SAP WAREHOUSE MANAGEMENT SYSTEM FOR A WAREHOUSE OF AUXILIARY MATERIAL IN THE SELECTED COMPANY. Vieroslav MOLNÁR

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1 SAP WAREHOUSE MANAGEMENT SYSTEM FOR A WAREHOUSE OF AUXILIARY MATERIAL IN THE SELECTED COMPANY Vieroslav MOLNÁR Technical University of Kosice, Kosice, Slovak Republic, EU Abstract: In this paper, a flowchart of manipulation with auxiliary material and basic requirements for implementation in the warehouse subsystem of the selected company are presented. The proposed warehouse operated with WMS and Kanban performs better in terms of simpler receiving of the auxiliary material and also information about the levels and location of the material. Keywords: SAP WMS, System KANBAN, auxiliary material 1. INTRODUCTION The reason of this article is an ineffective storage of non-produced material which creates faults by material stocktaking (low clarity of position, limited information about amount and kind of warehouse material, as well as by handling and storage of non-produced material to the concrete shelf). The proposed solution eliminates shortcomings and problems by non-produced material storage by the help of Warehouse Management System (WMS) implementation to the SAP where it is possible to change material flow. 2. METHODICAL BACKGROUNDS OF THE PROPOSED VARIANT In the case of the SAP system implementation with the module WMS it was important to identify some of the aspects which contribute for the change of process procedure of non-produced material entry to the warehouse [1,2]. The basic material entering to the system is changed from static point position of the material to the dynamic. It depends on the basic properties of the material. Predefinition of the material is performed on the base of information about non-produced material. These are obtained from supplier who determines the properties and technical specification of the material. In this way the SAP system chooses the best possible position in the warehouse (shelf) where all places are right marked and entered to the ERP system [3]. The Fig. 1 presents the procedure of the proposal. 1. Disitribution of the warehouse by the kind of material 2. Retraining of the present employees 3. Material packaging 4. Technical equipment of the warehouse 5. Change of logistical processes 6. Discharge of the material to the warehouse Discharged material directly to the production Fig. 1 The procedure of optimal proposal 2.1 Distribution of the warehouse by the kind of material The basic step is the definition of warehouse properties by criteria of the Fig. 2. If we had measurement material, we would find equivalent storage place which does not limit possible material handling. The material with higher weight is warehoused to the lowest free positions of the warehouse because of its safe handling. The next criterion is the quantity in which the material comes in a consignment. The possible criterion is also turn back of the material [4].

2 Non-produced Nevýrobný materiál material (NVM) Small packages Malé zásielky Rozhodovanie Decision-making podľa vlastností by the properties NVM of NVM Big Veľké packages zásielky Materials for the Materiály warehouse pre sklad Materials for the Materiály warehouse pre sklad Súčiastky Parts of machines strojov a and zariadení devices, malé small zásielky packages Pomocné Auxilliary material, gloves, materiály, shoes, etc. rukavice, topánky atď. Baliace Packing materiály, material, silicone silikóny glues, lepidlá small malé packages zásielky Veľké Big parts súčasti of strojov machines a zariadení and na paletách devices at väčšie the pallettes, množstvá higher volumes Veľké Big auxilliary pomocné materials, materiály, more, väčší at počet, the pallettes uložené na paletách Fig. 2 Proposal of separation for the shipments of non-produced material by the size 2.2 Retraining of the present employees It is necessary to determine the rules of the entry for the handling and entry of material to the warehouse of non-produced material. Consequently the workers of logistics ought to teach in about the changes of the process of non-produced material entry to the warehouse by suitable way [5,6]. It is important to train in the department of material entry because the material is advance divided by specifications to the warehouse 1020 or 1040 by the kind and properties of non-produced material. The train in the case of employees consists of instructions about application of new operation process by material entry to the warehouse Corresponded employee of the enterprise performs the train. 2.3 Material packaging The material is packed by predetermined specifications in supply enterprises. These are prescribed for each type of material. Packaging of the non-produced material is not realized by reason of redundant handling with this type of material (packaging materials, adhesives, silicones, received parts to mechanisms and devices). 2.4 Technical equipment of the warehouse On the basis of improving of warehouse management functions, it is necessary to improve some basic function of the warehouse by the help of more effective techniques and warehouse equipment. The basis

3 is an implementation of higher WMS to the warehouse management of the present SAP system [7]. It improves the function and also warehouse operation on the score of material deducibility and its basic information about material (amount and control of amount for non-produced material in the warehouse). The next reason is monitoring of the storage position in the warehouse. Static default positions of material storage to the shelf with the concrete mark is changed to dynamic. The advantage is that the system of the warehouse management system determines itself the position in the warehouse and also in the shelf by the help of warehouse structure marking which is predefined as bin in the SAP system. Material storage is marked by labels HU which are automatically printed by the SAP WMS and by the help of the operator the marked material is transferred to the aimed point to Hand Over Zone. Information loading is held by a scanner installed in the SAP system. Then it is determined location and position in the shelf. The main benefit is that the determination of the position in the shelf and its confirmation will be executed be after loading of shelf mark (its bin code), then it is loading the HU of the material what confirms its storage. Requisite technical equipment: printer of the A5 format and accessing of the system to the enterprise network which is already used in the warehouse. 2 PC of scanner for receipt and outgoing of non-produced materials (Fig. 3). 2.5 Change of logistical processes Fig. 3 Scanner for material handling in the SAP system Change of logistics process relates to the non-productive material entry to the SAP system where the material is divided by kind and properties. The decision-making is performed by predefined criteria and material properties in the process and it is also evaluated the concrete material storage in the case that the package is into the warehouse 1040 in the logistical centre (LSC) by the help of predefined bins. The advantage is the dynamics by material storage and better clarity about the material in the case of the amount and the date of entry (it is important to use sooner accepted material). In the case of small packages the process of the entry does not change. The entry and out is in the warehouse On the present all non-produced materials are received in the warehouse The proposed solution eliminates handling with bulky material in the production and its other disadvantages. Material entry to the warehouse is determined by the scanner which after the HU number scanning evaluates the best part of the shelf. By storage it is scanned the bin number of the concrete part of the shelf where it is stored and HU numbers are loaded to the SAP system. The material will be removed to the production to the warehouse In the other case the material is expended directly to the production and it is from the reason of of the urgency or additions of material.

4 Sklad Warehouse NVM of 1020 NVM 100 Výroba Production In 3 Warehouse Sklad VMof VM The zone Zóna of the príjmu receipt 1 Rampa Proposal of the outgoing process NVM Návrh procesu príjmu NVM The present Súčasný process of proces outgoing príjmu NVM NVM in GFT v GFT Out Warehouse of of Sklad NVM NVM NVM 104Nonproduced material (NVM) 0 Fig. 4 Receipt of non-produced material (NVM) in the enterprise Warehouse of LSC Sklad LSC Processes by the non-produced material entry to the warehouse 1040 in LSC by the Fig Receipt of the material to the zone for the receipt of the material to the warehouse. 2. Material handling to the control check point of the enterprise where the material is sorted from the supply enterprise. 3. Proposal of material storage by the proposed procedure. 4. Material expedition to the warehouse 1020 in order to amount check and receipt to the system SAP and MS Access. 5. Removal of measurement material to the warehouse 1040 in the logistics centre (LSC). Processes by non-produced material outgoing from the warehouse LSC by Fig Direct outgoing of non-produced material to the production for the supply of operations introduced in the proposal. 2. Non-produced material outgoing to the LSC warehouse introduced in the proposal. 3. Conditional non-produced material outgoing with the issue card from the warehouse 1020 introduced in the proposal. 4. Present non-produced material outgoing to the production through the warehouse Outgoing of non-produced material with the issue card to the production.

5 5 Sklad Warehouse NVM of NVM Výroba Production 3 4 Výroba Production The zone Zóna of the príjmu receipt In Warehouse Sklad VMof VM Rampa 1 Direct outgoing Priamý výdaj Proposal of the outgoing process NVM Návrh procesu výdaja NVM The present process Súčasný of proces outgoing výdaja NVM NVM in GFT v GFT 2 Out Warehouse Sklad Warehouse of Sklad NVM NVM Sklad Warehouse LSC of LSC Fig. 5 Non-produced material outgoing in the enterprise 2.6 Material removal to the warehouse 1020 Outgoing on the Kanban circuit is important in this procedure where on the basis of issue card receipt in the warehouse 1020 the worker of the warehouse issues the order for material outgoing by the help of Kanban in the warehouse The worker of the warehouse 1040 accepts the material outgoing on the basis of Kanban s label printing which is conditional on the order to outgoing from the warehouse By the help of information from Kanban the worker delivers material from the warehouse. The material is cleared from the warehouse 1040 and it is assigned to the warehouse 1020 where it is imported and stored by storekeeper. The process of Kanban starts at the moment when the employee sends the instruction for material discharge to the warehouse 1040 included with the label and order. Then at the same time the worker of logistics of the warehouse 1040 accepts the instruction for the component or product discharge in the concrete amount. 2.7 Material destined directly to the production The material is supplied continuously to the production by the help of Kanban system (because of elimination of collapse in the production). This process displays used material in the production and it prints automatically the label with the kind of material supplied to the correspondent zones. The red label HU in

6 the SAP system marks the used material. Green label HU marks full unbroached items of the material stored in the warehouse. Kanban system is predetermined in such a way that in the case of material running out the SAP system automatically notifies warehouse worker (Fig. 6) by red marked label on the monitor in the system SAP what presents the mark that the material is depleting and in this case it is necessary to fill material. In the other case it notifies by automatically label printing for material filling whereby the label contains the kind, position of material and amount. Table Kanban customer view For empty For full Material Field of production supply Mark of OZV Amount per Kanban Basic MJ Fig. 6 Sample of the table Kanban in the system SAP 3. CONCLUSION The result of this proposal is detail flow chart, designed by points of the chapters This is not a part of this article because of its range. This proposal for the creation of regulated warehouse WMS with Kanban circuit shows the best values which relate to the simplification of the non-produced material receipt, as well as clarity about the state and position of the material. ACKNOWLEDGEMENT This work is a part of research project VEGA 1/0922/12 Research of effect of material characteristics and technological parameters of conveyor belts on size of contact forces and resistance to motion in pipe conveyors with experimental and simulation methods. LITERATURE [1] SAP system [online]. [cit ]. < [2] Warehouse management [online]. SAP WM system, [cit ]. < [3] GWYNNE, R.: Warehouse management, printed in INDIA: Replica Press Pvt Ltd, 2011, p. 344, ISBN [4] Handling unit management [online]. SAP HUM system, [cit ]. < [5] KHOURI, Samer - KAČMÁRY, Peter. Optimalizácia tokov informácií v modelovej firme prostredníctvom zavedenia ERP systému. In: Doprava a logistika. Mimoriadne č. 6 (2009), s ISSN X. [6] CHABADOVÁ, Lenka - KAČMÁRY, Peter - IŽOLOVÁ, Jana. Možnosti aplikácie metód hodnotenia výrobnej stratégie podniku. In: Zborník vedeckých prác doktorandov Košice : TU, F BERG, 2011 S ISBN [7] VIRDZEK, Peter - FEDORKO, Gabriel. Change evaluation model for production 7process from productivity point of view. In: Výrobné inžinierstvo. Roč. 4, č. 2 (2005), s ISSN