Putaway and Stock Removal StrategiesPDF download from SAP Help Portal:http://help.sap.com/saphelp_scm50/helpdata/en/0a/c49341ec74ac5fe10000000a1550b0/content.htm

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Table of content

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Table of content1 Putaway and Stock Removal Strategies1.1 Putaway Strategies1.1.1 Manual Entry1.1.2 Strategy: Fixed Storage Bin1.1.3 Strategy: General Storage1.1.4 Strategy: Addition to Existing Stock1.1.5 Strategy: Empty Storage Bin1.1.6 Strategy: Near Fixed Picking Bin1.1.7 Strategy: Pallet Storage (by HU Type)1.1.7.1 Example: Optional HU Check When Creating a WT1.1.8 Strategy: Bulk Storage1.1.9 Cross-Line Stock Putaway1.1.10 Capacity Check1.1.10.1 Examples of Capacity Check in Accordance with Capacity Key Figur1.2 Stock Removal Strategies1.2.1 Strategy: FIFO (First In, First Out)1.2.2 Strategy: Stringent FIFO Across All Storage Types1.2.3 Strategy: LIFO (Last In, First Out)1.2.4 Strategy: Partial Quantities First1.2.5 Strategy: Stock Removal Suggestion According to Quantity1.2.6 Strategy: Shelf Life Expiration Date1.2.7 Strategy: Fixed Storage Bin

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Putaway and Stock Removal Strategies

UseIn Extended Warehouse Management (EWM), the system uses putaway strategies and stock removal strategies to determine storage bins and stock. Eachtime that a warehouse task (WT) is created, the system reverts to putaway and stock removal strategies.

· Goods receiptsThe system uses putaway strategies and parameters defined in the product master to utilize the available warehouse capacity by automatically determiningsuitable storage bins for the new products.

· Goods IssuesThe system uses stock removal strategies to determine the optimal picking bin. If you decide to manually process certain goods movements, you can changesource and destination storage bins that are automatically proposed by the system.

· Internal stock transfersThe system uses putaway and stock removal strategies, for example, for rearrangement, posting changes, and replenishment control.

PrerequisitesYou make the settings for putaway and stock removal strategies in Customizing for EWM under Goods Receipt Process ® Strategies or Goods IssueProcess ® Strategies. For more information, see the Implementation Guide (IMG) and the documentation for the individual strategies.See also:

Storage Bin Determination for Putaway

Storage Bin Determination for Stock Removal

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1.1 Putaway Strategies

UseIn Extended Warehouse Management (EWM) , you use putaway strategies to optimize the storage of products.

PrerequisitesYou make the settings for the putaway strategies in Customizing for Extended Warehouse Management (EWM) under Goods Receipt Process ® Strategies.For more information, see the Implementation Guide (IMG) and the documentation for the individual strategies.

FeaturesThe following table shows possible putaway strategies:

Strategy Comment

Manual Entry The system uses the storage bin that you have entered.

Fixed Storage Bin The system searches for a fixed storage bin.

General Storage The system searches in the general storage area.

Addition to Existing Stock The system searches for a storage bin that already contains stock.

Empty Storage Bin The system searches for an empty storage bin.

Near Fixed Picking Bin The system searches for a storage bin in the reserve storage type near to the fixedpicking bin of the picking storage type.

Pallet Storage (by HU Type) The system determines the storage bin on the basis of the handling unit type.

Bulk Storage The system searches for a storage bin in the bulk storage area.

You can use the BAdIs in the /SCWM/ES_CORE_PTS enhancement spot to make changes to these putaway strategies.See Also:

Storage Bin Determination for Putaway

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1.1.1 Manual Entry

UseThe system does not determine a storage section or a storage bin. You enter the destination storage bin manually when the warehouse task is created. You usethis procedure if the search for a suitable storage bin is performed on-site by the warehouse worker. First the warehouse worker searches for the suitable storagebin. Then the system automatically determines the data using the storage bin (for example, the storage type) in the warehouse task.

We recommend that you manually enter the storage bin in the case of mixed storage and storage types with the role “Staging Area Group”.You can use manual entry in the following transactions:

· Putaway for inbound delivery (/SCWM/TODLV_I)· Stock removal for outbound delivery order (/SCWM/TODLV_O)· Stock transfer for internal stock transfer (/SCWM/TODLV_M)· Stock transfer for posting change (/SCWM/TODLV_T)· Move handling unit (/SCWM/ADHU)· Move product (/SCWM/ADPROD)

PrerequisitesYou have made the following settings for the storage type in Customizing for Extended Warehouse Management (EWM) under Master Data ® Define StorageType:

· You have chosen the Standard Warehouse value in the Storage Behavior field.· You have chosen the Empty Bin or Addition to Existing Stock/Empty Bin value in the Putaway Rules field.· You have chosen the Only Storage Type value in the WT Generic field.

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Strategy: Fixed Storage Bin

UseYou apply this strategy if you want to put away a product in fixed storage bins in a storage type. You use this strategy primarily in storage types from whichpicking is done manually. You assign fixed storage bins manually.

If you want to put away a product without fixed bin assignment in a storage type for which you have defined the strategy “Fixed Storage Bin”, the systemdetermines a suitable storage bin and assigns it to the product as a fixed storage bin.

The following figure is an example of a fixed bin assignment. In this example, warehouse 0001 has several fixed storage bins: FIX-AA, FIX-BB, and FIX-DD.Multiple fixed storage bins can be available for a product, for example, FIX-1-BB and FIX-2-BB for product BB.

Prerequisites· You have defined fixed storage bins in the master data for Extended Warehouse Management (EWM) under Storage Bin ® Maintain Fixed Storage Bin.· You have made the following settings for the storage type in Customizing for EWM under Master Data ® Define Storage Type:

¡ You have chosen the Standard Warehouse value in the Storage Behavior field.¡ You have chosen the Addition to Existing Stock/Empty Bin value in the Putaway Rules field.¡ You have set the Fixed Bins Allowed indicator.¡ You have defined a maximum number of fixed storage bins in the Max. Fixed Bins field (you can also make this setting in the product master).¡ You have chosen the Addition to existing stock permitted value in the Addn.Stock Forbidden field.¡ You have chosen a method in the Capacity Check field to activate the capacity check.

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1.1.3 Strategy: General Storage

UseThe system uses this strategy to find a storage bin in a general storage area. General storage is a type of warehouse organization in which you define a singlestorage bin per storage section. The quants in the storage bin can also be in the form of mixed storage. For each storage type, you can define one or more generalstorage areas.

The following figure illustrates general storage. Two general storage areas (bin XXX and bin YYY) are available with mixed storage in storage type 0005. Thismeans that you can put away product F in bin XXX even though product X has already been put away there.

PrerequisitesYou have made the following settings in Customizing for Extended Warehouse Management (EWM) under Master Data ® Define Storage Type:

· You have chosen the Standard Warehouse value in the Storage Behavior field.· You have chosen the General Storage Area value in the Putaway Rules field.· You have chosen the Mixed Storage Without Limitations value in the Mixed Storage field.

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Strategy: Addition to Existing Stock

UseWith this strategy, the system prefers to put away stock in storage bins that already contain stock of the relevant product. A prerequisite for addition to existingstock is that sufficient free capacity still exists in the relevant storage bin. If the system cannot find a storage bin with the same product or if the storage bin doesnot have sufficient free capacity to store additional quants, the system searches for the next empty storage bin.

This strategy violates the FIFO principle. For this reason, you should only use this strategy in situations where you have insufficient space.

The following figure shows an example of addition to existing stock. You want to put away product AA. Since AA is already occupying a storage bin and freecapacity is still available, you can add the product to the existing stock.

Prerequisites

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You have made the following settings for the storage type in Customizing for EWM under Master Data ® Define Storage Type:· You have chosen the Standard Warehouse value in the Storage Behavior field.· You have chosen the Addition to Existing Stock/Empty Bin value in the Putaway Rules field.· You have specified in the Addn.Stock Forbidden field whether or not you want to allow additions to existing stock.

If you want to allow additions to existing stock, choose “ ” (Addition to existing stock permitted) or “M” (Addition to existing stock via addtn ID in productmaster). If you choose “M”, you must choose the required value for the Addit.to Exist.Stock indicator in the product master.

· You have chosen a method in the Capacity Check field to activate the capacity check.· You have chosen the value 3 in the Mixed Storage field (one HU allowed per bin, in other words, mixed storage is not permitted).

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1.1.5 Strategy: Empty Storage Bin

UseWith this strategy, the system proposes an empty storage bin. You can use this strategy to support warehouses that are organized randomly, where products arestored in individual storage sections. This strategy is especially suited for high rack storage and shelf storage.

PrerequisitesYou have made the following settings for the storage type in Customizing for Extended Warehouse Management (EWM) under Master Data ® Define StorageType:

· You have chosen the Standard Warehouse value in the Storage Behavior field.· You have chosen the Empty Bin value in the Putaway Rules field.

· Optionally, you can change the sort sequence of the storage bins that has an effect on the determination of the empty storage bin under SrchRule EmptyBin .

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1.1.6 Strategy: Near Fixed Picking Bin

UseYou use this strategy when you put away products in a reserve storage area. This strategy is intended for situations where reserve storage bins of a reservestorage type are located directly above the fixed storage bins in a picking storage type (nearby reserve).

You can configure whether the system checks if a fixed storage bin is available. You can set up your system in such a way that it first searches for a fixedstorage bin in a picking storage type. If it does not find an empty bin, it then uses the "Near Fixed Picking Bin” strategy to search for a bin in a reserve storagetype that is as close as possible to the fixed storage bin of the product.

The system first tries to find a reserve storage bin in the stack where the fixed storage bin is located. Here the system starts on the lowest level and works its wayup. If it does not find an empty bin, it searches to the right of the fixed storage bin and then to the left in the same aisle, before searching in the adjoining aisles.Here it always searches from the bottom upwards.

If multiple fixed storage bins are available for the product in the picking storage type, the system takes the first fixed storage bin that it finds as the starting point.

PrerequisitesYou have made the following settings for the storage type in Customizing for Extended Warehouse Management (EWM) under Master Data ® Define StorageType:

· You have chosen the Standard Warehouse value in the Storage Behavior field.· You have chosen the Empty Bin value in the Putaway Rules field.· You have chosen the Near to Fixed Bin value in the SrchRule EmptyBin field.· You have given the storage bins in the picking storage type and the reserve storage type the same names.

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1.1.7 Strategy: Pallet Storage (by HU Type)

UseUsing this putaway strategy, the system processes different HU types (for example, pallets) and allocates them to a suitable storage bin section. One storage binis often divided into several smaller sections. You can only put away the same HU types in a storage bin.

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Explanation of the Strategy

High rack storage is frequently designed so that a storage bin can accommodate several different HU types.

The following figure shows the “Pallet Storage by HU Type” strategy. For example, a storage bin can accommodate multiple pallets depending on the size of thepallet, such as three europallets (80 x 120) or two industrial pallets (100 x 120). A storage bin may be able to accommodate a single oversized pallet or severalvery narrow pallets.

With this strategy, you define the maximum number of quants for each combination of storage bin type and HU type. The first time that the system puts awayproducts in this storage bin, it determines the storage bin sectioning that it assigns to the storage bin. The system also determines which and how many HUs itcan put away in the storage bins.

PrerequisitesYou have made the following settings for the storage type in Customizing for EWM under Master Data ® Define Storage Type:

● You have chosen the Pallet Storage value in the Storage Behavior field.● You have chosen the Empty Bin value in the Putaway Rules field.● You have activated the HU type check.● You have chosen the Mixed Storage Without Limitations value in the Mixed Storage field.

Definition of Storage Bin Sections

The following table shows the number of storage bin sections that you can define for a storage bin. This means that you use this number to control the number ofHUs that can occupy a storage bin.

Define Storage Bin Sections

WNr Type SecKey No. BinSecs

FunctionalLocationCategory

1 2 3 4 5 6 .... (BinSecs)

0001 0007 A 2 BT01 A B

0001 0007 B 3 BT01 1 2 3

Section Key

The storage bin sectioning determines which HU types and how many handling units (HUs) of each type you can put into a storage bin. The storage bin sectioningis determined dynamically on the basis of the first HU that you put away. The system deletes the storage bin sectioning as soon as you have removed the last HUfrom the storage bin.

Nomenclature of Storage Bin Sections

To name each individual section of a storage bin, you enter either a one-digit or a two-digit suffix (for example, A1, BB, 12) in one of the columns numbered from1 to 99 under the heading Sections . The system displays the total number of storage bin sections that you have defined in the Number of Sections field.

The system attaches this suffix to the name of the storage bin and separates it with a slash (/).

Note that the name of the storage bin sections is 2-3 digits longer than that of the main storage bins. Therefore, the length of the name of the main storage bin mustbe 2-3 digits shorter than the permitted length for the storage bin name.

The storage bin sections that you have defined for warehouse 0001 and storage type 0007 (shown in the following table) form the basis of theexample. Assuming that the storage bin is named 02-10-01, the system identifies the three storage bin sections in the main storage bin asfollows: 02-10-01/1 02-10-01/2 02-10-01/3

Once you have defined storage bin sections for a storage type, you cannot change them.

Assignment of Storage Bins and HU Types

For each storage type, you assign the appropriate storage bin sectioning to each allowed combination of storage bin type ( Storage Bin Type field) and HU type

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( HU Type field).

Assign Storage Bin Types and HU Types

WNr Type BinTy HU Type SecKey No. Bin Secs

0001 0007 PA E1 B 3

0001 0007 PA IP A 2

When you create storage bins for this strategy, you must specify a storage bin type. This storage bin type must match the storage bin type inthe table for assigning storage bin types and HU types (see above).Once you have made these assignments, you cannot change them later.

When you put away products into a storage type for which storage bin sectioning has been defined, you must enter the HU type in the preparation screen of thewarehouse task. The system uses this HU type to search for suitable empty storage bins. At the same time, the system ensures that you put away only one HUtype per storage bin.

Additional Option

If you assign the same storage bin type and a different HU type to the same section key, you can also put away more than one pallet type into the same storagebin.

Assign Storage Bin Types and HU Types

WNr Type BinTy HU Type SecKey No. Bin Secs

0001 0007 PA E1 B 3

0001 0007 PA IP A 2

0001 0007 PA E2 A 2

If you define the table as shown above, you can place an industrial pallet (IP) into the first section of the storage bin and an HU with the type E2into the second section of the storage bin.

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Example: Optional HU Check When Creating a WT The system can only find the appropriate storage bins for a handling unit type when creating warehouse tasks (WT) if you have activated the HU type check.

You can enter *** as an allowed HU type in this table. This entry means that all the HU types in this storage type are allowed. The system then searches for asuitable storage bin for the HU type on the basis of the allowed storage bin types per HU type.

Before you activate the optional HU type check, you should check the table parameters carefully. If the configuration settings arenot optimal, you may encounter performance problems.

The following example outlines the performance problems associated with the optional HU type check and their solutions:

§ Storage bin types P1, P2, P3, P4, and P5 are allowed for HU type E1. The system is to put away HU type E1 in storage type 0001. However, onlystorage bins of the type P0 are available in this storage type.

§ The system is not allowed to put away HU type E1 in storage type 0001. A system that has been configured optimally recognizes this (sinceaccess to a completely buffered table is possible) and searches for a suitable storage bin in the next storage type.

§ In the optional HU type check, the system tries to access the database five times without success. If you work with different storage sections, thisnumber increases accordingly.

You can easily check the Customizing settings by viewing the log for the storage bin search. The greater the number of unsuccessful attempts that thesystem has made, the more ineffective the process for storage bin determination becomes. You should reduce the number of attempts by optimizing thestorage type search.

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1.1.8 Strategy: Bulk Storage

UseProducts such as tires, glass products, and drinks that come in large quantities and require a large amount of storage space are often stored in bulk storage. Theadvantages of bulk storage include:

· Reduced need for physical storage bins· Fast access to the containers

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· Clear structuring of the warehouse (into blocks and rows)This strategy searches for storage bins in bulk storage.

The figure below shows bulk storage:

The most important features of bulk storage processing are:· Freely-defined coordinate structure

When you define the storage bins in bulk storage, you do not have to take any technical prerequisites of the system into account. The warehouse is dividedinto blocks, which in turn are divided into individual rows.

· One storage bin per rowIn practice, a row is selected as the sort characteristic in bulk storage. In the system, a row is created and managed as a storage bin. The storage bins(rows) are classified according to storage bin types.For example, rows 2 and 3 in block A05 (illustrated in the above figure) can hold up to 16 pallets. However the 4th row can only hold a maximum of 12pallets, due to a structural column in the row. You can enter this exception (reduced capacity of a row) when defining the block structure (see section“Prerequisites”).

· Different HU typesIn bulk storage, you often manage different HU types with different dimensions, for example, standard pallets and industrial pallets with clip-on mounts.Extended Warehouse Management (EWM) supports the management of different HU types in bulk storage.

· Mixed storageYou do not put away HUs with different products in the same row. However, in general, all combinations of mixed storage are allowed in bulk storage. You canalso define that all products in the storage bin must have the same batch.

· Automatic blocking per rowTo optimize the putaway and stock removal processes in bulk storage, you can set a blocking indicator for each row separately.

Prerequisites· You have made the following settings for the storage type in Customizing for Extended Warehouse Management (EWM) under Master Data ® Define

Storage Type:¡ You have chosen the Bulk Storage value in the Storage Behavior field.¡ You have chosen the Addition to Existing Stock/Empty Bin value in the Putaway Rules field.¡ You have chosen the Addition to existing stock permitted value in the Addn.Stock Forbidden field.¡ Do not activate the HU type check and do not choose a capacity check method. A capacity check and HU type check are not necessary in bulk

storage because an internal check is carried out based on the block structure definition.¡ Choose the required option in the Mixed Storage field. For more information about the permitted combinations, see the relevant field help.

· When defining the storage type control for this strategy, you must take into consideration the following indicators, among others, to control the putaway ofproducts into bulk storage:

¡ Putaway blocking for row¡ Time limit for blocking

For more information about these control options, see the Implementation Guide (IMG) for EWM under Goods Receipt Process ® Strategies ® PutawayRules ® Putaway Behavior: Bulk Storage ® Storage Type Control for Bulk Storage .

Definition of Bulk Storage Indicators

For this strategy, you can enter bulk storage indicators together with a description. Using the bulk storage indicator, you define how you want to store a particularproduct in bulk storage. To do this, you enter the bulk storage indicator in the product master record and again in the bulk storage sectioning table when definingthe structure of a block.

Block Structure Definition

You can define various characteristics of bulk storage such as storage bin types, HU types, maximum number of stacks, and stacking height.

When you define storage bins for bulk storage you must enter a storage bin type.

Other Control Options

In the product master record (in the Warehouse Management view), you can· Define up to three HU types· Set the bulk storage indicator· Set the indicator allowing addition to existing stock

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1.1.9 Cross-Line Stock Putaway

UseIn the case of this function, a sort sequence supports the system when searching for suitable storage bins. You can use sort sequences to prevent one part of thewarehouse from being overburdened and to optimize the putaway of goods. If you have not defined a sort sequence, the system sorts by storage bin name.

We recommend cross-line stock putaway for storage types with the following settings:■ Storage behavior Standard Warehouse and putaway rule Empty Bin■ Storage behavior Pallet Storage

If the system cannot find a storage bin for the addition to existing stock, it uses sort sequences to search for a storage bin. This means that youcan also define cross-line stock putaway for storage types with the storage behavior Standard Warehouse and putaway rule Addition to ExistingStock / Empty Bin or with the storage behavior Bulk Storage .

Prerequisites● You have defined a sort sequence for cross-line stock putaways in Customizing for Extended Warehouse Management ( EWM ). To do so, you have

performed the following steps: a. You have defined an activity for cross-line stock putaway in your warehouse number for the activity CLSP with warehouse process category 8 (Cross-

Line Stock Putaway) under Master Data ® Activity Areas ® Activities ® Define Activities. b. You have generated an activity area for the storage type in which you want to perform the cross-line stock putaway under Master Data ® Activity

Areas ® Generate Activity Area from Storage Type. The activity area must match the storage type, in other words, it must contain the same storagebins. The system gives the generated activity area the same name as the storage type.

c. You have defined a sort sequence for cross-line stock putaway under Master Data ® Activity Areas ® Define Sort Sequence for Cross-Line StockPutaway.

● You have created a storage bin sorting on the SAP Easy Access screen under Extended Warehouse Management ® Master Data ® Storage Bin ®

Sort Storage Bins.

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1.1.10 Capacity Check

UseIn the case of some putaway strategies, it is useful to perform a capacity check for the storage bin when searching for a suitable storage bin. If you have activatedthe capacity check, the system checks whether the selected storage bin can accept the quantity to be put away when it creates a warehouse task (WT).

Prerequisites· You can set up the capacity check in Customizing for Extended Warehouse Management (EWM) under Master Data ® Define Storage Type (Putaway

Control, Capacity Check field ). By default, the checks are predefined in accordance with weight and volume.· To control the capacity check in accordance with weight or volume, you have defined the following:

¡ You have defined the weight or volume consumption for each storage bin. To do so, on the SAP Easy Access screen, choose Extended WarehouseManagement ® Master Data ® Storage Bin ® Create Storage Bin ( Stor. Bin tab page, Weight Usage or Volume Usage field).

¡ You have defined a weight or volume consumption per unit of measure for each product in the product master. To do so, on the SAP Easy Accessscreen, choose Extended Warehouse Management ® Master Data ® Product ® Maintain Warehouse Product ( Units of Meas. tab page).

· To control the capacity check in accordance with the capacity key figure, you have defined the following:¡ You have defined a capacity that is independent of a dimension or a unit for each storage bin. To do so, on the SAP Easy Access screen, choose

Extended Warehouse Management ® Master Data ® Storage Bin ® Create Storage Bin ( Stor. Bin tab page, Capacity Usage field).¡ You have defined a capacity consumption per unit of measure for each product in the product master. To do so, on the SAP Easy Access screen,

choose Extended Warehouse Management ® Master Data ® Product ® Maintain Warehouse Product ( Units of Meas. tab page, CapacityConsumption field).

¡ You have defined a capacity consumption per unit of measure for each packaging material in the product master. To do so, on the SAP Easy Accessscreen, choose Extended Warehouse Management ® Master Data ® Product ® Maintain Warehouse Product ( Units of Meas. tab page).

FeaturesExtended Warehouse Management (EWM) can check the capacity of a storage bin using the following factors:

· WeightThe system checks the weight of the product to be put away against the available weight of the storage bin.

· VolumeThe system checks the volume of the product to be put away against the available volume of the storage bin.

· Capacity key figure (see below)¡ Capacity check in accordance with product

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This capacity check is recommended if you can stack products in the storage bin in any way you like. You can also apply this capacity check ifdifferent batches of the product exist that result in mixed storage.

¡ Capacity check in accordance with handling unit (HU)This capacity check is recommended if the HUs lie next to one another and you can remove the products one after another from each container.

¡ Capacity check in accordance with product and HU

If you work with fixed storage bins or use the putaway strategy Addition to Existing Stock , we recommend a capacity check. In bulk storage, thecapacity check is performed via the block definition.

Capacity Check in Accordance with Capacity Key Figure

You can also use a capacity key figure to control how a product is put away in a storage bin. Here the system calculates the capacity consumption in differentways, depending on the capacity check chosen:

· Capacity check in accordance with productThe system calculates the capacity consumption for the product on the basis of the quant (quantity of a product with the same attributes).

· Capacity check in accordance with HUIn the case of HU checks, the system calculates the capacity consumption on the basis of the HU.

· Capacity check in accordance with product and HUIn the case of mixed storage, we recommend the capacity check in accordance with the product and HU.

The capacity consumption of a product refers to the product quantity and is therefore specified as a variable in the system, and updated in the quant. Thecapacity consumption of an HU is specified as a constant capacity consumption, and is updated in the HU.

Quant and HU data is updated for each storage bin as remaining capacity.

You have to define the type of capacity check as well as the capacity consumption of the product and HU before the first putaway. Subsequent changes to theseparameters result in automatic changes to storage bins, HUs, and quants.

You must not make such changes when the system is running in productive mode since they result in inconsistencies.

For more information about the capacity check in accordance with the capacity key figure, see Examples of Capacity Check in Accordance with Capacity KeyFigure.

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Examples of Capacity Check in Accordance with Capacity KeyFigure In the following section, you find an example of each of the three types of capacity check in accordance with the capacity key figure.

Capacity check in accordance with product

The storage bin 01-01-01 has a total capacity of 100. Each piece of product 4711 has a capacity consumption of 11. This means that you can put away ninepieces of product 4711 in this storage bin. Here you have a remaining capacity of one.

Capacity check in accordance with HU

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The storage bin 01-01-01 has a total capacity of 100. Each wire basket has a capacity consumption of 12. This means that you can put away eight wire basketsin the storage bin. Here you have a remaining capacity of four.

Capacity check in accordance with product and HU

The storage bin 01-01-01 has a total capacity of 100. Each piece of product 4711 has a capacity consumption of eleven. Each pallet has a capacity consumptionof 12. You can put way one pallet with eight pieces of product 4711 in the storage bin. As a result, the storage bin no longer has any available capacity.

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1.2 Stock Removal Strategies

UseYou use stock removal strategies to define where the system is to search for stock, in other words, in which storage types, and how it is to sort the stock that hasbeen determined. Stock is determined in the following cases:

● Warehouse task (WT) creation● Creation of warehouse requests● Changing warehouse request items

PrerequisitesYou make the settings for the stock removal strategies in Customizing for Extended Warehouse Management (EWM) under Goods Issue Process ®Strategies. For more information, see the Implementation Guide (IMG) and the documentation for the individual strategies.

FeaturesThe following table shows possible stock removal strategies:

Strategy Comment

FIFO (First In, First Out) With FIFO, the system searches for the oldest quant.

Stringent FIFO for All Storage Types With stringent FIFO, the system searches across all storage types.

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LIFO (Last In, First Out) With LIFO, the system searches for the most recent quant.

Partial Quantities First The system first searches for partial quantities and then for standard quantities.

Stock Removal Suggestion According to Quantity The system determines the storage bin on the basis of the quantity.

Shelf Life Expiration Date The system searches for products with the shortest remaining time before the expirationdate.

Fixed Storage Bin The system searches for a fixed storage bin.

You can use the BAdIs in the /SCWM/ES_CORE_RMS enhancement spot to make changes to these putaway strategies.See Also:

Storage Bin Determination for Stock Removal

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Strategy: FIFO (First In, First Out)

UseIn the case of this strategy, the system first proposes the oldest quant from the storage type from which you want to remove products from stock.

The system calculates the age of a quant (its retention period in the warehouse) from the date when goods receipt was posted. The goods receipt date is setautomatically in the quant and in the warehouse request for each goods receipt posting.

You can accept the goods receipt date that the system sets or you can enter a different date. Regardless of whether you adopt the goods receipt date or enter anew one, the system uses this date to calculate the age of the quant. This date influences the sort sequence for each product.

Prerequisites· You have defined a stock removal rule in Customizing for Extended Warehouse Management (EWM) under Goods Issue Process ® Strategies ® Specify

Stock Removal Rule. You have specified the goods receipt date (sort ascending) as the sort criterion. · You have defined a storage type search sequence in Customizing for EWM under Goods Issue Process ® Strategies ® Specify Storage Type Search

Sequence .· You have assigned the storage type search sequence in Customizing for EWM under Goods Issue Process ® Strategies ® Determine Storage Type

Search Sequence for Stock Removal.· You have assigned the stock removal rule to the storage type in Customizing for EWM under Master Data ® Define Storage Type. Alternatively, you can

assign the stock removal rule under Goods Issue Process ® Strategies ® Determine Storage Type Search Sequence for Stock Removal.

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Strategy: Stringent FIFO Across All Storage Types

UseIn Extended Warehouse Management (EWM) , you can remove stock according to the FIFO principle where you take into consideration all quants within awarehouse number. In this case, the system does not scan individual storage types in sequence but instead it proposes the oldest quant in the entire warehouseas the quant to be removed from stock.

PrerequisitesSee Strategy: FIFO (First In, First Out)

You have also defined storage type groups and assigned all relevant storage types to them in Customizing for EWM under Master Data ® Define StorageType Groups.

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Strategy: LIFO (Last In, First Out)

UseFor some warehouse organizations or sectors of industry, you cannot use the FIFO principle. For example, in the building material industry, products that are to beremoved from stock and are therefore being stored temporarily are stacked on products that are already stored in the warehouse. When using the FIFO strategy,the warehouse worker would first have to remove the products lying on top to get to the product with the oldest goods receipt date. The LIFO strategy is provided for

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such situations. When the system searches for a suitable quant to remove from stock, it always suggests the last quant that was placed into stock.

PrerequisitesSee Strategy: FIFO (First In, First Out) with the exception that you have specified the goods receipt date (sort descending) as the sort criterion.

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1.2.4 Strategy: Partial Quantities First

UseWith this strategy, the system overrides the FIFO principle to optimize the management of stock in the warehouse. It keeps the number of partial handling units(partial HUs) in one storage type as low as possible. This strategy is only suitable if putaway meets one of the following conditions:

· It takes place in the form of standard HU types (always the same quantity of a product for a certain HU type).· It takes place in the form of partial pallet quantities (quantities smaller than a standard HU).

There are two different types of quant within a storage type:· Quants in the quantity of the standard HU in accordance with packaging specification· Quants in a quantity that is smaller than the standard HU. This is known as a partial pallet quantity. Quants that are larger than a standard HU should not

occur.When the system searches for a quant, it proceeds as follows: ... 1. If the required quantity in the warehouse task is the same as or greater than the quantity of a standard HU, the system attempts to remove a standard HU from

stock. 2. If no standard HUs exist, the system takes partial pallet quantities. 3. If the required quantity in the warehouse task is less than the quantity of the standard HU, the system first tries to remove partial pallet quantities from stock. 4. If no partial pallet quantities exist, the system breaks into complete HUs.

Prerequisites· You have defined a stock removal rule with ascending quantity (piece) and a stock removal rule with descending quantity (standard HU) in Customizing forExtended Warehouse Management (EWM) under Goods Issue Process ® Strategies ® Specify Stock Removal Rule.· You have assigned the stock removal rules in Customizing for EWM under Goods Issue Process ® Strategies ® Determine Storage Type Search

Sequence for Stock Removal:¡ Stock removal rule “piece” – quantity classification group “piece”¡ Stock removal rule “standard HU” – quantity classification group “standard HU”

· You have defined a storage type search sequence in Customizing for EWM under Goods Issue Process ® Strategies ® Specify Storage Type SearchSequence .

· You have assigned the storage type search sequence in Customizing for EWM under Goods Issue Process ® Strategies ® Determine Storage TypeSearch Sequence for Stock Removal.

· You have defined quantity classifications for the warehouse in Customizing for EWM under Cross-Process Settings ® Warehouse Task ® DefineQuantity Classifications.

· You have defined a packaging specification for the product in Customizing for SCM Basis under Packing ® Packaging Specification.

ExampleYou use two packaging specification levels, pallet and piece, and you have defined a quantity classification and a stock removal rule for each of them. Thesystem uses the stock removal rule for piece to sort the stock by quantity in an ascending order. The system uses the stock removal rule for pallet to sort thestock by quantity in an descending order. If the quantity required is greater than or equal to the quantity of the complete HU, the system sorts the stock in adescending order, in other words, it removes a full pallet from stock. If the required quantity is smaller than a complete HU, the system sorts the stock in anascending order, in other words, since a complete HU is not required, the system searches for a partial HU.

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Strategy: Stock Removal Suggestion According to Quantity

UseThis strategy is based on whether the quantity required in the warehouse task is large or small. For example, you have a storage type in a warehouse in whichyou store small quantities of products (a storage type with a fixed storage bin structure). You also have a reserve storage area where you store larger quantities.

The system decides whether it is dealing with a small quantity or a large quantity, depending on the quantity required in the warehouse task. It proposes that stockbe removed from either the storage bin of the small quantity storage type or from the storage bin of the large quantity storage type. The system uses the quantity ofthe standard HU in accordance with the packaging specification as the criterion.

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The following figure shows the processing of small and large quantities:

In the example shown in the figure, two storage types are used to fill delivery notes from Sales and Distribution:· Fixed bin storage· High Rack Storage Area

The system selects the quant from a storage bin in fixed bin storage, if the required quantity is less than or equal to the quantity of the standard HU in accordancewith the packaging specification. If the required quantity is greater than the quantity of the standard HU in accordance with the packaging specification, the systemsearches for the quant in high rack storage.

PrerequisitesSee Strategy: Partial Quantities First with the exception that you have defined and assigned two storage type search sequences.

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Strategy: Shelf Life Expiration Date

UseWith this strategy, the system ensures that the products with the oldest shelf life expiration date are removed from stock first.

PrerequisitesSee FIFO (First In, First Out) with the exception that you have specified the shelf life expiration date as the sort criterion.

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Strategy: Fixed Storage Bin

UseIn the case of this strategy, the system uses the storage bin that was entered in the product master to find stock. If you have allowed fixed storage binassignments for a storage type, the system also takes into consideration the storage bins that do not contain any stock when determining the stock. In this way, itis possible that the system creates warehouse tasks (WTs) for which no stock exists. You use replenishment control to ensure that products are available in thestorage bin at the time of picking.

Negative available stock is allowed with this strategy.

To clear the pick items or the pick quantity per storage bin, you can specify that the system is to sort the stock by open stock removal items per storage bin or byopen quantity to remove per storage bin.

Prerequisites· You have defined a stock removal rule and, optionally, specified the open stock removal items or the open quantity to remove per storage bin as the sort

criterion in Customizing for Extended Warehouse Management (EWM) under Goods Issue Process ® Strategies ® Specify Stock Removal Rule.· You have defined a storage type search sequence in Customizing for EWM under Goods Issue Process ® Strategies ® Specify Storage Type Search

Sequence .· You have assigned the storage type search sequence in Customizing for EWM under Goods Issue Process ® Strategies ® Determine Storage Type

Search Sequence for Stock Removal.· You have defined fixed storage bins in the master data for EWM under Storage Bin ® Maintain Fixed Storage Bin.· You have set the Fixed Bins Allowed indicator in Customizing for EWM under Master Data ® Define Storage Type. Optionally, you have set the

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Negative Stock indicator if you want to permit negative available stock.

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