1.

             Concept of Warehouse Management  

                                Master Data  

  Define control parameters for warehouse no

A warehouse number is an organizational unit in logistics that represents the company from the
warehouse management view.

In the Warehouse Management System (WMS), you can define various control parameters at the
warehouse number level. The control parameters will be:

1)     Weights / units of measure

2)     Storage unit management is active or not

3)     Checking the data for capacity check

      Define Number ranges

Define the number ranges for the objects which have automatic number assignment in the
Warehouse Management system.  These are:
   Transfer requirement

  Transfer order

  Quant

  Posting change notice

  Group

If you are using Storage Unit Management, you must take the following objects into account:

 Number range for storage units

The number ranges for the storage units cover all the warehouse numbers.

 Type of number assignment for storage units

Actions

1. Decide which number ranges you require for assigning the document numbers in the Warehouse
Management system.

2. Create the number range intervals.

The following action is only required if you are using Storage Unit Management:

3. Create the number range LE for assigning the storage unit numbers and the respective assignment
type (column VA).  Via the assignment type, you can define per warehouse number whether, for
example, external or internal storage unit numbers are to be managed.  

4. Conversion of the storage unit number in Warehouse Management, you can determine per client (!)
how the storage unit number is to be converted.  For information on the different input options, refer to
the field documentation.  
Define Storage Type

A warehouse number is divided up into a number of storage types.  A storage type is defined on the
basis of its spatial or organizational features (for example, high rack storage area, bulk storage
area, and goods receipt area).

A storage type has the following features:

 A storage type does not have an address, but a short description.

 It is possible to store storage-type-specific material data.

 Within a storage type, inventory is executed for each storage bin.

Recommendation

These interim storage types (900-999) are required for various postings (for example, GR and GI
postings, and differences) in WM.  When you define your warehouse numbers, copy the interim
storage types from warehouse number 001.

Activities
 1. Create your storage types with the respective descriptions.

2. Copy the interim storage types from warehouse number 001.  

Important Note:  

The placement strategy for ATC, AEC and ECO is decided as Addition to existing stock. So while
creating the storage type, the Put away strategy should be “I” – Addition to existing stock.  

The removal strategy for all the materials without Shelf life expiration date check (SLED) will be FIFI
(Picking strategy – “F”) and for the materials with SLED check will be “H” – Shelf life expiration date.  

There will be two distinguished strategies one for materials without SLED check (Put away strategy –
“I” and Picking strategy “F”) and one for material with SLED check (Put away strategy – “I” and
Picking strategy “H”).

Define Storage Sections

Within a storage type, a storage section is a series of storage bins with the same features. These
bins are used for the purpose of stock placements.

For stock placements, the following features of storage bins can be important:

 distance to the turnover point

 loading capacity

 temperature

Standard settings

In the SAP standard system, sample entries are preset for the respective storage types in warehouse
number 001.

Note

 When you create a storage bin, you must enter a storage section.

 If you are using storage types without sections, you must define at least one storage section
(for example, 001) per storage type.  The storage section in this case is identical to the
storage type.

Activities

Create your storage areas with the corresponding names.  

Important Note:

There will be only one storage section for all ATC, AEC and ECO.  
Define Storage Bins

Storage Bins

In the menu option "Storage bins", you define the configuration for the storage bins in the
Warehouse Management system.

Before you create the storage bins (master data) you should work through this section as well as the
section "Define field usage - Storage bin data".

Define Storage Bin Types

You can divide your storage bins into groups (for example, large storage bins, small storage bins,
and so on).  A suitable storage bin is proposed by the system during stock placement in combination
with the storage unit type.

Actions
 1. Decide whether you want to use the "Storage bin type search".

2. Create your bin types with the corresponding names.  

Important Note:  

Create only one Storage bin type for ATC, AEC and ECO.

D
efine Blocking Reasons

In the Warehouse Management system, you can block the following units for stock placements and
stock removals:

 Storage types

 Storage bins

 Quants

 Storage unit
You can enter the reason for the block (for example, assembly work) using the indicator "Blocking
Reason".

Actions

Create your blocking indicators with the respective descriptions.

Define Storage Bin Structure

In the Warehouse Management system, you can create a sequence of similar storage bins
automatically.

Example for setting up similar storage bins

Define the parameters required for creating storage bins in the table "Storage Bin Structures".

In this table, you must also define which warehouse master data (for example, storage section, fire-
containment section, and so on) you want to create when you generate the structures.

Actions

1. Create your storage bin structures in the detail screen.

2. From the menu bar (detail screen), select: "Environment --> Create bins" to generate your storage
bins.

Note

This function can also be found in the application menu (menu option "Master data").

Material

In this menu option you configure the material master records that are relevant for the Warehouse
Management system.

Before you create the material masters, you should work through this section and the section "Define
field usage - Material master".

Define Storage Type Indicators

With this indicator you can control whether certain materials are placed into or removed from stock in
certain storage types with a higher priority.  This leads to a classification of your materials and allows
you to use the stock placement or stock removal strategies in an optimum way.

Default settings

In the SAP standard system, examples are preset for warehouse numbers 001 and 002.

Actions

1. Classify your materials according to certain criteria (for example, small parts, and materials
for block storage).

2. Create your storage type indicators with the respective descriptions.

Further information

You will find more information on this subject area in chapter "Strategies - Storage type search"

Important Note:

Define 2 storage section indicators – one for the materials with SLED check and one for the materials
without SLED check. In Storage type search you have to define the priority according to materials
without SLED check and materials with SLED check.

Define Storage Unit Types

With the indicator for the storage unit type, it is possible to distinguish pallets or other containers on
which a material is stored or transported.

The classification of your storage units allows you to use the stock placement strategies in an
optimal way.

The storage unit type is taken into account during stock placements if you have activated the
"storage bin type search".
Default settings

In the SAP standard system, examples are preset for warehouse numbers 001 and 002.

ACTIONS

1. Decide whether you want to use the storage bin type search.

2. Classify your storage units (for example, Europallets, wire boxes) according to certain criteria (for
example, certain packing height for Europallets).

3. Create your storage unit types with the respective descriptions/names.  

Define Storage Section Indicators

The storage section indicator divides materials into groups with the same characteristics.  With the
storage section indicator, you can assign certain material groups to special storage sections.

With this classification method, you can use the stock placement strategies in an optimum way.

Default settings

In the SAP standard system, examples are preset for warehouse numbers 001 and 002.

Actions

1. Decide whether you want to use "storage section search".

2. Classify your materials according to certain criteria (for example, fast-moving items, bulky
materials, extremely heavy materials, and so on).

3. Create your storage section indicators with the corresponding description.  

Strategies

In the Warehouse Management system (LE-WM) you support strategies in order to receive
proposals from the SAP System
  Regarding which storage bins the goods are to be put away

 From which storage bins goods are to be picked.

There are two basic strategies in the system:

 putaway strategies

 picking strategies

With the help of these strategies, the SAP system can use the available transfer and warehouse
capacity optimally.

For each storage type, you must define a putaway and a picking strategy.

Recommendation

To be able to take a closer look at the processes involved in the storage bin search (that is, processes
that involve interaction between the materials master data and the data from the system configuration
menu in Warehouse Management), you can use the function "Log Bin Search".

You can call up this function from the preparation screens for stock placements and stock removals
and from the single item screen for creating transfer orders (menu option "Environment").

This bin search log supports, on the one hand, the work of the project team in the implementation
phase and, on the other hand, the analysis of customizing errors during productive operation.

Activate Storage Type Search

For putaway or pick operations, the Warehouse Management System (WMS) must know:

 into which storage types materials can be placed

 from which storage types materials can be removed

In the WMS, a storage type is determined as follows:

1. In the case of a put away, you generally know where the material for the put away is coming from.
In the case of a pick, you generally know to where the material to be removed is to be transferred.  

Information on the location from where the material is to be picked is either stored in the transfer
requirement or determined by the system using the WM movement type.

2. The system must then know into which storage type the material should be placed, or from which
storage type the material should be removed.  The table "Storage type search", which you are setting
here, provides this information.  In this table, you store the preferred sequence of storage types to be
searched for the material for putaways or picks.  

If you have activated the storage unit check, this check also influences the storage type search.  In
this case, the storage unit type from the transfer order is also checked against the allowed storage
units per storage type.  The system finds this information via the table "Allowed storage unit types /
storage type", which you are also setting here. For further information on this subject, refer to the
chapter Storage type search.

3. Furthermore, you can influence the storage type search using other indicators:  
  process indicator (for example, stock placement or removal)  
 storage type indicator from the material master  
 stock category indicator  
 special stock indicator  
 storage class  
  water pollution class (WPC) 
  reference movement type

The indicators storage class and water pollution class influence the storage type search. If you are not
implementing Hazardous Material Management, you do not need to pay attention to these
parameters.

For information on how to activate Hazardous Material Management, refer to the chapter Hazardous
materials".  

4. As mentioned above, different indicators influence the storage type search.  If, however, you are
using storage type indicators and you also have materials with different stock categories or materials
with different special stocks, the number of required entries in the storage type search table can
become quite large.  

To reduce the number of entries, you can define an access strategy for the storage type search table.
With the help of this access strategy, the system determines the required entries in the storage type
search table as follows:

  The system first tries to find a suitable match, that is, an entry in the storage type search
table with all the relevant indicators from the material master and, if available, from the
hazardous material master.

  If the system does not find a suitable entry in the storage type search table, it again tries to
read this table, but this time using the access strategy.

Actions

Set the required parameters for the "Storage type search" in the specified sequence:

1. Storage type indicator

Using the storage type indicator, you can ensure that certain materials are only removed from certain
storage types or placed into certain storage types in the order of preference you have defined.  

You define the valid storage type indicators in the table for "Storage type indicators".  

2. Storage type search

Now define the sequence of storage types to be searched by the system for stock putaway and stock
pick proposals.  

Make sure that you enter the correct indicators for stock putaway and stock pick in the appropriate
column.  

If you want the system to search through the entire warehouse number for a stock pick, enter "***"
(stands for stringent FIFO) as the storage type. The system will then search the entire warehouse for
the oldest stock of the material. The entry "+++" means that the system branches to the user exit to
the stringent FIFO process (MWMTO013).  
If you are using the 2-step picking procedure, make sure that the destination storage type of the
pick step is used as the source storage type for distributing the accumulated quantities. For the
storage type search with the 2-step picking process, define activity type "2" (Column "Activity").  

3. Movement type references

In the Warehouse Management component, you can set up the system so that for each WM
movement types certain storage types are proposed.  If you want to use this mechanism, set up the
necessary reference movement types for the movement types concerned. These reference movement
types must be taken into account in the table "Storage type search".

4. Access optimization for storage type search  

Instructions for access strategy for the storage type search table
Click here to continue...

Activate Storage Section Search

In the Warehouse Management System (WMS), a storage section is found in the following manner:

1. If the WMS is to search for a suitable storage section, it first searches for a suitable storage
type.  The storage type is determined during the storage type search.

2. If the system has found a suitable storage type, it then determines the corresponding putaway
strategy.  It finds this information in the "Storage type" table.

3. Now the system must "know" into which storage section the material is to be placed.  The table
"Storage section search", which you are setting here, provides this information.  This table contains a
preference list for the storage sections into which the materials should preferably be stored.  The
system first searches for a bin in the first storage section.  If it does not find a bin there, it continues its
search in the second section, and so on.

4. In addition, you can influence the storage section search using the following indicators:  

 storage section indicator from the material master  

 storage class 
  water pollution class (WPC)

Note: The WMS only takes the indicators "Storage class" and "Water pollution class" into account if
Hazardous Material Management has been activated.

To find out how to activate Hazardous Material management, refer to the section "Hazardous
materials".
5. In the WMS, you can enter the storage bins for putaway manually.  In this case, the system checks
whether the bin you have entered is in a storage section that is allowed for the material concerned.

Requirements

You must have the storage section check active. This check depends on the strategy you have
chosen.  It can be implemented for all the putaway strategies, with the exception of the Fixed Bin
Strategy.

Actions

Set the required parameters for the "Storage section check" in the sequence specified:

1. Storage section indicator

You can assign a storage section indicator to each material.  This indicator enables you to have
materials placed into storage in special storage sections.

You define the valid storage section indicators in the corresponding table.

2. Storage section search

For each storage section indicator, you can have up to ten storage sections in one storage
type.  During putaway, the system first looks for a bin in the first storage section; if it does not find a
suitable bin here, it goes on to the next section, and so on.

3. Activate the storage section search.