1105 Implementing Extended Warehouse Management in a Production Environment

Implementing Extended Warehouse

Management in a Production Environment

Kyle Sorensen

LogiStar Solutions, LLC

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Real Experience. Real Advantage.

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Learning Points

Understand the integration between EWM and PP-PI (Manufacturing/Production Module in ERP)

Understand the production staging options available in EWM

Understand the use of Control Cycles

See EWM and Production in action (Demo)


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EWM and Production Overview

Standard integration between EWM and Production Planning / Process Industry (PP-PI) module in ERP existed in EWM 5.1 and ECC 6.0 EHP3 for

Goods Receiving

The GAP was that integration for production staging (supplying materials to production) did not exist

This GAP was closed with EWM 7.0 and ECC 6.0 EHP4

Source: SAP, SAP Extended Warehouse Management, Andres Botero 2011


[ EWM and Production Process Flow Example

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[ Production Staging Integration

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Production staging is executed via an object called a Production Supply Area (PSA)

The PSA tends to be a staging area where raw materials and WIP are brought before they are introduced into the manufacturing

process

One or more PSAs can be defined for your Production/Manufacturing Area

Multiple production organizational models exist on how the PSA can be setup and controlled between ERP and EWM

These models will be discussed in more detail next


[ Production Staging Integration (cont) Separate PSA sloc used in ERP/EWM (PSA visibility in ERP)

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Source: SAP, PP Integration Part I, Jan Kappallo, Pascale Van Laethem, Steffen Weissbach 2008

Production Supply using:

- Posting Change Delivery (F2 -> P2)

- Stock Transfer + WT (Crate Parts)

- Internal WT only (Crate Parts)

Consumption Posting (GI) using:

- Outbound Delivery

Step 1

Step 2


[ Production Staging Integration (cont) No separate PSA used in ERP/EWM

The PSA would fall under one of the existing storage locations

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Production Supply using:

- Posting Change Delivery (F2 -> F2)

- Stock Transfer + WT (Crate Parts)

- Internal WT only (Crate Parts)

Consumption Posting (GI) using:

- Outbound Delivery

Step 1

Step 2


[ Production Staging Integration (cont)

Non-EWM Managed PSA

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[ Production Staging Integration (cont)

Staging to a separate EWM Warehouse

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[ Production Supply Staging Strategies

EWM consists of the same production staging strategies as ERP WM

Release Order Parts Components that can be staged across multiple orders based on BOM

Pick Parts Components that are staged just for the single order based on BOM

Crate Parts Components that are needed in production but dont have to be on the BOM. Typically frequently used materials

such as water, nuts/bolts, corrugate, etc.

KANBAN A way of managing Crate Parts product based on visual queues

The production staging strategy is assigned to a control cycle (explained later)

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[ Production Supply Area Creation

PSAs can be replicated from ERP or created manually and then mapped to ERP in EWM

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[ Production Supply Area Bin A production storage bin(s) is then created in EWM

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And an assignment between the production bin and the product/warehouse and PSA is made


[ Control Cycle

An ERP master data element called a Control Cycle is created in order to specify what materials are staged to the various

PSAs with what staging strategy

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Now, when the production

or process order has

material staging performed in

ERP, the material knows what

staging strategy it needs to

perform


[ Demo A process order is created in ERP to create 24EA (1 CS) of

Finished Good BEV1002

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[ Demo

Here are what the components (BOM) look like

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Backflushing is

activated on these

components


[ Demo The Process Order is then released

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And then WM staging is executed


[ Demo

The WM staging automatically executed an Outbound Delivery to EWM (can be seen on VL06O)

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[ Demo Based on my Production Supply Area organizational model (No

separate PSA, all in the same EWM warehouse) a Posting

Change Request is created in EWM

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[ Demo The posting change request was automatically converted to a Posting

Change via a PPF action

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[ Demo The Posting Change can be located easily via the Warehouse

Management Monitor under the Documents folder (Posting

Change Items)

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[ Demo

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By clicking on the underlined Posting Change document, you can go directly to the document itself


[ Demo

Reference exists between my OBDN from ERP and the Posting Change

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[ Demo Now, Warehouse Tasks are created to pick the product (using

removal strategies) from the warehouse bins to the PSA.

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[ Demo

The tasks are confirmed and stock is updated

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[ Demo The Posting Change in EWM will now be automatically closed

and a 411 posting will trigger in ERP

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[ Demo The process order is now Confirmed

Various transactions exist to perform the confirmation in ERP. The end result is the same. My configuration is set to trigger a backflush of the components and

an automatic Goods Receipt

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[ Demo

Looking at the goods movements that the confirmation triggered:

Outbound Delivery to issue out the components

Inbound Delivery in order to receive the Finished Good

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[ Demo The stock has been automatically goods issued out of the PSA

bin (backflushed). Products GB100 and GBL110 are gone.

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[ Demo

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The OBDN has been automatically closed in EWM

And in ERP


[ Demo An ERP Inbound Delivery was automatically created

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And distributed to EWM


[ Demo

Now, a Warehouse Task(s) is created for the IBDN (finished good)

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[ Demo

And then confirmed

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[ Demo

This posts a Goods Receipt back to ERP

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[ Resources

SAP PowerPoint - SAP Extended Warehouse Management, Andres Botero, 2011

SAP PowerPoint - PP Integration Part I, Jan Kappallo, Pascale Van Laethem, Steffen Weissbach 2008

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Key Learnings

Understand the integration between EWM and PP-PI (Manufacturing/Production Module in ERP)

Understand the production staging options available in EWM

Understand the use of a Control Cycle

See how EWM and Production work together


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