inventory and warehouse processes
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Inventory and Warehouse Processes
Slide 2
Introduction Inventory and warehouse management
are closely related to the fulfillment and production processes Warehouses often supply raw materials to
manufacturing Warehouses store and move finished and
semi-finished goods Warehouse management is an optional
subsystem that must be enabled and configured
Slide 3
Processes Process change
http://www.youtube.com/watch?v=Q20nhhT07f0
Picking and return http://vimeo.com/12948899
Automated pharma http://vimeo.com/72337318
Slide 4
Inventory without WMS
Slide 5
Inventory With WMS
Slide 6
Types of Goods Movement Receipt from production or procurement
Increases finished goods inventory Goods issue to production or fulfillment
Decreases raw material inventory Transfer postings change the status of a
good Stock transfers
Move goods from plant to plant or storage location
I’ll go through these in sequence
Slide 7
Goods Movement Goods can be received in the
warehouse as a result of Procurement Production
You received purchased goods in the procurement lab
Goods leave the warehouse Through shipping Through disposal
Slide 8
SteelCase Case 10 plants
Small short-term warehouses to store goods for a matter of hours
6 regional distribution centers
Slide 9
Goods Status Goods in the warehouse can be
Unrestricted Held for a customer or other reason In quality inspection In transit These goods are stored in storage
locations
Slide 10
Goods Status (Example) MB52 Warehouse stock Search for goods in a plant Restrict by materials types
Slide 11
Goods Status (Example)
Slide 12
Goods Status (Discussion) We can sell unrestricted stock Transit/Transf stock is stock in motion Restricted use stock includes
reservations Blocked stock is stock received
“conditionally” pending acceptance
A batch is a subset of stock managed separately from the material itself
Slide 13
Goods Movement (SAP)
Slide 14
Goods Receipt Remember it’s a receipt of goods into
inventory from a vendor Goods receipts are triggered by
Goods received from vendor from purchase
Unplanned receipts Customer returns
Logistics / Materials Management / Inventory Management / Goods Movement
Slide 15
Goods Receipt (SAP) Again, these are configurable Goods receipt (Other) MB1C
Slide 16
Types of Goods Receipts
Slide 17
Goods Issue To review, goods are leaving inventory
typically sold to a customer Goods issue event is triggered by
Planned resulting from a sales order Unplanned
Scrap / internal consumption / sampling
Slide 18
Goods Issue (Types)
Slide 19
Internal Warehouse Processes What happens in the warehouse stays in
the warehouse We are just moving goods around. We
are not revaluing them, buying them, or selling them
We will discuss in 2 parts The organizational units The processes of moving goods
Slide 20
WM Organizational Units A warehouse number defines a
warehouse complex made up of one or many buildings
Within a warehouse we have storage types We can configure as a
physical or logical subdivision of the warehouse complex
Slide 21
WM Organizational Units
Slide 22
WM Organizational Units There will likely be several storage
bins having the same storage type Storage bins belong to a section and
picking area (other organizational units), and have a capacity (weight, units, or both)
Slide 23
WM Config We have transaction codes to create
warehouses, storage types and other needed OUs
Slide 24
WM Organizational Units
Slide 25
WM Bin Reports We can look at bin utilization and time
in bin
Slide 26
WM Bin Creation We create storage bins based on
templates or perhaps manually
Slide 27
WM Organization Doors are locations where goods are
received or shipped
Slide 28
WM Organization (Door) Doors are configured through the IMG
Slide 29
WM Processes We add additional steps to move goods
from GR loading area to the warehouse (bins)
We add additional steps to move goods from warehouse to GI loading area
And a bunch of steps within the warehouse itself to do the picking and packing
Slide 30
Transfer Postings Change the status of a material in stock
Unrestricted use QA / QC Blocked In transit
Transfer postings do not always result in the physical movement of goods They might just change the logical status
of a good
Slide 31
Transfer Postings (Examples) From vendor owned inventory to
company owned inventory The vendor stores their materials in our
warehouse (consignment stock) Change a material’s characteristics
over time
Slide 32
Transfer Postings (Movement Types) Selected transfer postings
Slide 33
Process Example (GR) We receive goods into an interim
storage area We move goods into the warehouse
through a stock transfer
Slide 34
Process Example (GR) I issued a GR for a purchase order
where WM is enabled The goods are received into a holding area
with a storage bin corresponding to the PO
Slide 35
Process Example (GR) The detail shows
‘interim storage
Slide 36
Process Example (GR) We create a transfer order to put away
the material
Slide 37
Process Example (GR) And finally the transfer order gets
processes (here we put away)
Slide 38
Process Example (GR) And now my goods show up in the bins
Slide 39
Stock Transfers Use to physically move materials from
one organizational level to another Plant Storage location Etc.
Slide 40
Types of Stock Transfers Storage location to storage location Plant-to-pant transfer Company-code-to-company-code
transfer
Stock transfers do not take into account Transportation costs Negotiated value or changes in pricing Stock Transport Orders satisfy this
need
Slide 41
Stock Transfer (SAP)
Slide 42
Stock Transfer (Illustration)
Slide 43
Stock Transfer (Details) The procedure can be performed two
ways 1-step process
Goods issue and goods receipt happen at the same time
2-step process Goods go through an in-transit status
between goods issue and goods receipt A FI document is generated to record
the change in inventory
Slide 44
Stock Transport Orders These orders account for delivery and
stock in transit Billing can also be performed Valuation can be changed Progress of the transport can be tracked The sending plant is the seller and the
receiving plant is the buyer
Slide 45
Warehouse Organizational Data First, the warehouse management sub
system must be enabled for the following to work
Enabling the warehouse management process involves additional steps in the goods issue and goods receipt phase
Slide 46
Fulfillment Steps After outbound delivery and before
goods issue Warehouse issues transfer orders
Create and confirm Goods physically move from storage bins
(locations) to interim storage
Slide 47
Production (steps) The same confirmations are made
When raw materials are issued to production
When finished goods are transferred back to the warehouse
Slide 48
WH Controlling
Slide 49
WH Controlling
Slide 50
http://www.tcodesearch.com/transaction-codes/search?module=LE&comp=LE-WM&desc=Warehouse%20Management
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