Introduction
As a Production consultant I have been asked many time in interview that, am I aware about EWM. So I am making this.
We can say EWM is evolution of Inventory management in SAP
Inventory Management (Storage location) -> Warehouse Management -> Extended warehouse management
Warehouse (WM) vs Storage location (IM)
In Storage location we can get how much stock we have in a location.
But in EWM we can get exactly in which location, at which place the product is exactly located (Storage bin).
Warehouses require larger spaces and are mostly located in remote areas i.e. outside the plant, where large land mass is available. It enables you to store, ship, and distribute your goods from one single location. This makes it easy for you to track and manage your inventory efficiently.
On the other hand, storage facilities are located mostly inside the plant since they need to be easily accessible to customers and for production.
Image of Warehouse in business
Why Extended Warehouse?
In SAP WM has been overtaken by EMW. EWM has the same basic core functionalities as WM but with additional capabilities, such as labor management and internal routing. SAP originally wanted to phase out the WM module by the end of 2025.
Process flow difference – WM vs EWM
EWM also have 2 versions, Like PPDS in APO and PPDS in S4HANA.
- Decentralized EWM – 2 separate client system i.e. we need to do transaction with 2 user credentials
- Embedded EWM – 1 client system.
Here I am explaining the Embedded Extended warehouse Management process
This is embedded PPDS in S4Hana version. So only one system credential is enough. Even though the EWM system will be configured as Logical system (Soul) inside S4Hana. So the transactions which are happening in ERP will be communicated to EWM logical system.
So here the warehouse number need to be created in 2 places both in ERP and EWM as like Plant and Location in ERP and PPDS.
For example
| ERP | EWM |
| WH no: WH1 | WH no: WH1 |
| ERP | PPDS |
| Plant: 1000 | Location: 1000 |
To have a overview about EMW please go through Link
Prerequisites on Basis
Check for Logical system configuration.
Integration with Other SAP Components – Extended Warehouse Management – Basic Settings for Setting Up the System Landscape – Name Logical System
The highlighted one should be there.
Check for Assign Logical System to a Client
Integration with Other SAP Components – Extended Warehouse Management – Basic Settings for Setting Up the System Landscape – Assign Logical System to a Client
Check for Set Up RFC Destination
Integration with Other SAP Components – Extended Warehouse Management – Basic Settings for Setting Up the System Landscape – Set Up RFC Destination
The highlighted one should be there.
Check for the business function in SFW5
Check for the highlighted entries in table TBLSYSDEST via SE16N
Main Part.
Overview on Configuration
To do EWM transaction we have the below configuration to be done at first.
- Define the Plant, Storage location, Shipping point, Warehouse number – 3 digits in ERP System
- Assign ERP Warehouse Number to Plant and Storage Location
- Assign shipping point to plant
- Assign the Shipping point condition to Plant and to Shipping Point
- Assign storage location to shipping point
- Create EWM warehouse numbers – 4 digits
- Create Supply Chain Unit – Tcode – SCPR20 – /SCWM/WH_NUMBER
- Copy Warehouse number combination.
- Create SCU supply chain unit – PED – /n/SCWM/SCUMAIN
- Create BP
- Assign BP & SCU to EWM Warehouse Number
- Creating the EWM parameters related to ERP
- Create plant and shipping point as locations in EWM via program /SAPAPO/create_location
- Validate the same in /n/SAPAPO/LOC3 – shipping point will have SP in prefix
- Create material master in MM01 in storage location and add additional unit of measure
- Check the same in APO via /SAPAPO/MAT1 in global data
- Create the same in EWM via /SCWM/MAT1 at your location
- Define warehouse number control
- Define storage type
- Define storage bin
- Define staging area
- Define storage section
- Define storage BIN type.
- Define storage access type.
- Create storage bin in EWM via /SCWM/LS01 or upload program or using template
- Define Storage bin identifiers
- Define Storage bin structure
- Create activity
- Define activity area
- Assign the storage type to activity area
- Create sorting procedure via upload program /SCWM/SRTUP
- Create staging area
- Create staging area door determination group
- Create warehouse door
- Assign staging area/door determination door determination group
- Assign staging area/Door determination Group to door
- Assign the staging area door determination rule in EWM product – /SCWM/MAT1
- Assign ERP warehouse to EWM warehouse
- Map ERP storage location to EWM
- Assign BP to plant
Organization Structure
In EWM Warehouse is at the top in hierarchy.
Define the below to setup EWM system for doing transaction
Plant – OX10
The company is considered as plant. The plant I created is 1111
Enterprise Structure – Definition – Logistics – General – Define Plant
I would suggest you to better copy the SAP best practice plant. So that you can configure it later.
Storage Location – OX09
You can consider the place where the materials are stored as storage location. Here I created two AFS and ROD. In AFS the finished materials available for sale will be kept which is near by shipping point, so that it can be taken easily. And in ROD the materials just received will be kept and it will be near to loading and unloading point, so that it will be easy to put the materials in to racks whenever its unloaded.
Enterprise Structure – Definition – Materials Management – Maintain storage location
Shipping Point – OVXD
The place were the truck will stand & take the ordered materials to customer
Enterprise Structure – Definition – Logistics Execution – Define Shipping Point
Warehouse Number – EC18 – (This is ECC/ S4HANA Warehouse only 3 digits)
You can consider all the area, Storage location, shipping point… as warehouse.
Enterprise Structure – Definition – Logistics Execution – Define Warehouse Number
Assign ERP Warehouse Number to Plant and Storage Location
Here we are mapping the plant 1111, warehouse EWM and storage location ROD, AFS together
Enterprise Structure – Assignment – Logistics Execution – Assign Warehouse Number to Plant and Storage Location
Assign shipping point to plant
Here we have to assign the shipping point SHPP to newly created plant 1111
Enterprise Structure – Assignment – Logistics Execution – Assign shipping point to plant
Assign the Shipping point condition to Plant and to Shipping Point
Here we need to do the sales configuration of Shipping condition
Logistics Execution – Shipping – Basic Shipping Functions – Shipping Point and Goods Receiving Point – Determination – Assign Shipping Points
Assign storage location to shipping point
Here we have to assign the storage location to the shipping point
Logistics Execution – Shipping – Basic Shipping Functions – Shipping Point and Goods Receiving Point – Determination – Assign Goods Receiving Points for Inbound Deliveries
Define Warehouse Numbers – (This is for EWM system)
Later we create Warehouse number for ERP and now we have to create it for EWM Logical system.
SCM Extended Warehouse Management – Extended Warehouse Management – Master Data – Define Warehouse Numbers
Create one Business Partner in supplier
Transaction code BP, see Link to how to create. It need to be maintained in SCU.
Party Entitled to Dispose (PED) : Ownership of the Material
If EWM warehouse is connected to more that one plant then stock for those plant in EWM warehouse will get differentiated with Ref to PED
Create supply chain unit
SCU is Physical location i.e. Address to our warehouse.
Transaction code: /SCMB/SCUMAIN – created SCU-WEWM , Type 1008. Also you need to maintain the alternatives. Otherwise you could not assign it to Warehouse.
Assign warehouse numbers to SCU.
Assign the Owner, PED, SCU to the warehouse. All are BP
SCM EWM – EWM – master data – Assign warehouse numbers
Creating the EWM parameters related to ERP
Integration with other SAP system – Extended warehouse management – Basic settings for EWM linkage- configure EWM specific parameters
When you create the warehouse number in ERP it will automatically create this entry. Here you need to change the external WM as EWM.
Define Warehouse number control
Here you can define the dimensions for the warehouse and it will be populated to your bin type while creating it.
SCM Extended Warehouse Management – Extended Warehouse Management – Master Data – Define Warehouse Number Control
Create plant and shipping point as locations in EWM via program /SAPAPO/create_location via SE38
This will create the location (1111) and shipping point (SP_SHPP) in EWM.
You can check the same in /n/SAPAPO/LOC3
Shipping point will have SP in prefix
Define storage type
There are different types of storage location. All are differentiated by the storage type role.
Standard Storage Type, A Identification Point , B Pick Point, C Identification and Pick Point, D Staging Area Group, E Work Center, F Doors, G Yard, H Automatic Storage Retrieval (Material Flow Control), I Work Center in Staging Areas Group, J Automatic Warehouse (Controlled by MFS), K Production Supply
You can ask why this door and staging area are considered as storage type because on these area also the materials will be stored for some time. Since these are also considered as storage types.
SCM EWM – EWM – master data – define storage type
For Normal storage type please maintain these
confirm put away , Put away complete, Delete stock identification , put away rule 4 – addition to existing stock, Confirm removal, availability group 002, Storage type role as empty
For Staging area storage type please maintain these
conf put away , Confirm removal, put away rule – General storage area, Storage type role D
For production we mostly use Production supply area.
Define Storage section
In same storage type we may have multiple sections. Here I have created 2 sections per storage type
SCM EWM – EWM – master data – Storage section
Define Storage Bin type.
In same storage type rack different types of bin will be there. So its need to be defined in system
SCM EWM – EWM – master data – Storage bin – Storage bin Type
As mentioned earlier these highlighted values coming from warehouse control number
Define Storage bin access type.
Fork lift, Manual, Reach truck, Order Picker. It will define how the bins can bee accessed.
SCM EWM – EWM – master data – Storage Bin – Storage bin access type
Define Storage bin
We can create storage bin by following method
1.Create storage bin : /n/SCWM/LS01
2.Generate storage bin using Template
3.Upload Program – /n/SCWM/SBUP (Not shown here)
For loading the storage location we need to define bin identifiers and structure.
Define Storage bin identifiers
It will define the structure for the storage type.
SCM EWM – EWM – master data – Storage Bin – Define storage bin identifiers.
Define Storage bin structure
Here whatever we defined all we need to mention here
SCM EWM – EWM – master data – Storage Bin – Define storage bin structure
Create Storage bin in Mass using /n/SCWM/LS10
You can do Mass change using /n/SCWM/LS11
Create activity
SCM EWM – EWM – master data – Activity areas – activities- Define activity for activity area
Define activity area
You can either create it manually or generate it based on storage type.
It combines a storage bins. Its area to execute the activities , PTW, Picking , Internal movement etc.
SCM EWM – EWM – master data – Define activity area
Generate Activity Area from Storage Type
SCM Extended Warehouse Management – Extended Warehouse Management – Master Data – Activity Areas – Generate Activity Area from Storage Type. This will create set of sorting activity area where you need to add sorting conditions.
Assign the storage type to activity area
SCM EWM – EWM – master data – Assign the storage type to activity area
Define sort sequence for activity areas.
So this will create a sorting sequence for the storage locations grouped in the activity area.
SCM Extended Warehouse Management – Extended Warehouse Management – Master Data – Activity Areas – Define Sort Sequence for Activity Areas
Do sorting for Storage bins via upload program /SCWM/SRTUP
But we can do it one by one via /SCWM/SBST
Based on shorting procedure the bins are filled from bottom level to top but last stack to first stack.
Create staging area Group (Staging Storage Type)
We have defined the staging area Storage type and section. But it should be differentiated by this setting further. For GR we have 2 staging area and for GI we have 2 staging area.
SCM EWM – EWM – master data – Staging areas – Define staging area
Simply you can say
staging area group = staging storage type ST01/ST02 and
staging area = staging section SGR1/SGI1
Define Staging Area and Door Determination Groups – Optional
SCM Extended Warehouse Management – Extended Warehouse Management – Master Data – Staging Areas – Define Staging Area and Door Determination Groups
Create warehouse door
Here define which doors are for inbound and which are for outbound
SCM EWM – EWM – master data – warehouse door – Define warehouse door
Assign staging area/door determination door determination group
SCM EWM – EWM – master data – warehouse door – Assign staging area/Door determination Group to door
Assign the staging area door determination rule in EWM product
The stock comes from DGR1 should go to staging area ST01-SGR1 and stock from DGI2 to ST02-SGI2
SCM EWM – EWM – master data – warehouse door – Assign the staging area door determination rule in EWM product
Assign BP to plant
The BP is assigned to plant so that it will be fetched in next step automatically. See the disposal party here and next screenshot.
SCM EWM – EWM – Interfaces – ERP integration – General settings – Assign BP to plant
Map ERP storage location to EWM
Here the ROD should have the availability group as 001 and the AFS should have the availability group as 002.
SCM EWM – EWM – Interfaces – ERP integration – Goods movement – Map storage location from ERP system to EWM
Define Number ranges
SCM Extended Warehouse Management – Extended Warehouse Management – Master Data – Define Number Ranges- Create NR for all documents and assign it respectively.
Assign ERP warehouse to EWM warehouse
We have to map the ERP warehouse EWM to the EWM warehouse EMW0 to guide system which is which
SCM EWM – EWM – Interfaces – ERP integration – General settings – Assign warehouse number from logical executions
Generate Distribution Model for Transaction Data Transfer to SAP EWM
Without this step the inbound / Outbound deliveries will not transfer between EWM and ERP
Integration with Other SAP Components – Extended Warehouse Management – Basic Settings for EWM Linkage – Generate Distribution Model for Transaction Data Transfer to SAP EWM
Once created you can check the same in BD64
Create material master in ERP via MM01 in storage location ROD, AFS also add additional unit of measure
check the same in APO via /SAPAPO/MAT1 in global data
Create the same in EWM via /SCWM/MAT1
Now create one dummy storage bin and assign it to dummy Process type and create PO, ID, and do the test
Created on dummy storage bin in staging area and assigned it to one process type
SCM Extended Warehouse Management – Extended Warehouse Management – Cross-Process Settings – Warehouse Task – Define Warehouse Process Type
Created one PO in ME21N (Confirmation Control Must) and Inbound delivery in VL31N.
Later in /n/SCWM/PRDI we can see inbound delivery.
If its not shown then check in SMQ2 for error and correct it accordingly. Later do GR to close the cycle
Conclusion
This Blog will give you an overview on configuring EWM system.
Please comment if there are any changes. Also please guide if there are more links to read.