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Questions: Why do consultants recommended "Embedded EWM" over "Distributed EWM" ?
First, the definitions:
Decentralized SAP EWM (Extended Warehouse Management)
• SAP EWM was initially released in 2005 as a separate system for intralogistics, distinct from the SAP WM (Warehouse Management) module.
• As a separate solution, the Decentralized SAP EWM (Extended Warehouse Management) was introduced alongside SAP ERP ECC 6.0. This means it was available as a standalone system alongside the ERP system, rather than being integrated directly within it. This approach was marketed at the time (20 years ago) as the approach would allowed for better performance and scalability, especially for complex warehouses.
• is a separate, independent system that manages warehouse operations, distinct from the main SAP ERP or S/4HANA system.
• It communicates with the ERP system through interfaces like RFC or IDocs, enabling a high degree of flexibility and customization for complex warehouse scenarios.
Advantages of Decentralized SAP EWM
• Flexibility and Scalability: Handles complex warehouse structures and high transaction volumes, making it suitable for large, automated warehouses.• Integration with Multiple ERP Systems: Connects to various SAP and non-SAP ERP systems, offering a unified view of warehouse operations across different systems.• Independent Operation: EWM functions independently of the ERP system, allowing it to continue operating even if the ERP system is down for maintenance or upgrades.
Disadvantages of Decentralized SAP EWM
• Higher Costs: Requires separate infrastructure, licenses, and maintenance, leading to a higher total cost of ownership compared to embedded EWM.• Increased Complexity: Requires separate system administration, data replication, and integration efforts, increasing complexity.• Data Replication: Requires robust data replication mechanisms (IDoc, ALE, or DRF) to synchronize data between the ERP and EWM systems.Maintenance Overhead:• Maintenance Overhead: Requires separate maintenance for the EWM system, including updates, patches, and performance monitoring.
• Potential for Performance Issues: Requires careful monitoring and optimization to prevent performance bottlenecks, especially in high-volume scenarios.
Embedded S/4HANA SAP EWM (Extended Warehouse Management)
• SAP Embedded SAP EWM (Extended Warehouse Management) was introduced with the release of SAP S/4HANA, specifically in the Q4/2016 release, version 1610
• This embedded version brought the EWM functionality directly into the S/4HANA core, eliminating the need for a separate, decentralized EWM system in many cases.
• S/4HANA offers both basic and advanced versions of Embedded EWM, with the basic version included with the S/4HANA license and advanced features available through an additional license.• Embedded EWM provides functionalities for not just inbound and outbound processing, storage and operations, physical inventory, but also advanced features like value-added-service, kit-to-stock management, yard management, and more.
Advantages of Decentralized Embedded EWM
• Lower Costs: Embedded EWM eliminates the need for separate hardware, software, and integration efforts, resulting in lower overall costs.• Simplified System Landscape: A single S/4HANA system reduces complexity and simplifies data management.• Seamless Integration: Embedded EWM leverages the same data structures and business processes as S/4HANA, leading to better data consistency and reduced integration challenges.• Faster Implementation: The integration with S/4HANA speeds up the implementation process.
• Reduced Complexity: For organizations with less complex warehouse needs, embedded EWM simplifies warehouse operations
Disadvantages of Decentralized Embedded EWM
• Functionality Limitations: Embedded EWM may not offer the full range of advanced features and customization options available in the decentralized version, particularly for highly specialized or high-volume warehouse operations.• Potential Performance Bottlenecks: In high-volume scenarios, the embedded EWM might face performance limitations due to its integration with the core S/4HANA system.• Scalability Issues: For large and complex warehouse networks, embedded EWM might not be as scalable as the decentralized version.
Conclusions: The key difference between decentralized and embedded Extended Warehouse Management (EWM) in SAP S/4HANA lies in their integration and deployment. Decentralized EWM is a separate system, while embedded EWM is integrated directly within the S/4HANA system. The choice depends on factors like warehouse complexity, automation level, and integration needs which can be summarized as below:
• Decentralized EWM is better suited for organizations with large, complex, and potentially growing warehouse operations that require high flexibility and customization.
• Separate system: A distinct system landscape with its own database and application server.• Flexibility and scalability: Suitable for complex, high-volume warehouses with high automation and multiple ERP connections.• Independent operation: Can operate even if the ERP system is down.• Higher complexity: Requires more effort for initial setup and ongoing integration.• Performance benefits: Can handle high transaction volumes and complex processes.
• Embedded EWM is a good choice for companies with less complex warehouse networks and a focus on seamless integration with S/4HANA.
• Integrated within S/4HANA: Part of the core ERP system, simplifying integration with other modules.Simplified landscape: Reduces IT overhead by eliminating the need for a separate system.• Real-time data: Uses direct updates for faster data processing.• Suitable for: Smaller to mid-sized warehouses with simpler processes and less automation.
• Cost-effective: Basic EWM features are included in the standard S/4HANA license.
Factors to consider when choosing:
• Warehouse size and complexity: Larger, more automated warehouses often benefit from decentralized EWM.
• Integration requirements: Embedded EWM offers seamless integration with other SAP modules. Embedded EWM (Extended Warehouse Management) in SAP S/4HANA is generally considered better than decentralized EWM for many scenarios due to its tighter integration, reduced complexity, and lower total cost of ownership.
• Performance needs: Decentralized EWM is better suited for high-volume, high-transaction environments.
• IT infrastructure and resources: Embedded EWM requires less infrastructure and maintenance.
• Future growth and scalability: Decentralized EWM provides more flexibility for future expansion.
Useful Reference Resources:
https://youtu.be/Embedded or Decentralized SAP EWM? That's the question!/
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Questions: New Storage Location (with EWM integration) configuration requirement demonstration.
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Answer: Here is a Blog Posts on how to setup a new EWM relevant MM Storage Location for Production Supply to the Shop Floor. The new Storage Locaiton is "PS20" in Plant "SPCW" to be activated for EWM Warehouse "E120":
See the following Blog Post:
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Questions: The choice between "Delivery-based" production supply vs "Production material request" production supply?
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Answer: The choice between delivery-based and Production Material Request (PMR) based production supply in SAP EWM (Extended Warehouse Management) depends on specific production processes and requirements. PMR-based staging is suitable for advanced production integration, offering features like independent operation from the ERP system and the ability to organize staging within the warehouse.
Delivery-based staging, on the other hand, is best for scenarios needing exact quantities staged at specific times, especially when space is limited or staging spans a longer period.
PMR-based Production Supply (Advanced Production Integration):
Pros:
Independent Operation: Allows for independent operation from the ERP system after PMR creation.Enhanced Warehouse Management: Enables organizing staging for production using warehouse management capabilities.Quantity Flexibility: Can split large component quantities into smaller, manageable units for the Production Supply Area (PSA).Reduced System Load: Sends only goods movements instead of full deliveries, reducing system strain.Advanced Search: Features advanced search and retrieval capabilities for process documents.
Cons:
Complexity: Can be more complex to set up and manage compared to delivery-based.Integration Challenges: May not fully support all advanced production processes like JIT kanban and repetitive manufacturing at the version simulated of of today.Potential for Over-staging: If not configured correctly, might stage more material than needed initially, especially for processes with variable consumption.Not Ideal for All Processes: May not be the best fit for all production scenarios, particularly those requiring precise, real-time staging.
Delivery-based Production Supply:
Pros:
Precise Quantity Staging: Best for staging exact quantities at specific times.Suitable for Limited Space: Ideal when space in the production area is limited, allowing for staged quantities to be delivered as needed.Efficient for Longer Staging Times: Well-suited for processes where staging and consumption occur over a longer duration.Simplified Setup: Generally simpler to implement and manage compared to PMR-based.
Cons:
Less Flexibility: Less flexible in terms of quantity adjustments during staging.Potential for Errors: Might lead to errors if consumption quantities deviate significantly from planned ones.Not Ideal for All Production Types: May not be suitable for all production processes, especially those requiring frequent adjustments or real-time adjustments.Limited Integration: May not fully integrate with all advanced production processes.
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Question: Is this possible to block the transfer from one Storage Type to another Storage Type in the classic LE-WM ?
Answer: First of all, Storage Types cannot be mapped to MM Storage Location in LE-WM (However, there is one such possibility to mapped GR-Area Storage Type to the same in MM-SLoc fro GR-Area but this is for MM Goods receipt for Purchase Order scenario).
In this Question, it is about internal transfer in LE-WM from Bin of One Storage Type to bin that belong to another Storage Type AND the user assume the Storage Types are physically belong to different Storage Type in the Warehouse. The User's question is about is it possible to stop a user from performing this task.
- To manually transfer stock between different storage types within a warehouse using a transfer order (TO) in SAP WM, you'll use transaction code LT01. This transaction allows you to create a transfer order that specifies the source and destination storage bins, even if they are in different storage types.
- Step-by-step breakdown:
- Access LT01: Enter transaction code LT01 in the SAP command field.
- Enter Warehouse Details: Specify the warehouse number, material, quantity, and the source and destination storage bins. Ensure you select the correct storage types for both source and destination.
- Manual Bin Specification: Crucially, you will manually enter the source and destination storage bin details. This is how you move stock between bins in different storage types.
- Create the Transfer Order: After entering all the necessary information, create the transfer order.
- Confirm the Transfer Order (LT12): Once the stock has been physically moved, confirm the transfer order using transaction code LT12.
- The LT01 transaction in SAP WM (Warehouse Management) is primarily designed for bin-to-bin transfers within a single storage location. It does not directly support transfers between storage types that "supposedly" belong to different storage locations, even if those locations are within the same warehouse.
If the intention is to block user from entering a specific Storage Type in LT01, then consider the following User Exit:
- MWMRFDLV
- EXIT_SAPLLMOBSD_010
Or
It is possible to implement Authorizations at the storage type level in SAP, specifically within Warehouse Management (WM). The Authorization Object L_LGNUM is used to control access based on Warehouse Number and Storage Type. When a user attempts to perform actions within a warehouse, the system checks for authorization against this object, verifying if the user has the necessary permissions for the specific storage type.
In order to transfer from Storage Location to Storage Location, whether the 2 SLocs belong to the same or different LE-WM Warehouse, use MIGO.
- It is then possible to setup Storage Location Authorization Object M_MSEG_LGO if a user is not allow to process for that Storage Location.
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Questions: "Delivery-based" Production Supply integration steps review.
• Delivery-based model (where deliveries are sent as information from ERP to SAP EWM for requirements and goods issues)• Advanced production integration model (which does not use deliveries).
Both models have specific features and the model used depends on the customer’s requirements.
Delivery-based production integration in systems like SAP EWM (Extended Warehouse Management) refers to a method where production orders are linked to outbound deliveries for material staging and consumption. This means that when a production order is released, an outbound delivery is created and replicated to EWM. This delivery then triggers the necessary warehouse tasks for material staging to the production supply area (PSA).
Key aspects of delivery-based production integration:
Outbound Delivery as the Key: The outbound delivery acts as the central document that connects production orders and warehouse operations in EWM.
PSA Mapping: ERP PSA must be replicated to EWM as EWM PSA and Mapped together.
ERP Control Cycle determines the methods of Staging:
Staging Strategy "1" - Pick PartStaging Strategy "2" - Crate Part (not supported)Staging Strategy "3" - Release Order PartStaging Strategy "4" - Manual (this is select to use EWM method for Crate Part)
EWM Assign Bin to Product/Entitled in PSA (it's not really a Control Cycle):
For Crate Part, assign EWM Bin + Minimum & Replenishment Quantities hereFor Others with ERP Control Cycle Strategy "1" and "3", ony assign the EWM Bin here
See the following Blog Posts:
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Questions: "Production Material Supply" Production Supply steps review.
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Purpose:
PMRs are created in EWM to manage the staging of materials for production orders.
Data Source:
The data required to create a PMR is transferred from SAP ERP to SAP EWM, typically via a qRFC (queued Remote Function Call).
Key Information:
A PMR includes details like the product being produced, the quantity of components needed, the production supply area (PSA), and the date for which material staging is planned.
Material Staging:
The PMR triggers the movement of materials from the warehouse to the production supply area, ensuring that the necessary components are available when needed for production.
Advanced Production Integration:
PMRs are a core component of SAP EWM's advanced production integration, enabling efficient material staging and consumption for production.
Staging Methods:
PMRs can be used for different staging methods, such as single-order staging or cross-order staging.
Real-time Integration:
PMRs allow for real-time synchronization of material staging information between SAP ERP and SAP EWM, ensuring accurate inventory and efficient production.
See the following Blog Posts:
https://docs.google.com/PMR-Based-Staging
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