SAP EWM : Extended Warehouse Management

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Depending on the number, variety and diversity of products you buy, sell, store and produce, you will have different needs.

Indeed, a pharmaceutical company does not have the same issues as a car manufacturing plant. Their warehouse configuration will clearly be very different. It is also important to note that some small businesses do not even need a warehouse.

Then comes the question: Why use a Warehouse Management system and more specifically SAP : EWM?

For a company, the use of a WMS is a logistic solution, which allows to optimize the organization of the flow of goods, in a warehouse (production plant) or in the storage of the company's stocks, but also off-site. For a distributor, it is an inventory solution allowing to follow and record sales and stocks in order to eliminate errors, but also to be able to report on its sales.

SAP, to adapt to everyone, whatever the size or form of their business, proposes various solutions to be taken into account.

SAP EWM: the different forms of management

Thus, it is important to decide which solution best suits the industry in question.

Lean Warehouse

It is a simplified version of WM. Indeed, it is based on the same principle as WM but does not manage the inventory at the Bin level.

Warehouse Management

Version commonly used in the industry. To put it simply, it allows you to manage fairly "classic" warehouses, in terms of entry/exit, strategy, monitoring, etc.

Extended Warehouse Management

Here, this solution will be especially preferred for complex processes. We then talk about serialization, packaging, resource monitoring, etc.

WM becomes Stock Room Management

Warehouse Management (LE-WM) will be replaced by "Stock Room Management" in S/4 HANA. It will use most of the LE-WM functionalities

To better understand, here is a comparison table between Stock Room Management and EWM, regrouping the different functionalities:

Comparison of Stock Room Management and WM
Comparison of Stock Room Management and WM

If you are interested in discovering more about Stock Room Management / ERP WM, do not hesitate to follow our training dedicated to this subject.

SAP EWM: when and why?

SAP EWM is a warehouse management system very complex but efficient for the optimization of goods flows. This system enables the company's processes to be managed in real time, reliably and securely.

The processes are thus ideally managed, which increases the efficiency and productivity of the company. The SAP EWM system is a complete and modular solution which covers all aspects of warehouse management :

  • Stocks
  • Orders
  • Articles
  • Shipments
  • Locations
  • Transportation / Returns
  • Receipts and issues of goods
  • Suppliers and deliveries
  • Inventories and documents
  • Etc.

It is easy to see the extent of the possibilities offered by SAP EWM. Indeed, the functionalities are multiple and can be adapted to the needs of each company. However, you have to ask yourself if your processes require this much flexibility. Indeed, it should be used sparingly.

An important concept to remember in general, and more specifically in SAP, is the following :

"As much as necessary, but as little as possible". 

Thus, SAP EWM can meet the majority of use cases, but should not be the only solution for all situations. The implementation of an SAP EWM solution must be upstream thinking. Indeed, it must be well thought out and prepared.

In addition, it must be accompanied by an implementation project on your part. In fact, you should know that SAP EWM is not a ready-to-use solution. It is therefore necessary to call upon a specialized integrator for the installation and configuration of the solution.

Finally, it should be noted that the implementation of an SAP EWM solution is a long and complex process. It requires patience and perseverance.

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