... Foreword... 17... Introduction... 21 1... SAP Transportation Management Foundations... 43 1.1... SAP Business Suite and SAP NetWeaver... 43 1.1.1... Layers and Components of an SAP System... 44 1.1.2... SAP NetWeaver Application Platform... 47 1.1.3... SAP NetWeaver Functions that Support Business Applications... 50 1.1.4... Important Business Concepts in SAP Systems... 53 1.1.5... SAP NetWeaver Application Components... 56 1.2... SAP TM as Part of the SAP Business Suite... 58 1.2.1... SAP TM... 60 1.2.2... SAP ERP... 61 1.2.3... SAP Event Management... 66 1.2.4... SAP Environment, Health, and Safety Management... 67 1.2.5... SAP Global Trade Services... 67 1.2.6... SAP Extended Warehouse Management... 68 1.2.7... SAP Advanced Planner and Optimizer... 69 1.2.8... SAP Customer Relationship Management... 70 1.2.9... SAP Billing and Revenue Innovation Management... 72 1.3... Functional Overview of SAP TM... 73 1.3.1... Mode of Operation of SAP TM... 78 1.3.2... Overview of the Following Chapters... 85 2... Solution Architecture and Technological Concepts... 89 2.1... Technological Foundation of SAP TM... 91 2.1.1... Storing Data in the BOPF... 92 2.1.2... Data Processing with the BOPF... 99 2.1.3... Business Add-ins... 104 2.2... User Interface Technologies... 106 2.2.1... Floorplan Manager and Floorplan Manager BOPF Integration... 109 2.2.2... Defining User-Specific Roles and Menus... 112 2.2.3... Filtering Roles for SAP NWBC... 114 2.2.4... Customizing Screen Areas... 116 2.3... Frameworks and Tools Used throughout SAP TM... 116 2.3.1... Condition Framework Using BRF+... 117 2.3.2... Incompatibilities... 125 2.3.3... Post- Processing Framework... 129 2.3.4... Document Creation... 132 2.3.5... Optimizer... 132 2.3.6... SAP Visual Business... 133 2.3.7... Process Controller Framework... 135 2.4... Integration Technology with SAP TM... 136 2.4.1... SOA- based Integration with SAP NetWeaver PI... 137 2.4.2... Integration with SAP NetWeaver PI without Predefined Content... 145 2.4.3... Monitoring Integration Messages with Service Interfaces... 148 2.4.4... RFC- based Communication... 150 2.5... Conclusion... 151 3... Master Data... 153 3.1... General Master Data... 155 3.1.1... Organizational Structure... 156 3.1.2... Product... 165
3.1.3... Dangerous Goods... 170 3.1.4... Business Partner... 177 3.1.5... Transferring Master Data between SAP ERP and SAP TM... 184 3.2... Transportation Network... 193 3.2.1... Locations... 194 3.2.2... Transportation Zones... 199 3.2.3... Transportation Lanes... 204 3.2.4... Schedules... 211 3.2.5... Transshipment Locations... 226 3.2.6... Default Routes... 230 3.2.7... Trade Lanes... 236 3.2.8... Transportation Network Cockpit and Overview POWL... 238 3.2.9... Integration of Geographical Information Systems... 242 3.3... Resources... 246 3.3.1... Vehicles and Trailers... 247 3.3.2... Calendars and Handling Resources... 260 3.3.3... Transportation Units and Equipment... 262 3.3.4... Defining Resources... 265 4... Transportation Requirements and Order Management... 271 4.1... Integration of SAP ERP Documents... 273 4.1.1... Sales Order Integration... 276 4.1.2... Integration of Materials Management Orders... 281 4.1.3... Order- based Transportation Requirement... 282 4.1.4... Integration of Deliveries... 290 4.1.5... Integration Scenarios... 291 4.1.6... Sales Order Scheduling... 298 4.2... Forwarding Orders and Forwarding Quotations... 300 4.2.1... Forwarding Orders... 303 4.2.2... Charge Estimation... 336 4.2.3... Forwarding Quotations... 338 4.2.4... Creating Orders and Quotations with Reference... 344 4.2.5... Summary... 349 5... Transportation Capacity Management... 353 5.1... Capacity Management Process... 354 5.1.1... Overview... 354 5.1.2... Systematically Creating Schedule-based Freight Documents... 361 5.1.3... Schedule Change Management... 363 5.2... Allocations... 364 5.3... Business Shares... 372 5.4... Freight Bookings... 375 5.4.1... Ocean Freight Bookings... 376 5.4.2... Air Freight Bookings... 387 6... Transportation Planning... 393 6.1... Freight Units... 395 6.1.1... Freight Unit Definition... 395 6.1.2... Properties of Freight Units... 397 6.1.3... Creating Freight Units... 404 6.2... Transportation Units... 410 6.2.1... Transportation Units, Freight Units, and Freight Orders... 410 6.2.2... Trailer Units... 412 6.2.3... Railcar Units... 416 6.3... Manual Planning... 417
6.3.1... Planning Strategies... 418 6.3.2... Profiles and Settings... 419 6.3.3... Configuring the Transportation Cockpit... 427 6.3.4... Hierarchical View and Dual View... 435 6.3.5... Using the Transportation Cockpit... 443 6.3.6... Transportation Proposal... 454 6.3.7... Scheduling... 461 6.4... Automated Planning... 463 6.4.1... Background Planning and Vehicle Scheduling and Routing... 464 6.4.2... Configuring Optimizer Settings... 467 6.4.3... Vehicle Scheduling and Routing: Planning Objectives... 471 6.4.4... Vehicle Scheduling and Routing: Planning Constraints... 477 6.4.5... Vehicle Scheduling and Routing: Optimization Algorithm... 488 6.4.6... Explanation Tool... 489 6.4.7... Load Optimization... 492 7... Carrier Selection and Subcontracting... 495 7.1... Carrier Selection... 496 7.1.1... Process... 496 7.1.2... Objective of the Carrier Selection Optimizer... 500 7.1.3... Constraints... 505 7.1.4... Configuration... 511 7.2... Freight Order Management... 515 7.2.1... Freight Order: Configuration and User Interface... 516 7.2.2... Special Processes with Freight Orders... 526 7.2.3... Service Orders... 530 7.3... Freight Tendering... 532 8... Transportation Execution and Monitoring... 541 8.1... Transportation Execution... 542 8.1.1... Document Creation... 543 8.1.2... Discrepancies... 554 8.1.3... Export/Import Processing... 557 8.1.4... Statuses... 568 8.2... SAP Event Management... 575 8.2.1... Event Handlers and Event Messages... 578 8.2.2... Event Management Processes... 584 8.2.3... SAP Event Management Configuration... 588 8.2.4... Event Messages and Event Processing... 601 8.2.5... End User Interaction, Lists, and Background Processing... 605 8.2.6... Preconfigured Event Management Content... 608 8.2.7... Integrating SAP Event Management with Other Components... 610 9... Transportation Compliance... 613 9.1... SAP Global Trade Services... 616 9.1.1... Functionality Overview... 618 9.1.2... Integration of SAP GTS and SAP TM... 622 9.1.3... Export Compliance for Sanctioned Party Screening and Embargo Checks... 626 9.1.4... Export Customs Services... 630 9.1.5... Import Customs Services... 636 9.2... SAP Environment, Health, and Safety Management... 639 9.2.1... Dangerous Goods Regulations... 640 9.2.2... Dangerous Goods Classification... 641 9.2.3... Requirements for Dangerous Goods Checks in Transportation... 642 9.2.4... SAP ERP Master Data for Dangerous Goods and Shipper Handling... 645
9.2.5... Dangerous Goods-related Integration and Process Flow between SAP ERP and SAP TM... 646 9.2.6... Configuration of Dangerous Goods Checks for SAP TM... 649 9.2.7... Dangerous Goods Content Loader... 651 9.2.8... SAP TM Application Level Setup for Dangerous Goods Support... 652 9.2.9... Dangerous Goods Data and Checks in SAP TM... 654 10... Transportation Charge Management... 657 10.1... Charge Calculation Master Data... 659 10.1.1... Contract Management with Agreements... 661 10.1.2... Transportation Charge Calculation Sheet... 671 10.1.3... Rate Tables... 677 10.1.4... Service Products and Standard Operating Procedures... 685 10.2... Contract Determination... 691 10.2.1... Contract Determination Logic... 692 10.2.2... Setup of Contract Determination... 696 10.2.3... Preconditions for Contract Determination... 697 10.3... Charge Calculation Logic in Selling, Buying, and Internal Invoicing Processes... 699 10.3.1... Charge Calculation Logic for Selling and Buying Processes... 700 10.3.2... Charge Calculation for Air Freight... 711 10.3.3... Business Scenarios for Charge Calculation... 716 10.4... Strategic Customer and Vendor Contract Management... 723 10.4.1... Strategic Customer Management... 725 10.4.2... Strategic Freight Procurement... 730 11... Charge Settlement... 745 11.1... Charge Settlement and Billing... 747 11.1.1... Creating Forwarding Settlement Documents... 748 11.1.2... Structure of Forwarding Settlement Documents... 757 11.1.3... Integrating Forwarding Settlement Documents with SAP ERP Sales and Distribution... 760 11.1.4... Business Scenarios in the Forwarding Settlement Process... 766 11.1.5... Creating Freight Settlement Documents... 771 11.1.6... Structure of Freight Settlement Documents... 774 11.1.7... Integrating Freight Settlement Documents with SAP ERP Materials Management... 776 11.1.8... Credit Memos... 787 11.2... Cost Distribution and Internal Settlement... 790 11.2.1... Cost Distribution... 792 11.2.2... Internal Settlement... 799 11.2.3... Profitability Analysis... 808 11.3... Settlement with SAP Billing and Revenue Innovation Management... 809 12... Integration with Other Components... 817 12.1... Analytics... 819 12.1.1... Business Intelligence Content... 822 12.1.2... Data Provisioning and Operational Reporting... 828 12.1.3... Embedded Analytics with Business Context Viewer... 835 12.2... SAP EWM Integration... 839 12.2.1... Introduction to SAP EWM... 842 12.2.2... Integrating with SAP ERP... 844 12.2.3... Standard Integration Scenarios... 846 12.3... Collaborative Transportation Management... 865 12.3.1... Mobile Applications... 866 12.3.2... Collaboration Portal... 873 13... Transportation Processes for Shippers... 877
13.1... Overview of Scenarios... 877 13.1.1... Outsourced Transportation... 878 13.1.2... International Outbound Transportation... 880 13.1.3... International Inbound Logistics... 883 13.1.4... Domestic Inbound Transportation... 885 13.1.5... Domestic Outbound Transportation... 887 13.1.6... Shipper Scenarios Summary... 889 13.2... Shipper Scenario Configuration... 890 13.2.1... Basic Setup in SAP TM... 891 13.2.2... Basic Setup in SAP ERP... 893 13.2.3... Setup for Cost Distribution in SAP ERP... 894 13.2.4... Defining Master Data in SAP ERP... 895 13.2.5... Defining Master Data in SAP TM... 896 13.2.6... Order Management Customizing... 898 13.2.7... Configuration of Planning in SAP TM... 900 13.2.8... Freight Order Management Settings in SAP TM... 904 13.2.9... Configuration of Transportation Charge Management and Freight Settlement in SAP TM... 908 13.2.10... Configuration Summary... 912 13.3... Retail Scenario... 913 13.4... Conclusion... 918 14... Transportation Process for Less than Container Load in Ocean Freight... 921 14.1... Ocean Freight Process Overview... 922 14.2... Ocean Freight Process Configuration... 927 14.2.1... Partner and Organizational Master Data Setup... 927 14.2.2... Freight Order Management... 929 14.2.3... Schedule and Booking Setup... 931 14.2.4... Order Management Customizing... 934 14.2.5... Network and Planning Configuration... 936 14.2.6... Transportation Charge Management... 938 14.2.7... Settlement Configuration... 942 14.3... Running the Ocean Freight Process... 942 14.3.1... Export Process... 943 14.3.2... Import Process... 956 15... Transportation Process for Air Freight- Forwarding... 965 15.1... Air Freight Process Overview... 965 15.2... Air Freight Process Configuration... 970 15.2.1... Partner and Organizational Master Data Setup... 970 15.2.2... Organizational Setup... 972 15.2.3... Basic Customizing and Settings... 973 15.2.4... Flight Plans and Capacity Booking Types... 976 15.2.5... Order Management Customizing and Configuration... 981 15.2.6... Planning Configuration... 982 15.2.7... Subcontracting Configuration... 984 15.2.8... SAP TM Transportation Charge Management... 985 15.2.9... Settlement Configuration... 988 15.3... Running the Air Freight Process... 989 15.3.1... Creation of Capacity Bookings and Four- Week Flight Plan (Steps 1 and 2)... 991 15.3.2... Creation of Air Freight-Forwarding Orders and HAWBs (Steps 3 6)... 992 15.3.3... Pickup, Cargo Receipt, and Compliance (Steps 7 9)... 995 15.3.4... Pre- Carriage from Export Station to Gateway (Steps 10 and 11)... 995 15.3.5... Load Planning, MAWB Close, and Uplift (Steps 12, 13, and 15)... 997 15.3.6... Financial Processing in the Export Organization (Step 14)... 999
15.3.7... Import Handover and Transactional Processing (Step 16)... 1001 15.3.8... Import Cargo Handling and On-Carriage (Steps 17 20)... 1001 15.3.9... Cargo Delivery and Import Billing (Steps 21 27)... 1002 15.3.10... Final Process State... 1003 16... Implementation Best Practices... 1005 16.1... Best Practices for Implementing SAP TM... 1006 16.1.1... Large Transportation Management System Installations... 1007 16.1.2... Using Preconfigured Sample Scenarios... 1009 16.1.3... Using Rapid Deployment Solutions... 1010 16.1.4... Onboarding Customers in SAP TM Installations... 1012 16.1.5... Using Central Control Elements in SAP TM Setup... 1014 16.1.6... Optimizing the Sequence of SAP TM Configuration... 1020 16.1.7... Understanding SAP TM s Strengths and Limitations... 1023 16.1.8... Enhancing SAP TM via Custom Development... 1025 16.2... Liner Shipping with SAP TM... 1026 16.2.1... Architecture and Functional Coverage of the Liner Solution... 1027 16.2.2... Specific Liner Enhancements and Add-ons... 1037 16.2.3... Enabling the End-to-End Liner Process... 1042 17... Summary and Outlook... 1047... Appendices... 1051 A... Additional References... 1053 B... Abbreviations... 1055 C... The Authors... 1061... Index... 1065