EWM Overview Traning_March2010.pdf

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    Pankaj Jain

    March 2010

    SAP EWM Overview

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    Objectives

    Understand the EWM Basics

    Landscape overview EWM Big picture

    Warehouse Structure

    Inbound Process

    Outbond Process

    New concepts

    Major Enhancements

    Other Notable changes

    Warehouse Documents

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    EWM Big picture Overview of EWM Functions

    Transfer Order

    creation

    Customer Returns

    Inventory Counting

    Scrap Management

    Slotting

    ASN Management

    Packing

    Inbound Processing Warehouse Internal Processing Outbound Processing

    Picking Locationdetermination

    BundlingQuality inspection

    Replenishment

    Shipping

    Transportation

    Unloading & GR

    Wave Management Yard Management

    Kitting

     Yard Management

    Putaway

    Deconsolidation

    Putaway loc. Det.RF Framework Picking

    Rearrangement

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    Warehouse Structure

    Warehouse number 

    Storage type

    Storage section

    Storage bin

    Quant

    Activity Area

    Transportation Unit

    Vehicle

    Staging area

    Door 

    Resource

    Work centre

    Packaging specification

    Warehouse Product

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    Warehouse Structure

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    Warehouse Structure

    Warehouse number 

    In EWM, you can manage an entire physical warehouse complex using a single

    warehouse number.

    Storage type

    You can define the individual warehouse facilities or warehouses that make up

    the warehouse complex, using their technical, spatial, and organizational

    characteristics as storage types.

    Storage section

    Each storage type is divided into storage sections. All storage bins with specific

    common attributes usually belong to one storage section, for example, storage

    bins for fast-moving items that are close to the goods issue zone.

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    Warehouse Structure

    Storage bin

    Each storage type and storage section consists of a selection of storagecompartments, that in EWM are called storage bins. The coordinates of the

    storage bin tell you the exact position in the warehouse, where goods can be

    stored.

    Quant

    The quant is used for inventory management of a material in a storage bin.

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    Warehouse Structure – Activity Area

    The activity area is a logical grouping of storage bins. It can refer to a storage bin, or

    can concatenate bins from several storage types.

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    SType ST02

    Warehouse Structure – Activity Area

    SType ST01

    AA2AA1

    AA3 (AA3 = AA1 + AA2)

    • Activity Areas (AA) are logical groups of bins that can be used in different

    activities like Picking, Put-away, Physical Inventory.

    • Activity Areas are used to determine how Warehouse Orders (WO) are created

    through Warehouse Order Creation Rules (WOCR).

    • Activity Areas enables sorting sequences for Bins.

    • Activity Area is an influencing parameter in determining queues

    S &

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    Warehouse Structure – Transport Unit & Vehicle

    Transportation Unit (TU)

    The smallest loadable unit of a vehicle that is used to transport goods. The

    transportation unit (TU) can be a fixed part of the vehicle.

    Vehicle:

     A specialization of a particular means of transport. A vehicle can comprise one or

    more transportation units

    The following shows different transportation units:

    · Vehicle 1: Semi trailer truck with one transportation unit

    · Vehicle 2: Truck with cargo area and trailer, in other words, two transportation units

    · Vehicle 3: Train with four wagons, in other words, four transportation units

    http://help.sap.com/saphelp_scm50/helpdata/en/97/d94541c47a6e24e10000000a155106/content.htmhttp://help.sap.com/saphelp_scm50/helpdata/en/97/d94541c47a6e24e10000000a155106/content.htm

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    Warehouse Structure – Staging Area

    Organizational unit that is assigned hierarchically to the warehouse number and

    that is used to organize the flow of goods in the warehouse.Staging areas are used for the interim storage of goods in the warehouse. They are

    located in close proximity to the doors assigned to them. You can define staging

    areas for different purposes and even simultaneously for multiple purposes:

    Goods receipt

    Interim storage of unloaded goods until they are put away

    Goods issueInterim storage of picked goods until they are loaded

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    Warehouse Structure - Door 

    Door is a location in the warehouse where the goods arrive at or leave the

    warehouse. The door is an organizational unit that you assign to the warehousenumber.

    Vehicles and their transportation units (TUs) drive up to the doors of a warehouse

    to load or unload goods there. The doors are in close proximity to the relevant

    staging areas.

    W h St t I b d/O tb d

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    Warehouse Structure – Inbound/Outbound

    Staging area/Door 

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    Warehouse Structure - Resource

    Resource:

    A resource is an entity representing a user or equipment, which can executework in the warehouse.

    A resource can logon to a radio frequency (RF) or non-RF environment.

    Once the resource is logged on to the system, it can receive work for

    execution, and can be tracked and displayed in the warehouse management

    monitor .

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    Warehouse Structure – Work Centre

    The work center is a physical unit in the warehouse, in which you can performwarehouse activities.

     You can use the work center in the following processes:

    · Packing

    · Deconsolidation

    · Counting

    · Quality Inspection

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    Warehouse Structure

    Packaging Specification:

    Packaging specifications are a master data that defines all the necessary packing levels

    for a product in order to put away the product or transport it. For a product, a packaging

    specification mainly describes in which quantities the product is packed into which

    packaging materials in which sequence.

    In printed form, a packaging specification is a set of instructions for the employee in the

    warehouse. More specifically, the work steps that you enter in a packaging specificationare intended as information for the employee. In this way you can, for example, give the

    employee exact instructions as to where to place the label on a box, or how a product

    should be stacked onto a pallet.

    The system can find packaging specifications during various processes. Processes that

    determine packaging specifications often use only parts or specific attributes from the

    packaging specification.

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    Inbound Process

    The inbound process comprises of:

    Creation of a Purchase Order, which is sent electronically to the specificvendor 

    Vendor sends shipping notification (ASN) prior to actual delivery

    Delivery document is created holding ASN data

    Physical delivery takes place:

     – Goods receipt – Putaway of goods

     – During each process step delivery document is updated with actual

    data

    Directly involved systems:

    ERP: creation of Purchase Order, creation of ASN, distribution of ASN toEWM

    ICH: vendor communication medium via portal

    EWM: creation of ASN, receive goods, execute putaway, communicate

    goods receipt to ERP

    Rough Communication Concept Inbound Processing

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    Rough Communication Concept – Inbound Processing

    R/3

    InboundDelivery

    Outbound Queue

    Messages in R/3

    Terminology

    WME

    New Delivery

    Message Container 

    Header structure

    Item table

         M    a    p    p

         i    n    g

    WME posts Goods Receipt

    Confirmation Message to R/3 Update of Inbound Delivery

    Inbound

    Queue qRFC

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    EWM - Inbound Delivery Processing

    Inbound delivery notification: Represents the inbound

    delivery / ASN from the ERP System. Serves as reference for

    quantities.

    Inbound delivery: a.k.a. Warehouse request. Serves as thereference for further processing in EWM.

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    Outbound Process

    The outbound process comprises of:

    Creation of a Sales Order (SO)

    Creation of outbound deliveries resulting from SO Physical delivery takes place:

     – Pick goods from warehouse

     – Goods issue

     – During each process step delivery document is updated with

    actual dataDirectly involved systems:

    CRM: customer communication medium, creation of SO

    ERP: creation of outbound deliveries and their distribution to EWM

    EWM: creation of outbound deliveries, picking execution,

    communicate goods issue to ERP

    Rough Communication Concept Outbound Processing

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    Rough Communication Concept – Outbound Processing

    R/3

    OutbondDelivery

    Inbound Queue

    Messages in R/3

    Terminology

    WME

    New Delivery

    Message Container 

    Header structure

    Item table

    M a  p  p

    i   n  g

    R/3 creates

    Outbond Delivery

    Replication to WME

    Creation of Outbond

    Processing Document

    Outbound

    Queue qRFC

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    EWM - Outbound Delivery Processing

    Outbound delivery: Represents the same data as ERP

    checked delivery. Serves as quantity reference for further

    processing in EWM

    Outbound Delivery Order: a.k.a.Warehouse Request. Is

    comparable with ERP Delivery. Alll further picking is based

    on ODO.

    Final Delivery: Represents the physical GI Quantities that

    are posted in EWM. In Export cases this might be createdbefore the GI posting in EWM. In other cases it will

    automatically be created with the GI Posting for the ODO in

    EWM.

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    New concepts and Major enhancement

     Apart from new functionalities, all existing WMfunctions like picking, packing, shipping, put-away,

    inventory, RF, Route determination, Transportationmanagement, cross docking etc., are enhancedand/or re-designed in EWM

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    New concepts and Major enhancements

     YARD MANAGEMENT

    VAS (VALUE ADDED SERVICES)

    ROUTE DETERMINATION

    WAVE MANAGEMENT

    WAREHOUSE ORDER

    INTERNAL ROUTING FOR INBOUND AND OUTBOUND PROCESS

    DE-CONSOLIDATION

    SLOTTING

    RE-ARRANGEMENT

    EXCEPTION HANDLING

    RE-USABLE LABEL ACROSS THE NETWORK

    WAREHOUSE MONITOR

    CONSOLIDATION GROUP

    ALERT MONITOR

    MESSAGE LOG

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    Yard Management

     Yard Management

    • Yard Location

    ManagementPhysical / Geographical

    Location

    • Yard Stock 

     Visibility 

    • Yard Movements Various movements

    Truck 

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    V S Value dded Services

     VAS – Value Added ServicesPacking, Kitting etc.

    Delivery XItem 10

    Pyramid 3 pc

    Packspec PS1Level 1 – Preservation

    Level 2–

    Unit Containment

     VAS Order VO1 Activity 1 – Workcen AP01 VAS item – Pyramid 3 pc

     VAS auxpro – Oil Activity 2 workcen AP02 VAS item – Pyramid 3 pc VAS auxprod – Box 3 pc

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    Route and Wave (outbound Process)

    WR line 10

    WR line 20Wave A

    Wave B

    Route A

    WR 100

    WR line 20

    WR line 10

    WR line 20

    WR 200

    WR line 30

    WR line 40

    Pick Area 1

    Pick Area 2

    Pick Area 2

    Pick Area 3

    Pick Area 4

    Route B

    Wave CWR line 10

    WR 300

    Pick Area 2

    Route C

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    Internal Routing

    Following are the possible steps in the outboundprocess

    PICK

    PACK

    STAGE

    LOAD

    Internal Routing (Outbound Process)

    WO 1

    WHR1

    WHR1

    WHR1

    WHR1

    TO

    WO 2

    WHR1

    WHR1

    WHR1

    WHR1

    TO

    WO n

    WHR1

    WHR1

    WHR1

    WHR1

    TO

    PICK

    STAGE

    LOAD

    PICK

    PACK

    STAGE

    LOAD

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    Internal Routing (Outbound Process)

    Activity Area = TD01

    Activity Area = 0020

    Pick-HU

    Pick-HU

    Packing Work center Ship Staging area

    Pack –HU’s

    Door 

    TU

    VehicleShip HU’s

    Pick Pack HU

    PICKING PACKING STAGING LOADING

    D lid ti (I b d)

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    Deconsolidation (Inbound)

    Deconsolidation HU

    Deconsolidation is

    necessary if an incomingHU contains materials that

    should be stored in

    different Activity Areas or

    Consolidation Groups or if

    the number of items in the

    incoming HU is bigger thana given threshold.

    The result of the

    Deconsolidation are put-

    away HUs that only contain

    materials that are put awayin the same consolidation

    group.

    Putaway HU

    In Section

    IS3Bin1 IS3Bin2

    Out Section

    OS2Bin1 OS2Bin2 OS2Bin3

    Work Section

     

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    Slotting

    Slotting

    Placing goods into a warehouse in efficient storage and picking of goods.

    product related information e.g. weight, height, widthetc. stored in product master.Slotting run decides storage bin optimally.

    Before

    Slotting

     After

    Slotting

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    Slotting

    Result of slotting:

    Slotting determines the following storage parameters and stores them in

    the product master:

    Put-away strategy

    Maximum quantity in storage type

    Storage section indicator 

    Storage bin types

    Slotting could also determine a fixed bin for product

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    Exception Handling

    Why do we need exception handling?To keep the gap between the real world (physical warehouse) and the

    system data (Warehouse system) minimal, all detected inconsistenciesduring execution shall be entered, clarified and corrected in the system as

    soon as possible. Exception handling enables this.

    F o r e x a m p l e   a warehouse worker has to execute a transfer order with a

     pick quantity of 100 pieces from a defined Bin, but the Bin is empty.

    With implemented exception handler service the user will be able to

    describe the faced problem by entering an appropriate exception code.

    Configurable follow-up-action can be used to solve the exceptional

    situation and help the warehouse worker to continue his work withoutmajor interruption.

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    Exception handling

    RF-Transactions

    UI for confirmation of Transfer Orders

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    Warehouse Monitor 

    Hierarchical

    tree for

    navigation

    Sub-screen

    that displays

    parent data

    Sub-screen

    that displays

    child data

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    Alert Monitor 

    The Alert Monitor shows Alerts that can for example be triggered by anexception code.

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    Message Log

    The message log gives additional information about, for example,

    the warehouse order creation.

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    Major enhancements

    •REPLENISHMENT

    •RETURNS PROCESS

    •RF FRAMEWORK

    •CAPACITY CHECK USING DIMENSIONS, WEIGHT AND VOLUME

    •PACKING/PACKAGING SPECIFICATIONS

    •TRANSPORT UNIT (TU) / VEHICLE / DOOR INTEGRATION

    •PHYSICAL INVENTORY

    •CROSS DOCKING *

    •CONTRACT PACKAGER INBOUND *

    • YARD MANAGEMENT *

    •QUALITY MANAGEMENT INTEGRATION *

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    Replenishment

    Different types of replenishments PLANNED Replenishment

    AUTOMATIC Replenishment

    ORDER RELATED Replenishment

    DIRECT Replenishment

    Replenishment can be done at Storage type level

    Replenishment Parameters can be automatically updated by slotting

    Slotting – Calculates Maximum Quantity, Minimum Quantity and

    Minimum Replenishment Quantity on Storage Type Level or on

    fixed bin level

    Manual Entry of Maximum Quantity, Minimum Quantity and MinimumReplenishment Quantity

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    Customer Returns

    Internal routing to take the return material to the return station

    Ability to make usage decision on the return material

    Communication sent to CRM on the extra effort for calculating charges

    Follow on action that can trigger the next step related TO ’s for put-

    away, scrap etc.,

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    Other Notable Changes

    Storage bin is unique through out the warehouse and it is 18 characters

    long could logically defined as aisle-stack-level-bin section-bin depth

    Warehouse Request (Transfer requirement )

    Post Processing Framework (Message Processing)

    Warehouse Process Type (Movement types)

    Storage type (Door, Staging, Work centers)

    Consolidation group

    Country of origin

    Final delivery and Final shipment

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    Warehouse Documents

    Inbound delivery Notification

    Inbound delivery

    Outbound delivery request

    Outbound delivery order 

    Outbound delivery

    Warehouse request

    Warehouse order 

    Transfer order 

    Shipment

    Handling Unit

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    Warehouse Documents

    Inbound Delivery Notification

    The shipping notification from the supplier is saved in the inbound deliverynotification in EWM.

    The inbound delivery notification is created automatically by incoming messages

    and is converted manually/automatically into an inbound delivery.

    Inbound Delivery

    The inbound delivery is a document containing all the data required for triggeringand monitoring the complete inbound delivery process. This process starts on

    receipt of the goods in the yard and ends on transferral of the goods at the final

    putaway, production or outbound delivery

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    Warehouse Documents

    Outbound Delivery Request

    The outbound delivery request is a document containing all the relevantlogistics data in the outbound delivery process right from the origin of the

    outbound delivery process (sales order, for example).

    The outbound delivery request is created automatically by incoming

    messages and is converted manually/automatically into an outbound delivery

    order.

    Outbound delivery order (Warehouse Request)

    The outbound delivery order is a document containing all the data required for

    triggering and monitoring the complete outbound delivery process. This

    process starts with the first planning activities for the outbound delivery and

    continues until the finished goods have been loaded and sent.

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    Warehouse Documents

    Outbound Delivery

    The outbound delivery is a document representing the goods to be

    delivered together to a goods recipient. The outbound delivery is used as the

    basis for printing the delivery note or for sending a shipping notification.

    You use this document in delivery processing when executing the following

    actions:

    Posting a goods movement Cancelling a goods movement

    Setting the status Leave Yard 

    You can save, process, delete and archive an outbound

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    Warehouse Documents

    Warehouse Request

    The warehouse request is a document that enables the processing of warehouse

    activities for a specific product. The warehouse activities for a product include

    the following:

    Picking

    Put-away

    Posting changeStock transfer (within warehouse)

    Scrapping

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    Warehouse Documents

    Warehouse Order

    This function groups together transfer orders into warehouse orders according to

    your Customizing settings, and so creates optimum work packages. For

    warehouse order creation, you define rules with their relevant criteria.

    You assign warehouse orders to warehouse employees in resource management

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    Extended WM – Process Terminology and Definitions

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    Shipment

    Document containing all the goods that are consolidated by a ship-from party and

    are then transported together from an issuing location to a destination location.

    The shipment forms the basis for planning, executing, and monitoring the

    transportation of goods. The shipment can have the following directions:

    Inbound shipment: For example, goods are transported from the supplier to the

    plant.Outbound shipment: For example, goods are transported from the plant to the

    customer.

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    Warehouse Structure

    Handling Unit:

    A handling unit is a physical unit consisting of packaging materials (loadcarriers/packing material) and the goods contained on/in it. A handling unit isalways a combination of products and packaging materials. All the informationcontained in the product items, for example, about batches, is retained in thehandling units and is always available.

    Handling units can be nested, and you can create a new handling unit fromseveral other handling units as often as you want.

    A handling unit has a unique, scannable identification number that can be formedaccording to industry standards such as EAN 128 or SSCC.

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    Safe Harbor 

    This document contains forward-looking statements within the meaning of section 27A of Securities Act of 1933, as amended, and

    section 21E of the Securities Exchange Act of 1934, as amended. The forward-looking statements contained herein are subject to

    certain risks and uncertainties that could cause actual results to differ materially from those reflected in the forward-looking

    statements. Satyam undertakes no duty to update any forward-looking statements. For a discussion of the risks associated with our business, please see the discussions under the heading   “Risk Factors” in our report on Form 6-K concerning the quarter ended

    September 30, 2008, furnished to the Securities and Exchange Commission on 07 November, 2008, and the other reports filed with

    the Securities and Exchange Commission from time to time. These filings are available at http://www.sec.gov

    Thank you