Objectives....................................................................................................... 10-2 Objectives (2) .................................................................................................................................................. 10-3 Production Supply Area .................................................................................................................................. 10-4 Material Staging Indicators ............................................................................................................................. 10-5 Request by Worker in Production ................................................................................................................... 10-6 Decreasing the Quantity during TO Creation ................................................................................................. 10-7 Supply to Production Storage Bins ................................................................................................................. 10-8 2- Step Picking................................................................................................................................................. 10-9 Usage posting ................................................................................................................................................ 10-10 System Definition.......................................................................................................................................... 10-11 Distinctive Features for Repetitive Orders ................................................................................................... 10-12 Standard Reports ........................................................................................................................................... 10-13 Production Integration: Summary ................................................................................................................. 10-14 Summary (2) ................................................................................................................................................. 10-15 Summary (3) ................................................................................................................................................. 10-16 Delivery Processing............................................................................................................................................. 11-1 Delivery Processing: Objectives ..................................................................................................................... 11-2 Picking Techniques ......................................................................................................................................... 11-3 Transfer Order for Outbound Delivery ........................................................................................................... 11-4 Overview of Shipping Process and WM......................................................................................................... 11-5 Multiple Processing for Deliveries ................................................................................................................. 11-6 Two-Step Picking ............................................................................................................................................ 11-7 Transfer Order Splitting .................................................................................................................................. 11-8

Lean WM - Using a TO as a Pick Order......................................................................................................... 11-9 Wave Picking................................................................................................................................................. 11-10 Storage of Shipping Units ............................................................................................................................. 11-11 Creation of TOs: WMTA .............................................................................................................................. 11-12 Delivery Processing: Summary..................................................................................................................... 11-13 Summary (2) .................................................................................................................................................. 11-14 Movements in WM Prior to IM .......................................................................................................................... 12-1 Objectives ........................................................................................................................................................ 12-2 WM Before IM: Goods Receipt...................................................................................................................... 12-3 WM Before IM: Delivery, Production............................................................................................................ 12-4 Summary.......................................................................................................................................................... 12-5 Replenishment ..................................................................................................................................................... 13-1 Replenishment: Objectives.............................................................................................................................. 13-2 Replenishment for Fixed Storage Bins ........................................................................................................... 13-3 Replenishment for Fixed Bins: Batch Report ................................................................................................. 13-4 Planned Replenishment ................................................................................................................................... 13-5 Creating TOs Automatically for TRs.............................................................................................................. 13-6 Replenishment: Summary ............................................................................................................................... 13-7 Posting Changes .................................................................................................................................................. 14-1 Posting Changes: Objectives........................................................................................................................... 14-2 Stock Transfer / Transfer Posting ................................................................................................................... 14-3 Bin to Bin Transfer.......................................................................................................................................... 14-4 Material to Material / Change in Batch........................................................................................................... 14-5 Posting Change: Material Number.................................................................................................................. 14-6 Stock Transfer/Transfer Posting (II) ............................................................................................................... 14-7 Stock Transfer / Posting Change: Plant to Plant............................................................................................. 14-8 Posting Changes During Stock Placement...................................................................................................... 14-9 Transfer Posting: Initiated in WM ................................................................................................................ 14-10 Posting Changes: Summary .......................................................................................................................... 14-11 Summary (2) ................................................................................................................................................. 14-12 Quality Management Interface............................................................................................................................ 15-1 Objectives ........................................................................................................................................................ 15-2 Goods Receipt in the IM System .................................................................................................................... 15-3 Transfer Requirement with Inspection Lot ..................................................................................................... 15-4 Storing Inspection Lots ................................................................................................................................... 15-5 Option 1: Situation after Creating a TO.......................................................................................................... 15-6 Usage Decision in QM .................................................................................................................................... 15-7 Inspection Lot Search ...................................................................................................................................... 15-8 Summary (1) .................................................................................................................................................... 15-9 Summary (2) .................................................................................................................................................. 15-10 Storage Unit Management................................................................................................................................... 16-1 Objectives ........................................................................................................................................................ 16-2

Storage Bin with Storage Unit Management .................................................................................................. 16-3 WM System without Storage Unit Management............................................................................................ 16-4 Management at the Storage Unit Level .......................................................................................................... 16-5 WM-System Hierarchy with SU Management............................................................................................... 16-6 SU Management in a Warehouse Complex.................................................................................................... 16-7 Bulk Storage with SU Management................................................................................................................ 16-8 Summary.......................................................................................................................................................... 16-9 Physical Inventory ............................................................................................................................................... 17-1 Physical Inventory: Objectives ....................................................................................................................... 17-2 Inventory Methods........................................................................................................................................... 17-3 Inventory Process ............................................................................................................................................ 17-4 Cycle Counting ................................................................................................................................................ 17-5 Cycle Counting Time Interval......................................................................................................................... 17-6 Zero Stock Check ............................................................................................................................................ 17-7 Zero Stock Check as Inventory ....................................................................................................................... 17-8 Inventory Based on First Stock Placement ..................................................................................................... 17-9 Inventory Sampling Procedure...................................................................................................................... 17-10 Physical Inventory: Summary ....................................................................................................................... 17-11 Summary (2) ................................................................................................................................................. 17-12 Summary (3) ................................................................................................................................................. 17-13 Batch Management.............................................................................................................................................. 18-1 Objectives ........................................................................................................................................................ 18-2 Batch Handling for Goods Receipts / Issues .................................................................................................. 18-3 Batch Determination in the Logistics Chain................................................................................................... 18-4 Batch Handling in the WM System ................................................................................................................ 18-5 Summary.......................................................................................................................................................... 18-6 Reporting and Analysis ....................................................................................................................................... 19-1 Objectives ........................................................................................................................................................ 19-2 Warehouse Controlling.................................................................................................................................... 19-3 Warehouse Activity Monitor........................................................................................................................... 19-4 Warehouse Activity Monitor (2)..................................................................................................................... 19-5 Warehouse Activity Monitor (3)..................................................................................................................... 19-6 Summary.......................................................................................................................................................... 19-7 Customizing: Basic Data .................................................................................................................................... 20-1 Objectives ........................................................................................................................................................ 20-2 Warehouse Level Data .................................................................................................................................... 20-3 Storage Type Level Data................................................................................................................................. 20-4 Creating Storage Bins Automatically ............................................................................................................. 20-5 Define Sort Sequence for Placement / Removal............................................................................................. 20-6 Summary.......................................................................................................................................................... 20-7 Integration with Inventory Management ............................................................................................................ 21-1 Integration with Inventory Management: Objectives ..................................................................................... 21-2

Inventory Management/WM Interface............................................................................................................ 21-3 Interim Storage Area Search ........................................................................................................................... 21-4 Interim Storage: Dynamic Coordinates ......................................................................................................... 21-5 Interim Storage: Predefined Storage Bins...................................................................................................... 21-6 Interim Storage: Fixed Bins ........................................................................................................................... 21-7 Special Movement Indicator ........................................................................................................................... 21-8 Automatic Creation of Transfer Orders .......................................................................................................... 21-9 Integration with IM: Unit Summary ............................................................................................................. 21-10 Summary (2) ................................................................................................................................................. 21-11 Customizing: Storage Bin Search ....................................................................................................................... 22-1 Objectives ........................................................................................................................................................ 22-2 Transfer Order Storage Type Search - Placement .......................................................................................... 22-3 Transfer Order Storage Type Search - Removal ............................................................................................ 22-4 Storage Type Search Control .......................................................................................................................... 22-5 Storage Section Search Control ...................................................................................................................... 22-6 Variable Control by Storage Unit Type .......................................................................................................... 22-7 TO Processing Overview ................................................................................................................................ 22-8 Fixed Bin (F) ................................................................................................................................................... 22-9 Near Fixed Bin (K)........................................................................................................................................ 22-10 Next Empty Bin (L)....................................................................................................................................... 22-11 Addition to Existing Stock (I) ....................................................................................................................... 22-12 Pallet Strategy (P).......................................................................................................................................... 22-13 Storage Bin Section Definition ..................................................................................................................... 22-14 Open Storage (C)........................................................................................................................................... 22-15 Bulk Storage (B)............................................................................................................................................ 22-16 Partial Quantities First (A) ............................................................................................................................ 22-17 Large/Small Quantities (M) .......................................................................................................................... 22-18 Cascadable through Quantity Rounding - M ................................................................................................ 22-19 Picking Strategy for Fixed Bins (P) .............................................................................................................. 22-20 Shelf Life Expiration Date (H)...................................................................................................................... 22-21 Summary........................................................................................................................................................ 22-22 Tools .................................................................................................................................................................... 23-1 Objectives ........................................................................................................................................................ 23-2 Transfer Order and Multiple Printing ............................................................................................................. 23-3 Setting Up Printing .......................................................................................................................................... 23-4 Scenarios for Initial Data Load ....................................................................................................................... 23-5 Copying a Warehouse ..................................................................................................................................... 23-6 Summary.......................................................................................................................................................... 23-7 Warehouse Management: A Case Study............................................................................................................ 24-1 Objectives ........................................................................................................................................................ 24-2 Analyze Warehouse Requirements ................................................................................................................. 24-3 Configure the Warehouse................................................................................................................................ 24-4

Summary.......................................................................................................................................................... 24-5

TAMM20 Materials Management - Extended

TAMM20
Materials Management Extended
SAP AG 1999

System R/3 Release 4.0A February 1999 Materialnr.: 50027380

Copyright

Copyright 1999 SAP AG. All rights reserved. Neither this training manual nor any part thereof may be copied or reproduced in any form or by any means, or translated into another language, without the prior consent of SAP AG. The information contained in this document is subject to change and supplement without prior notice. All rights reserved.

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Trademarks SAP and the SAP logo are registered trademarks of SAP AG. MS-DOS and EXCEL are registered trademarks of Microsoft. OS/2, CICS, MVS, ACF/VTAM, VSE, AIX, OS/400 and AS/400 are registered trademarks of IBM. X Window System is a registered trademark of MIT University. SINIX, UTM and BS2000 are registered trademarks of Siemens. UNIX is a registered trademark of AT&T. HP-UX is a registered trademark of Hewlett Packard. DECnet, DECstation, DECsystem, VAXstation and VMS are registered trademarks of DEC. Ethernet is a registered trademark of the Xerox Corporation. ORACLE SQL*net, SQL*+ PRO*C are registered trademarks of the ORACLE Corporation. INFORMIX-OnLine and INFORMIX-ESQL/C are registered trademarks of the INFORMIX Corporation.

The R/3 Integration Model

SD SD
Sales Sales & Distribution Distribution

FI
Financial Financial Accounting Accounti ng

MM MM PP
Materials Materials Mgmt. Mgmt. Production Pr oduction Planning

CO
Controlling Controlling

AA

R/3
HR
Human Human Resources Resources

Asset Asset Accounting

QM
Quality Mgmt. Mgmt.

PM

Plant Plant Maintenance Maintenance

PS PS Client / Server Project Project System System ABAP WF

Wor kflow Workflow

IS
Industry Industry Solutions Solutions

SAP AG 1999

SAPs R/3 System has set new norms for standard software that can be universally implemented. R/3 uses advanced development techniques to achieve comprehensive integration of business administration and data processing. R/3 combines state-of-the-art technology with comprehensive business administration functions to provide a fully-integrated business solution for your company.

Materials Management
Level 2
LO510 3 days Inventory Management LO515 3 days Invoice Verification LO540 2 days Procurement of External Services LO520 3 days Optimizing the Purchasing Process LO525 2 days Consumption-Based Planning and Forecasting LO715 2 days Quality Mgmt. in MM LO611 2 days Transportation LO530 5 days Warehouse Mgmt. LO640 3 days Foreign Trade
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Level 3
LO511 1 day Physical Inventory LO955 3 days Batch Management LO550 5 days Cross-Functional Customizing in MM

4 days LO020 Processes in External Procurement

LO521 2 days Conditions and Price Determination in MM

CA535 2 days Material Valuation

LO531 2 days Special Topics Within Warehouse Management

Overview

Section

Logistics Information System

Section

Warehouse Management

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LIS

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LIS: Contents

Unit 1 Unit 2 Unit 3 Unit 4 Unit 5

Data Warehouse Concepts Standard Analysis in LIS Early Warning System Flexible Analysis in LIS LIS Environment

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LIS: Goals
This section will enable you to:
z Gain conceptual information and hands-on experience of reporting in the LIS system z Use online documentation to resolve implementation and usage issues

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Data Warehouse Concepts

Contents:
z Basic concepts and terminology

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Data Warehouse Concepts: Unit Objectives

At the conclusion of this unit, you will be able to: z Explain how modern data warehouse products ensure availability of information z Define SAP terminology and data warehouse concepts z Identify the difference between documentindependent information and document-specific application data

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Data Warehouse Concepts: Overview

Advanced analysis functions

Selection versions Authorizations Hierarchies

Standard analysis

EWS
Early Warning System

External data

MM SD FI

PP

Flexible analysis
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This unit explains the data warehouse concept in LIS. The individual levels of this concept are explained in detail - the different information systems of the Logistics Data Warehouse are introduced and the role of this concept in the SAP Open Information Warehouse will be defined.

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Data Warehouse Concept: Business Scenario

z Your organization is implementing all R/3 Logistics modules. To ensure consistent reporting across the enterprise, management has requested that the same set of data warehouse reporting tools be used for all logistics analyses.

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Data Warehouse Concepts

OLAP
Analysis tools

Online Analytical Processing

DATA WAREHOUSE
Aggregated information

OLTP

External Data

Materials Production Management Planning Sales and Finance Distribution

Online Transaction Processing

Integrated application modules

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State-of-the-art data warehouse concepts use a three-tier model as the starting point for implementing efficient, integrated information systems. The three tiers subdivide the flow of data, from data acquisition in the operative systems right through to the presentation of information at the top level. Integrated, operative applications in OLTP systems form the basis for obtaining information. They are filled with large quantities of master and process data. The information systems present this information in a compact and structured form. This is achieved by compressing the application data to obtain more compact, informative key figures and then managing it separately in the database tables of a data warehouse. The statistical data obtained in this way can then be analyzed using a variety of analysis tools which are available in the third tier. These tools offer a wide range of methods that allow statistical data to be analyzed and presented in an efficient and impressive way. They can therefore make a huge contribution towards reducing the time needed to make decisions in modern management.

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The Logistics Data Warehouse in the SAP System

OLAP

Business Intelligence
Q u antity

Online Analytical Processing

Time

DATA WAREHOUSE OLTP

Info Structures S001 S012 S... LIS Updating Online Transaction Processing S039

SAP R/3

SAP R/2

SAP AG 1999

The Logistics Information System is a component of the SAP Open Information Warehouse and provides information from the areas of Sales and Distribution, Purchasing, Production, Warehouse Management, Plant Maintenance, and Quality Management. In LIS, important information is stored in individual databases, which are maintained in parallel to the operational systems. The primary objective here is to transform the detailed data in the operational systems into key figures with a high predictive value. Further information systems are available for the Financial Accounting, Controlling, and Human Resources modules.

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Online Transaction Processing

Quantity Time

OLTP
LIS Updating

z LIS updating for process data processing

Extraction Aggregation Calculation of statistics

z OLTP systems

SAP R/3
SD SD FI FI
RV

SAP R/2
R F RF RMRMMAT MAT RMPPS PPS

Non-SAP systems

Mapping of business processes Management of master and process data

MM MM

PP PP

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Modules from both the SAP R/2 and the SAP R/3 Systems, as well as from non-SAP systems, can be classed as integrated application modules at OLTP level. The huge volumes of data contained in these modules make a detailed overview of business processes difficult to achieve. The R/3 Logistics Information Systems are anchored in the R/3 OLTP applications via special updating modules. LIS updating, together with data aggregation, constitutes one of the chief principles of the overall LIS concept. Update programs reduce the process data down to its statistically-relevant components, that is, they cumulate relevant data in LIS at regular intervals in terms of objects, and then use formulas and conditions to calculate informative key figures. Statistical data can be updated in LIS at the same time as the process data is being processed in the application modules. This guarantees that LIS information is consistent with operational data. It is equally possible, however, for updating to take place asynchronously, which reduces the system load in the application systems. You can also link R/3 LIS components to external OLTP systems. This allows, for example, LIS update programs of an R/3 System to be supplied with process data from an SAP R/2 application, which means that LIS can become an R/3 OLAP application for an R/2 OLTP System.

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Logistics Data Warehouse

z Info structures
Quantit y Time

Logistics Data Warehouse

Info structure: Purchasing Characteristics Period unit Key figure

Plant Material Vendor ... Month Week Day ... Order quantity Order value No. of deliveries Last purchase order ...

Standard Info Structures

Purchasing

S&D

Production

Transparent Aggregation criteria Characteristics Period unit Performance measures Quantitative key figures Qualitative key figures Diverse info structures available in standard system Easy-to-use tools for creating self-defined info structures

Self-Defined Info Structures

Factory Mgmt.
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Production/Sales

The individual physical tables in the SAP Information Warehouse are called information structures. All information structures, or info structures for short, have the same structure. The objects to analyze from the real business world are represented by characteristics in info structures, which are used as a basis for categorizing data. Statistical information is updated and aggregated around characteristics such as vendor, customer, or material. Organizational elements such as purchasing group, material group, valuation area, plant, or storage area can also function as characteristics in information structures. The time base is another aggregation option. The data is not only accumulated for each characteristic but also per period. For each information structure, you can choose a daily, weekly, or monthly data aggregation. Logistics key figures are updated for each combination of characteristics in accordance with the predefined period unit. Key figures are quantitative figures, which convey a concise but meaningful amount of information. Key figures can be obtained for each characteristic through the cumulation of data, such as purchase order quantity or production order quantity; however, they can also take the form of simple counters, such as 'number of deliveries'. The SAP R/3 System contains a wide range of standard information structures for different application areas. Easy-to-use tools also allow you to group characteristics and key figures together to suit your needs, resulting in self-defined info structures, which can then be supplied with data via separate update programs.

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SAP Business Intelligence

z Save
Q u antity Time

SAP Business Intelligence

Large number of statistical functions Unrestricted navigation

z Flexible analyses

Variable list layout Self-defined formulas SAP Query ABAP

z Self-Defined Evaluations
Save
PROGRAM ... SELECT ... WRITE ...

z Logistics Information Library

Flexible analyses

Self-defined evaluation
Quantity

Key figure classification Retrieval functions

z Planning
Distribution functions Interactive graphics Forecasting support

Tim e

z Non-SAP products
Excel...

LIL
SAP AG 1999

Planning

Native SQL Excel

The Business Intelligence level provides a wide range of methods for online analysis of warehouse data. Standard analyses enable you to analyze data from a variety of perspectives. They support a large number of statistical functions, allow unlimited navigation, and enable statistical data to be enhanced with background data from the operative systems at OLTP level. Flexible analyses can be generated via reporting tools and tailored to suit corporate requirements. They provide a variety of possible layouts, allow you to define your own formulas, and are graphically supported in the same way as the standard analyses. Furthermore, with the aid of SAP ABAP products, you can perform your own analyses and process any warehouse information without any problems, since data in the Logistics Data Warehouse is stored transparently. In addition to the actual data from the operative applications, planned data can also be managed in the Logistics Information System in different versions. The creation of planning data is supported by special tools such as distribution functions, interactive graphical techniques, and proven forecasting methods. You can compare planned data with actual data as part of the standard analyses. The Logistics Data Warehouse is open and of course allows you to perform analyses using non-SAP products such as Excel or native SQL.

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From Document to Analysis

PO
Vendor: 1000 PO date: 05/15/98
10 pc. M-01 @ 1,100 UNI 11,000 10 pc. M-02 @ 1,000 UNI 10,000 Material: M-01 Month: 05/98
Vendo r 1000 1100 Orde r value 11,000 13,000

Vendor: 1000 Month: 05/98

Material Order val ue 11,00 0 30,00 0 M-01 M-02

Info structure in Purchasing

Vendor 1000 1000 1100 Material M-01 M-02 M-01 Month 05/98 05/98 05/98 Order v. 11,000 30,000 13,000

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When a document is posted - as shown here in the example of a purchase order - the key figures of the info structures for the corresponding characteristics combinations are updated. If no data record exists in the information structure for the characteristics combination of the document, a new record is generated and the characteristics and key figures are entered (Example: Vendor 1000, material M-01, month 05/98, purchase order value 11,000). If the characteristics combination already exists in the info structure, the key figures in the data row are increased or decreased accordingly. (Example: Vendor 1000, material M-02, month 05/98, old purchase order value 20,000 + purchase order value document 10,000 = new purchase order value 30,000). The different analyses can generate lists for all kinds of characteristics combinations using data stored in the info structures.

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Accessing the Logistics Information System

Info System z Info Librar y Search for key figures according to various subroutines z z z Search via text Search via characteristics Search via info set Logistics Controlling z z Application Level ->Info System z A direct link to the corresponding Logistics Information System is possible from the different application levels (e.g. Purchasing) Link to the application level info systems in Logistics Characteristics and key figures are grouped by topic in analyses (e.g. material analysis) z Link to the application level info systems in Logistics Groups of key figures (e.g. purchasing values) are listed for the main characteristics

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The R/3 System offers various possibilities for accessing the Logistics Information System: - All key figures are managed in the Info Library and can be found using different kinds of search routines. If a search was successful, a standard analysis can be executed for a key figure. - Logistics application levels can be accessed using the menu option Information Systems. Here, groups of key figures (e.g. purchasing values, frequencies) for the main characteristics of an application level are listed in standard analyses. - It is also possible to call up the different application areas of the Logistics Information System via Logistics Controlling. Here, characteristics and key figures are grouped by topic in standard analyses (e.g. material analysis, vendor analysis). - A fourth possibility of calling up the corresponding Logistics Information Systems is provided in the application levels. It is, for example, possible to call up the Purchasing Information System directly from Purchasing or to call up the Sales Information System from Sales.

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Data Warehouse Concepts: Summary

You are now able to:

z Explain how modern data warehouse products

ensure availability of information

z Define SAP terminology and data warehouse

concepts
z Identify the difference between document-

independent data and document-specific application information

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Standard Analyses in LIS

Contents:
z Functionality of standard analyses z Selection Options z Navigation in Standard Analysis Lists z Statistical functions z User settings z Settings for standard analyses

SAP AG 1999

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Standard Analyses in LIS: Unit Objectives

At the conclusion of this unit, you will be able to: z Access, execute, and navigate standard analysis lists z Use variants when selecting z Define default settings and statistical functions

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Standard Analyses in LIS: Business Scenario

z Your company has decided to analyze the relationships with other firms, specifically vendors and customers.

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Data Selection

z Value selection

Single value selection and ranges Complex selection Multiple selection Selection using self-defined hierarchies

z Selection options z Variants

SAP AG 1999

The selection screen of the standard analyses offers several options for selecting the characteristic values that are used in the analysis. Apart from single-value selection and selection using value ranges, you can also define complex default values with the exception of single values or ranges of values. Moreover, you can determine several characteristic values for the analysis using the matchcode search or self-defined hierarchies Variants allow you to save a wide range of entries in the selection screen and can be called again whenever required.

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Value Selection
Material Analysis: Selection
Characteristics Purch. organization Material Plant Period to analyze Month to to to

Multiple Selection
Single vals Ranges Single vals Ranges

to

Data transfer to selection screen Multiple selection ... Org. Material MaterialGr. Sales Org. M-01 M-02 M-03 M-04 M-05 M-06 001 001 001 001 001 001 1000 1000 1000 1000 2000 2000 All possibilities of the matchcode search are available for multiple selection. The choice of matchcodes depends on the chosen characteristic in the selection screen. Associated characteristic values can be selected and copied. Multiple selection

SAP AG 1999

You can enter a single value or a range of values in every selection screen of the standard analyses. Using the 'multiple selection' function, you can also carry out a multiple selection or a complex selection. For multiple selection, various matchcodes are available for selecting characteristic values with specific attributes, depending on the selected characteristic. (Example: All materials with material type raw material). You can select the result of the matchcode search in a list and copy it into the selection screen. The complex selection of characteristic values allows you to exclude certain characteristic values from this range after entering a range of values. The characteristic values to be excluded can also be defined using single values or ranges.

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Variants

Material Analysis: Selection

Material Analysis: Selection Material Analysis: Selection

Goto
z Advantages of variants: z Simplification of data entry when carrying out repeated analyses. z You can predefine fixed default values for the selection of characteristics. z You can enter values in the selection criteria using table variables and function modules. z Support for scheduling standard analyses using selection versions.

Characteristics Material Analysis: Selection ..... Characteristics Purch. organization1000 toVariants Characteristics Material to.....M-20 Plant M-10 1000 Plant Get Plant MRP controller 001 to 1200 MRP controller Material A* Display Material M-01 Period Delete Periodto toanalyze analyze Period to analyze Month to 10.1999 11.1998 Month Save as variant Month 06.1998

SAP AG 1999

You can save the values entered into the selection screen by using variants. This is particularly important when a great amount of data has been entered into the selection screen (see multiple selection) and will be required again later on. You can considerably reduce the effort required to enter data when carrying out repeated analyses. By using variants, you can fix default values which will be made available for many users. Depending on the variant, all analyses thus refer to the same selection contents for all users. You can also enter values into the selection criteria by using table variables or function modules. As a result, it is possible to copy user-specific characteristic values into the selection screens. Variants also enable you to schedule standard analyses in the background. When standard analyses are scheduled using selection versions, the analysis is restricted by selection criteria, which are defined with variants. Note that variants are always stored with reference to the analysis.

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Navigation in Standard Analysis Lists

You have three options for navigating in the standard analysis list: z Standard drilldown z Drill down by z Switch drilldown

SAP AG 1999

After executing a standard analysis, an initial list is displayed on the screen. Starting from this initial standard analysis list, the system offers three possibilities for navigation. y Standard drilldown: By double-clicking on a characteristic you will access the next level of a predefined standard drilldown. y Drilldown by: You can drill down each characteristic according to a different characteristic. y Switch drilldown: The whole drilldown can by displayed for another characteristic.

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Standard Drilldown
Material analysis Material Order value Invoiced amount
Double-click

Standard Drilldown Material Vendor Month

M-01 M-02

100.000 200.000

90.000 195.000

Double-click

Material: M-01 Vendor Order value Invoiced amount 60.000 50.000 Brown 40.000 40.000 Bauer

Vendor: Smith M-01 Month Order value Invoiced amount 02.1998 20.000 03.1998 25.000
SAP AG 1999

20.000 25.000

Each standard analysis has a specific standard drilldown. This standard drilldown can have global and user-specific settings. In order to define this drilldown, you can use all characteristics and the period unit of the relevant info structure. When you call up a standard analysis, the top level of the standard drilldown will always be displayed. By double-clicking on a characteristic, you can drill down this characteristic to the next characteristic. The result will be displayed in a new list.

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Drill Down by

Drill down by Purch. organization Vendor Material Mat group Plant Month

Material analysis Material Order value Invoiced amount 100.000 90.000 M-01 200.000 195.000 M-02

Material: M-01 Plant Order value Invoiced amount 60.000 50.000 1000 40.000 40.000 2000

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Starting from any list in a standard analysis, you can drill down any characteristic value in this list according to a different characteristic. Therefore, you analyze the key figure values of this characteristic value further according to a different characteristic.

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Switch Drilldown
Switch drilldown... Switch drilldown Pur. organization Vendor Material Material group Plant Month

Material analysis Material Order val. Invoiced amount Total M-01 M-02 M-03 800,000 100,000 50,000 200,000 750,000 100,000 50,000 195,000

Plant Total 1000 2000

Material analysis Order val. Invoiced amount 800,000 750,000 500,000 450,000 300,000 300,000

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From any list in a standard analysis, the total values of all key figures can be drilled down by any possible characteristic of the standard analysis. You can do this by changing the current drilldown using the function 'Switch drilldown'.

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ABC Analysis
Strategy
Total order value No. of vendors % Order value % Vendor %

Cum. order value

A B C

Vendor A Segment List Order value 25,000 20,000 Overview Vendors Order value A Segment B Segment C Segment 10 30 120 125,000 40,000 30,000

Vendor 4711 4712

Vendors Order value

SAP AG 1999

In the ABC analysis, the values of a characteristic (e.g. vendors) and a particular key figure (e.g. order value) are compared in order to make a classification in three segments. Various strategies can be used to set the class limits as characteristic or key figure-specific and as percentage or absolute values respectively. The results are displayed in a cumulative frequency curve with an additional classification into three segments. The sizes of the segments correspond to the setting made when the strategy was selected. The characteristics and key figures assigned to the individual segment levels can either be displayed as an absolute value for each segment, cumulated for all segments in lists, or in graphic form. You can choose between a list or a graphic for illustrating the ABC analysis.

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Comparisons
Material analysis Vendor Vendor 1 Vendor 2
Planned/actual comparison: Order value Vendor Vendor 1 Vendor 2 Planned 40,000 50,000 Actual 30,000 70,000 Difference - 10,000 20,000 % - 25 % + 40 % Edit Edit .....
Comparisons

Order value Invoiced ..... amount Planned/actual

.....

30,000 70,000

50,000 40,000 Two key figures

Previous/current

. .

Comparison with previous year: Order value Vendor Prev. yr. Current Difference % Vendor 1 50,000 30,000 - 20,000 - 40 % Vendor 2 50,000 70,000 20,000 + 40 % . . . . . . . . . Com parison key figure: Order value Invoiced amount . Vendor Vendor 1 Vendor 2 Order value 30,000 70,000 Inv. amt. 20,000 70,000 Difference - 10,000 0,000 % - 33 % 0%

SAP AG 1999

At each drilldown level, there are three possibilities to carry out comparisons: y The current data of a key figure can be compared to the data of a plan version. y The values of the previous year can be compared to the current data. y The values of any two key figures can be compared to each other. The data compared is always listed in separate windows. You can analyze the listed characteristics even more precisely by drilling further down by other characteristics.

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Goto

Other Info Structure

z Goto

Other info structure

Goto

From general to specific From Sales to INVCO From month to day

Customer analysis Becker ..... AG Info structure Material Order Incoming ..... quantity orders M-01 M-02 10 13
..... 100,000 200,000

z Advantages:

Good response time Automatic transfer of selection parameters Unrestricted navigation in LIS General INVCO Analysis Plant GR Valuated quantity quantity 1000 2000 100 50 50 25

SAP AG 1999

It is possible to call up one standard analysis from another standard analysis. This function transfers the selection parameters from the analysis you are already viewing to the analysis you are calling up. If you have already performed a drilldown by characteristic value or positioned your cursor on a characteristic value of the calling analysis, this characteristic value is transferred to the analysis you have called up. Example 1: You have created a list for your vendor in a purchasing group analysis in purchasing. You are interested in materials for this vendor. The Goto -> Other info struct. function allows you to call up the material analysis in purchasing and analyze the materials for this vendor. Note: Since the purchasing group is not available as a characteristic in this analysis, it is ignored in the material analysis Example 2: You have performed a drilldown by customer for the sales organization 1000 in Sales and Distribution and drilled down the customer Becker AG by materials. You are interested in the stocks for a material. The Goto -> Other info struct. function allows you to go to the material analysis in inventory controlling where you will be provided with information on stocks and movements for the material. Since the materials analysis in INVCO does not contain any data relating to sales organizations and customers, both characteristic values are ignored. Example 3: If you switch from a highly-aggregated information structure (one that is updated monthly, for example) to a detailed information structure with a smaller period unit, the selected periods are converted. For example: January 2000 - April 2000 becomes January 1, 2000 - April 30, 2000.

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Master Data and Documents

... Extras Material analysis ..... Master data

Material and vendor master data

Material M-01 M-02

Order value Invoiced Doc.information amount

.....

60,000 40,000

50,000 40,000
1 2

PO PO
1

PO
2 1 2

SAP AG 1999

Using list displays, you can call up the relevant master data and documents from the various standard analyses in the Logistics Information System. The selection parameters of the calling analysis are transferred to the relevant reports. You can call up certain resident documents depending on the data basis in the relevant info structure. (For example: Material analysis in purchasing -> Order documents) The relevant master data depends on the characteristics that can be selected in the analysis (For example: Material analysis in purchasing -> Material and vendor master).

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Default Settings

User-specific settings per analysis:

1 2 Standard drilldown Preselection of key figures

Default selection period

List parameters Initial graphic yes / no Drilldown log in page header Width of char./key figure column Display characteristic as text/number

SAP AG 1999

In every standard analysis, you can make default settings which are valid for every user. In addition, these default settings can be covered by user-specific settings. You can make default settings for the standard drilldown, a preselection of key figures, the default value of the selection period, and various list parameters in order to design the list layout. Afterwards, you can still change the selection of key figures and the design of the list layout in the standard analysis.

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Standard Analyses in LIS: Summary

You are now able to: z Access, execute, and navigate standard analysis lists z Use variants when selecting z Define default settings and statistical functions

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Early Warning System

Contents:
z Exception reporting in standard analyses z Filter options in exception analyses z Periodic analyses in Early Warning System z Grouping exceptions z Event-driven periodic analyses

SAP AG 1999

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Early Warning System: Unit Objectives

At the conclusion of this unit, you will be able to: z Execute standard analyses with an exception condition as an additional selection option z Use exception analyses as online filters z Create an automatic weak-point analysis

SAP AG 1999

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Early Warning System: Overview

Advanced analysis functions

Selection versions Authorizations Hierarchies

Standard analysis

EWS
Early Warning System

External data

MM SD FI

PP

Flexible analysis
SAP AG 1999

The Early Warning System enables the decision-oriented selection and checking of weak points within the logistics area. Exceptional situations will be detected by this system and can be transferred to the persons responsible via follow-on processing.

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Early Warning System: Business Scenario

z Management wants to detect and eliminate potential problems at an early stage. z They require analyses that will search, on a periodic basis, for exceptional situations, to enable them to check for weak areas in Logistics.

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Early Warning System: Functionality

Interactive
Complete list of highlighted exceptional situations
Customer analysis Sold-to Sales Order party order val. quantit y 1000 100,000 1,000 2000 230,000 2,000 350,000 1,800 3000

Periodic Analyses
System-driven Data check (e.g. on a weekly basis)

Fax

LIS data
Ex ce pt io n
Event-driven Check of changed data (e.g. daily)

Mail Workflow

Filter: Only the exceptional situations are output

Customer analysis Sold-to Sales Order party order val. quantity 2000 230,000 2,000 3000 350,000 1,800

SAP AG 1999

You can either use the Early Warning System interactively in the standard analyses or run it at regular intervals as a background job. If you use it interactively in the standard analyses, the exceptional situations are highlighted using color codes or filtered in the exception analysis. This allows you to detect exceptional situations at an early stage. In the periodic analysis, a list of the exceptional data is automatically sent to the designated recipient by fax, mail, or workflow.

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Early Warning System in Standard Analyses

Exception

Characteristics
Sold-to party Material Month Requirements Open orders. > 200,000 Open orders. > 100,000 red yellow Miller Material Incoming orders

Custom er analysis Sold-to Incoming Open party orders orders Busch 1,548,324 543,750 Miller 2,239,783 787,644 Schmitt 1,323,178 653,268 Open orders

Miller Month 01/1998 02/1998 03/1998

SAP AG 1999

M-01 548,324 253,750 M-02 1,258,783 450,633 M-03 313,127 153,268 Material: M-02 Incoming orders Open orders

249,657 53,750 578,767 250,654 216,958 113,268

If you want to use the EWS in the standard analyses, you create an exception in the initial screen of the standard analysis. Carry out the standard analysis as normal. The characteristics which satisfy the exception are highlighted in color. Exceptional situations are always checked on the lowest level of aggregation. If an exception occurs at this level, then the entries on a higher level are also highlighted in color. In the example above, the exception is checked at the level of sold-to party/material/month. Here the sold-to parties are highlighted for which materials exist which satisfy the requirements of the exception for at least one month. If you drill down further by double-clicking a sold-to party, the materials that satisfy the exception for at least one month are highlighted.

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Early Warning System as an Online Filter

Exception

Characteristics
Sold-to party Material Month Requirements Open orders. > 200,000 Open orders. > 100,000 red yellow Miller Material Incoming orders M-02 Miller Month 02/1998 03/1998 Material: M-02 Incoming Open orders orders 578,767 250,654 216,958 113,268

Exception analysis Sold-to Incoming Open party orders orders Miller 2,239,783 787,644

Open orders

1,258,783 450,633

SAP AG 1999

Exceptions can be performed not only in standard analyses but also as independent exception analyses. Unlike the standard analysis with exception, an exception analysis only displays data to which the exceptional situation applies. The exception acts as a data filter. Data that the exception does not apply to is not displayed. In the example above, the exception requirement is checked at the sold-to party/material/month level. Only those sold-to parties are displayed for whom materials satisfy the exception requirements for at least one month. If you drill down further by double-clicking a sold-to party, all materials are listed that satisfy the exception for at least one month. If you double-click a material, all the months are listed in which the exception is satisfied for this material.

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Periodic Analysis
SD

EWS
MM

Info structures
PP

Periodic analysis

EWS System-driven
- Analysis of entire data - Weekly, for exam ple

Event-driven
- Analysis of data changed since the last check - Daily, for exam ple

Information can be sent by

Workflow Mail Fax

to the user
SAP AG 1999

You can schedule a periodic analysis to run as a background job in order to check the dataset for exceptional situations. The existing dataset is systematically checked for exceptional situations at an appropriate interval (hourly, daily, weekly, monthly). If an exceptional situation occurs, you will be informed via mail, fax, or workflow and you can trigger follow-up processing. There are two types of periodic analyses: y System-driven: the entire dataset specified for selection is checked for exceptional situations. Use: Month-end closing report, provides an overview of exceptional data y Event-driven: only data that has changed since the last check is read and checked. Use: Monitoring of ongoing transactions and operations at short intervals It is advisable to monitor particularly important key figures or characteristics using the event-driven periodic analysis. In all other cases, for example, a weekly check using the system-driven periodic analysis may be performed. The following constraints need to be considered when conducting periodic analyses: For each exception only one periodic analysis can be created. Therefore, you need to decide between systemdriven and event-driven analyses. Although you can create several exceptions for one info structure, you can create only one event-driven analysis for each info structure.

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Threshold Value Analysis

Exception: Requirements Period to analyze Previous periods 3 9 Incl. act.

Future Threshold periods Value Analysis Incoming orders No. forecasting per. 200,000

b a

c Current period

Separate periods

a + b + c 200,000 ?
Exception: Requirements Period to analyze Previous periods 7 9 Incl. act. 2 Threshold Future periods Value Analysis Incoming orders No. forecasting per. Separate periods 200,000 a Current period b

Actual Forecast

a + b 200,000 ?

SAP AG 1999

To analyze the threshold value, you enter a threshold value for a key figure and an operator for the threshold value (e.g. incoming orders value > 200,000). The threshold value in the example above is defined so that the exception is satisfied when the total of the incoming orders values of the last three months, including the current month, exceeds 200,000. The number of periods defines the number of periods to be analyzed. If the option "Separate periods" is selected, each individual period is checked instead of the key figure value total of these three periods. Any other currencies are converted into the specified analysis currency, before the check for exceptions takes place. You can also carry out a threshold value test to analyze future developments. You need to choose the number of forecast periods that you want to test. A forecast then takes place for the next few periods (2 in this case) which is based on the number of periods you have selected (7 in this case). A threshold value analysis is then carried out for the forecasted values.

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Trend Analysis
Exception: Requirements Period to analyze Incl. act. Previous periods 6 Trend Analysis Future periods Incoming orders Trend Positive trend Negative trend Statist. test

Current period

Current period

Exception: Requirements Period to analyze Previous periods

Incl. act.

Future periods Trend Analysis Incoming orders Trend Positive trend Negative trend 9 Statist. test
SAP AG 1999

Current period

Current period

The trend analysis determines whether there is a positive or negative trend in the dataset with regard to the selected key figure. Based on the dataset and the number of periods to analyze (6 in this case), the system checks whether or not a trend exists. It is not possible to determine a trend if only one period to analyze is selected. If a positive trend exists and no statistical test has been performed, an exceptional situation will occur if each value exceeds the value in the previous period. If the period to analyze extends over 3 or more periods, you can also carry out a statistical trend test for each individual requirement by means of statistical resources. This is recommended if you want to know whether a general trend exists, even if the dataset contains outliers. If a positive trend exists and a statistical test has been performed, an exception will occur when the system detects a trend with a probability of 95 %. If there are 3 or 4 past periods available to carry out a statistical test for a trend, a regression line is drawn upon which the trend is based. If there are 5 or more past periods, a reliable statistical test for a trend can be performed. If you select only two past periods, the system only determines whether the second period value is greater or less than the first value.

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Planned/Actual Comparison
Exception: Requirements Requir ements Period to analyze Incl. act. Previous periods 2 Planned/Actual Comparison Future periods Planning version 001 Plan realization < No. forecasting per. Separate periods 90 % Current period Planned 001 Actual

(Actual/planned) . 100 < 90 % ?

Exception: Requirements Requir ements Period to analyze Previous periods 6 Incl. act. Planned 001 Actual Forecast a b Current period

Future periods Planned/Actual Comparison Planning version 001 Plan realization < No. forecasting per. Separate periods
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90 % 2

(Forecast/planned) . 100 < 90 % ?

The planned/actual comparison compares planned data of a specific planning version with actual data. You can check the realization of the plan and determine the weak points with respect to planned/actual values. To do this, you enter the plan realization percentage and an operator. In the first example, the planned values for a key figure are compared with the actual data. An exceptional situation occurs when the realization of the plan is less than 90 %, i.e. when the actual data falls short of the planned values by more than 10 %. Note: The exception is based on the total number of specified periods because the flag "Separate periods" is not set. In the second example, the system creates a forecast for the next two periods, based on the values of the last six periods. The total of both forecasted values is compared with the total planned values assigned to these periods. This kind of analysis enables you to detect potential problems which lie in the distant future.

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Multiple Linking Using And and Or

Exception: E1

Characteristics
Sold-to party Material Month

Requirements
Incom. orders Open orders > 200,000 > 20,000 Group Exception: G1

Miller Month 02/1998 03/1998 04/1998 05/1998 06/1998 07/1998

Link
And Exception: E2

Exceptions
E1: Incom. orders Open orders E2: Incom. orders Open orders > 200,000 > 20,000 < 200,000 > 10,000

Material: M-02 Incoming Open orders orders 201,000 170,000 230,000 95,000 130,000 185,000 25,000 5,000 15,000 6,000 12,000 9,000

Characteristics
Sold-to party Material Month

Link
Or < 200,000 > 10,000

Requirements
Incom. orders Open orders

Link
And
SAP AG 1999

As mentioned before, several requirements can be defined in one exception. These requirements need to be linked with each other using "And" or "Or". Only one link of requirements can be defined for each exception. If you want to link several requirements using "And" and "Or", use a group exception since a link can also be set in the group exception.

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Early Warning System: Unit Summary

You are now able to: z Execute standard analyses with an exception condition as an additional selection option z Use exception analyses as online filters z Create an automatic weak-point analysis

SAP AG 1999

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Flexible Analyses in LIS

z Flexible Analyses Reporting in LIS z List Layout in Report Writer z Maintaining Sets and Set Hierarchies for Selection z LIS Evaluations in Report Writer

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Flexible Analyses in LIS: Objectives

At the conclusion of this unit, you will be able to: z Use flexible analyses as an additional option for obtaining information in LIS z Maintain additional selection options in the flexible analysis, using sets and set hierarchies z Find and enhance LIS evaluations in Report Writer

SAP AG

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Flexible Analyses in LIS: Overview

Advanced analysis functions

Selection versions Authorizations Hierarchies

Standard analysis

EWS
Early Warning System

External data

MM SD FI

PP

Flexible analysis
SAP AG 1999

In addition to the standard analyses, the flexible analysis technique allows you to display the contents of the information structures in a different way again. The flexible analyses in LIS allow you to use part of the functionality available in the Report Writer, a tool for creating reports that is located in other SAP applications such as G/L Accounting and Cost Center Accounting. Please note that only part of the Report Writer functionality is available to you when you use flexible analyses. To be able to use the full Report Writer functionality, you have to edit the reports using the Report Writer transactions.

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Flexible Analyses in LIS: Business Scenario

z Management often requires report layouts tailored to suit individual needs. This includes comparison of figures for different periods.

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Self-Defined Evaluations

Change Evaluation Characteristics Vendor Material Month

Change Evaluation

398 398 157 005 157 005

Pick-up technique

Key figures Order value No. of PO items

March 1993 No. of PO Order value items Total Smith Inc. Printer 6512 Computer H217 Morgan Inc. Laser printer PC 200,000 90,000 40,000 50,000 110,000 60,000 50,000 66 24 18 8 42 2 40

April 1993 No. of PO Order value items 240,000 100,000 40,000 60,000 114,000 75,000 65,000 75 26 16 10 49 4 45

SAP AG 1999

The flexible analyses in LIS are used in the same way as a report generator: you use a menu to describe the content and format of the list you require and, at the touch of a button, the respective program is generated in the background. The resulting list displays a large number in one view, yet the flexible analyses offer you a broad spectrum of options for interactively editing the list online. In comparison to standard analyses, flexible analyses have the following advantages: y This technique enables you to combine characteristics and key figures from different information structures or DDIC tables in one list. y You can choose between a variety of layouts. y You can use your own formulas to calculate new key figures for existing ones. You can use the "Evaluation" function to describe the reporting function in LIS. The "Evaluation" concept contains a program object that controls the collection and formatting of data for evaluation purposes. You can choose characteristics and key figures using a pick-up technique. It is also possible to define the list layout by simply selecting the data you require.

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From Data Basis to Data Presentation

Data presentation
List

Reports

Evaluation Evaluation

Data collection

LIS table description

Evaluation Evaluation Evaluationstructure structure structure

Logical data view

Database tables

Physical data basis

DDIC tables
SAP AG 1999

Info structures

In LIS, the evaluation structures control the way in which the evaluations collect data. They describe the possible data sources of your evaluations. These data sources can be information structures or normal DDIC tables. An evaluation structure chiefly consists of a list of characteristics and key figures. An evaluation structure can also contain characteristics and key figures from different physical database tables. The name of an evaluation structure must begin with "ZF" (example: ZFMARA). Evaluations are created with reference to evaluation structures. The characteristics and key figures in an evaluation structure can form the rows and columns of your evaluation list. When evaluation structures and evaluations are generated, Report Writer objects are created in the background. They can also include libraries for evaluation structures and reports for evaluations. When you run an evaluation, a list of data is displayed at the data presentation level, which you can change and interpret using a variety of functions.

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Simple Example

Data presentation
List

Evaluation

XYZ1 Chars Key figures K1 M1 M2 K2 Formulas Layout S012 Chars M1 M2 Key figures K1 K2

Data collection

Evaluation structure

Logical data view

Information Inform ation structure

SAP AG 1999

S012

Physical data basis

Each information structure in LIS automatically has an evaluation structure with the same name. This evaluation structure contains all the key figures and characteristics of the corresponding information structure. This makes it easy for you to create evaluations for both standard information structures as well as for self-defined information structures. The above illustration shows the process from the physical data basis (in this case an information structure) to the data presentation for a simple example. In this example, the data does not originate from different data sources, and the evaluation structure was generated by creating the information structure.

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Flexible Analyses in LIS: Summary

You are now able to: z Use flexible analyses as an additional option for obtaining information in LIS z Maintain additional selection options in the flexible analyses, using sets and set hierarchies z Find and enhance LIS evaluations in Report Writer

SAP AG 1999

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LIS Environment

Contents:
z Standard analysis data in Excel z Reporting data in Excel

SAP AG 1999

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LIS Environment: Unit Objectives

At the conclusion of this unit, you will be able to: z Display and process LIS data in Excel format

SAP AG 1999

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LIS Environment: Overview

Advanced analysis functions

Selection versions Authorizations Hierarchies

Standard analysis

EWS
Early Warning System

External data

MM SD FI

PP

Flexible analysis
SAP AG 1999

This unit describes how LIS data can be transferred to Excel, providing an additional reporting option within the Logistics Information System.

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LIS Environment: Business Scenario

z Management would like to view statistical overviews in Excel format, as this is their usual business practice.

SAP AG 1999

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Transfer of LIS Data to Excel

Flexible analysis

EWS
Early Warning System

Excel Material Order value M-01 10,000 M-02 20,000 M-03 25,000 Order quantity 900 1,000 750

Standard analysis
SAP AG 1999

You can transfer data to Excel using all the reporting functions already discussed within the Logistics Information System. Standard analyses, selection versions, early warning systems and flexible analyses provide easy-to-use tools for transferring data. This unit focuses on data transfer from standard analyses to Excel.

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Transfer from Standard Analyses to Excel

Material Analysis PURCHIS

Material analysis ... Material Order Order Print value quantity Export M-01 Transfer to XXL 100,000 900 Send M-02 Save to PC file 200,000 1,000 ... M-03 150,000 2,500 M-04 300,000 2,657

Choose characteristics 9 9 9 9 9 9

POrg Vendor Material Mat group Plant Month

Export list object

Save list in file

Unconverted Spreadsheet Rich text format HTML format

Excel Material Order value M-01 10,000 M-02 20,000 M-03 25,000
SAP AG 1999

Store in SAPoffice Store as PC file Excel SAP Macros Excel display Excel pivot table

Order quantity 900 1,000 750

You can transfer data from standard analyses (including selection versions and Early Warning System) to Excel in two different ways. One method is to save the current content of a list locally as an ASCII file using the 'Save to PC file' function with the spreadsheet option. You can then open this file in Excel. The other option is implemented via the function 'Transfer to XXL'. Data is transferred to the XXL interface in the form of a list object. XXL (Extended Excel) comprises the tools for displaying and manipulating list objects from R/3 applications. You first have to define the characteristics to be transferred. The figures transferred are the key figures in the current standard analysis list. Depending on the software installed on your computer, you can use XXL to transfer data to the following media: y SAPoffice: You can save the list object to the SAPoffice inbox. From there you can send the list object or save it in a folder. y PC file: You can save the list object to the local file system for subsequent editing using another display media at your disposal. y Excel display: Table display with all characteristics combinations. y Excel SAP macros: You can display and edit the list using SAP Macros (SAP-XXL List Viewer). y Excel Pivot table: You can display and edit the list using Excel.

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Editing a PC File in Excel

Graphics
File xyz.xls Material;order val.. M-01;10000;900 M-02;20000;1000

Excel Material Order value M-01 10,000 M-02 20,000 M-03 25,000 Invoiced amount 10,000 19,000 26,000

Statistic functions
Sum Average Variance Minimum Maximum ...

Calculated Material Order value M-01 10,000 M-02 20,000 M-03 25,000
SAP AG 1999

key figures Invoiced Difference amount 0 10,000 -1,000 19,000 +1,000 26,000

When a file has been created using the standard analysis and the 'Save to PC file' function with the 'Spreadsheet' option, a semicolon is used as a field delimiter and a new line is created as a record delimiter. The file content consists exclusively of the list contents of the saved standard analysis. It is not possible to transfer several characteristics from one list. After you have loaded this file to an Excel worksheet, the complete Excel graphics and statistics functionality is available to you.

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XXL - Excel Display

Graphics
XXL Excel display Material Plant Order value M-01 1000 10,000 M-01 1100 20,000 M-02 1000 25,000 Invcd amount 10,000 19,000 26,000

Statistic functions
Sum Average Variance Minimum Maximum ...

Advantages z All characteristics combinations in one list z Complete Excel functionality z Pivot table can be created from display Disadvantage z Characteristics combination cannot be changed

Calculated key figures

New1 = Invoiced amount - order value New2 = ((Invoiced amount - order value)/order value) * 100 . .. .. =. .. .

SAP AG 1999

When an XXL list object is transferred using the function 'Excel Display', one characteristic or a combination of several characteristics are transferred to an Excel worksheet with the associated key figures of the current list. You can edit the contents of this Excel worksheet using the complete Excel graphics and statistics functionality. However, the sequence of the characteristics is fixed according to their sequence in the transfer dialog window. You cannot change it subsequently in Excel. However, you can convert a list created using the 'Excel Display' function into a Pivot table, where you can change the characteristics sequence.

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XXL - Excel SAP Macros

XXL Excel SAP Macros Advantages Material Plant Order value M-01 1000 10,000 1100 20,000 M-02 1000 25,000 Invcd amount 10,000 19,000 26,000 z All characteristics combinations in one list z Sequence of characteristics can be changed z Separate columns for calculated key figures

Graphics

Statistic functions
Sum Sum Average Average Variance Minimum Maximum ... ...

Disadvantage z Characteristics cannot be removed from the list

Calculated key figures

New1 = Invoiced Invoiced amount - order value New2 = ((Invoiced ((Invoiced amount - order value)/order value) * 100 . .. . . . = . . . .
SAP AG 1999

Another option to transfer data from the standard analysis list to Excel is to use macros. In the SAPXXL List Viewer, the Excel macro technique is used to generate a separate worksheet with its own menu and functions. Some of the standard Excel functionality is not supported in this environment.

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XXL - Excel Pivot Table

XXL Excel Pivot Table Advantages Material Plant Order value M-01 1000 10,000 1100 20,000 M-02 1000 25,000 Invcd amount 10,000 19,000 26,000 z Optional layout design z Optional combination and sequence of characteristics z Calculated key figures z Filter functions z Statistics functions

Graphics

Statistic functions
Sum Average Variance Minimum Maximum ...

z Complete Excel graphics functionality z Deriving several Pivot tables from the original Pivot table

Calculated key figures

New1 = Invoiced amount - order value New2 = ((Invoiced amount - order value)/order value) * 100 ... .. =. .. .
SAP AG 1999

As compared to other transfer options, transfer of an XXL list object to Excel as a Pivot table provides an optimal range of functions. The main advantages of this option are the free selection of characteristics and their sequence and a large number of easy-to-use options for layout design. The most important functions for Pivot tables are shown in the next slides.

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Pivot: Optional Layout Design

XXL Excel Pivot Table Material Month M-01 M-02 Order value 1998/06 15,000 1998/07 20,000 1998/06 25,000 Invcd amount 15,000 19,000 26,000

XXL Excel Pivot Table 1998/06 Material Order Invcd amount value M-01 15,000 15,000 M-02 25,000 26,000

1998/07 Invcd Order amount value 20,000 19,000 .. . . ..

Move columns using the mouse

XXL Excel Pivot Table Material Month Data M-01 1998/06 Order value Invcd amn 1998/07 Order value Invcd amn M-02 1998/06 Order value Invcd amn

Result 15,000 15,000 20,000 19,000 25,000 26,000

XXL Excel Pivot Table Order value Invoiced amount Material 1998/06 1998/07 1998/06 1998/07 M-01 15,000 20,000 15,000 19,000 M-02 25,000 . . . 26,000 . . .

SAP AG 1999

You can design the layout in Pivot tables according to your requirements by simply clicking on a column and moving it. For example, the following layout options are available: y List of key figures in individual columns. You can use the mouse to change the arrangement of key figures. y All key figures in one column with the key figures for one characteristics combination. y Comparison of all key figures for the values of a characteristic. y Comparison of the characteristic values for the individual key figures.

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Pivot: Characteristics Combination and Sequence

Pivot Table Wizard (before) XXL Excel Pivot Table Material Month M-01 M-02 Order value 1998/06 15,000 1998/07 20,000 1998/06 25,000 Material Month

Column
Order value

Material Month Order value

Row

Data

Invcd amn

before after
XXL Excel Pivot Table Month Material Order value 1998/06 M-01 15,000 M-02 25,000 1998/07 M-01 20,000
SAP AG 1999

Finish

Pivot Table Wizard (after)

Column
Month Invcd amount 15,000 26,000 19,000 Material Order value Invcd amn

Material Month Order value Invcd amn

Row

Data

Finish

You can interactively change the arrangement of characteristics and key figures using the mouse, or you can adjust the layout in a dialog box. Here you can move characteristics and key figures from a pool to the appropriate position in a planning board or move them from the planning board back to the pool.

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Pivot: Calculated Key Figures

XXL Excel Pivot Table Material Month M-01 M-02 Order value 1998/06 15,000 1998/07 20,000 1998/06 25,000 Invcd amount 15,000 19,000 Right mouse button 26,000

XXL Excel Pivot Table Material Month M-01 Order value 1998/06 15,000 1998/07 20,000 1998/06 25,000 Diff1 Invcd amount 0 15,000 19,000 -1,000 1,000 26,000

..... ..... Formula Field .....

Calculated field .....

M-02

Insert calculated field Name Diff1 Formula = Invoiced amount - order value Material Month Order value Invcd amount
SAP AG 1999

Create Delete

Add field

OK

By clicking on the right mouse button, you can go to a dialog window where you can create calculated fields. Enter a formula name and use the existing data fields and the operators available to create a formula.

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Pivot: Filter and Sort Functions

z All characteristic values z Hide characteristic values z Choose individual characteristic values

Filter and sort functions

z Filter by highest or lowest nvalues of key figures

z Sort characteristics by values z Sort key figures by values

z Filter key figures by units

SAP AG 1999

Pivot tables provide various sort and filter functions: y You can show or hide characteristics values or define them to display only one of the characteristics values at a time. y You can filter key figures by the highest or lowest n values. For example, only the 10 highest values of a key figure are shown for all the characteristic combinations selected. y You can also filter key figures by units. For example, it is possible to build up a list of materials that are managed only as pieces. y You can always sort characteristics by their values. This also applies to characteristics in a lower hierarchy level in the table. You can sort key figures by their values. However, sorting by key figures is only possible for the characteristic values of the lowest characteristic in the characteristics sequence.

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Pivot: Statistics Functions

Pivot Table Wizard XXL Excel Pivot Table Material Month M-01 M-02 Order value 1998/06 15,000 1998/07 20,000 1998/06 25,000 Material

Column
Sum of order value

Material Month Order value Finish

Row
Month

Data
Average/ Order value

Doubleclick
Pivot Table Field

Material
Automatic Custom None

Sum Number Average Maximum Minimum .... OK

XXL Excel Pivot Table Material Month Sum order value M-01 1998/06 15,000 1998/07 20,000 Sum 35,000 Average 8,750 M-02 1998/06 25,000 Sum 25,000 Average 12,500 Total 60,000

Average order value 7,500 10,000 35,000 8,750 12,500 25,000 12,500 20,000

SAP AG 1999

In addition to calculating formulas, Pivot tables provide other statistical functions in lists. You can define the contents of result lines for a characteristic in a dialog window by double-clicking on the associated field. Result lines of characteristics may contain sums, averages, number, maximum, minimum, standard deviations and other statistical calculations. For key figures you can list the totals of all the data relating to a characteristic combination and use the statistics functions already mentioned. For example, it is possible to calculate the average of all data rows for a key figure.

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Pivot: Graphics
Graphics types Column Bar
XXL Excel Pivot Table Month 1998/07 1998/08 1998/09 Order value 15,000 25,000 20,000 Invoiced amount 15,000 24,000 21,000
30000 20000 10000 0 1998/07 1998/08 1998/09

Line Pie XY (Scatter) Area Doughnut Radar Surface Bubble Stock

33%

2 5%

1 998/07 1 998/08 1 999/09

42%

SAP AG 1999

To create graphics for the contents of Pivot tables, you can use the standard Excel graphics tools. When you select an area within a Pivot table and click on the graphics icon, a dialog window appears. System prompts will then help you to create the graphic.

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Pivot: Creating Pivot Tables from a Pivot Table

XXL Excel Pivot Table Pivot Table Wizard

Data
Material Month M-01 M-02 Order ..... Invcd value Pivot amount Tab. 1998/06 15,000 External 15,000 1998/07 20,000 data 19,000 1998/06 25,000 26,000

Excel database or list External data source Consolidation areas Other Pivot table
Finish

.....

Pivot Table Wizard

XXL Excel Pivot Table 2 Month Month Order value 1998/06 40,000 1998/07 20,000 Invcd amount 41,000 19,000

Column
Order value Invcd amn

Material Month Order value Invcd amn

Row

Data

Finish
SAP AG 1999

If you want to see the data in a Pivot table in another layout and sequence of characteristics and key figures, but still want to keep your current table, you can generate other Pivot tables on the basis of the original one. This enables you to view the same set of data from two or more perspectives.

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Transfer to Excel from Flexible Analysis

Export to presentation server Evaluation: Result Local file Created by H.Smith Characteristics Order value ** Material 1.100.000 * M-01 500.000 04.1998 100.000 05.1998 180.000 06.1998 220.000 * M-02 400.000 Spreadsheet Excel File name Program Open file Parameters for application Export only Configure export to MS Excel Excel test.rpw Order value Material 1.100.000 M-01 500.000 04.1998 100.000 05.1998 180.000 06.1998 220.000 M-02 400.000
SAP AG 1999

Application server Word processing HTML format DBASE format WK1 format

c:\partest.rpw

The complete Excel functionality is available

You can also transfer data from flexible analyses to Excel. The data is transferred in Report Writer format (RPW file). The full standard functionality is available to you in Excel. After the data has been transferred to Excel, you can hide or show characteristics at all hierarchy levels. You cannot change the sequence of characteristics after the transfer. However, it is possible to change the sequence of key figure columns.

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LIS Environment: Unit Summary

You are now able to: z Display and process LIS data in Excel format

SAP AG 1999

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Warehouse Management

SAP AG

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Warehouse Management: Contents 1

Unit 6 Unit 7 Unit 8 Unit 9 Unit 10

The SAP Warehouse Management System Data Structure for Warehouse/Material Goods Receipt Goods Issue Production Planning Interface

Unit 11 Unit 12 Unit 13 Unit 14 Unit 15

Delivery Processing Movements in WM Prior to IM Replenishment Posting Changes Quality Management Interface

SAP AG

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Warehouse Management: Contents 2

Unit 16 Unit 17 Unit 18 Unit 19 Unit 20

Storage Unit Management Inventory Batch Management

Unit 21 Unit 22 Unit 23

Customizing: IM Interface Customizing: Storage Bin Search Tools Warehouse Management: A Case Study

Reporting and Analysis Unit 24 Customizing: Basic Data

SAP AG

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Warehouse Management: Goals

This section will enable you to:
z Describe the Warehouse Management processes z Describe the organizational structures z Customize the Warehouse Management system

SAP AG

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Warehouse Management Structure

z Warehouse Management Structure Elements

SAP AG 2000 1999

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Warehouse Management Structure: Objectives

At the conclusion of this unit, you will be able to: z Describe the basic elements of the warehouse structure z Define possible warehouse structure scenarios with and without warehouse management

SAP AG 1999

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Materials Management (MM) Overview

Requirements Planning External procurement Purchasing Internal procurement Production

Warehouse Management

Invoice verification
Invoice receipt

Goods receipt Inventory Management

Goods issue

Posting change

Internal and external financial accounting

SAP AG 1999

Sales and Distribution

The Warehouse Management system is embedded in the total SAP system as well as in the material flow of the entire organization. y Example: If a goods receipt is posted in the Inventory Management system, the stock level is increased in the WM system. Because of the goods receipt posting, an action is started in the WM system that notifies the user that material must be stored in the warehouse.

In the Warehouse Management system, each quantity of stock is managed at the level of the individual storage bins.

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WM Overview

Planning and monitoring Storage bin management

Phys. inv.

WM
Warehouse Management

Inventory control

Warehouse control Warehouse movements

SAP AG 1999

What tasks does the SAP Warehouse Management system accomplish? Management of complex warehouse structures with various types of storage areas (high rack random storage, block storage, fixed bin storage, and so on) within one or several plants down to the storage bin level. Processing of all stock movements such as goods receipts, goods issues, stock transfers using stock placement and stock removal strategies, also taking the characteristics of the individual materials into account. Support during inventory of storage bins. The control of information transfers between the WM system and automated control systems.

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WM Overview - Interface to other systems

Inventory Management

Production supply

WM
Warehouse Management

Remote data processing

D eliver y

Delivery processing Quality Management

SAP AG 1999

The Warehouse Management system is interfaced to other SAP system modules that provide the following functions: y - All goods movements in the WM system affect data posted in the Inventory y Management system. y - The supply of materials in connection with the Production Planning system. y - The processing of deliveries in conjunction with the Sales and Distribution y Shipping system. y - The handling of inventory samples in connection with Quality Management. y - The processing of transfer requirements and transfer orders using hand-held y terminals.

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Example of a Physical Warehouse Structure

Goods receipt

GR area

High rack storage 1

Bulk storage Goods issue

GI area

Fixed Bin area

SAP AG 1999

Example of a complex physical warehouse structure without regard to R/3, consisting of several storage areas: high rack storage, bulk storage, fixed bin area, goods receipt and goods issue area.

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Warehouse Structure in the System

Storage Storage type type 902 902 GR GR area area

Storage type 001

Good receipt
High rack storage Storage type 004

Bulk storage Storage Storage type type 910 910 GI GI area area Storage type 005

Goods issue
SAP AG 1999

Fixed Bin area

Possible representation of the physical structure in the SAP Warehouse Management system: y The entire warehouse structure is managed under a warehouse number y The various storage areas are defined as storage types that are differentiated according to their organizational and technical characteristics. y Examples: - GR area - picking area with fixed storage bins - high rack storage area with random picking - bulk storage area with rows of the same material

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Storage Bins and Quants

Bin type

High bins

Lower bins Fast-moving items Fast-moving items

Lower bins

Storage section

SAP AG 1999

Within each storage type the individual storage bins are defined. A storage bin is the smallest geographical or organizational unit (also called coordinate) that can be addressed by the system. Example: 02-04-09 (aisle 02, stack 04, level 09) Storage bins are identified by a bin type. Example: Bin type P1 for high bins Storage bins are organizationally grouped into storage sections. Example: Section 001 for fast-moving items. The existence of a material in a bin is defined as a quant. In bins designated for single-material storage, only one quant may be stored in the storage bin. In bins designated for mixed storage, different materials (or batches) may be stored in the same storage bin.

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WM-System Hierarchy

Warehouse (complex) number

Storage type

Storage section/ Picking area

Storage bin Quants are defined by:

Material / Batch Stock category Special stock Plant / Storage location Storage unit number
SAP AG 1999

Quant

Warehouse: Organizational divisioning, usually of a plant that is used for the purpose of managing materials or goods that are stored in storage bins. Storage Type: A physical or logical storage area that can be defined for a warehouse in the WM system. Storage Section / Picking Area: A logical or physical subdivision of the storage type. Storage Bin: The smallest addressable unit of space in a warehouse (often referred to as a storage slot). Since the address of a storage bin is frequently derived from a coordinate system, a storage bin is often referred to as a coordinate. Quant: The existence of a material or a batch (same lot number) of a material in a storage bin. The material quantity in a quant can be increased by an addition to existing stock.

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WM Data Model: Warehouse Complex

26150

Warehouse complex

Picking area
15375

Storage section
11001 15368 15369 15370

Warehouse stock
15371

Logical system

Warehouse complex

Storage type /area

Storage bin / slot

Material stock storage bin

SAP AG 1999

y The SAP Enterprise Data Model:

Warehouse Management: Business Objects: y - Warehouse Complex y - Warehouse transfer request y - Warehouse stock y - Warehouse physical inventory y - Warehouse transfer order Warehouse Management: Data Modeler: y y y y y Entity 15370 15371 15389-90 15391-92 Description Storage bin / slot Material stock / Quant Transfer Requirement Transfer Order Table LAGP LQUA LTBK, LTBP (header, item) LTAK, LTAP (header, item)

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Examples of a (Physical) Warehouse Structure

Plants

Storage areas

A B

HRS

Picking area Bulk storage

HRS

Shelving area

SAP AG 1999

Example of a physical warehouse structure that can be depicted in the SAP System.

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The Warehouse Structure in the IM System

Plants

0001

0002

Storage locations

0001 0001

0002 0002

0001 0001

0002 0002

0003 0003

SAP AG 1999

In an Inventory Management system without Warehouse Management, the various warehouses are defined as storage locations. Example: Plant 0001 Storage loc. 0001 High rack storage 0002 Bulk storage Plant 0002 Storage loc. 0001 High rack storage 0002 Bulk storage 0003 Picking area The stock quantities are managed in cumulative form at the storage location level.

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Possible Structure with the WM System (1-1)

Scenario 1 Example 1 Plants

0001

0002

Storage locations

0088 0088

0088 0088

Warehouse number 001

Warehouse number 002 001 001 002 002 003 003

Storage types
SAP AG 1999

001 001

002 002

Scenario 1, Example 1: One Storage Location per Plant in One Warehouse Number. In this example, each warehouse is assigned directly to one storage location and one plant. In each warehouse, the various storage areas are represented by storage types.

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Possible Structure with the WM System (1-2)

Scenario 1 Example 2 Plants

0001

0002

Storage locations

0088 0088

0088 0088

0001 0001

Warehouse number 001

Storage types
SAP AG 1999

001 001

002 002

003 003

004 004

Scenario 1, Example 2: It is possible to manage warehouses from different plants or different company codes under one warehouse number. Warehouse areas (that is, storage types) that are not managed by the Warehouse Management system are defined in the Inventory Management system as storage locations (for example, storage location 0003).

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Possible Structure with the WM System (2)

Scenario 2 Plant

0001

Storage locations

0087 0087

0088 0088

0003 0003

Warehouse number 001

Storage types
SAP AG 1999

001 001

002 002

003 003

004 004

Scenario 2: Several Storage Locations per Plant in One Warehouse Number. You can assign any number of plant/storage location combinations to the same warehouse number to indicate actual ownership of the stock. When the goods movements between storage locations are initiated solely via IM postings, no further customizing settings are required. You only need to assign the storage locations to the respective warehouse number. In this scenario, the system can no longer determine the storage location from the contents of the fields Plant and Warehouse number automatically. When the system creates transfer orders for deliveries or transfer requirements, it copies the storage location from the reference document. When you create transfer orders without a reference document manually, you must enter the storage location in addition to the plant.

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Possible Structure with the WM System (3)

Scenario 3 Plant

0001

Storage locations

0090 0090

0088 0088

0092 0092

Warehouse number 001

Storage types
SAP AG 1999

902 902

004 004

005 005

100 100

916 916

For this scenario there are two examples: y Movement of Stock from the Goods Receipt Area y Material Staging for Production The reason for this scenario could be to make the goods available for deliveries only after the goods receipt processing has been fully carried out. This is possible by allowing deliveries to pick stock only from storage location 0091.

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New Organization Structures in the Warehouse

Storage type
Door 1
Staging area 4 Staging area 3

Door 4

Door 2

Staging area 1

Picking area 1

Staging area 5

Picking area 2 Staging area 6 Picking area 3 Staging area 7

Door 5

Door 3
Staging area 2 Staging area 8 Staging area 9
R

Door 6

Door 7
SAP AG

In order to ensure more efficient processes for goods receipt and goods issue, the following organizational units are available in the warehouse in Release 4.0A. Door: A door in a warehouse can be used for both receiving and issuing goods. In Customizing it is possible to restrict the area of usage to either receipt of issue. The door from which delivery takes place is already defined in the delivery. Material Staging Area: The Staging areas are intermediate areas in the warehoue in which the goods are temporarily stored after unloading/before loading. In Customizing, these areas are assigned to the corresponding doors. Picking Area: The picking area groups together storage bins according to perspectives of stock removal. This is similar to a storage section, but used for goods issued not received.

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Warehouse Management Structure: Unit Summary

You are now able to: z Describe the basic elements of the warehouse structure z Define possible warehouse structure scenarios with and without Warehouse Management

SAP AG 1999

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Summary (2)

The physical storage facilities of a company may exist in one or more physical buildings and can consist of several types of storage areas (storage types) within the warehousing complex. You can define an entire physical warehousing complex in the WM system using a single warehouse number. Each warehouse number is assigned to a storage location and plant in the MM system. Multiple storage locations can be assigned to one warehouse within a plant.

SAP AG 1999

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Summary (3)

Storage types are subdivided into storage sections which contain storage bins (storage slots). Each storage bin is identified by a storage bin coordinate. Picking areas group storage bins together (similar to storage sections) according to perspective stock removals. Intermediate staging areas are used to temporarily store goods after unloading and before loading. Doors are assigned as receiving and shipping points for goods in a warehouse. A quantity of materials stored in a storage bin is known as a Quant.

SAP AG 1999

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Master Data

Contents:
z Storage Bin Data z Material Master Data

SAP AG 1999

(C) SAP AG

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Master Data: Topic Objectives

At the conclusion of this topic, you will be able to: z Create storage bin data z Create storage bin data using a template

SAP AG 1999

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Objectives (2)

At the completion of this unit, the participant will be able to: Discuss units of measure used in Warehouse Management Display stock balances in Inventory Management and in Warehouse Management

SAP AG 1999

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Master Data

Warehouse

Material

Warehouse Structure Warehouse number Storage type Storage bins

Material General data Data/warehouse no. Data/storage type

SAP AG 1999

The master data of the Warehouse Management system is divided into: y Warehouse structure data (for example, capacity, fire-containment sections) y Material data (for example, weight, hazardous material data, palletization instructions) The characteristics of the warehouses and the materials are taken into consideration for all stock movements.

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Storage Bin Data

Warehouse no.: 001 Storage type 001 Storage bin: 01-02-02

Storage bin data Section Capacity Storage bin type Blocking indicator Inventory data Verification Data

Quant data Material number Stock quantity GR date Inventory data Inspection Lot SLED
SAP AG 1999

Each storage bin is defined in the system by a master record. The master record contains the following: y The bin characteristics data (storage section, storage bin type, max. weight, blocking indicators) is created when you create the storage bin master record. y Bin usage and inventory information (number of quants, weight used, date of the last movement, inventory data, blocking indicators) is automatically maintained by the system during a stock movement. Whenever a storage bin becomes occupied, the system creates a quant which contains: y storage bin identification y material identification (material number, plant, batch, stock category, special stock) y movement data (for example, GR date) y stock quantities (total, available, currently in transfer for stock placement or stock removal) y inventory data y blocking indicators

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Material Data
General Data
Material number Description Weight Base unit of measure Order unit Hazardous material number ...

Plant-Specific Data
Requirements planning data Issue unit of measure Batch check requirement ...

Warehouse No.-Specific Data

WM unit of measure Storage type indicator Storage section indicator Storage unit quantity ...

Storage Type-Specific Data

Fixed bin Control quantity Replenishment quantity Max./min. per storage bin Rounding quantity
SAP AG 1999

The material data relevant for the Warehouse Management system is grouped as follows: y general material data y plant-specific data y data specific to the warehouse number y data specific to the storage type

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Views in a Material Master Record

Basic data
St

Purchasing

MRP Stock in plant/ storage in plant Accounting

Sales

A B

Material master record

Work scheduling Quality assurance

Storage

Forecast

Warehouse management

Classification

SAP AG 1999

Each user department has its own view of the material master record. For each material type you can define which views of the material master record are possible. For each user you can define which views of the material master records are to be displayed/maintained. Each user can define which views will be displayed when the material master record is displayed/maintained. The data in some views is assigned to specific organizational levels: plant, warehouse or storage type level.

(C) SAP AG

TAMM20

7-7

Screens in a Material Master

Material Material (Ind. sector) (Material type) (Reference)

Views - Basic data - Purchasing - Accounting - Warehouse Management

Organizational levels - Plant - Storage location - Warehouse no. - Storage type

Data screen(s)

: Standard screen sequence (without preselection)

SAP AG 1999

The material type on the initial screen is proposed during the transaction "Create special". The industry sector can be preset on a user-individual basis. Additionally, you can suppress the display of the industry sector on the initial screen. The views and organizational levels can also be preset on a user-individual basis. The views selection and organizational level screens can be removed from the standard screen sequence by setting defaults in the material master.

(C) SAP AG

TAMM20

7-8

Units of Measure

Base unit of measure

Alternative UoM in the plant (Issue/Order/Sales unit) 4

Piece

48 12

Carton

Warehouse Management
Alternative unit of measure Pallet quantity

Box

Palletization

SAP AG 1999

The Warehouse Management system uses the following units of measure: The base unit of measure (or stock keeping unit) is the basis for inventory management and evaluation. Quantities in alternative units of measure are always converted to the base unit of measure using the conversion factor. The alternative units of measure are for inventory management (unit of issue), purchasing (order unit), and sales (sales unit). These units of measure are defined at plant level. Alternative units of measure that are specific to the warehouse number are: - WM unit of measure - Palletization data (storage unit type).

(C) SAP AG

TAMM20

7-9

Stock Display from the WM View

Storage bin

Material

A B

SAP AG

Stock balance display from the view of the material: - stock overview at storage type level - stock overview at storage bin level - quants in a particular storage bin

Stock balance display from the view of the warehouse: - list of empty bins - single bin - bin status report

(C) SAP AG

TAMM20

7-10

Master Data: Unit Summary

You are now able to: z Create storage bin data z Create storage bin data using a template z Extend a material master view for WM data

SAP AG 1999

(C) SAP AG

TAMM20

7-11

Goods Receipt

Contents:
z The Goods Receipt Process: Influencing factors and options for customizing

SAP AG 1999

(C) SAP AG

TAMM20

8-1

Goods Receipt: Objectives

At the completion of this unit, you will be able to: z Customize the goods receipt activity so that the Transfer Order process immediately follows the Inventory Management process z Customize the storage type and storage section search so materials are put away into the appropriate storage bin z Explain the printing customizing options for Transfer Orders

SAP AG 1999

(C) SAP AG

TAMM20

8-2

Objectives (2)
At the completion of this unit, the participant will be able to:
z

Post and process differences in the Warehouse Management system List available stock placement strategies Describe the pre-allocated stock process

z z

SAP AG

(C) SAP AG

TAMM20

8-3

Goods Receipt Process

GR area

SAP AG 1999

Goods receipt: physical process When goods are received, they are usually transferred first to the goods receipt (GR) area. Stock placement into the warehouse takes place after a suitable storage bin has been determined for the goods. Goods receipt: process within the system Inventory Management (IM) y A Material Document is created to represent the movement of goods into the warehouse. It is possible to enter palletization data at this point. y An Accounting Document is created to represent the change in value of the goods in the warehouse. Warehouse Management (WM) y A quant is created in the Goods Receipt area to represent the existence of goods now in the warehouse. y A Transfer Requirement is created since the goods must later be transferred by means of a transfer order to a storage area within the warehouse.

(C) SAP AG

TAMM20

8-4

Process for Stock Placement

IM
Goods Receipt

WM
Transfer Requirement QUANT

IM

Transfer Order

Confirmation/ differences

differences

SAP AG 1999

1. The goods receipt is entered in the Inventory Management system: y material document created in IM y accounting document created in IM y quant created in the GR area in WM y transfer requirement created in WM 2. The transfer order is created based on the transfer requirement. 3. The goods become available, upon confirmation of the transfer order. Also, any differences noted at put away are entered at this time. 4. Differences, if any, are moved to a storage type for differences, and when cleared in IM: y a material document is created and y an accounting document is created There are opportunities for automation at various points throughout the process.

(C) SAP AG

TAMM20

8-5

Planning a Movement

GR area Transfer requirement

Transfer order

HRS

SAP AG 1999

A Transfer Requirement (TR) is created in order to plan a stock movement. The TR indicates a need to move a specific quantity (quant) of a material into the warehouse (stock placement) or to move a quantity out of the warehouse (stock removal). The TR provides information about anticipated stock movements. The TR is later converted into one or several Transfer Orders (TO).

(C) SAP AG

TAMM20

8-6

Transfer Requirement Information

Goods Receipt area Transfer requirement What How much Palletization When From where Reason/Origin

Goods Issue area

Storage area
SAP AG 1999

A transfer requirement (TR) contains the following information: y What is to be moved (material number)? y How much is to be moved (quantity)? y How is it palletized (material master)? y What is the reason/origin (movement type / purchase order)? y What has already been moved (if partial)? List display functions y single transfer requirement (transfer requirement number) y all TRs for a material y all TRs for a storage type y all TRs for a requirement (original document) y all TRs for a material document

(C) SAP AG

TAMM20

8-7

Steps for Stock Placement

Goods receipt posting TO from TR

TO

Pallet slip

Stock available

Confirm transfer order

SAP AG 1999

When goods are delivered, the goods receipt is entered in the Inventory Management system. On the basis of the goods receipt posting, a transfer requirement and a quant in the GR area are created. To place the goods into storage, a transfer order is created on the basis of the transfer requirement. When the transfer order is created, the system determines the destination storage bin. The transfer order documents are used to physically place the goods into storage. The transfer quantity remains unavailable in the warehouse as long as the stock placement is not confirmed in the system. As soon as the physical stock placement has taken place, you confirm the transfer order and also enter differences, if any. Depending upon the system set-up, it is possible for the system to create transfer orders automatically in the background.

(C) SAP AG

TAMM20

8-8

Transfer Order Information

Goods Receipt area

HRS

Goods Issue area

SAP AG 1999

The transfer order is an instruction to move materials from a source storage bin to a destination storage bin within the warehouse complex. Transfer orders contain the following information: y Material number y Quantity to be moved y Source, destination and return storage bins The information that the transfer order needs comes from several sources: y Material master record y Warehouse management movement type y Strategies for finding the source or destination storage bins y User entries y Source documents, such as transfer requirements and deliveries

(C) SAP AG

TAMM20

8-9

Transfer Order for Transfer Requirement

Transfer order
Header

Item 1 Source Dest.

Transfer requirement Item 1 Item 2

Item 2 Source Dest.

Item 3
R

SAP AG

To carry out the stock placement, the transfer requirement must be converted to a transfer order. If the amount of stock in a transfer requirement item is distributed to several storage bins (for example, one storage bin per pallet), several transfer order items are created for this transfer requirement item.

(C) SAP AG

TAMM20

8-10

Screen Sequence in Transfer Order Creation

TR

Transfer requirement list

TR item s

Overview of TR items

Preparation screen

Details of TO item

SAP AG 1999

The transfer requirement list contains all transfer requirements that respond to the selection criteria entered. On this list, it is possible to select a transfer requirement, process it and post the transfer order in the background. The overview of transfer requirement items contains all the items in the selected transfer requirement. It is possible to select one or several items in the list and process them either in the foreground or in the background. On the preparation screen, the quantity of a specific transfer requirement item is distributed to different storage bins (where appropriate with a palletization recommendation by the system). The detail screen of a transfer order item contains a source item, a destination item, and sometimes also a return item.

(C) SAP AG

TAMM20

8-11

Palletization Notices
Preparation screen

TR item 1
200 pcs

Transfer order Item 1 Item 2 Item 3 Item 4 50 pcs 50 pcs 50 pcs 50 pcs

Mat. master Pallet S1 50 pcs

SAP AG 1999

The preparation screen is used to divide the transfer requirement quantity among the various pallets (storage bins). Any previously entered palletization data in the transfer requirement is displayed in the preparation screen as default entries. If standard palletization is defined in the material master record, the system proposes distribution of the materials based on the storage unit type (SUT). If several SUTs are defined for the material, the system proposes that any remaining amount be placed on a smaller pallet. You can change the palletization recommendation or carry out the palletization manually. A user exit is also available for this process.

(C) SAP AG

TAMM20

8-12

Printing a Transfer Order

Item 1 Item 2

TA Item 1 Item 2 Mat 1 Mat 2 . . .

Pick list Src. Dest. Src. Dest.

Item 3 Item 3 . . .

Single printout

Multiple printout

SAP AG 1999

As a rule, transfer orders are printed immediately after they have been created. You can print transfer orders in different ways: y as a single document (one TO item per page) y as a combined document (multiple TO items on one page) y as a picking list (several TO with different sort options per page) You can print with or without a bar code. Labels can be printed for each transfer order.

(C) SAP AG

TAMM20

8-13

Handling Differences

GR posting

50 pcs

TO item SRC GR Target 50 pcs DEST HRS Confirm Target 50 pcs Actual 40 pcs Diff. 10 pcs Difference 10 pcs Difference posting inventory m anagem ent

40 pcs

SAP AG 1999

If a difference is determined during a stock transfer, you can enter this into the system during confirmation. When the transfer order item is confirmed, the difference is posted to the storage bin that has been specified for the difference indicator.

In a second step, the differences are cleared in the Inventory Management system either manually or using the batch input procedure. When differences are processed in the system, the quantity of stock in the Inventory Management and Warehouse Management systems remains the same.

(C) SAP AG

TAMM20

8-14

Transfer Order Confirmation

TO Header TO Items --Item mater ial sr c bin

TO item item... 1 2 3
SAP AG 1999

material tmx1 tmx1 tmx2

dest bin 01-01 01-02 01-03

act quantity 50 45 50

diff quantity ...

When you confirm a transfer order or a transfer order item, you are verifying that the required quantity of material has actually been transferred from one location to another and that the processing of the transfer order or item has been completed. The TO Confirmation function allows three options: y Standard 1st screen - confirm actual quantities equal to target quantities 2nd screen - enter differences, if any (one screen per line item) y Input List One screen to confirm quantities and enter differences switch to packaging dialog of the delivery where you can create shipping units. y Pack ship unit Whether or not to automatically confirm transfer orders is set in Customizing.

(C) SAP AG

TAMM20

8-15

Cancel Transfer Order (Stock Placement)

Stock placement

SAP AG 1999

It is possible to cancel transfer orders that have not yet been confirmed in the WM system. If, while placing goods into stock, you find a storage bin that cannot be used, it is possible to cancel the transfer order. You can notify an external system of a transfer order cancelation from the WM system and notify the WM system of a cancellation from the external system. After a transfer order is canceled, reference documents (for example, the TR) are reopened.

(C) SAP AG

TAMM20

8-16

Stock Placement Strategy

Manual Bin Fixed Bin (F) Near Fixed Bin (K) Addition to Existing Stock (I) Storage Unit Type (P) Open Storage (C) Next Empty Bin (L) Bulk Storage (B) User Exit

SAP AG 1999

Stock placement strategies are used to search for an appropriate storage bin within a storage type when goods are to be placed into storage. For each storage type, a stock placement strategy is defined that serves to optimize warehouse usage and the flow of materials.

(C) SAP AG

TAMM20

8-17

Pre-allocated Stock Check

Goods Receipt area

Reserve storage

Production storage area

XX Pre-allocated stock check Pre-allocated stock Bin XY Mat. XX Qty 20 pcs
SAP AG 1999

Bin Bin XY XY

If the pre-allocated stock check is active for a movement type, the system checks during stock placement if the material has an entry in the pre-allocated stock table. By pressing a function key you can display all storage bins for which the material has been pre-allocated. You decide during TO creation if and how you want to fill the pre-allocated storage bins.

(C) SAP AG

TAMM20

8-18

WM Data Model: Stock Movements

Warehouse transfer order
15391 15392

Warehouse transfer order

~ item

Warehouse transfer request

15389 15390

26150

Warehouse complex

Warehouse transfer request

~ item

Picking area
15375

Warehouse stock
15370 15371

11001

15368

15369

Logical system

Warehouse complex

Storage area/ type

Storage section

Storage bin/ slot

Material stock storage bin

SAP AG

The SAP Enterprise Data Model: yWarehouse Management: Business Objects: y - Warehouse Complex y - Warehouse transfer request y - Warehouse stock y - Warehouse physical inventory y - Warehouse transfer order yWarehouse Management:Data Modeler: y Entity. y y y y 15370 15371 15389-90 15391-92 Description . Table. LAGP LQUA LTBK, LTBP (header, item) LTAK, LTAP (header, item)

Storage bin / slot Material stock / Quant Transfer Requirement Transfer Order

(C) SAP AG

TAMM20

8-19

Goods Receipt: Unit Summary

You are now able to: z Customize the goods receipt activity so that the Transfer Order process immediately follows the Inventory Management process z Customize the storage type and storage section search so materials are put away into the appropriate storage bin z Explain the printing customizing options for Transfer Orders

SAP AG 1999

(C) SAP AG

TAMM20

8-20

Summary (2)
z You enter differences into the system when

confirming TOs. These are posted to the interim storage area for differences (a logical storage type) and cleared in a second step in the IM system.
z Several stock placement strategies including

user exits are available that help to optimize the flow of materials in the warehouse.
z For stock that is not available in the

warehouse, it is possible to set up the system so that pre-allocated stock is moved upon receipt directly to the goods issue area.
R

SAP AG

(C) SAP AG

TAMM20

8-21

Goods Issue

Contents:
z Customizing the Goods Issue Process

SAP AG 1999

(C) SAP AG

TAMM20

9-1

Goods Issue: Objectives

At the conclusion of this unit, you will be able to: z Customize the goods issue activity so that the Transfer Order in the Warehouse is created in the foreground, immediately following the Inventory Management process and the goods are picked from the optimal location.

SAP AG 1999

(C) SAP AG

TAMM20

9-2

The Goods Issue Process

Goods issue area

SAP AG 1999

Goods issue: physical process: When goods are issued, stock removal from the warehouse takes place after the appropriate storage bin has been determined. The goods are usually transferred to the goods issue (GI) area before leaving the warehouse. Goods issue: process within the system Inventory Management (IM) y A Material Document is created to represent the movement of goods into the warehouse. It is possible to enter palletization data at this point. y An Accounting Document is created to represent the change in value of the goods in the warehouse. Warehouse Management (WM) y A negative quant is created in the Goods Issue area to represent the existence of goods now in the warehouse. y A Transfer Requirement is created since the goods are later transferred using a transfer order from a storage area within the warehouse to the GI area.

(C) SAP AG

TAMM20

9-3

Steps for Stock Removal

IM
Goods Issue

WM
Transfer Requirement negative QUANT

IM

Transfer Order

Confirmation/ differences

differences

SAP AG 1999

1. The goods issue is entered in the Inventory Management system: y material document created in IM y accounting document created in IM y transfer requirement created in WM y negative quant created in the GI area in WM 2. The transfer order is created based on the transfer requirement. 3. The goods become available, upon confirmation of the transfer order. Also, any differences noted at the time of stock removal are entered at this time. 4. Differences, if any, are moved to a storage type for differences, and when cleared in IM: y a material document is created and y an accounting document is created y There are opportunities for automation at various points throughout the process.

(C) SAP AG

TAMM20

9-4

Transfer Requirement Information

Goods Receipt area Transfer requirement What How much When Where to Why

Goods Issue area

Storage area
SAP AG 1999

A transfer requirement (TR) contains the following information: y What is to be moved (material number)? y How much is to be moved (quantity)? y How is it palletized (material master)? y What is the reason/origin (movement type/reference?) y What has already been moved (if partial)? List display functions: y single transfer requirement (transfer requirement number) y all TRs for a material y all TRs for a storage type y all TRs for an account assignment y all TRs for a material document

(C) SAP AG

TAMM20

9-5

Steps for Stock Removal

Goods issue posting TO for TR

Transfer order

Confirm transfer order

Material available

SAP AG 1999

For the removal of material, the goods issue is posted in the Inventory Management system. On the basis of this goods issue posting a transfer requirement and a negative quant in the GI area are created. To remove the goods, a transfer order is created from the transfer requirement. When the transfer order is created, the system determines the source storage bin. The goods are physically removed from the warehouse with the help of the transfer order documents. As soon as the physical stock removal is completed, the user confirms the transfer order. Here it is possible to enter differences. Depending upon the set-up, it is possible for the system to create transfer orders automatically in the background.

(C) SAP AG

TAMM20

9-6

Transfer Order for Stock Removal

Goods Receipt area

HRS

Goods Issue area

SAP AG 1999

For each stock removal a transfer order is created, which is used to transfer the goods from the warehouse to the GI area.

(C) SAP AG

TAMM20

9-7

Data Entry Help for Stock Removal

Preparation screen Available stock TR item 1

300 pcs

Bin Transfer order Item 1 Item 2 Item 3 100 pcs 100 pcs 100 pcs

X 100 400 X 100 x 100 100

01-01-01 01-01-02 01-01-03 01-02-01 01-03-01

SAP AG 1999

If you select Stock Overview from the TO Create Overview screen, you can view the available quants and select the quants you want to process. On the preparation screen, quants of the required material are proposed by the system for stock removal. You can override the system proposal and manually enter the storage bin from which the quantity is to be removed.

(C) SAP AG

TAMM20

9-8

Cancel Transfer Order

Before Confirm ation

SAP AG 1999

It is possible to cancel transfer orders that have not yet been confirmed in the WM system. If, while placing goods into stock, you find a storage bin that cannot be used or if you determine that for some reason, a stock removal cannot take place, it is possible for you to cancel a transfer order. You can notify an external system of a transfer order cancellation from the WM system and notify the WM system of a cancellation from the external system. After a transfer order is canceled, reference documents (for example, the TR) are reopened.

(C) SAP AG

TAMM20

9-9

Stock Removal Strategy

FIFO (F) LIFO (L) Partial Quantities (A) Large/Small Quantities (M) Cascadable with Rounding (M) Fixed Bin Picking (P) SLED (H) Stringent FIFO (***) User Exit

SAP AG 1999

A stock removal strategy is the procedure used to search for a suitable quant for stock removal within a storage type. For each storage type you define a stock removal strategy (FIFO for example) that serves to optimize warehouse usage and the flow of materials. You can define the stock removal strategy Stringent FIFO to apply to more than one storage type.

(C) SAP AG

TAMM20

9-10

Goods Issue: Summary

You are now able to: z Customize the goods issue activity so that the Transfer Order in the Warehouse is created in the foreground, immediately following the Inventory Management process and the goods are picked from the optimal location.

SAP AG 1999

(C) SAP AG

TAMM20

9-11

Production Integration

Contents:
z WM Staging z Customizing Production Integration z Kanban Replenishment

SAP AG 1999

(C) SAP AG

TAMM20

10-1

Production Integration: Topic Objectives

At the conclusion of this topic, you will be able to: z Describe the replenishment strategy for KANBAN within WM z Set up master data and customizing for KANBAN processing in WM

SAP AG 1999

(C) SAP AG

TAMM20

10-2

Objectives (2)
At the completion of this unit, the participant will be able to: z Create and confirm Transfer Orders moving materials from the warehouse to the production area
z

Post the confirmation in production and demonstrate the backflush capability and its effect on WM List the steps required to set up production supply within the warehouse View standard reporting for the WM / PP interface
R

SAP AG

(C) SAP AG

TAMM20

10-3

Production Supply Area

PSA = WM001

Work Center B3 Work Center A1 Production Supply Area

Work Center Master

SAP AG 1999

Storage Location

Production supply areas (PSAs) are used for material replenishment and are situated directly on the shop floor in the production department. The PSA groups work centers near production storage bins based on the material staging methods. The PSA is defined for the storage location and assigned in the work center master data.

(C) SAP AG

TAMM20

10-4

Material Staging Indicators

Production Order

Pick Parts

Crate Parts

Release Order Parts

Manual Staging
SAP AG 1999

Pick parts are provided in the quantities requested as specified in the production order. These parts can be provided in a physical storage bin or in the dynamic storage bin for the Production Order. For this type of material staging, transfer requirements can be created: y automatically when the production order is released y manually. Crate parts are ordered manually when a crate is almost empty. For Release Order parts, the transfer quantity is calculated based on the planned quantities of components of selected, released orders. The stock situation in the production area and the replenishment storage types are included in this calculation. Set the indicator to Manual Staging if you want to handle the process manually.

(C) SAP AG

TAMM20

10-5

Request by Worker in Production

Requests for the supply of materials depend upon the material staging type. The WM system creates a transfer requirement (TR) with storage bin coordinates from the control cycle as a destination storage bin. You process the TR as you would normally with any TR in the WM system. The transfer requirement has a: - Planning function - Separation function
WS 1
R

01/01

SAP AG

Planning function The transfer requirement (TR) does not block materials, but notifies warehouse management that a particular material is needed on a certain date in a specified quantity at a specified production storage bin.

Separation function Production workers request the needed materials with a transfer requirement. Warehousing personnel transfer the material based on a transfer order created from the TR. The availability check in the production order ensures the availability of materials at the storage area level. You can control automatic transfer order creation within the movement type.

(C) SAP AG

TAMM20

10-6

Decreasing the Quantity during TO Creation

4711 / 30 0 lbs

You can only decrease the quantity for pick parts. When you create a TO, the available quantity is calculated and the TO quantity is optionally decreased by the same amount.
T RANSF ER ORDER Mat: 4711 600 lbs F rom: 001 01-01-01 T o: 100 01/01

01/01

TRANSFER REQUIREMENT Mat : 4711 900 lbs To: 100 01/01

Examples: - minimum use - material change - workstation change - previous overdelivery

SAP AG 1999

The unrestricted available quantity can be established dynamically. This later point in time allows more current information than if it were determined at the time of the request for materials. In the Production Scheduler Profile, you can set the indicator Confirmed Quantity for TR Creation. Setting this indicator will cause the TR to be created for the confirmed quantity instead of the requirement quantity of the component.

(C) SAP AG

TAMM20

10-7

Supply to Production Storage Bins

4711 / 300 lb s 4711 / 300 lbs

01/01

Storage

TRANSFER ORDER Material: 4711 600 lbs From: To: 001 01-01-01 811 01/01

WP 1

SAP AG 1999

A transfer order is created based upon the transfer requirement. The transfer order: y determines the source bin based upon the strategy used to select the needed material y is the actual instruction for the physical stock transfer y moves the quantities in the system y determines whether the quantity will be decreased (optional). After the TO is confirmed, the material becomes available at the destination bin.

(C) SAP AG

TAMM20

10-8

2- Step Picking
F i rma Fi rm a

PO 1g M Rech n un Rec hn un g

Pick list
Fi rma F i rma

Re chhn nuun ngg Rec

TR 1

Material 01
Fi rm a Fi rma

M M T Rnu 2 Re chn u ng R ech ng

Fi rm a Fi rma

Fi rma F i rma

Re ch nu Rech nung ng

PO 2

M M Rec T hnnu un 3ng g ReR ch

Material 02

Fi rm a Fi rma

M Rec hn un PO 3g M Re ch nu ng

SRC: 001 DEST: 200

SRC: 200 DEST: 100

Goals
z Stock removal based on materials and distribution based on requirem ents z Optimization of stock removal
R

SAP AG

The goal of 2-Step picking is to go one time to a bin to pick material for multiple requirements. For 2-Step picking, the picking process is divided into 2 steps: First Step: The entire quantity of needed materials is picked to fill requests (for example, several transfer requirements) for the materials. Second Step: The total quantity is divided up and allocated to match the individual requirements. 2-Step picking was developed using the reference number as a basis. The reference number serves as a means to combine and allocate several reference documents. Additionally, you can carry out other functions associated with the reference number, such as printing and confirmation.

(C) SAP AG

TAMM20

10-9

Usage posting

4 7 11 / 3 00 lbs 47 1 1 / 3 00 klgs

01/01

03/01

05/01

PSA1

PSA2

PSA3

WS 1

WS 2

WS 5 WS 3 WS 4

WS 6

SAP AG 1999

The final step in the material staging process is to post a goods issue for consumption. When a production order is completed, the materials have been removed from the production storage bins in the warehouse and the final product has been fully assembled, it is still necessary to balance the stock quantities in the IM and WM systems. You post the use of materials to the database either by "backflushing" with the completion confirmation or directly in the IM system. This posting is necessary to reduce the stock quantities in the production storage bins of the WM and IM systems. Since the transfer requirement for the production order was created far in advance of this goods issue posting, the materials are delivered in a timely manner to the production storage bins. You post the actual goods issue in the IM system (or in the PP system) after the product has been assembled in production. Since the production storage bin was noted in the production order when it was released, the material usage posting reduces the quantity in the production bins (in the system) and no further action is required in the WM system.

(C) SAP AG

TAMM20

10-10

System Definition
Define a Production Storage Type Create the Production Supply Area Define a Movement Type Assign Movement Type to the Production Storage Type Create the Production Storage Bins Define the Control Cycle Records Warehouse Management Customizing Activate the PP Switch Customize the Production Profile (Optionally)
SAP AG 1999

The physical production bins are defined in the Warehouse Management system. If all materials are staged as pick parts to a collective storage bin or dynamic coordinates are used, generally, only one material-independent control cycle per production supply area is sufficient.

(C) SAP AG

TAMM20

10-11

Distinctive Features for Repetitive Orders

No defined release time. The request is made from the removal list.

The usage posting is based on the release of the current bill of materials.

There are no dynamic coordinates.

SAP AG 1999

The high flexibility of the processes necessary to pick materials directly for serial orders requires extremely complex organization. The timing of material supply should be organized as follows: y Early enough to carry out the physical supply using the WM system on time y Late enough to avoid charges that are relevant to material supply (location, material, etc.) Especially when many changes must be made, it is recommended that you use crate parts as a material staging type.

(C) SAP AG

TAMM20

10-12

Standard Reports

Material Stock at Production Storage Bin

List of Control Cycles WM-PP Evaluation Report (Storage Bin Selection)

Analysis of Production Orders

SAP AG 1999

Evaluation of the Production Storage Bins per Storage Type: List of Control Cycles (RLLS4100): Provides a list of control cycles assigned to your warehouse based on your selection criteria. Material Stock at Production Storage Bin (RLWMPPC1): Overview of quantity situation in Production Storage Bins. WM-PP Evaluation Report (RLWMPPC3): This report provides an overview of the production storage bins. A traffic light icon displays the status of the respective storage bins depending on the stock situation. This makes it possible to identify critical situations more quickly. More detailed information is available in the report documentation. Analysis of Production Orders (RLWMPPC4): This report evaluates PP orders from the WM view. A traffic light icon displays critical situations that result from discrepancies between reservations and the corresponding transfer requirements. More detailed information is available in the report documentation.

(C) SAP AG

TAMM20

10-13

Production Integration: Summary

You are now able to: z Describe the replenishment strategy for KANBAN within WM z Set up master data and customizing for KANBAN processing in WM z Describe the replenishment strategy for WM Staging z Set up master data and customizing for processing WM Staging

SAP AG 1999

(C) SAP AG

TAMM20

10-14

Summary (2)
z

Workers in production create transfer requirements to request needed materials. Warehouse Management workers process transfer requirements to create transfer orders that move materials to the production storage bins. Once the product has been manufactured in production, you post the goods issue in the IM or PP system. The material usage posting reduces the quantity in the production bins to balance the stock levels between the IM and WM system and no further action is required in WM.
R

SAP AG

(C) SAP AG

TAMM20

10-15

Summary (3)
z

To set up WM for supplying materials to production, you must:

Define a Production Storage Type Create the Production Supply Area Define a Movement Type and Assign it to the Production Storage Type Create the Production Storage Bins Define the Control Cycle Records Activate the PP Interface Switch Customize the Production Profile (optionally)
R

SAP AG

(C) SAP AG

TAMM20

10-16

Delivery Processing

Contents:
z Processing Delivery Notes z Collective Processing z Two-Step Picking

SAP AG 1999

(C) SAP AG

TAMM20

11-1

Delivery Processing: Objectives

At the conclusion of this unit, you will be able to: z Demonstrate the shipping process in WM

SAP AG 1999

(C) SAP AG

TAMM20

11-2

Picking Techniques
TO Reserve storage Random picking TO Picking area FIX-XX

Goods issue posting for delivery

GI area

Goods issue posting for delivery

Picking area FIX-XX

Fixed bin picking

Goods issue posting for delivery Large qty Sm all qty

SAP AG

GI area

TO Reserve storage Picking of large/ sm all quantities

R

Picking area FIX-XX

With random picking, a transfer order for a delivery is always created. The source storage bins are determined by the storage type search and the stock removal strategies. With fixed bin picking, no transfer order is created because the quantity is removed directly from the fixed bin during the goods issue posting. The fixed bin is also the interim storage bin. With picking of large/small quantities, a transfer order is only created if the requirement quantity is larger than the control quantity. Smaller quantities are removed directly from the fixed bin.

(C) SAP AG

TAMM20

11-3

Transfer Order for Outbound Delivery

Transfer Order Delivery

Source Dest

Item 1 Item 2 Item 3

Source Dest Source Dest Source Dest Source Dest Source Dest
GI- Area

SAP AG 1999

No transfer requirement is created for a delivery; instead, a transfer order is created on the basis of the delivery. If the requirement quantity of a delivery item is to be removed from several storage bins, several transfer order items are created for the delivery item.

(C) SAP AG

TAMM20

11-4

Overview of Shipping Process and WM

Create sales order Create delivery
SD Pick list

Picking technique

Create transfer order Confirm transfer order

no

Print TO (or m ultiple TO list)

Picking from fixed bin

Differences
yes yes Post goods issue
SAP AG 1999

?
no

Copy transfer data to the delivery

Depending upon the picking technique, materials are picked from the fixed bin (with a picking list from the Sales and Distribution system) or a transfer order for a delivery is created. If picking takes place without a transfer order, the WM status in the delivery is set to N (not relevant for Warehouse Management). If picking takes place with a transfer order, the WM status in the delivery is set to A (relevant for Warehouse Management). The WM status is updated after each step during transfer order processing.

(C) SAP AG

TAMM20

11-5

Multiple Processing for Deliveries

TO 2 TO 1 Del 4711 Print without reference num ber

Start Multiple Processing

Del 4720 Selection for multiple processing Del 4793 + Reference number Del 4812 assignment

Ref. No. 329

Del Del ... ... 4720 4915

TO Del 4720

Picking list Ref. No. 329

Fm To Fm To Fm To Fm To 001 A 916 4720 001 C 916 4915 001 F 916 4720 002 01-05-03 916 4915

Release / Print TO Del 4915

Del 4915

Interface WCU (Storage type 004) Release Ref. No. 329

R

SAP AG

This process is useful when creating transfer orders in the WM system and the physical picking in the warehouse does not need to take place for each delivery seperately. Several deliveries can thus be processed as a group using the same working procedures. The multiple processing function in the WM system consists of several steps: During the selection step, deliveries are selected according to specified criteria, such as route and picking date, and are assigned to an internal or external reference number. The reference number is important for further processing. During the step start multiple processing the transfer order creation function is called up for each delivery assigned to the reference number. This normally takes place in the background. Releasing the reference number is the last step of the multiple processing function. When you release the reference number, a picking list is printed to optimize the removal of stock from the warehouse. If an automated warehouse or storage area is interfaced to the system, the appropriate information is transmitted in this step. The release can take place automatically immediately after the step start multiple processing.

(C) SAP AG

TAMM20

11-6

Two-Step Picking
Stock removal based on materials Delivery based distribution

1st Step: Picking Group

Del 4813
Mat.01 3 Ea Mat.02 4 Ea

2nd step: Allocation

Picking TO for a Group Item 1 Mat.01 10 Ea Srce 001 Dest 200

TO #250
Mat. 01 3 Ea Mat. 02 4 Ea

TO #251
Mat. 01 4 Ea Mat. 02 5 Ea

Del 4814
Mat. 01 4 Ea Mat. 02 5 Ea

Srce: Dest:

200 916

Del 4815
Mat. 01 3 Ea Mat. 02 1 Ea

Srce: Dest:

200 916

TO #252
Mat.01 3 Ea Mat.02 1 Ea

Item 2 Mat.02

10 Ea

Srce 001 Dest 200

Srce: Dest:

200 916

SAP AG 1999

Two-Step Picking is an extension of multiple processing. For Two-Step picking, the picking process is divided into 2 steps: y First Step: - The entire quantity of needed materials is picked to fill requests (for example, several deliveries) for the materials. y Second Step: - The total quantity is divided and allocated to match the individual requirements. The goal is to go once to a bin to pull materials, even if the requirements are from different deliveries. Two-Step picking was developed using the group number as a basis. The group number serves as a means to combine several deliveries. Additionally, you can carry out other functions associated with the group number, such as printing and confirmation.

(C) SAP AG

TAMM20

11-7

Transfer Order Splitting

DELIVERY
Not fulfilled

Transfer Order

Split Criteria?

Fulfilled

Transfer Order

Transfer Order

Transfer Order

SAP AG 1999

To achieve a balanced distribution of the workload of the warehouse, Transfer Orders can be split. Together with the splitting process, dynamic sorting of the TO items takes place. For this sorting process, you can use the sequence field in the storage bin. This field allows you to enter the exact sequence in which the storage bins are to be processed. Transfer Orders are split by a profile for the warehouse number. You can split the TOs by: y Storage type and picking area y Target time (header information) , volume and weight as value limits y User exit (either for sorting or for splitting)

(C) SAP AG

TAMM20

11-8

Lean WM - Using a TO as a Pick Order

DELIVERY

Transfer Order

Storage Location 0088

Fixed Bin

SAP AG

Lean WM functionality makes it possible to create transfer orders for deliveries when storage bins are NOT managed by the WM component. Transfer orders that are created for deliveries in Lean WM are used to pick stock from available fixed bins in the warehouse that are managed entirely at the storage location level. The characteristics of a transfer order created for Lean WM are basically the same as for any transfer order: o It is optional whether transfer orders created for Lean WM are subject to confirmation. o You can confirm over deliveries, shortages and batches. o You can print these transfer orders using normal means. o You can transmit Lean WM transfer order data to external systems. o Recording performance data, such as assignment to a picker, return confirmation of actual times or determining planned times is possible.

(C) SAP AG

TAMM20

11-9

Wave Picking

Warehouse No. 001

Wave 8am
F i rma Fi rm a

Wave 10am
Fi rma Fi rma

M Del 1 Rech n un g Rec hn un g

F i rma Fi rma

M Del 2 Rech nnu un g Re ch ng

M Del 3 Rec hnnu un g Re ch ng

Fi rm a Fi rma

M M Del 4 Rec hnnu un g Re ch ng

Fi r m a F i rma

Rec hnnu unn gg Rech

Del 5

Fi rma F i rma

Re chhn nuun ngg Rec

Del 6

SO 1 SO 2 SO 3

SO 4 SO 5 SO 6

SO 7 SO 8 SO 9

SO 10 SO 11 SO 12

SO 13 SO 14 SO 15

SO 16 SO 17 SO 18

SAP AG 1999

Picking waves are used to create work packages in Shipping. A picking wave consists of several deliveries that are processed at the same time. Assignment of deliveries to picking waves is based on time criteria (for instance, all deliveries with the same goods issue time are assigned to a picking wave). Picking waves can be used in both Lean WM and as part of the complete WM functionality.

(C) SAP AG

TAMM20

11-10

Storage of Shipping Units

Fi rma Fi rm a

Re ch nu ng Rec hn un g

DELIVERY

Shipping Unit ##
Picking Packing Mtype 91

Interim Storage Area Unit ##

Mtype 92

SAP AG

Pre-picked Shipping Units can be placed into interim storage areas. These functions are in the Warehouse Management menu. o RLLT0B00 controls put away. o RLLT0C00 controls picking. o RLLT0D00 controls stock transfer of shipping units. Delivery items must be packed into shipping units in advance.

Only the shipping unit, not the packed contents (for example, the delivery items), is transferred and recorded in the stock. The delivery number is updated in the quant in the requirement number.

(C) SAP AG

TAMM20

11-11

Creation of TOs: WMTA

Condition Records Processing tim e Automatic TO-Creation

Delivery

Job

RL AUT A20 BatchProgram Transaction: Messages from Deliveries

Shp. point. 1200 Shipping Condition immediately

Del Type LF Shipping Condition Immediately

Transaction

Message WMTA

Immediate TO-Creation
immediately

Direct Processing with delivery creation

SAP AG 1999

At the interface from SD Shipping to WM, you can set immediate or automatic transfer order creation for deliveries. Processing is controlled by the message control function of the shipping module. Via the condition technique, you can initiate the message type WMTA upon creation of the delivery. The requirement for this is that at least one item of the delivery is relevant for WM. The combination Shipping point / Delivery type is responsible for finding the message type. Depending on the processing of the message type WMTA, there are different processing type: y Time 1-3 (processing later) - In this case, the message is processed either via a batch program or manually via the transaction Messages for delivery. Since this processing type is executed separately from the delivery creation process, we refer to this as Automatic Transfer Order Creation. y Time 4 (Processing Immediately) - Here message processing is initiated immediately after the delivery has been created. Therefore, this is referred to as Immediate Transfer Order Creation. Transaction VOK2 Sales and distrib. Document --> Delivery --> Condition Type WMTA

(C) SAP AG

TAMM20

11-12

Delivery Processing: Summary

You are now able to:

z Demonstrate the shipping process in WM

SAP AG 1999

(C) SAP AG

TAMM20

11-13

Summary (2)
z Picking waves are used to create work packages

in Shipping. A picking wave consists of several deliveries that are processed at the same time.
z 2- Step Picking allows the combination of several

picks into one removal then later separation.

z Transfer Orders can be automatically created for

Deliveries in the background by using the condition type WMTA in the message control of the shipping module.
z Lean WM makes it possible to create transfer

orders for deliveries when storage bins are NOT managed in WM.
R

SAP AG

(C) SAP AG

TAMM20

11-14

Movements in WM Prior to IM

SAP AG

(C) SAP AG

TAMM20

12-1

Objectives
At the completion of this unit, the participant will be able to: z Describe what happens in IM and WM when a movement is posted first in WM and then in IM
z

List advantages and disadvantages of both posting procedures

SAP AG

(C) SAP AG

TAMM20

12-2

WM Before IM: Goods Receipt

Physical process
Production

Process in the system

Create transfer order Assign destination bin Negative quantity in the GR area

GR production Place goods into storage

TO Print

Confirm TO

Storage
Post movement in IM system

Check quantity
SAP AG

Goods available GR area empty

For processing materials using the Warehouse Management system prior to the Inventory Management system, a transfer order is first created for the stock placement, and the goods are placed directly into the destination storage bin. When this happens, a negative quant is created in the GR area. Afterwards, the goods receipt is posted in the Inventory Management system. No transfer requirement is created by the goods receipt posting, but the negative quant in the GR area is cleared. If the transfer order is to be created for another movement before the material posting in the Inventory Management system, you must make sure that the material posting does not automatically create a transfer requirement. To create the transfer order you must use a movement type that allows manual creation of transfer orders.

(C) SAP AG

TAMM20

12-3

WM Before IM: Delivery, Production

Planning Movement Posting in Inventory Management

Transfer requirem ent

Transfer order

Deli very

Create Confirm

Post material movement

R

SAP AG

In the standard system, a transfer order for a delivery is created before the goods issue for the delivery is posted. In the standard production interface, WM staging is carried out prior to the consumption of materials.

(C) SAP AG

TAMM20

12-4

Summary
z

It is possible to post goods movements in the WM system before they are posted in the IM system. If you create a transfer order in the WM system, a corresponding negative quantity is noted in the goods receipt area. When the goods receipt is posted in IM, the negative quantity is cleared to balance the books. It is standard to process WM before IM in the case of Delivery and Production.
R

SAP AG

(C) SAP AG

TAMM20

12-5

Replenishment

Contents:
z Various Replenishment Techniques

SAP AG 1999

(C) SAP AG

TAMM20

13-1

Replenishment: Objectives

At the conclusion of this unit, you will be able to:

z Execute two methods of fixed bin

replenishment
z Explain different possibilities to

execute replenishment within the warehouse

SAP AG 1999

(C) SAP AG

TAMM20

13-2

Replenishment for Fixed Storage Bins

SAP AG 1999

When you use fixed bin replenishment, the system calculates the replenishment quantities that are necessary to maintain appropriate stock levels based on information that you provide. You first must define a WM movement type for storage types that use the fixed bin stock placement strategy. In the standard WM system, movement type 319 was created for this purpose. Link the movement type with the fixed bin storage type. You must maintain the material master record for the fixed bin storage type. You must enter data in the Storage bin, Maximum bin quantity, Minimum bin quantity and Replenishment Quantity data fields at the Storage Type level in the Warehouse Management view of the Material Master record.

(C) SAP AG

TAMM20

13-3

Replenishment for Fixed Bins: Batch Report

min. storage bin quantity 3 ctn replenishment quantity 8 ctn

Transfer requirem ent

LL

Transfer order

SAP AG 1999

You can process a report (RLLNACH1) in batch to replenish fixed bin storage types at regular predefined time intervals or online as required. When you run RLLLNACH1, the system will recommend a Transfer Requirement if your stock falls below the minimum bin quantity you have defined. The Transfer Requirement will be recommended in increments of the Replenishment Quantity up to the Maximum Bin Quantity. Afterwards, you process the transfer requirements to create transfer orders according to the normal procedures you would use to carry out stock movements within WM.

(C) SAP AG

TAMM20

13-4

Planned Replenishment

F i rma Fi r ma

Fi rma Fi rm a

Rech Fi nu rm a ng Re chn F i rma u ng

F i rma Rec hn gg Rech Fi nu run ma n

Re ch Fi nu rma ng Rec hn Fi rma un g

Fi rma Rec hn g Re ch Fi nu run ma ng

Rech nu n g Rec hn u ng

Re ch nu ng Rec hn un g

Planned Replenishment

RLLNACH2

SAP AG 1999

This report creates transfer requirements for fixed bin replenishment where stock removals are allowed to take place before put aways because of the respective deliveries. This report takes into account, in addition to the stock situation, planned stock removals and replenishment transfer requirements. Using this report, you can create all the replenishment transfer requirements for supplying the fixed bins based on delivery requirements and rounded to the replenishment quantity. Use this report to create the transfer requirement which can then be processed according to normal procedures you use to carry out stock movements within WM.

(C) SAP AG

TAMM20

13-5

Creating TOs Automatically for TRs

IM Document

PP System

Manual

Transfer requirement
Batch

RLAUTA10

Transfer order

Mail

SAP AG 1999

For certain classes of transfer requirements, it is possible to set up the Warehouse Management system to create transfer orders automatically as a background process. You set up the system to carry out this process by setting an indicator in each movement type. When you create a transfer requirement manually, the system copies this indicator into the transfer requirement header. To activate the automatic creation of transfer orders for these transfer requirements you must start the report RLAUTA10 as a batch job. For this process you define a variant for each different indicator. This makes it possible for you to define different starting times and time spans to repeat each task periodically

(C) SAP AG

TAMM20

13-6

Replenishment: Summary

You are now able to: z Execute two methods of fixed bin replenishment
z Explain different possibilities to execute

replenishment within the warehouse

SAP AG 1999

(C) SAP AG

TAMM20

13-7

Posting Changes

Contents:
z Stock Transfer: Logical vs Physical z Bin to Bin Movements z Change in Stock Category z Material to Material/Batch to Batch Transfer z Initiate Post Change from WM

SAP AG 1999

(C) SAP AG

TAMM20

14-1

Posting Changes: Objectives

At the conclusion of this unit, you will be able to:

z Recognize when an inventory movement will

create a posting change notice in WM

z Process bin to bin movements within the

warehouse
z Demonstrate how to process a posting change

notice in WM in the foreground

z Demonstrate how to configure the

system so that posting change notices can be initiated in WM

SAP AG 1999

(C) SAP AG

TAMM20

14-2

Stock Transfer / Transfer Posting

Stock Transfer
Materials Warehouse

Distribution Center

Ph ysical movement

Transfer Posting
In quality inspection

Unrestricted Use

Logical movement

SAP AG 1999

Although postings are made in both cases, simple transfer postings differ from stock transfers in that transfer postings do not usually also involve a physical material movement; instead, simply the stock type, batch number, or material number is changed. Further examples of transfer postings are postings recording release from quality inspection or the transfer from blocked material into unrestricted stock, a change in the stock category of the material

(C) SAP AG

TAMM20

14-3

Bin to Bin Transfer

Trans. order without reference

Transfer order

Confirm TO

Material available

SAP AG 1999

To transfer stock from one storage bin to another storage bin within the same warehouse, you manually create and confirm a transfer order for the material to be moved. A transfer requirement is not needed. Since the total quantity of stock in the warehouse remains the same, stock movements that take place within the same warehouse number do not require the use of the Inventory Management system.

(C) SAP AG

TAMM20

14-4

Material to Material / Change in Batch

1994

Mild Cheese

Sharp Cheese

Batch
SAP AG 1999

Batch

A stock transfer from material to material requires that both materials are managed in the same base units of measure. A stock transfer from material to material can be necessary if a material changes over the course of time. It no longer matches the data defined in the material master, but rather fits the criteria of another material master number. This typically occurs in the chemical and pharmaceutical industries. Use the same transaction to change the batch identification of a material. Enter the same material number, but change the batch information.

(C) SAP AG

TAMM20

14-5

Posting Change: Material Number

Transfer posting in Inventory Management Material A to Material B (100 pcs)

Posting change area Example: Material A to Material B Posting change notice Item 1 A 100 Item 2 B 100 +

Quant A 100 Quant B 100 +

Storage type 001

Posting change transfer order Item 1 Src Dest Item 2 Src Dest Mat. 001 922 Mat. 922 001 A 001 01-01-01 001 PC area B 001 PC area 001 01-01-01

SAP AG 1999

A posting change or stock transfer is first posted in the Inventory Management system as a transfer posting. As a result, the system creates a posting change notice and two quants in the posting change area (a logical interim storage area). You process the posting change in the WM system by creating a transfer order for the posting change notice. You can post the posting change quantity to the original bin or to another storage bin.

(C) SAP AG

TAMM20

14-6

Stock Transfer/Transfer Posting (II)

Company code

Company code

Plant

Plant

Storage Location
SAP AG 1999

Storage Location

Physical stock transfers can occur at three different levels: y Company code to company code y Plant to plant y Storage location to storage location Such a stock transfer consists of a goods issue from the issuing point and a goods receipt at the receiving point. You can post stock transfers in one step or two. To transfer material company code to company code, you use the transaction plant to plant, but the plants are assigned to different company codes. In this instance, two accounting documents are generated, one for the sending plant and one for the receiving plant.

(C) SAP AG

TAMM20

14-7

Stock Transfer / Posting Change: Plant to Plant

Plant 1

Plant 2

Plant 1

Plant 2

0088

Storage location

0099

0088

Storage location

0099

001

Warehouse

002

Warehouse

001

Stock Removal
SAP AG 1999

Stock Placement

Posting Change

A plant-to-plant transfer posting in the Inventory Management system can result in a posting change within a warehouse number. If stocks for two separate plants are managed within the same warehouse number, a transfer posting in the Inventory Management system results in a posting change within the warehouse number (in the WM system). However, if the two plants are managed in two separate warehouse numbers, the transfer posting results in a stock removal from the one warehouse number and a stock placement into the second warehouse number.

(C) SAP AG

TAMM20

14-8

Posting Changes During Stock Placement

Tr. requirem ent 50 pieces Reserve storage

GR area 50 pcs GR posting A Q 50 pcs A Q Posting changes (Release from quality inspec.) Material A 100 pcs
SAP AG 1999

Posting change area A Q -100 A +100

To release materials from quality inspection, you can carry out a transfer posting in the Inventory Management system or make a usage decision for an inspection lot in the Quality Management System. Afterwards, you create a transfer order for the posting change notice in the WM system. This is used to convert the material quants (possible on a material document basis) with stock category Q. If a transfer requirement for the stock placement is still open, this is also updated by the posting change. Depending upon the set-up, it is possible for the system to create transfer orders automatically in the background. Again, the posting change quantity can be posted to the original bin or to another storage bin.

(C) SAP AG

TAMM20

14-9

Transfer Posting: Initiated in WM

WM Posting Change

IM Posting Change

Automatic Update

SAP AG 1999

The transaction Transfer Posting in WM and IM will process posting changes for quants entirely from within WM. The entire quant must be selected.The system then performs all necessary processes in Inventory Management. With this program, no posting change notice is created in Warehouse Management so you can carry out certain posting changes directly as a one-step process.

(C) SAP AG

TAMM20

14-10

Posting Changes: Summary

You are now able to: z Recognize when an inventory movement will create a posting change notice in WM z Process bin to bin movements within the warehouse z Demonstrate how to process a posting change notice in WM in the foreground z Demonstrate how to configure the system so that posting change notices can be initiated in WM

SAP AG 1999

(C) SAP AG

TAMM20

14-11

Summary (2)
z

When processing a posting change, two quants result in the posting change area -- a negative quant and a positive quant with exactly the same quantity. When you release materials from inspection, although they remain in the same physical location, the materials are moved logically to the posting change interim storage area with the stock category of Q. When you process the posting change in Warehouse Management, and confirm the transfer order, the material is moved back into the same storage bin without the stock category of Q.
R

SAP AG

(C) SAP AG

TAMM20

14-12

Quality Management Interface

z

Creating Inspection Lots when Posting Goods Receipts in Inventory Management Processing Transfer Requirements for Inspection Lots in Warehouse Management Usage Decisions Inspection Lots

z z

SAP AG

(C) SAP AG

TAMM20

15-1

Objectives
At the completion of this unit, the participant will be able to: z Discuss the interface between WM and Quality Management
z Post a goods receipt for inspection stock in

Inventory Management
z Discuss storing inspection stock in WM z Explain what happens when a

usage decision is posted in Quality Management

z Display materials that

belong to an inspection lot in the warehouse

SAP AG

(C) SAP AG

TAMM20

15-2

Goods Receipt in the IM System

IM
Goods receipt posting in Inventory Management

QM
Quality Management
Inspection lot

WM
Warehouse Management

Create inspection lot

SAP AG

Post quants in GR area

Based on the Quality Management inspection data in the QM view of the material master record, the system can create an inspection lot when you post a goods receipt in the IM system. The QM inspection data in the material master determines whether an inspection lot is to be inspected with an inspection plan and determines the quantity of the material that is to be selected as an inspection sample. In the WM system, the normal process takes place for the goods receipt posting in IM. The system creates a quant in the interim storage area and, depending upon the system definition, a transfer requirement in the WM system.

(C) SAP AG

TAMM20

15-3

Transfer Requirement with Inspection Lot

GR-area

Physical storage area

Material X 100 Pieces lot quantity Category Q Insp. Lot 0124 Inspection sample 10%
SAP AG

Transfer requirement

An inspection lot number is noted in the quant in the interim storage area and in the transfer requirement. The system stores the interim storage bin coordinates in the inspection lot itself. You process the transfer requirement in the WM system to create a transfer order that moves the stock from the goods receipt area into the warehouse.

(C) SAP AG

TAMM20

15-4

Storing Inspection Lots

Goods receipt area Material X 100 pieces Stock category Q Inspection sample 10 pieces
Transfer requirement

Inspection lot rest 90 pieces

Inspection sample bin

Physical storage area

SAP AG

In the QM system, a usage decision is made after the inspection has been completed. If the usage decision has already been made, you process the transfer requirement (TR) in the WM system in the normal manner to store the material without considering the inspection sample for the inspection lot. When you create a transfer order for the transfer requirement, the system does not display a dialog box. If a usage decision has not yet been made, the system displays a dialog box to inform you that a sample quantity exists when you process the TR for the goods receipt in the WM system. The system can be configured to suppress the dialog box if the TO is created in the background. For inspection lots with inspection samples there are 3 recommended options: Option 1: Retain the sample quantity in the goods receipt area and move the remainder of the inspection lot into the warehouse. Option 2: Transfer the inspection sample quantity to an inspection sample storage bin and move the remainder of the inspection lot into the warehouse. Option 3: Retain the entire quantity for the inspection lot in the goods receipt area.

(C) SAP AG

TAMM20

15-5

Option 1: Situation after Creating a TO

Goods receipt area

Physical storage area

Transfer order

Inspection sample 10 pieces Inspection Lot 0124 Category Q

Material 90 pieces Insp. lot 0124 Category Q

SAP AG

Usage decision has not yet been made in the QM system When you create the transfer order to place the goods received into storage, a dialog box appears which asks you to make a decision about how to handle the inspection sample that was selected by the QM system. If you decide to keep the inspection sample in the goods receipt area (Option 1), the total quantity to be placed into storage is reduced by the amount of the inspection sample. Situation after the stock placement: 10 pieces are located in the goods receipt area and 90 pieces are located in a storage type in the warehouse. The stock category Q and the inspection lot number is noted in all stock. It is noted in the inspection lot that the inspection sample quantity is located in the goods receipt area.

(C) SAP AG

TAMM20

15-6

Usage Decision in QM
IM (Posting change, Clear difference)
Stock changes
A B

QM
100 pieces Inspection lot

WM
Q to available

p 10

cs

Usage decision for inspection lot

SAP AG

Stock change with reference to inspection lot

Usage decision in the QM system is made as follows: the full quantity of the inspection lot (100 pieces) is to be converted from quality inspection stock to available stock. When the usage decision is made, a transfer posting takes place in the IM system and a posting change notice is created in the WM system. When the posting change notice is processed to create a transfer order, the stock category of the stock in the WM system (including the 10 pieces in the inspection sample in the open transfer requirement) is converted from Q (inspection stock) to available. This transfer order can be created automatically in the background. You still have an open transfer requirement for the sample quantity. This open transfer requirement can be used to store the inspection sample in the warehouse.

(C) SAP AG

TAMM20

15-7

Inspection Lot Search

Inspection lot number 0124

SAP AG

Using a transaction in the WM system (display bin stock), you can easily display the exact location of materials belonging to an inspection lot. You can display information about an inspection lot regardless of the processing status in the QM system.

(C) SAP AG

TAMM20

15-8

Summary (1)
z

When you post a goods receipt in Inventory Management, the system can create an inspection lot in Quality Management. The inspection lot number is noted in the transfer requirement and in each quant. for such goods receipts in the warehouse, you must decide how you want to handle the inspection sample. This could be done in background.

z When you process the transfer requirement

z If Warehouse Management can clearly identify

the inspection lot, the posting change of inspection stock can happen automatically.
R

SAP AG

(C) SAP AG

TAMM20

15-9

Summary (2)
z

It is possible for most of the processing for the usage decision to take place in the background. warehouse by inspection lot number at any time.

z You can search for materials in the

SAP AG

(C) SAP AG

TAMM20

15-10

Storage Unit Management

z z z

Storage Bins with SU Management SU-Managed Storage Types SU Management in Bulk Storage

SAP AG

(C) SAP AG

TAMM20

16-1

Objectives
At the completion of this unit, the participant will be able to:
z Discuss the use of Storage Unit Management

and why a company may need to manage inventory to this level.

SAP AG

(C) SAP AG

TAMM20

16-2

Storage Bin with Storage Unit Management

4769 IIII

4712 IIII

01-04-09 01-04-09

SAP AG

A storage unit is a logical grouping of one or several amounts of material, including the pallet or container that can be managed within a warehouse as a unit that belongs together. yThe picture indicates a typical storage bin with storage unit management: yThere are 3 quants in the bin (two quants on the 1st pallet and one quants on the 2nd pallet) yThere are 2 storage units in the bin Storage units can be homogeneous (cotaining one material) or mixed (containing two or more items) All storage units are assigned an identifying number which is maintained in the system as the storage unit number so you can see at any given time where each storage unit is loaded within the warehouse complex. If you have implemented storage unit management, the quantities (quants) are managed at the level of the storage unit. On a single storage bin you can store one or several storage units which, in turn, can contain one or several quants.

(C) SAP AG

TAMM20

16-3

WM System without Storage Unit Management

Storage bin

Quant

Quant

Quant

SAP AG

Warehouse Management (WM) without Storage Unit Management In the WM system without Storage Unit Management, material quantities (referred to in the WM system as quants) are managed at the level of the storage bin.

(C) SAP AG

TAMM20

16-4

Management at the Storage Unit Level

Storage bin

Storage unit

Storage unit

Quant

Quant

Quant
R

SAP AG

If you have implemented Storage Unit Management, the quantities (quants) are managed at the level of the storage unit. In a single storage bin you can store one or several storage units which, in turn, can contain one or several quants.

(C) SAP AG

TAMM20

16-5

WM-System Hierarchy with SU Management

Warehouse (complex) number

Storage type

Storage type

Storage bin

Storage bin

Quant

Quant

Storage unit

Storage unit

Quant

Quant
R

SAP AG

When SU management is not active in a storage type, stock is managed as separate quants at the storage bin level. With SU management, stock is managed at the pallet or storage unit level. One or several storage units can be located within a single storage bin and each storage unit can consist of one or more quants. In customizing, Storage Unit Management must first be allowed at the Warehouse level. Then, you can choose for each Storage Type whether or not to allow SUM. If you define a storage type for storage unit management, this means that all the bins in this storage type are managed for storage units. You may only define SU management for physical storage types. Interim storage types cannot be managed for storage units.

(C) SAP AG

TAMM20

16-6

SU Management in a Warehouse Complex

GR area
ID point

High rack storage (with SU Mgmt

Goods receipt

Partial pallets (with SU Management)

GI area

Bulk storage (with SU Mgm t)

Pick point

Goods issue
R

SAP AG

In an SU managed storage type you can execute stock placements via an ID Point and stock removals via a Pick Point. In WM, the ID Point is a physical location in the warehouse managed for storage units where incoming goods are identified for further processing. The Pick Point is the actual, physical location in the warehouse where items are picked for a partial stock removal from a storage unit. As an example, partial storage units might be returned to the same storage type but a different bin after picking, or transferred to another storage type that is specifically designated for partial storage units.

(C) SAP AG

TAMM20

16-7

Bulk Storage with SU Management

Bulk storage
SU 721 SU 864 SU 368 SU 369 SU 321 SU 921

Bin: SUT: Mat.:

B3-01 I1 A

B3-02 E1 A

B3-03 E1 B

B3-04

SU 462
R

SAP AG

You may wish to set up SU managed bulk storage. It is possible to manage partial pallets and mixed storage in SU managed bulk storage areas. One of the primary characteristics of SU managed bulk storage is that the system does not keep a record of the exact location of a particular storage unit in a bin. Because of this, the system does not know which storage units are located in the front of a bin, making them accessible for picking. Since the system does not have a record of the actual structure of the storage units in a block, it cannot recommend specific storage units for order picking. During Transfer Order confirmation, the SU number must be specified.

(C) SAP AG

TAMM20

16-8

Summary
z

When SU management is active within a storage type, quants are managed at the storage unit level as opposed to the storage bin level. The storage unit number identifies the pallet or container together with its associated stock. You can manage homogenous or mixed storage units with SU management. When removing stock from bulk storage, you must specify the SU numbers that are removed.
R

SAP AG

(C) SAP AG

TAMM20

16-9

Physical Inventory

Contents:
z Inventory Methods z The Physical Inventory Process

SAP AG 1999

(C) SAP AG

TAMM20

17-1

Physical Inventory: Objectives

At the conclusion of this unit, you will be able to:

z Execute the basic physical inventory process

in the warehouse
z Customize settings in the warehouse to allow

different inventory methods

SAP AG 1999

(C) SAP AG

TAMM20

17-2

Inventory Methods

Inventory Methods
Annual inventory Continuous inventory Cycle counting Inventory Based on First Placement Zero Stock Check Inventory sampling procedure

SAP AG 1999

The description of the inventory methods refer only to the technical prerequisites that are necessary to set up and carry out the different inventory methods. These notes can be used to supplement and check the company-specific inventory requirements. The inventory method is assigned at the storage type level with the exception of cycle counting. All of the inventory methods are executed within the storage type. If cycle counting is the chosen inventory method, it can be run above the storage type level, provided all storage types involved have cycle count assigned as the inventory method.

(C) SAP AG

TAMM20

17-3

Inventory Process
Inventory Inventory planning planning Create Create system system inventory inventory record record Activate Activate system system inventory inventoryrecord record Print Print out out inventory inventory list list Count , weigh, Count, weigh, measure measure, , estimate estim ate measure, estimate
123

Storage Storage bins bins blocked blocked

Take Take physical ph ysical inventory inventory count count Start Start differences differences // control control list list Clear Clear differences differences in in the the Warehouse Warehouse Managem Management ent Managementsystem system Clear Clear differences differences in in the the Inventory Inventory Management Management system system
SAP AG 1999

Storage Storage bins bins unblocked unblocked

The process for taking inventory is the same, whether you are doing annual or continuous inventory. When you take annual inventory, the entire storage type is blocked for movement and all bins are counted. With continuous inventory and cycle counting, only the affected bins are blocked for movement. When you select continuous inventory, you are counting the bin and you must count all quants within that bin. When you select cycle count, you are counting the material, wherever that material is within the storage type(s) selected. In the case of mixed storage, all quants within the bin must be counted. When you clear differences in WM, any discrepant amount is written to the interim storage type for differences and the bins are unblocked. You then clear differences in IM to adjust the inventory balance and create the accounting document. Warehouse inventory data is year-dependent and must be reset at the beginning of a new inventory period. The program RLREOLPQ is provided for this purpose.

(C) SAP AG

TAMM20

17-4

Cycle Counting

Goal:

Count Material Material Based on Cycle Cycle Count Indicator

Continue normal WM inventory process:

Print Print

A Items 12 12 times / year B Items 6 times times / year year C Items 1 time time / year year

Count

Record results results Assign CC Indicator: RMCBIN00

Recount Recount

Clear differences differences

SAP AG 1999

Cycle counting in the Warehouse Management system makes it possible for you to separate materials into classes (such as A, B, C) and take inventory for each class separately several times throughout the year. You define the count frequency by class. It is possible to cycle count within a storage type or count across storage types as long as all storage types are set with cycle counting as the inventory method. In the Inventory Management IMG under Physical Inventory, you define the cycle counting indicators and the number of times per year that inventory counts are to be taken for each class. Then you enter the cycle count indicator (A, B, C) into the Storage View of the material master record for each material that will be counted using the cycle counting task. This can be set manually or by using the report RMCBIN00.

(C) SAP AG

TAMM20

17-5

Cycle Counting Time Interval

Starting the selection report for a time interval

February
Mat. 4711

March
Mat. 4711

April
Mat. 4711

May
Mat. 4711

10 - 24 March
Mat. 4712 Mat. 4712

Mat. 4713

Selection displays: displays : displays:

123

Stor.Bin Stor.Bin - 07-03 01 01-07-03 0101 - 07 07-04 01-07-04 01 - 06 -09 01-06-09

Mat Mat 4711 4711 4713

Comments Comm ents to to be be counted to to be be counted overdue overdue (was (was not counted in February) February ) February)

Material Material Material

4711 4711 12 times // year 4712 4712 6 6 times // year year 4713 1 4713 1 time // year year

SAP AG 1999

The system searches for all materials in the storage type(s) that are marked for cycle counting within a given date interval and creates a list of storage bins for which inventory is to be taken.

(C) SAP AG

TAMM20

17-6

Zero Stock Check

Create transfer order Print TO Note: Check bin Physical stock removal Confirm TO Verify zero stock check

Bin empty?

Bin occupied Enter counted qty Zero stock check m essage returned Correct qty in source bin (diff. calculated automatically) Post difference in Inventory Management
SAP AG 1999

Bin empty Zero stock check confirmed

The zero stock check is activated by the system if during transfer order creation it is determined that the source bin will become empty by the stock removal. The transfer order for stock removal is printed with a notice that zero stock check is active for a specific bin. The zero stock check must be verified when the transfer order is confirmed. If the warehouse worker determines that the storage bin is not empty, the actual quantity remaining is entered at confirmation of the transfer order. The system carries out the correction of stock using the interim storage type for differences. The difference must be cleared from WM and recorded in IM. If a bin is empty although there should be stock you can request the zero stock check manually.

(C) SAP AG

TAMM20

17-7

Zero Stock Check as Inventory

Confirm TO Zero stock check confirmed or requested manually

Bin occupied Enter counted quantity

Bin empty em pty Zero stock check returned confirmed

Correct qty in source bin (diff. calculated automatically)

Inventory data Bin Quant

Inventory data Bin

SAP AG 1999

The zero stock check can also be defined as an inventory method for the storage type. In this case, an inventory record is made each time a zero stock check is carried out, not only in the case of a difference. When the transfer order is confirmed, the system updates the physical inventory data for the bin. Zero stock check is not applicable for all storage types (ie mixed storage).

(C) SAP AG

TAMM20

17-8

Inventory Based on First Stock Placement

Create TO

Inventory already taken at destination bin? no

123

Print TO with inventory data Storage bin Inventory data Book quantity = Counted quantity Confirm TO

1 2 3
Difference in interim storage area Clear differences in Inventory Managem ent

SAP AG 1999

Inventory based on stock placement: the system sets the inventory indicator for the storage bin the first time goods are placed in the storage bin for that fiscal year. The indicator is set when the transfer order is confirmed. Transfer orders provide proof of movement following the inventory. Because all movements to this bin must be individually identifiable throughout the fiscal year, you need to archive the transfer orders when you reorganize the data base. With this method, bins that are not occupied during the fiscal year are not counted; therefore, you should also set the annual inventory method for this storage type so that you can conduct an annual inventory for these storage bins.

(C) SAP AG

TAMM20

17-9

Inventory Sampling Procedure

Random selection Stock mgmt unit to be counted Strata .. ... Complete-count area

Physical inventory documents

Inventory
1000 2317 L-Bin A L-Bin B

Updating

Actual value of selected stock management units Estim ation

Extrapolation

Estim ated actual value of all stock units

Comparison

Book value of all stock units

SAP AG 1999

The inventory can be carried out with periodic sampling (at a given date) or continuous (over an extended period of time). A stock management unit is the Storage Type. You must assign stock levels by assigning which stock management units are to be included in the sampling. The Stock Population is divided in a complete count area and a sampling area, which is divided into several classes. (This is done automatically.) After the stratification, the Random Selection is generated (the system determines the stock management units to be counted for each stratum). The inventory documents are created. These documents are required for all stock management units drawn during random selection and for all that were allocated to the complete-count areas. You then count, weight, and measure your stocks. Carry out the update: During this process, the system reads the count results and reads any changed book inventory balances and book values. Extrapolation: The system estimates the physical inventory value on the basis of the latest counting results. The inventory is successful if the total physical inventory value deviates from the book inventory value by no more than 2% (in the standard system).

(C) SAP AG

TAMM20

17-10

Physical Inventory: Summary

You are now able to:

z Execute the basic physical inventory process in

the warehouse
z Customize settings in the warehouse to allow

different inventory methods

SAP AG 1999

(C) SAP AG

TAMM20

17-11

Summary (2)

For an annual inventory, the entire storage type is blocked for stock movements and all storage bins are counted.

With continuous inventory, inventory is taken on a selected number of storage bins in a storage type. Inventory can occur at any time during the fiscal year. With zero stock check, storage bins are checked each time they become empty during a stock removal.

SAP AG 1999

(C) SAP AG

TAMM20

17-12

Summary (3)

Cycle Counting gives you the ability to separate materials into classes (A, B, C, D) and take inventory for each class separately several times throughout the year.

Warehouse inventory data is year-dependent and must be reset at the beginning of a new inventory period. The program RLREOLPQ is provided for this purpose.

SAP AG 1999

(C) SAP AG

TAMM20

17-13

Batch Management
z Batch Handling in the Logistics Process z Batch Handling in Warehouse Management

SAP AG

(C) SAP AG

TAMM20

18-1

Objectives
At the completion of this unit, the participant will be able to: z Discuss how batches are represented and processed in the WM system
z Outline the integration of batch processing

in WM as a part of the logistics chain

SAP AG

(C) SAP AG

TAMM20

18-2

Batch Handling for Goods Receipts / Issues

IM System
Create batch Goods receipt Goods issue

PP System
Production order
Mat. X B 123 10 Mat. Y B 456 20

Transfer order
Material X B atch 123 F rom: 902 T o: 100

Material X Batch 123

SD System
Delivery
Mat. Batch Qty X 456 100

Evaluation
Mate rial X Batc h 123
SAP AG

WM System

Certain materials have to be permanently associated with the batch identification they received when first manufactured and inspected. Pharmaceutical products and some foodstuffs fall into this category. Specific batches can be requested in the IM system for goods issues that are then supplied by the WM system based on stock removal strategies. As a result of requests made in the PP and SD systems, the WM system finds and issues the batch that is to be picked based on the production order or delivery. (In the case illustrated above, the WM system looks for the batch number that was entered in these documents). For external or internal deliveries, a goods receipt posting for a customer order or a production order is carried out in the Inventory Management system. If a new batch is posted for a material that is managed in batches, the batch number is recorded in the system. At the same time, the system classifies the new batch. The batch number is noted in the quant that is updated by the goods receipt. Together with the material number, plant, stock category and special stock identifier, the batch number is included to make up the material identification and functions as a stock separation criterion in the WM system. The batch is taken into consideration in all processes in the WM system. Batches are also considered when goods are stored. All business processes and evaluations include batch data when it is relevant.

(C) SAP AG

TAMM20

18-3

Batch Determination in the Logistics Chain

Procurement Production Sales

WM System

WM System

Warehouse

Warehouse

Order

Process / production order

Custom er order / Delivery

Batch determination

Batch determination

SAP AG

If you want to specify a particular batch in the logistics process, you must first find the batch with the desired specifications. The batch determination function is a central building block in logistics and can be called, when needed, from various logistics modules. The batch determination process is used in the area of production to supply components in the warehouse that are needed to manufacture a finished product. For sales purposes batches must be retrieved that correspond to customers' requirements. It is possible to start the batch determination function when you process a customer order or a delivery. You can also use the batch determination function for goods movements, for example, for a usage posting to a cost center or for stock transfers. For the replenishment of certain stocks, it is also necessary to find batches in the Warehouse Management system. Also, while processing documents for production supply and picking for deliveries, you can specify batches when you create transfer orders.

(C) SAP AG

TAMM20

18-4

Batch Handling in the WM System

Transfer order

Material X Batch 123c

Characteristics
Batch status unrestricted Expiration date date 1 February

Search strategy Warehouse No. Movement type Characteristics

Batch status unrestricted Remaining time until 1 1 February

Warehouse

Warehouse

SAP AG

In the Warehouse Management system, the batch search function is used during stock transfers. In the standard function, batches are selected based on their status and shelf life expiration date for stock transfers. yFor example, replenishment for a material that is managed in batches should be posted to its fixed bin in the picking area. For the posting change, the system looks for the batches that have the status unrestricted. Others are selected because they have the shortest shelf life. These are sorted according to their shelf life expiration date.

When you create transfer orders for reference documents (delivery, production order), two different processes are possible: yBatches are specified in the delivery or production order. The Warehouse Management system searches then for stock with these batch numbers based on the stock removal strategies (for example, FIFO) defined in the system. yThe batches are not entered in the delivery or in the production order. The batches that are to be supplied are then selected by the Warehouse Management system and are updated in the corresponding delivery or production order.

(C) SAP AG

TAMM20

18-5

Summary
z The batch number is a criterion in the WM

system that assists in keeping stock separated. Materials (quants) in the WM system are handled separately based on their batch numbers.
z Specific batches can be requested in the IM,

PP and SD systems for retrieval from the WM system using the batch search process.

SAP AG

(C) SAP AG

TAMM20

18-6

Reporting and Analysis

z z

Warehouse Controlling Warehouse Activity Monitor

SAP AG

(C) SAP AG

TAMM20

19-1

Objectives
At the completion of this unit, the participant will be able to: z Explore the standard reporting capabilities within Warehouse Management.
z Demonstrate the features in the warehouse

that allow you to plan, monitor and report on warehouse activities.

SAP AG

(C) SAP AG

TAMM20

19-2

Warehouse Controlling
Standard analyses
Material Material flow flow Stock placements placements

Stock Stock removals

Q to Available

Quantity flow flow

Movement Movement types

SAP AG

The Warehouse Management system is integrated with the SAP Logistics Information System (LIS) to support the analysis of the physical flow of quantities in the warehouse. The evaluations for Warehouse Controlling are integrated with the Inventory Controlling menu as standard analyses. The data on which all five standard analyses for Warehouse Controlling are based form data that are updated to the information structures S090 and S091. The following five standard analyses for Warehouse Management exist in Inventory Controlling: - Stock placement/removal - Quantity flow - Material placement/removal - Material flow - Movement types

(C) SAP AG

TAMM20

19-3

Warehouse Activity Monitor

Goods Receipts
0 15 0 13

Production

Storage-Area

Deliveries

SAP AG

Goal: To recognize error situations and processes quickly, and to provide support in analyzing and removing the errors.

(C) SAP AG

TAMM20

19-4

Warehouse Activity Monitor (2)

z z z z z z z

Transfer Orders Transfer Requirements Negative Stock Situations Deliveries Posting Change Notices Interim Storage Stocks without Movement Critical Stocks for Production Supply

SAP AG

Transfer Orders: Unconfirmed Transfer Orders that exist for a longer period than defined in customizing. Transfer Requirements: Unprocessed transfer requirements that exist for a longer than critical time period defined in customizing. Time can be measured from creation or planned time. Posting Changes: Unprocessed Posting Change Notices that exist for a longer period than defined in customizing. Open Deliveries: Unprocessed delivery notes with WM relevant items where there is less time available for processing than the critical time period defined in customizing. Stock Situations: Negative stocks that exist for a longer period than defined in customizing are included in the Negative Stocks. Stocks that are in an interim area and not moved within a specified time period will be included in the Interim Storage Stocks without Movement. Critical Stocks for Production Supply: Shows where you have inconsistencies between the reservation amount and the Transfer Requirement.

(C) SAP AG

TAMM20

19-5

Warehouse Activity Monitor (3)

Open Transfer Requirements (RLLL02SE)

Unconfirmed Transfer Orders (RLLL01SE)

Open Posting Change Notices (RLLL03SE)

Critical Deliveries (RLLL04SE) Interim Storage Stock ( RLLL06SE)

SAP AG

Critical Stocks for Production Supply (RLLL07SE)

R

Reports can be run in the background, or can be run directly from the Warehouse Monitor item. You can schedule the background jobs to run as often as you need them to run. If you run the reports too frequently, you may experience a longer response time.

(C) SAP AG

TAMM20

19-6

Summary
z

Warehouse Management is integrated with the Logistics Information System to support the analysis of the physical flow of materials in the warehouse. The Warehouse Activity Monitor will allow users to define, monitor and react to critical processes within the warehouse.

SAP AG

(C) SAP AG

TAMM20

19-7

Customizing: Basic Data

z z z z

Warehouse Definition Storage Type Definition Generating Storage Bins Automatically Cross-line Stock Placement / Removal

SAP AG

(C) SAP AG

TAMM20

20-1

Objectives
At the completion of this unit, the participant will be able to: z Evaluate the customizing choices which are made at the warehouse level.
z Evaluate which customizing choices are

available at the storage type level.

z Create storage type and storage

section data within the warehouse.

z Demonstrate how to create

storage bins automatically using a template.

z Discuss cross-line stock
R

placement / removal.
SAP AG

(C) SAP AG

TAMM20

20-2

Warehouse Level Data

Define Weights/ Units of Measure

Notifications & Messages

Define Blocking Logic

Assign Region Code

Allow Partial Picking

Assign Number Ranges

Control Data

Define Differences

SAP AG 1999

storage types: y Unit of Weight y Unit of Measure default data y Blocking Logic y Error Messaging / Notifications y Number Ranges y Define Doors y Handling of inventory differences y Interfaces: - Inventory Management - Shipping - Production - Quality Management

(C) SAP AG

TAMM20

20-3

Storage Type Level Data

Storage type Level

Activate Storage Unit Management

Placem ent Strategies

Assign Inventory Methods

Activate Hazardous Material Handling

Activate Full Removal

Removal Strategies

SAP AG 1999

The characteristics of a storage type are defined using various indicators: y control indicators for stock placement (examples: placement strategy, mandatory confirmation, mixed storage, addition to existing stock, capacity check, overdeliveries, hazardous material control). y control indicators for stock removal (examples: removal strategy, mandatory confirmation, complete stock removal, return storage, zero stock check, negative stock). y control indicator for inventory procedures

(C) SAP AG

TAMM20

20-4

Creating Storage Bins Automatically

Warehouse number 001 001 Storage type 001 Storage

Level 01 to 04

Row A01 to A02

Stack 10 to 40

A01-10-01 A01-10-02 A01-10-03 A01-10-04 A01-20-01 . . . A02-10-01 A02-10-02 A02-10-03 . . .

SAP AG 1999

To define a range of coordinates, you must define: y the location of the bins to be generated (warehouse number / storage type) y the current number of the coordinate range y the structure of the coordinates: - template (shows the format of the bin coordinate) - structure (shows how to increment) - initial value (first coordinate / start value) - final value (last coordinate / end value) - increment (amount to be increased for each of the variable blocks) y characteristics/features of the storage bins y assignment to a storage section y storage bin type y max. weight

(C) SAP AG

TAMM20

20-5

Define Sort Sequence for Placement / Removal

Storage type 001

Top view

Storage bin

R R

S S 3 4

L L 1 2

Row

Sort Sequence Sort field

L L S S

R = Row (Aisle) S = Stack L = Level

without sort variable with sort variable

SAP AG 1999

With all of the stock placement / removal strategies, you can influence the search for a suitable storage bin with the aid of a sort variable. The sort variable helps the system to search for storage bins. The system sorts storage bins by the sort variable first. If the sort variable has not been maintained, the system sorts by the storage bin coordinate itself. You normally define the sort variable before you create the storage bins. Without the sort variable, the system fills the storage type row by row. For example, the system fills the first row completely first, then the second row, then the third. This can result in a one-sided load of the warehouse. With the sort variable, the system fills the storage bins on a stack by stack basis for each row. When the system selects bins for stock received in the warehouse, it fills the lowest level in each stack first, then the second level in each stack, then the third level, and so on.

(C) SAP AG

TAMM20

20-6

Summary
z

Default values and control indicators that apply to all storage types are defined at the warehouse level. You can define the storage type characteristics using control indicators for stock placement, stock removal and inventory. It is possible to create several storage bins at once as an automated process. You can influence storage bins selected for stock placement and removal by adding a sort variable for the storage bin structure.
R

SAP AG

(C) SAP AG

TAMM20

20-7

Integration with Inventory Management

Contents:
z Inventory Management Interface

SAP AG 1999

(C) SAP AG

TAMM20

21-1

Integration with Inventory Management: Objectives

At the conclusion of this topic, you will be able to: z Define how the WM Movement Type and thus, the interim storage type and bin are determined by a movement type in Inventory Management z Define the overall process of Goods Movements in the WM system

SAP AG 1999

(C) SAP AG

TAMM20

21-2

Inventory Management/WM Interface

Inventory Management

Stock in the storage location

Goods receipt document

GR posting in Inventory Management Managem ent Quant GR area Transfer requirem ent Interim storage Warehouse Management Inside the warehouse Quant in the warehouse Transfer order

Stock placement in Warehouse Managem ent

SAP AG 1999

In addition to quantity and cost updates in the Inventory Management system, a GR posting results in the following activities in the Warehouse Management system: A quant is automatically created in the interim storage area for goods receipt, that is, the stock quantity in Warehouse Management is the same as the quantity in Inventory Management (parallel inventory management)). A transfer requirement can be created automatically. This is used as an information help for stock placement later on. These automatic postings take place as a result of the Customizing settings.

(C) SAP AG

TAMM20

21-3

Interim Storage Area Search

Movement type

Inventory Management

Reference movement type

Movement type

Warehouse Management

Storage type search

SAP AG 1999

The movement type that is used for a material movement in the Inventory Management system, together with other indicators, is linked to a reference movement type for the Warehouse Management system. With the reference movement type and other indicators, the system determines the following information: y movement type for Warehouse Management y stock category of the quant to be generated y indicator for generating transfer requirements From the WM movement type then, the following information is determined: y interim storage type and interim storage bin y control indicator for processing, confirming and printing transfer orders y special movement indicator for storage type search

(C) SAP AG

TAMM20

21-4

Interim Storage: Dynamic Coordinates

GR for purchase order No. 4500000369

Interim storage area

Goods receipt area Dynamic storage bin: No. 4500000369

Inside the warehouse

High rack storage
R

SAP AG

In the case of goods receipts that have a reference to a purchase order, you want to be able to identify the quants in the GR area according to the purchase order number. The quants are managed in the GR area (interim storage type) in a bin whose coordinate is the same as the purchase order number. This storage bin is created dynamically during the GR posting. Example storage bin: 4500000369.

(C) SAP AG

TAMM20

21-5

Interim Storage: Predefined Storage Bins

Goods receipt without reference

Interim storage area

GR area Bin: GR area

Inside the warehouse

High rack storage
R

SAP AG

If the quant is posted from Inventory Management without reference to a Purchase Order, the quant can be directed to a predefined bin. A predefined bin is defined in the WM movement type table and generated only once in the WM system with transaction LX20 (Create Bins for InterimStorage Types). Example storage bin: GR area.

(C) SAP AG

TAMM20

21-6

Interim Storage: Fixed Bins

Goods receipt for delivery

Interim storage type = Fixed bin storage type

Fixed bin storage

Fixed bin for material

SAP AG

In the case of a fixed bin, the system will look to the material master to find the storage bin defined for that material. If the fixed bin storage type is the same as the interim storage type, there is no transfer order required for the movement; however, you must ensure that a fixed bin is assigned to each material master at the storage type level. In this case, there are no WM-specific checks. In the case of picking from a fixed bin where the storage type is the interim storage type, the quant is removed from a fixed bin when the GI posting takes place.

(C) SAP AG

TAMM20

21-7

Special Movement Indicator

Goods receipt posting

Special movem ent indicator

Interim storage area

Fixed bin storage

Fixed bin storage: FIX- Mat

Inside the warehouse

High rack storage

SAP AG 1999

Using the special movement indicator, you can ensure that the GR posting creates a quant in a storage type in which a fixed bin is defined for each material. The quant is placed directly into this storage bin and no transfer requirement is created. The interim storage bin is the final storage bin for the quant. The special movement indicator is set either on the warehouse management view of the material master record or can be set at the time of the Inventory Management movement. This indicator is used to determine the warehouse management movement type, and thus the interim storage type for the creation of the quant. Using this indicator, different WM movement types can be assigned to one IM movement type.

(C) SAP AG

TAMM20

21-8

Automatic Creation of Transfer Orders IM

IM Document Inventory Management

WM
Transfer requirement

asynchronous Error
Transfer order

Mail

Warehouse Management
SAP AG 1999

It is possible to set up your system so that transfer orders are created automatically when you post material documents in the Inventory Management system. When the system is configured for this process, you create material documents in the normal manner in the IM system and the Warehouse Management system subsequently creates the corresponding transfer requirements and posting change notices. The definition of the WM movement type determines whether the system will automatically create transfer orders from the transfer requirements and posting change notices initiated in the IM system. This process takes place in the background. If there are errors, the system can send an express mail message to a specified user. The user can then process the error from within the message. When you post a material document in the IM system, and movement types both with and without automatic transfer order creation exist in that document, the system goes directly to the screen to create a transfer order for a material document.

(C) SAP AG

TAMM20

21-9

Integration with IM: Unit Summary

You are now able to: z Define how the WM Movement Type and thus, the interim storage type and bin are determined by a movement type in Inventory Management z Define the overall process of Goods Movements in the WM system

SAP AG 1999

(C) SAP AG

TAMM20

21-10

Summary (2)
z

Options for creating Transfer Orders are based on settings in the WM movement type and interface tables for IM and WM. The system can be configured to send a mail message if the TO creation fails.

SAP AG

(C) SAP AG

TAMM20

21-11

Customizing: Storage Bin Search

z Stock Placement Strategies z Stock Removal Strategies

SAP AG

(C) SAP AG

TAMM20

22-1

Objectives
At the completion of this unit, the participant will be able to: z Define how the system uses placement and removal strategies to optimize the flow of goods within the warehouse.
z Define how source and destination storage

bins are assigned during Transfer Order creation.

z Demonstrate how to create storage

type and storage section search sequences.

z Define how to customize the

system to make storage unit type checks.

SAP AG

(C) SAP AG

TAMM20

22-2

Transfer Order Storage Type Search - Placement

Movem ent Type / Movement Transfer requirement type Stor. type 902 Stor. sect. Source bin 001 GR area

( -) Source item

(+) Dest . item

St. type 001

Stor. sect. Dest. bin 002 05-06-01

(3)
Stock placement strategy

(2)
Storage section search

(1)
Storage type search

SAP AG 1999

With goods receipts, the source bin (interim storage bin) is assigned when the IM movement is posted and the transfer requirement is created (see "Interim Storage Type Search"). This data comes from the Movement Type. When you create a transfer order using the transfer requirement, the destination bin in the warehouse is assigned. The destination storage bin can be: y entered manually by the user y assigned directly by the system. In the creation of the Transfer Order, the system will first determine the storage type for placement using the placement indicator on the material master and the storage type search table. From the storage type, the system will determine whether or not storage sections are being used. If so, the storage section will be determined using the section indicator on the material master and the storage section search table. Finally, using the stock placement strategy for the storage type, the system will determine the bin for placement.

(C) SAP AG

TAMM20

22-3

Transfer Order Storage Type Search - Removal

Storage type search

(1) (2)
( -) Source item Stor. type 001 Stor. sect. 002 Stock removal strategy Source bin 05-06-01

(+)

Dest. Dest . item

Stor. type 9XX

Stor. sect. 001

Dest. bin GI area Transfer requirement / Movem ent TYpe

(+) Return item

Stor. type 001

Stor. sect. 002

Return bin 05-06-01 Stock return control + Stock placement strateg y

SAP AG 1999

With stock removals, the system assigns the destination bin (interim storage bin for goods issues) when the movement is posted in the IM system and the transfer requirement is created (see "Interim Storage Type Search"). When you create the transfer order, the source bin is assigned. The source bin can be: y entered manually by the user y assigned by the system using the storage type search and removal strategy. The storage section is not considered for stock removals. If picking areas are being used, the picking area is considered. If a quantity remains after complete stock removal from the bin, the system also assigns a return storage bin.

(C) SAP AG

TAMM20

22-4

Storage Type Search Control

Goods Receipt area

High rack storage

X Material

Fixed Bin Picking Area

Y Material

Stor. type ind.

003

FIX-Y Material Y Storage type indicator 003

SAP AG 1999

In the material master record it is possible to define a storage type indicator for stock placements. In the storage type search table you can define a default vector of 30 storage types. Access Optimization: When storage type indicators are used and several materials with different stock categories (such as special stock) exist, the number of entries in the storage type search table can become very large. To decrease the number of these entries, you can define an access strategy for the storage type search table using the access strategy table.

(C) SAP AG

TAMM20

22-5

Storage Section Search Control

Goods Receipt area Section 001 Section 002

X Material

S
Y Material

n d. ct . i e s tor.

L LL

Fast-moving items

Slow-moving items

Mat. Y Stor. sect. ind. LLL

SAP AG 1999

(LLL = Storage section indicator for slow-moving items)

In the material master record you can define a storage section indicator. In the storage section search table you can define a default/check vector of 30 storage sections. The storage section is checked only if the storage section check in the storage type is active. If the storage section check is activated, the system will search for a storage bin defined in the storage section search table. If the check is set to X, the system will also check whether a stock placement is allowed for this table. If the check is set to Y, the system will allow a manual override at the time of TO creation, even if the section is not defined in this table.

(C) SAP AG

TAMM20

22-6

Variable Control by Storage Unit Type

Goods Receipt area

S UT S

Small bins

Std. pallet
SU T IP

Industrial pallet Mat. X 100 pcs IP 50 pcs S1

SAP AG 1999

Large bins

In the material master record you can define up to three different palletization instructions for the material. If the SUT (storage unit type) check in the storage type is active, the system will first check if the SUT is allowed in the storage type. The system will then check whether the SUT is allowed for that storage bin type. You can define up to 30 SUTs in a storage type and up to 30 storage bin types for a storage unit type. As an option, you can enter *** as an allowed SUT in the customizing table. This entry means that all the SUTs are allowed in this storage type. The system then searches for a suitable storage bin for the SUT based on the allowed bin types per SUT.

(C) SAP AG

TAMM20

22-7

TO Processing Overview

IM WM

Goods movement

MM - Mov.Type

Ref. Mov. Type

WM - Mov.Type Interim storage type search Transfer requirement

TO processing
Storage type search Storage section search Storage bin type search

Storage bin search

SAP AG 1999

During a goods movement, the reference movement type is used as a key to convert the MM movement type into a Warehouse Management movement type. The WM movement type defines the interim storage type and interim storage bin. The subsequent creation of a transfer order is influenced by: y the movement type y material-specific factors: stock placement and removal indicators, storage class, water pollution class, stock category and special stock indicators y the put-away and picking strategies for each storage type As an option, you can specify a storage section control factor or a section search within a storage type with material-specific section indicators, storage class and water pollution class As an additional option, the system can check whether a particular storage unit type may be stored in a specific storage bin or storage bin type. Finally, using the strategy assigned for the storage type, the storage bin is determined and suggested.

(C) SAP AG

TAMM20

22-8

Fixed Bin (F)

AA
FIX-AA FIX-BB FIX-CC

FIX-DD

FIX-EE

Material AA Stor. type 005 Fixed bin: Fix-AA

SAP AG 1999

With stock placement strategy F (fixed bin assignment), the system reads the fixed bin that is defined for the storage type in the material master record. If no fixed bin is defined, an error message appears. Characteristics combination: y addition to existing stock allowed y capacity check

(C) SAP AG

TAMM20

22-9

Near Fixed Bin (K)

AA

BB

AA
FIX-AA FIX-BB FIX-CC

FIX-DD

FIX-EE

Material AA Stor. type 005 Fixed bin: Fix-AA

SAP AG 1999

Strategy K refers to stock placement of a material into a storage bin NEAR the fixed bin of the material. So that if your fixed bin is full, the system would recommend a bin in close proximity to the fixed bin. Strategy K will assign a destination bin in a storage area that serves as a goods buffer area for fixed bin storage. Although the fixed bin storage and reserve storage are in the same physical unit, they are defined as different storage types. The same conditions must exist for both storage types. The coordinate structure for bins in both storage types must be the same with the same sequence. The bins located above one another in the fixed bin storage area and the reserve area must have the same coordinates in the shelf and aisle areas, but different level numbers. You can customize so that put away is attempted first in the fixed bin storage area, then in the reserve area. Strategy K only searches in the reserve area and does not check the fixed bin area. Search first occurs within the same stack, then right beside the same stack, then the aisle on the opposite side, then neighboring aisles.

(C) SAP AG

TAMM20

22-10

Next Empty Bin (L)

High rack storage (top view)

Stock placem ent sequence without sort field Stock placem ent with sort field
SAP AG 1999

With stock placement strategy L, the system assigns the first empty bin for stock placement (random storage). This strategy is especially suited for high rack storage and shelf storage. The sort sequence of the storage bins can be influenced by a sort field (for example, cross-line placement).

(C) SAP AG

TAMM20

22-11

Addition to Existing Stock (I)

AA

AA

SAP AG 1999

With stock placement strategy I, the system looks for a storage bin where the material already exists. If the system cannot find such a bin or if the capacity of the bin will be exceeded, it looks for the next empty bin. Characteristics combination: y capacity check y addition to existing stock allowed y no mixed storage

(C) SAP AG

TAMM20

22-12

Pallet Strategy (P)

Bin type PA

Standard pallet

Standard pallet 02-10-01

Standard pallet

SUT: P2

Bin type PA

Industrial pallet 02-09-01 Standard pallet 02-08-01

Industrial pallet

SUT: P1

Bin type PA

SUT: P2

industrial pallet

SAP AG 1999

With stock placement strategy P, the maximum number of quants is defined dependent on the bin type and storage unit type. The first stock placement determines how the storage bin will be divided as well as which and how many quants can be placed into the other sections of the shelf.

If you assign the same bin type and a different storage unit type to the same section key, is also possible for you to putaway more than one type of pallet into the same storage bin. Characteristics combination: y SUT check y mixed storage

(C) SAP AG

TAMM20

22-13

Storage Bin Section Definition

Storage bin P-001

1 A 2

B 3

1 1 A A

2 2 B B

3 3

SAP AG 1999

Rack storage is frequently designed so that a shelf section can accommodate different storage unit types (SUT). For example, a shelf section may accommodate a number. You define the maximum number of quants for each combination of storage bin type and SUT. The first time goods are transferred into the storage bin the system determines what type of bin sectioning is assigned to the shelf section. The system also determines which and how many SUTs can be transferred into the positions (compartments) of the shelf sections. The section indicates where exactly a quant is stored within the bin. You can recognize the section by the last positions following the \ in the bin coordinate. You can define up to 99 sections per bin.

(C) SAP AG

TAMM20

22-14

Open Storage (C)

Storage type 003

Y Material X B

Bin XXX

Bin YYY

Material F

SAP AG 1999

With stock placement strategy C, the first available storage bin in the storage section is always proposed, unless the bin is blocked. It is possible to enter another storage bin manually.

(C) SAP AG

TAMM20

22-15

Bulk Storage (B)

XX

Row 02

Bin: A05-01 Quant: XX SUT: IP

A05-02 XX S1

A05-03 ZZ S1

A05-04

SAP AG 1999

General characteristics of stock placement strategy B: y customer-individual definition of storage bins (for example, row / row block) y definition of the capacity (stack height) based on the storage unit type and special material characteristics y one SUT per line y compressed stock placement possible y blocking for further stock placements upon first stock removal, with automatic unblocking upon final removal y partial quantities and mixed storage possible y time limit for FIFO (set placement block based on time limit) y variable control possible via the block storage indicator in the material master record Characteristics combination: y addition to existing stock allowed y SUT check

(C) SAP AG

TAMM20

22-16

Partial Quantities First (A)

100 pcs

100 pcs

80 pcs

Order amount

100 pcs

30 pcs

SAP AG 1999

With stock removal strategy A, the system compares the requirement quantity with the largest bin quantity in the storage type. If the requirement quantity is the same or larger (for example, because an entire pallet is required), stock is removed from this bin. If the requirement quantity is smaller, it is removed from a pallet with a partial quantity. When the system searches for a quant, it follows these steps: y If the required quantity in the transfer order is the same or greater than the quantity of a standard storage unit, the system attempts to remove a standard storage unit from stock. y If no standard storage units are available, partial storage unit quantities are used. y If the required quantity in the transfer order is less than the quantity of the standard storage unit, the system first tries to remove partial storage unit quantities from the stock. y If no partial storage unit quantities are available, full storage units are broken.

(C) SAP AG

TAMM20

22-17

Large/Small Quantities (M)

Quantity to be rem oved smaller / larger than control quantity

?
Fixed bin storage High rack storage

Small quantity Stock removal strategy: M

SAP AG 1999

Large quantity

With stock removal strategy M, only an amount smaller than or equal to the control quantity defined in the material master record can be removed from the storage type. If the requirement quantity is larger than the control quantity, the system searches for a quantity in the next storage type (default vector in the storage type search table).

(C) SAP AG

TAMM20

22-18

Cascadable through Quantity Rounding - M

1 - 19 = Piece Storage Type=005 Control Qty = 19

Material Master: Palletization Qty = 100

20-100 = Box Storage Type = 001 Control Qty = 99 Rounding Qty = 20

Multiples of 100 = Pallet Storage Type = 007 Rounding Qty = 100

SAP AG 1999

Quantity rounding is meaningful in combination with picking strategy M. If pallet quantites, carton quantities or individual quantities are to be picked from a chain of storage types, this can be done by defining the rounding quantity and control quantity in the material master record. First, in customizing, switch on the round off quantity field at the storage type level. For the first storage type of the search sequence, (pieces) enter the number of pieces in a carton minus 1 as the control quantity. For requirement quantities greater than or equal to a carton, the system will skip over this storage type. For the second storage type of the search sequence, (cartons) enter the pallet quantity minus 1 as the control quantity and the rounding quantity equal to the carton quantity. For requirement quantities greater than or equal to one pallet, the system skips this storage type and generates transfer order items for complete carton quantities only. In the third storage type, you do not enter a control quantity, but the rounding quantity is equal to the pallet quantity. The system then generates transfer order items for full pallets only. For remaining quantities, the system returns to the storage type sequence and picks from the first or second storage types. Note: the system does not round to zero so if there are not enough individual pieces in the first storage type, a carton will be broken. Also, if the requested quantity is larger than the available quantity in a bin, it is not rounded. If a carton plus a few individual pieces are located in a bin in the second storage type, and the requirement quantity is greater, the bin will be emptied.

(C) SAP AG

TAMM20

22-19

Picking Strategy for Fixed Bins (P)

Stock Removal Strategy

AA BB
FIX-AA FIX-BB FIX-CC

FIX-DD

FIX-EE

Material AA Stor. type 005 Fixed bin: Fix Fix- AA

SAP AG

Picking Strategy P allows the bin from the material master to be posted, even if the bin has no stock quantities, thus driving the on hand balance of the fixed bin to a negative quantity. Characteristics combination: - Stock Placement Strategy F' - Negative Stocks are allowed

(C) SAP AG

TAMM20

22-20

Shelf Life Expiration Date (H)

IM
Goods receipt area
471 1 6/1 0 471 1 4/3

Goods receipt 20 Feb Material 4711 Expiration date 21 March

OK Goods receipt Material 4711 Expiration date 13 July

Goods issue on 22 February Material 4711

OK

4711 7/13 7/13

Stock rem oval strategy H

Goods issue area

4711 3/21 3/21

Material 4711 Minimum remaining time tim e 150 days

SAP AG 1999

SLED Control List Type Bin Mat. Rem.Time 001 A 4711 - 12 days 001 B 4711 - 9 days ..... ... ....... - 6 days

For materials managed with shelf life expiration date (SLED), the expiration date is noted in the quant data when the goods are received. At that time the system checks whether the SLED entered is allowed or not. By using stock removal strategy H, you ensure that materials with the fewest days remaining before the expiration date are removed from storage first. A report is also available to select and list materials in the warehouse that respond to a user-defined remaining time before a given expiration date. This is known as the shelf life expiration date (SLED) control list. For materials that are managed in batches, the processing of materials that are to be removed from stock can be handled using the general batch search task.

(C) SAP AG

TAMM20

22-21

Summary
z

Using customizing, you define placement and removal strategies that are used to search for storage bins. With these strategies, you can manage the available warehouse capacity and find required goods quickly. The process of finding an appropriate storage bin can be automated. You can use fields on the material master to influence search procedures for stock placement and stock removal.
R

SAP AG

(C) SAP AG

TAMM20

22-22

Tools
z z z

Printing Scenarios for initial data load Copying a Warehouse

SAP AG

(C) SAP AG

TAMM20

23-1

Objectives
At the completion of this unit, the participant will be able to: z Define steps required to customize printing in your warehouse.
z Discuss scenarios for the initial data load z Discuss procedure for copying

configuration from one warehouse to another.

SAP AG

(C) SAP AG

TAMM20

23-2

Transfer Order and Multiple Printing

Print Report: Multiple Processing and Two- step picking: RLVSDR40 RLKOMM40

SAPSCRIPT form Header

Transfer order Main section

Footer
SAP AG

Transfer Orders are printed using Print Report RLVSDR40. You can sort and print transfer order items from several transfer orders using report RMKOMM40 with the multiple processing task. In the standard system, various forms are available for printing individual transfer orders, combined picking lists and transfer orders from posting change notices. All transfer order printing is available for barcode scanning.

(C) SAP AG

TAMM20

23-3

Setting Up Printing
Create the spool indicators for each warehouse number Create the print indicators for each warehouse number Assign the printer to the movements

Assign the printer to the storage type / picking area Assign the print codes to the movement types Assign the print reports to the warehouse numbers Define the print control for multiple processing
SAP AG
R

The spool code defines data to be passed on to the spool file. This data includes number of copies to be printed, dataset name of the printout in the spool system, whether to print immediately and whether to delete after print. The print code defines such things as the SAPscript form that is to be used for printing and the spool indicator. A Transfer Order always contains a movement type. Depending on the movement, you can assign different printers and spool codes. You can also suppress printing of the Transfer Order if required. You assign a print code to a movement type. You can designate a specific printer for each storage type or picking area. Each warehouse number must also have a print report. SAP recommends that you use a separate print report because in most cases, modifications are required in the delivered print report. The procedure for this is contained in the program documentation for RLVSDR40. Before you begin the table maintenance, you should look at each table individually and see which ones are required. Then, maintain the tables in the sequence given. Printing user exits MWMD0001 + MWMD0002

(C) SAP AG

TAMM20

23-4

Scenarios for Initial Data Load

Case 1: New Implementation of WM and IM Case 2: Add WM to Existing IM, manual bins Case 3: Add WM to Existing IM, external bin management Case 4: Replacing External IM and WM
A B C D

Case 5: Replacing R/2 with R/3

R

Warehouse Management Management

SAP AG

Case 1: A completely new warehouse is to be set up. The Inventory Management system (IM) and the Warehouse Management system (WM) are to be implemented in your warehouse. IM is already being implemented for other storage locations. Case 2: The Warehouse Management system is to be implemented to manage an existing warehouse that is already managed in IM and has manual storage bin management (card file). Case 3: The Warehouse Management system is to be implemented to manage an existing warehouse with summarized totals in IM and storage bin management in an external system. Case 4: An external inventory management and warehouse management system is to be replaced by the components IM and WM. Case 5: Replacement of an R/2 Warehouse Management system by R/3 WM.

(C) SAP AG

TAMM20

23-5

Copying a Warehouse

001

002

SAP AG

In WM, a default warehouse number is delivered with the standard system. The entries for this organizational unit are usually used as the basis for prototyping. If you require several warehouses for testing purposes or to define your company structure, it is often useful to copy an existing organizational unit. Copy the respective warehouse numbers using the organizational unit copier (transaction /nEC09). You will need to then maintain number range data for the new warehouse numbers and activate the respective plants / storage locations in which you want to use the new warehouse number.

(C) SAP AG

TAMM20

23-6

Summary
z

You can define printer search controls in customizing to select printers for selected transactions in Warehouse Management. To simplify customizing, you can copy the configuration for an entire warehouse number.

SAP AG

(C) SAP AG

TAMM20

23-7

Warehouse Management: A Case Study

z R/3 Warehouse Management System Implementation

SAP AG

(C) SAP AG

TAMM20

24-1

Objectives
z Upon completion of this unit, the participant will be able to : z Analyze the warehouse requirements z Configure the warehouse, using the R/3 Implementation Guide

SAP AG

(C) SAP AG

TAMM20

24-2

Analyze Warehouse Requirements

z Master Data Warehouse Structure Material z Goods Movement Inbound Outbound z Strategies Placement Removal
R

SAP AG

Request or draw a floor layout of the warehouse consisting of all storage types and descriptions Visit the warehouse and interview the apprpriate personnel

(C) SAP AG

TAMM20

24-3

Configure the Warehouse

z R/3 Implementation Guide

SAP AG

Follow the steps in the IMG to configure the warehouse in the R/3

(C) SAP AG

TAMM20

24-4

Summary
z The warehouse requirements need to be collected and analyzed z The R/3 Implementation Guide is the tool used to configure the R/3 warehouse system to function according to specifications

SAP AG

(C) SAP AG

TAMM20

24-5