SAP EWM Overview
Sonal Agrawal
Technical Project Manager | Stakeholder Engagement | Critical Thinking | Agile Methodologies |
Purpose: The purpose of this blog is to introduce the concept of warehouse management in general and to describe the different solutions which SAP has to offer under the warehouse management area of its digital supply chain solution.
Warehouse Management
The need for warehouse management depends on the number, variety, and diversity of the products you produce, purchase or sell and your different requirements for storing these materials.
Why would you need a warehouse management system ?
A Warehouse Management system is used to increase warehouse efficiency. It can provide tools to monitor warehouse activities and to plan resource requirements.
What does SAP offer as part of its warehouse management solutions ?
SAP WM (Centralized and Decentralized) - This was the first warehouse management solution introduced by SAP in the year 1993. It offers storage bin level inventory management, goods movement using transfer orders, goods movement monitoring using Warehouse Activity monitor, integrated radio frequency solution and interfacing to external systems. End of mainstream maintenance for WM as part of SAP ERP 6.0 ends in 2027.
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Stockroom Management - SAP S/4HANA Stock Room Management? will replace Warehouse Management (LE-WM). Stock Room Management reuses major parts of LE-WM and can be used beyond 2025.
Lean WM - This is a simplified version of WM. Lean WM does not manage the inventory at the storage bin level. Lean WM is a good solution for those customers who have a limited number of materials and use only a fixed bin strategy.
SAP Extended Warehouse Management (Embedded and Decentralized) - Released in the year 2005 as part of SAP’s service parts management solution, EWM has now become a standalone application. Along With providing the typical features like Inventory management at storage bin level, Storage bin determination for incoming goods, Stock removal for outgoing goods, Stock transfers, Physical inventory management, EWM goes a step beyond to provide additional functions such as Slotting, Consolidation and deconsolidation, Cross-docking, Yard management, Complex internal routing, Value-added services (VAS), Labor management, Radio frequency identification, Kit-to-stock / Kit-to-order.