Fundamentals of SAP EWM

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SAP Extended Warehouse Management (EWM) is used to efficiently manage inventory in the
Warehouse and for supporting the processing of goods movement. It allows the company to
control its Warehouse inbound and outbound processes and movement of goods in the
Warehouse.

The main process in a Warehouse is incoming and outgoing materials, goods receipt and goods
issue, fulfill customer orders, and distribution of goods. When a company doesn’t store any
goods, then there is no need for Warehouse management to manage goods.

With the help of SAP EWM, all the goods movements are controlled by a warehouse
management system and provides you the tools to monitor warehouse activities. You can also
manage additional functions in the Warehouse like creating a serial number, batch number,
vendor management inventory, resource optimization, and value-added services. SAP Extended
Warehouse Management allows you to not only monitor the quantity of goods in Warehouse but
to manage other critical functions and delivery of goods efficiently.

  • Warehouse Topology
  • Transportation Units & Vehicles
  • Product Master
  • Handling Units
  • Warehouse Task
  • Waves
  • Storage Bin Sorting
  • Warehouse Order
  • Helpful Transaction Codes

Warehouse Topology

The warehouse structure is divided hierarchically and consists of the following elements:

▪ 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 belong to one storage section, for example, storage bins for
fast-moving items that are close to the goods issue zone.

▪ Storage bin
Each storage type and storage section consists of a selection of storage
compartments that are called storage bins in EWM. The coordinates of the
storage bin tell you the exact position in the warehouse, where you can store
products.

Handling Unit

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

Handling units can be nested, and you can create a new handling unit from several
other handling units.
A handling unit has a unique, scannable identification number that you can construct
according to industry standards.

Handling Unit in SAP EWM

Warehouse Task

Logical or physical goods movements or even stock changes can be the basis for a
warehouse task. These include:
▪ Picks
▪ Putaways
▪ Internal goods movements
▪ Posting changes
▪ Goods receipt postings
▪ Goods issue postings

The following figure shows the different warehouse tasks for products and handling
units (HUs):

  • Product Warehouse Task
  • Handling Unit Warehouse Task
Warehouse Task in SAP EWM

Product Warehouse Task
A product warehouse task (product WT) can be based on physical goods movements or
changes in stock.
The product WT contains all the information required to execute the physical transfer of
products into the warehouse, out of the warehouse, or within the warehouse from one storage
bin to another storage bin.

Handling Unit Warehouse Task
A handling unit warehouse task (HU WT) is based on goods movements.
The HU WT contains all the information required to execute the physical transfer of HUs within
the warehouse from one storage bin to another storage bin. As an exception, you can also use
the HU WT for the loading and unloading process.

Ad Hoc Movement
Ad hoc movements are unplanned goods movements that you create manually within a
warehouse. This means that the decision to make an ad hoc movement is not controlled by the
system. Instead, it is triggered manually. Ad hoc movements do not have a preceding document.

Warehouse Order

The warehouse order consists of warehouse tasks or physical inventory items.
EWM creates warehouse tasks for an outbound delivery with four delivery items. EWM uses
warehouse order creation to assign the resulting four warehouse tasks to a new warehouse
order. A warehouse employee receives this warehouse order as a work package to pick up the
items listed in the delivery.

Product Master

Product Master in SAP EWM
Product Master SAP EWM Notes
SAP EWM Fundamentals notes

Waves

Grouping of warehouse request items to control warehouse activities, for
example, picking, or posting changes.
These groupings are then processed together in subsequent processes, for
example, the transfer of all warehouse request items assigned to a wave at a
certain point in time to warehouse task creation. The warehouse tasks created
are then forwarded to warehouse order creation.

SAP EWM Waves Concept

Storage Bin Sorting

Bin sorting is for the purpose to define your physical sequence of activities – e.g. how you pick
(which bin is first, 2nd, 3rd, etc) – it will use the sequence number to define it. Sorting will not
change any storage bin name.

Storage Bin Sorting in SAP EWM

Transportation Unit

The smallest loadable unit of a Vehicle that is used to transport goods. The
transportation unit (TU) can be, but does not need to be, part of a vehicle.
The following figure shows different TUs:

  • Vehicle 1: Semitrailer truck with one TU
  • Vehicle 2: Truck with cargo area and trailer, in other words, two TUs
  • Vehicle 3: Train with four wagons, in other words, four Tus
Transportation Unit in SAP EWM

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