SAP WMS Overview

Agenda
1. 2. 3. 4. 5. What is Warehouse Management System (WMS) Integration with other SAP modules Organization structure Material Master views TR/TO/TC/PCN

6.
7. 8. 9.

GR/Inbound Process
GI/Outbound Process Material Staging for production Stock Transfer & Replenishment

10. Put away and Picking techniques 11. Physical Inventory Process
- Sreedhar N V
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What is Warehouse Management System ( WMS )?

An application which provides flexible and automated support to all the warehousing processes and maintaining current stock inventories in warehousing complex.

WM supports warehousing processes by making it possible for you to

Define and manage complex warehousing structures Process goods receipts, goods issues and stock transfers quickly and easily Optimize material flow using advanced putaway and picking techniques

WM Integration

Organization Structure with WM

Same WH for 2 Different Plants

 Same WH for different storage locations

 Different Storage locations different WHs

Structure inside warehouse

Warehouse (complex) number

Storage type

Storage section/ Picking area

Storage bin

Quant
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Storage Type: A storage type is a storage area, facility or zone that can be defined for a warehouse number in WM This is a physical or logical subdivision of a warehouse complex that is defined on the basis of its spatial or organizational features Frequently used physical storage types in WM : Bulk storage Open storage

High rack storage

Picking area Shelf storage

Interim Storage Type

Interim Storage types

GR from PO --902 Warehouse 001 GR into QC --917 Transfer posting Area--922 SLOC to SLOC transfer 921

Shipping area 916

Goods issue 911

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Storage Section:
A storage section is a logical or physical subdivision of a storage type that groups together storage bins with similar features for the purpose of putting away stock. Heavy materials Fast moving items Slow moving items

Storage Bin: Each storage type and storage section consists of several storage spaces or slots. These are called storage bins in WM. The storage bin is the smallest addressable unit of space in a warehouse

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Structure inside warehouse

Warehouse / Storage Types / Storage Sections
Low Rack Storage Hazardous Material

Section 1 Bulk Storage High Rack Storage

Section 1

Section 2
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Bin Type:
You can divide your storage bins into groups (for example, large storage bins, small storage bins, and so on). A suitable storage bin is proposed by the system during stock placement in combination with the

storage unit type.

Storage Unit Type: Warehouse Management System uses Storage Unit Type (SUT) to transfer and store materials in the warehouse. E.g. Industrial Pallets Cage bin Crates European pallets

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Quant: This is the stock of any material with the same features in one storage bin

( Two Quants )

( Two Quants )

( One Quant )

( Two Quants )

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Material Master data for WM

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TR/TO/TC/PCN
Transfer Requirement (TR): -planning documents
-Document used to plan and initiate stock movements using the WM application

Transfer Order (TO): -Execution document

-Document used to execute stock movements using the WM application

Transfer Confirmation (TC)

-Confirmation of TO ensures the issue/receipt of material in the right bin

Posting Change Notice

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Goods Receipt Process

For Inbound Delivery Inbound Delivery with ref to PO

For PO, Order & Other Transactions

Goods Receipt Posting

Put away with Transfer Order

Transfer Requirement

Transfer Confirmation
Goods Receipt Posting

Put away with Transfer Order Transfer Confirmation

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A typical goods receipt process in Warehouse

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Goods Issue Process

For Outbound Delivery Outbound Delivery with ref to SO

For Other Transactions Goods Issue Posting

Picking with Transfer Order

Transfer Requirement

Transfer Confirmation
Goods Issue Posting

Picking with Transfer Order Transfer Confirmation

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Material Staging for Production

Without interface to PP: Process is similar to GI for other transactions With interface to PP:
Production worker requests the components-using special transactions or directly from production order which will trigger a TR Create TO for stagingTR Execute physical staging based on TO and place the material in production storage bin Confirm the TO Post the goods issue for the material consumption:
Backflushing with confirmation of Production Order or Manually in inventory management

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Stock Transfer and Replenishment

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Putaway and picking strategies

Types of stock placement strategies: Types of stock Removal strategies:

1. 2. 3. 4.

Manual as per user entry Next Empty Bin L Fixed storage bin F Open storage O

1. 2. 3. 4.

First in first out ( FIFO ) - F Last in First out ( LIFO ) - L Partial qty then std qty - A Shelf life expiration date - H

5.
6.

Addition to stock I
Near picking Bin K

5.
6.

Fixed bin - P
According to quantity - M

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Physical Inventory Process

Create Physical Inventory Document

Set blocking
Indicator Print Physical Inventory Doc. Physical Inventory count

Arrange recount

List Differences

Remove Blocking Indicator

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Post Differences to WM & IM

Change count