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1 ... Preface Introduction to Warehouse Management Introduction to Warehousing Earliest Examples of Warehousing Tobacco Warehouses in the United States Bonded Warehouses th Century Port Warehousing Warehousing as Part of Physical Distribution Warehousing and Distribution Centers Public Warehousing History of Warehouse Management Systems (WMSs) Early Warehouse Management Systems The Rise of Enterprise Resource Planning (ERP) Summary Basic Warehouse Functions Warehouse Structure Configuring a Warehouse Assignment of the Warehouse Warehouse Control Parameters Storage Type Warehouse Layout Configuration of a Storage Type Data Entry for a Storage Type Storage Sections Storage Bins Storage Bin Types Define Storage Bin Structure Creating a Storage Bin Manually Creating a Storage Bin Automatically Block Storage Bins Creating Blocking Reasons List of Empty Storage Bins Bin Status Report Quants Quant Record Display a Quant Business Examples Basic Warehouse Functions Warehouse Structure Storage Types Storage Bins Quants Summary Stock Management Warehouse Management Data in the Material Master Creating the Material Master Entering Data into WM Screens Types of Warehouse Stock Stock Categories Status of Warehouse Stock Special Stock Batch Management in Warehouse Management

2 Batch Definition Batch Level Batch Number Assignment Creating a Batch Record Batch Determination Shelf Life Functionality Shelf Life and the Material Master Production Date Entry SLED Control List Business Examples Stock Management Types of Warehouse Stock Batch Management Shelf Life Functionality Summary Warehouse Movements WM Movement Types Movement Types in IM WM Reference Movement Types Creating WM Movement Types Assigning Warehouse Management Movement Types Transfer Requirements Automatic Transfer Requirements Create a Manual Transfer Requirement Create a Transfer Requirement for Replenishment of a Fixed Bin Display a Transfer Requirement for a Material Display a Transfer Requirement for a Single Item Display a Transfer Requirement for a Storage Type Deleting a Transfer Requirement Transfer Orders Creating a Transfer Order with Reference to a Transfer Requirement Creating a Transfer Order Without a Reference Cancel a Transfer Order Confirm a Transfer Order Print a Transfer Order Business Examples Warehouse Movements Warehouse Movements Transfer Requirements Transfer Orders Summary Goods Receipts Goods Receipt with Inbound Delivery Inbound Delivery Overview Creating an Inbound Delivery Creating a Transfer Order for an Inbound Delivery Using the Inbound Delivery Monitor Goods Receipt Without an Inbound Delivery Goods Receipt in IM Reviewing the Material Documents Reviewing Stock Levels after Goods Receipt Displaying the Transfer Requirement Displaying the Transfer Order Goods Receipt Without Inventory Management Creating the Transfer Order for the Goods Receipt

3 Displaying Transfer Order for the Goods Receipt Displaying the Stock Levels Business Examples Goods Receipts Goods Receipt with Inbound Delivery Goods Receipt Without an Inbound Delivery Goods Receipt Without Inventory Management Summary Goods Issues Goods Issue with Outbound Delivery Displaying the Sales Order Creating the Outbound Delivery Outbound Delivery Status Creating the Transfer Order Confirming the Transfer Order Posting the Goods Issue for Outbound Delivery Reviewing Material Documents Goods Issue Without an Outbound Delivery Goods Issue in IM Negative Balance in the Warehouse Creating a Transfer Order Multiple Processing Using Groups Definition of a Group Creating a Group for Transfer Requirements Creating Transfer Orders for a Group of Transfer Requirements Definition of a Wave Pick Creating a Group for Outbound Deliveries Creating the Wave from the Outbound Delivery Monitor Using the Wave Monitor Results of the Pick Wave Monitor Picking and Packing Picking Schemes Packing Business Examples Goods Issue Goods Issue with Outbound Delivery Goods Issue Without an Outbound Delivery Picking and Packing Summary Stock Replenishment Internal Stock Transfers Keeping the Warehouse Running Checking Empty Bins Moving Material Between Storage Bins Confirming the Stock Transfer Configuring the Difference Indicator Fixed Bin Replenishment Replenishment and the Material Master Configuration for Replenishment Creating the Replenishment Displaying the Transfer Requirement Creating the Transfer Order Confirming the Transfer Order Reviewing the Stock Overview Posting Changes

4 Posting Change for a Release from Quality Inspection Stock Posting Change from Material Number to Material Number Dividing Batches Among Other Batches Business Examples Stock Replenishment Internal Stock Transfers Fixed Bin Replenishment Posting Changes Summary Picking Strategies Storage Type Indicator Storage Type Search Configuring the Storage Type Search Configuring Storage Section Search FIFO (First In, First Out) Configuring the FIFO Picking Strategy Stock Removal Control Indicators Example of FIFO Picking Strategy LIFO (Last In, First Out) Configuring the LIFO Picking Strategy Example of LIFO Picking Strategy Fixed Storage Bin Fixed Storage Bin in Material Master Configuring the Fixed Bin Picking Strategy Example of Fixed Bin Picking Strategy Shelf Life Expiration SLED Picking and the Material Master Configuring Shelf Life Expiration Picking Strategy Displaying SLED Stock Example of Shelf Life Expiration Picking Strategy Partial Quantities Configuring Partial Quantities Picking Strategy Using the Partial Quantities Picking Strategy Quantity-Relevant Picking Configuring the Quantity Relevant Picking Strategy Quantity-Relevant Picking and the Material Master Record Business Examples Picking Strategies Storage Type Search First In, First Out (FIFO) Fixed Bin Shelf Life Expiration Date (SLED) Summary Putaway Strategies Fixed Bin Storage Fixed Storage Bin in the Material Master Configuring the Fixed Bin Storage Putaway Strategy Stock Placement Control Indicators Example of Fixed Bin Storage Putaway Strategy Open Storage Configuring the Open Storage Putaway Strategy Example of Open Storage Putaway Strategy Next Empty Bin Configuring the Next Empty Bin Putaway Strategy Displaying Empty Bins

5 Example of Next Empty Bin Putaway Strategy Cross-Line Stock Putaway Bulk Storage Near Picking Bin Storage Type Control Definition Search per Level Definition Business Examples Putaway Strategies Fixed Bin Storage Open Storage Next Empty Bin Summary Inventory Procedures Annual Physical Inventory Before the Count Configuring Annual Inventory Processing Open Transfer Orders Blocking the Storage Type Creating Annual Inventory Documents Displaying the Count Documents Entering the Inventory Count Count Differences Entering a Recount Clearing Differences Continuous Inventory Configuring Continuous Inventory Creating a Continuous Inventory Count Document Printing a Continuous Inventory Count Document Entering the Count Results Cycle Counting Benefits of Cycle Counting Materials Management Configuration Steps with Cycle Counting Using the ABC Analysis ABC Indicator and Material Master Cycle Counting Configuration for Storage Type Creating a Cycle Count Document Printing the Cycle Count Document Entering the Cycle Count Zero Stock Check Configuring Zero Stock Check Performing an Automatic Zero Stock Check Performing a Manual Zero Stock Check Business Examples Inventory Procedures Annual Physical Inventory Continuous Inventory Cycle Counting Summary Storage Unit Management Introduction to Storage Unit Management Activating Storage Unit Management Defining Storage Unit Number Ranges Defining Storage Type Control Defining the Storage Unit Type Storage Unit Record

6 Creating a Storage Unit Record by Transfer Order Displaying a Storage Unit Planning Storage Units Planning Storage Units by Transfer Order Receiving Planned Storage Units Recording Differences in Planned Storage Units Storage Unit Documentation Transfer Order Document Storage Unit Contents Document Storage Unit Document Storage Unit Transfer Order Document Putaway with Storage Unit Management Creating a Storage Unit Storage Unit Single Material Storage Unit Multiple Materials Storage Unit Add to Existing Stock Picking with Storage Unit Management Complete Stock Pick Partial Stock Pick Complete Stock Pick with Return to Same Bin Partial Stock Removal Using a Pick Point Business Examples Storage Unit Management Planning Storage Units Putaway with Storage Units Picking with Storage Units Summary Hazardous Materials Management Introduction to Hazardous Materials Classification of Hazardous Materials Master Data Configuration for Hazardous Materials Configuring Hazardous Material Management Hazardous Material Record Creating a Hazardous Material Record Assigning the Hazardous Material to a Material Master Record Hazardous Material Functionality List of Hazardous Materials Fire Department Inventory List Check Goods Storage Hazardous Substance List Business Examples Hazardous Materials Management Storing Hazardous Material Hazardous Material Functionality Summary Electronic Data Interchange (EDI) Introduction to EDI Advantages of Using EDI Types of EDI EDI and IDOCS Using EDI in Warehouse Management Inbound Processing Outbound Processing Business Examples EDI Summary

7 14... Mobile Data Entry Introduction to RF Devices Graphical User Interface Devices Character-Based Devices SAPConsole Functionality Available with SAPConsole Bar Code Functionality UPC Bar Code Format UPC and EAN Bar Code Structure Bar Code Readers Bar Code Reader Technologies Bar Code Support in SAP Systems Configuration for Bar Codes Radio Frequency Supported Processes in SAP WM Defining the Radio Frequency Queue Adding a User for Mobile Data Entry Logging on for Mobile Data Entry RF Menus and WM Processes Radio Frequency Monitor Accessing the RF Monitor Using the Radio Frequency Monitor Business Examples Mobile Data Entry Bar Code Functionality RF Functionality Summary Radio Frequency Identification Technology Introduction to Radio Frequency Identification Mechanism of RFID Electronic Product Code The Wal-Mart RFID Mandate RFID Benefits RFID vs. Bar Codes Types of RFID Tags Tag Classes Active and Passive Tags Current Uses of RFID Electronic Payments Retail Stores Individual Product Tagging Parts Tracking RFID and SAP Supported Functions in SAP AII Outbound Processing (Slap and Ship) Flexible Delivery Processing Generation of Pedigree Notifications Returnable Transport Item Processing Business Examples RFID Summary Cross-Docking Planned Cross-Docking Types of Cross-Docking Types of Material Suitable for Cross-Docking

8 Planned Cross-Docking in SAP Configuration for Cross-Docking Cross-Docking Decisions Cross-Docking Movements One-Step Cross-Docking Two-Step Cross-Docking Cross-Docking Monitor Accessing the Cross-Docking Monitor Cross-Docking Alert Monitor Business Examples Cross-Docking Planned Cross-Docking Cross-Docking Movements Summary Yard Management Introduction to YM Yard Management Configuration Yard Management Structure Yard Management Processes Business Examples Yard Management Summary Developments in Warehouse Management Task and Resource Management Definitions in Task and Resource Management Resource Management Request Management Task Management Route Management Bin Management TRM Monitor Value-Added Services Configuring VAS Creating the VAS Template Creating a VAS Order VAS Monitor VAS Alert Monitor VAS and TRM Summary SAP Extended Warehouse Management Introduction to SAP Extended Warehouse Management History of EWM Integrating SAP EWM and WM Organizational Structure Activity Areas Product Master Transportation Data Resources Documents in SAP EWM Warehouse Tasks Warehouse Orders Inbound Delivery Notification Outbound Delivery Request Processes in SAP EWM

9 Inbound Processing Outbound Processing Internal Warehouse Movements Summary Conclusion Lessons Learned Future Directions Appendices A... Bibliography B... Glossary C... The Author Index

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