Configure EWM in SAP S4 HANA

Configure EWM in SAP S4 HANA

Home » Configure EWM in SAP S4 HANA

There is no option of using WM with S4 HANA. With S4 HANA SAP EWM is the default warehouse management module. In this post we will configure EWM in SAP S4 HANA.

Though at present SAP WM also exist along with embedded EWM in SAP next generation ERP solution i.e. S/4 HANA, but SAP WM will soo end in near future and only EWM will be an option as a WM application in SAP S/4 HANA.

Since we are using embedded EWM in S4 HANA so let,s have a look some of the important properties of embedded EWM S/4 HANA.

  • In SAP S/4HANA embedded EWM, the use of CIF to transfer master data is no longer required.
  • This means all the Business partners like suppliers & customers of S/4 HANA are used by EWM.
  • Also the material is used in embedded EWM same as it is in S/4 HANA.
  • In a SAP S/4HANA embedded EWM system, no inbound delivery notification exists. The EWM inbound delivery is directly created for the inbound delivery from ERP.
  • Similarly on outbound side, in SAP S/4HANA embedded EWM, the outbound delivery request does not exist and the outbound delivery order is created directly in EWM.

Table of Contents

Configuration of Embedded EWM

Let’s start configuration of Embedded EWM

Define Warehouse Number

In ECC/S4 HANA, warehouse number is 3 characters.

In EWM, warehouse number is 4 characters.

For each EWM warehouse , we need to define a warehouse in ECC

For our car business we have defined below 3 warehouse in S4 HANA

Picture : Path to configure Warehouse number in S/4 HANA

Picture : Configuration of Warehouse in SAP S/4 HANA

Delivery Split by Warehouse Number

Here deliveries created for a specific warehouse is split and created automatically in the corresponding warehouse based on the storage location.

Picture : Delivery Split by WH number

Picture : Delivery Split by WH number

Configure SAP EWM-Specific Parameters

Here we will configure EWM specific parameters

Picture : Configuration of EWM specific parameters

Picture : EWM Specific Parameters for our Warehouses

Assign Warehouse Number to Plant/Storage Locations

We have below two Storage Locations relevant for EWM in Each of our three plants

  • PP1D-EWM Rec. on Dock
  • PP1S-EWM Av. for Sale

Assign these two SLOCs of each plant to the corresponding S4 HANA warehouse of our EWM warehouse

Picture : Assignment of WH to Plant & SLOC combination

Picture : Assignment of WH to Plant & SLOC combination

Assign Picking Locations

We have already assigned picking location . Products which will be stored in EWM will have special storage condition in material master as “P3-EWM Managed Stock”

Since picking location is outbound/sales side so we will assign picking location as PP1S-EWM Av. for Sale

Shipping Point

Below two shipping points are created for our car business plants

  • PA10-IC Car Chicago Plant Outbound
  • PA20 -IC Car Chicago Plant Inbound
  • PA30-IC Car Boston Plant Outbound
  • PA40-IC Car Boston Plant Inbound
  • PP10 -Elect Car Fremont Plant Outbou
  • PP20 -Elect Car Fremont Plant Inboun

Storage Conditions

Below 4 Storage conditions are configured for our car business

  • P1-IM Managed Stock
  • P2-WM Managed Stock
  • P3-EWM Managed Stock
  • P4-IM Managed HU Required Managed Stock

So depending upon the material handling i.e. material is inventory managed or HU mandatory or Warehouse Managed or EWM managed , we will input storage condition in the material master

Now picking location is combination of shipping point * Plant * Storage conditions

Picture : Picking Location Assignment

Picture : Picking Location Determination

Assign Goods Receiving Points for Inbound Deliveries

Picture : GR Point Determination

Picture : GR Point Determination

Maintain Supply Chain Unit for Warehouse

Note : It is not configuration. It is through Easy Access screen

The supply chain unit is used to model the supply chain of an organization.

  • It represents physical locations or organizational elements, such as shipping points or warehouses in embedded EWM.
  • A supply chain unit in embedded EWM contains data about its geographical location, address. time zone, and so on.
  • Each supply chain unit is assigned to one or more business attributes, such as Warehouse. shipping office, goods receipt office, and so on, which describe its purpose and role.
Picture : Supply Chain Unit Path

Created three Supply Chain units related to our three warehouses

Picture : Supply Chain Unit of PA11 Warehouse

Picture : PA12 Warehouse SCU

Picture : Elect Car EWM SCU

Define Warehouse Numbers

Here we defines our all three Extended warehouses

Picture : Define EWM Warehouse Number

Picture : Define our Car Business 3 EWMs

Assign Warehouse Numbers

In this step we assign our warehouse number to supply chain unit, Custodian & Default Party to dispose

Party Entitled to Dispose In EWM

  • The party entitled to dispose is a BP that represents the party or the organization that is entitled to dispose of the warehouse stock.
  • Usually, this is the BP of the plant in which the stock is placed and in which the ATP check is performed.
  • If you want to manage stocks from several plants in one warehouse, you can use multiple parties entitled to dispose to track the stocks.
  • The warehouse-specific product master data in Transaction /SCWM/MAT1 maintains different views per entitled party, this makes it possible to, for example, have a different put-away location determination strategy for different entitled parties, or a different storage process with a value-added service (VAS) step for the goods issue process.
    For each plant in SAP ERP, there is a BP available in EWM. In the standard setup, this BP has the same name as the plant. It can be displayed and maintained in Transaction BP. Every plant BP must have an identification entry with the identification type CRM011, and the identification number that matches the ERP plant. This BP is then one of the available parties entitled to dispose


In some industries, especially for logistics service providers, it is common practice to store stocks for more than one plant in the same warehouse number. If you have multiple parties entitled to dispose assigned to the warehouse, you have to assign a custodian to the warehouse number as well. The custodian is the BP that stores, manages, or further processes stock for another BP, but without transfer of title.

  • The custodian is usually the owner of the warehouse. The custodian only maintains effective possession of the stock, whereas the owner maintains legal possession.
  • The custodian is the owner of the warehouse, whereas the party entitled to dispose is the owner of the stocks. (The custodian may also be referred to as the “holder” of the stocks.).
  • To simplify the maintenance, usually the BP of the plant is chosen as the custodian. So, even if the owner of the warehouse is company A, and the plant is called PL01, then you use BP PL01 as the custodian. This saves you the step of creating an additional BP. However, when you use stock for multiple plants within the same warehouse, you can’t do this, and you assign company A as custodian.

Our business partner PA01VEN01 is linked as Supplier to the plant.

Picture : Plant Business Partner

So BP PA01VEN01 is given as custodian & Default party to dispose

Picture : Assignment of Warehouse

Define Warehouse Number Control

Here you define the basic data for a warehouse number. For example, weight, volume, time & length units, Default Storage Process Types for special activities, Determination Procedure for Condition Technique etc

Picture : Warehouse Number Control

Picture : Warehouse Control for PA11

Picture : Warehouse Control of Warehouse PA12

Picture : Warehouse Control of PP11

Acknowledge Use of Advanced Functions

There are two Licence type of EWM

  • Basic Warehouse Management
  • Extended Warehouse Management

Basic Warehouse Management

In Basic Warehouse Management usage mode, below basic warehousing processes and functions are included

  • Inventory Management
  • Inbound Processing (for example, Deconsolidation)
  • Outbound Processing
  • Internal Warehouse Movements
  • Physical Inventory
  • Reporting

Extended Warehouse Management

In Extended Warehouse Management usage mode, below advanced warehousing functions are included

  • Inventory Management Optimization (for example, Slotting)
  • Inbound Process Optimization
  • Outbound Process Optimization (for example, Waves)
  • Material Flow Control
  • Yard Management (for example, TU handling, Dock Appointment Scheduling)
  • Labor Management
  • Value Added Services
  • Kitting
  • Cross Docking
  • Warehouse Billing
  • Cartonization Planning
  • TM Integration
  • IDOC based integration to MFS subsystems
Picture : Warehouse Mode

Picture : Warehouse Mode Acknowledgement

Define Unit of Measure Attributes

We assign a quantity classification to a unit of measure (UoM). We can also specify whether the UoM is stock-specific or not.

quantity classification is used to determine the storage type search sequence for put-away and stock removal. Based on the requested quantity, the system determines the UoM with the largest conversion factor which is smaller or equal to the requested quantity. The system reads the assignment table with this UoM and uses the resulting quantity classification for the storage type search sequence determination.

We can mark the UoM as stock-specific if UoM is required to associate with the stock. We can only mark UoMs as stock-specific that represent a specific packaging level.

Note : We can’t mark a base UoM as stock-specific.

Quantity classification

Qty Classific. describes the different packaging units in which a product is stored in the warehouse. The different packaging units can be eaches, cases, pallets, and so on.

For example, if you pack 12 EA in a case, then you map that quantity to a quantity classification of Case. When a task is created to pick 12 EA from the storage type, the system gets the quantity classification from the packaging specification level that maps 12 EA to a case. This quantity classification is then used in the stock removal search sequence to determine the storage type that holds the right SKU. In addition, quantity classification helps identify the operative unit of measure (UoM) from the packaging specification level. This operative UoM is also the alternative AUoM in the warehouse task.

  • The Preferred UoM field is used to specify the preferred UoM at the warehouse level. If this value isn’t specified, the system picks up the preferred UoM maintained at a global level in the Storage tab of the product master.
  • Quantity classification@ storage type data level-The data in the Quantity Classif. field is used to determine the operative UoM for the packaging specification and is used during picking if the quantity classification isn’t stored at the storage type level.
Picture : Quantity Classification

Picture : Qty Classification for Our Warehouses

Note : The allowed values for quantity classification are maintained via IMG path

SCM Extended Warehouse Management –>Extended Warehouse Management –>Cross-Process Settings –> Warehouse Task –> Define Quantity Classifications

Configure Availability Group for Put-away

Here we define the availability groups of the warehouse, their relationship to the stock types and, optionally, to the storage types.

In a warehouse linked to one plant and one storage location, you define one availability group, which represents the plant and storage location, and assign it to all stock types of the warehouse.

Note : If you keep stock in the goods receipt zone separate from stock on final bins in terms of ATP availability, you define two availability groups, each representing one storage location. You assign each availability group to a set of stock types. In the goods receipt zone, you manage stock in stock types of one availability group. In final storage types, you manage stock in stock types of the other availability group. When you confirm put-away warehouse tasks, the system automatically posts the stock from the stock type of one availability group to the corresponding stock type of the other availability group.

If you keep stock in production supply areas separate from stock on final bins, you also define an availability group, a set of stock types, and a storage location for the production supply areas.

Picture : Path to configure Availability related settings

Define Availability Group

In our embedded EWM we have configured two main availability groups, 001 for goods in put-away and 002 for goods available for sale. This is assigned to the plant and storage location of the embedded EWM warehouse in SAP S/4HANA

Picture : Availability groups for our warehouses

Define Non-Location-Dependent Stock Type

These are stock types that group stock based on their attributes and are independent of stock location in the warehouse. SAP has provided some non-location-specific stock types by default, but we can create more per our business requirements.

Picture : Configuration of non-location specific stock type

Configure Stock Type

In this activity, map the availability group and non-location-specific stock type with the stock type in embedded EWM for a specific warehouse like F1-UNR Stock in Put-away, F2-UNR Stock Warehouse. Now this EWM stock type is mapped to non-location specific stock type and availability group F1(UNR Stock in Put-away) is mapped to 001 (Goods in put-away) & FF (UNR Use-Stock) F2 (UNR Stock in WH) is mapped to 002 (Goods Completely Available)

Picture : Configure Stock Type for PA11 Warehouse

Picture : Stock Type for PA12 Warehouse

Picture : Stock Type for PP11 Warehouse

Map Storage Locations from ERP System to EWM

Here we map storage locations onto the warehouse numbers in Extended Warehouse Management (EWM) and assign an availability group to each storage location.

Picture : Storage Location mapping

Picture : Mapping for ERP Plant & Storage Location

Note : Since we have not created the plant vendor and assigned the same to as “Default party for disposal” for warehouses PA20 & PP10 , so we not see this under disposal column in the above configuration

How Availability Works in EWM

When an inbound delivery is created in embedded EWM,

  • The system checks the plant and storage location for the delivery in SAP S/4HANA and determines the availability group for that plant and storage location combination. So here for SLOC PP1D, availability group is determined as 001 (Goods in put-away).
  • Next, it determines the embedded EWM stock type by looking at the mapping of the availability group and non-location-specific stock type based on the stock category for the delivery in SAP S/4HANA (which is UNR so non location stock is FF (UNR Use-Stock) and determines the embedded EWM stock type as F1(UNR Stock in Put-away).
  • This stock type is populated in the inbound delivery created in embedded EWM, so in IBD EWM stock type F1 is populated.


You can also assign an availability group to storage types in storage type settings. If the availability group of stock being put away into a storage bin for the storage type is different from the availability group set in the storage type, then the system does a posting change for the stock. For example, if stock in the delivery with stock type Fl, is put away in a storage type with availability group 002, then based on the settings discussed previously availability group 002 mapped to stock type F2- the system will perform a posting change on stock being put away and change it to type F2, which is unrestricted stock available for sale. This in turn post a storage location change in S4 HANA to the corresponding SLOC “PP1S”


Availability group is also set at the WPT level. The system always gives preference to the availability group set at the storage type level, if it doesn’t find one, it looks for an availability group set at the process type level. If no availability group is set at either of these levels, then the embedded EWM stock type remains unchanged.

Warehouse Structure

Warehouse structure is physical structure of warehouse. We need to map warehouse structure in the system.

Picture : Warehouse Structure, Courtesy : SAP Help

The warehouse structure in warehouse management is divided hierarchically and consists of the following elements:

  • Warehouse Number : The warehouse number is the highest level of organizational unit in warehouse management. Warehouse number corresponds to a physical building or distribution centre.
  • Storage Section : Each storage type is divided into storage sections. All storage bins with specific common attributes belong to one storage section.
  • Storage Bin : Each storage type and storage section consists of a selection of storage compartments that are called storage bins in EWM.
  • Quant: The quant is used for inventory management of a product in a storage bin.
  • Activity area : The activity area is a logical grouping of storage bins. It can refer to a storage bin, or can concatenate bins from several storage types. We can either assign storage bins manually to the activity areas, or if there is a 1:1 relationship between storage type and activity area, you can have the system generate the assignment.

Define Storage Type

Storage Type represents structuring of the warehouse using technical, spatial, and organizational characteristics. Storage types are groups of warehouse bins with similar characteristics.

Below storage types has been configured for each of our warehouse.

ST Configuration
Picture : Storage Type Configuration

Let’s review the important characteristics of a storage type

we have created a Storage Type X001 in our warehouse

Fields in “General” Section of Storage Type Configuration

These settings are not specific to any warehouse movements

Picture : General Section Configuration of Storage Type
Storage Type Role

Storage type role represents the usage of the storage type. Storage type must be assigned to a storage type role

Below is the list of storage type role

  • Standard Storage Type : This is where where products are stored.
  • Identification Point : In this ST, goods are labelled, identified, and/or checked during the putaway process.
  • Pick Point : Here goods are checked, labeled, inspected, and/or packed during the goods removal process.
  • Identification and Pick Point : Area in the WH where both pick point & Identification point are located.
  • Staging Area Group :
  • This role is assigned to storage types in which goods are staged right before brought into or out of the warehouse.
  • Work Center : Work center ST represents area where deconsolidation, inspection, packing or VAS processing takes place.
  • Doors : This ST represents door of a warehouse from where goods goes in and out of warehouse.
  • Yard : A yard attached to the warehouse.
  • Automatic Storage Retrieval (Material Flow Control) : Area in the WH using automated storage and/or retrieval, for example – conveyor system.
  • Automatic Warehouse (Controlled by MFS) : Automated high-rack storage area with a stacker crane.
  • Work Center in Staging Areas Group : This represents a work center within a material staging area
  • Production Supply : An area where products for the production are staged, near the production line.
Level of available Quantity

Level at which the stock is present to remove. If storage bin level is selected, the warehouse task created for stock removal has no source HU selected. So picker has the flexibility to select the most easily available HU rather than an
HU at an inaccessible location.

if HU level is selected then warehouse task is created with a source HU. HU option can be selected for storage types such as work centers for which a specific HU needs to be specified in the warehouse task.

Handling Unit Requirement

Here we decide whether stock is placed in the warehouse with HU or without HU. There is another option “HU Required but Not a Requirement” , if this option is selected then we can stock both products and HUs in the storage
type. Unlike standard warehouse management (WM), embedded EWM allows users to stock HUs and products within the same storage types and storage bins.

Maximum Number of Bins

This option decided the maximum number of fix bins per product in the storage type to avoid one product to overfill the ST. After maximum bins are reached , product is directed to another ST. To make this field considered, we have to select “Check Max.No.Bins” indicator

Note : The warehouse product master also has a similar field in the Storage Type Data view to limit the maximum number of fixed bins in a storage type for that product. If this value is set in the product master, it’s given preference over the value set at the storage type level.

Check Maximum Number of Bins

As discuss above to make the field “Maximum Number of Bins” work, we need to select this field.

Use Fixed Bins

A storage type can use either fixed bins or dynamically allocated bins. If this checkbox is selected, then the system checks during putaway if identified bin is a fixed bin. If it isn’t, then the system throws an error.

Do Not Assign Fixed Bins Automatically

system check the values for this field if “Use Fixed Bin” is selected. If this field is selected then system does not assign fixed bin automatically in putaway, system allow putaway only in pre-allocated fixed bins maintained through transaction /SCWM/BINMAT.

No Capacity Update

select this checkbox if updating the bin capacity is not required at the time of warehouse task confirmation. For example- With putaway rule as “Empty” bin, this filed shouldn’t be selected.

Storage Behavior

This field defines the general nature of storage type.

  • Standard Behavior : used for general storage like std ST, Work center or PSA
  • Pallet Storage : Pallets of a particular HU type are put into a bin, which creates bin subsections upon first putaway. The subsections are later used for putaway of pallets of the same HU type. Depending on the HU type, the system creates identical subsections to stack the HUs together.
  • Bulk : Storage space such as floor is divided into rows, and each row represents a storage bin. The pallets are stacked on top of one another and grouped into blocks.
Available Quantity in Batches

There are two options here -Available Quantity: Batch-Specific & Available Quantity: Batch-Neutral. If batch natural i set then warehouse request is created without a specific batch and we can give the batch later, during warehouse task confirmation

Hazardous Substance Management

This filed determines at what level hazardous substance should be managed. options are – no check, ST level or ST level & Storage section level

Quantity Classification

Different packaging like each, cases, pallet etc. in which a product is stored in warehouse. The value set in this field is used during storage type determination in stock removal to identify the right storage type that stocks the products in the required unit. When a task is created for qty equal to the qty classification then system get the qty classf from the packaging specification level and used to determine the Stock removal search sequence.

In addition to this quantity classification helps identify the operative unit of measure (UoM) from the packaging specification level. This operative UoM is also the alternative AUoM in the warehouse task.

External Step

The external step mentioned in this field is is assigned to the HU which is reached to the storage type but has not achieved the required step from the routing profile in POSC. Here the last completed external step in the HU is overwritten by the external step maintained in the storage type.

Do Not Explode Product

This setting toggles between tracking on product level or HU level. If this checkbox is selected then movements can only be tracked at HU level rather than at product level. Tracking the movement of products within an HU may overload the system during HU task confirmation so use only for storage types that require such a detailed level of tracking.

Default Distance

This is used if labor management is active. This holds the value of the default distance to reach the first bin in the ST

Storage Type level

This setting is used to mapping the actual level at which storage type is located in warehouse. if left blank then system considers all STs at the same level.

Fields in “Putaway Control” Section of Storage Type Configuration

These setting controls any stock movement where stock is placed into a bin in the ST. this movement can be the final GR or bin to bin movement.

Below are the settings that control the putaway in embedded warehouse

Picture : Put-away Control Configuration of a Storage Type

Let’s have a overview of all the fields present in putaway settings of a ST

Confirm Putaway

This is selected if putaway of stock into that storage type requires confirmation of a warehouse task. If this checkbox is not selected then stock in the destination bin will increase as soon as the putaway warehouse task is created.

Handling Unit Type Check

This fields checks if HU which is being put is allowed. This includes both if HU itself is allowed in this ST and HU is allowed with respect to the Storage bin type of this ST

Storage Control/Putaway Completed

This indicator indicates in a POSC, if this ST is final put-away ST and marks the end of process-oriented storage control during the putaway process.

Putaway Rules

The value in the Putaway Rules field plays a key role in how stock is placed in the bins of this storage type.

Empty Bin

In this rule, the system puts stock in the next available empty bin. We can use bin sorting to determine
the sequence in which the system looks for the next empty bin.

Addition to existing stock/empty bin

In this rule, the system adds stock to a bin that already holds stock. The maximum stock quantity in the bin can be controlled by activating the capacity check in the storage type settings. The system puts stock in the next empty bin if there’s no bin holding the required product or if the bin is full.

Consolidation group

This rule is used to group HUs based on consolidation groups. The consolidation group is created when the first HU is put away into the storage type. The follow-up HUs with the same consolidation group (based on the ship-to party) are put in the same bins. This rule is mostly used for packaging work centers to group HUs that need to be shipped together.

General storage area

This rule allows additions to stock in a bin without any restriction on HU type, product, and so on. The entire storage type consists of one bin that stocks all the products.

Transit warehouse: staging area for door

This rule is used in transit warehousing scenarios. If the HU being moved during transit warehousing belongs to a delivery for which the TU is already at the door, the system suggests the corresponding door bin.

Additional Stock Forbidden

The value in this field determines whether additional stock is permitted in an existing bin in a storage type. The selection options available in this setting are as follows:

  • Addition to Existing Stock Permitted
  • Addition to Existing Stock Generally Not Permitted
  • Product Putaway Profile Decides

If we don’t want to continue to add similar stock in a bin after the first putaway, we will set the rule to the second option. If we select the third option, the value set in the product putaway profile determines whether additional putaway will be allowed.

Note :

Putaway profile is set for for the putaway control indicator (PACI) and Storage Type under the below path

SCM Extended Warehouse Management –> Extended Warehouse Management –> Goods receipt Process –> Strategies –> Define Product Putaway Profile

The combination of PACI and storage type can influence several settings if the storage type is set to Product Putaway Profile Decides.

Storage Section Check

This determines the storage section checks during putaway. This check is done during automatic bin determination or when a bin is given manually.

Split During Putaway

This field controls whether the product can be split into multiple bins if the putaway quantity exceeds the total available bin capacity. The first checks the maximum storage type quantity if the Check “Max.St.TypeQty” indicator
is set for the storage type.

  • “Split During Putaway” – If the available space in the bin is less than the quantity being put away, then the system looks for the value in this field to determine whether a split is required.
  • “Do Not Split During Putaway” – System looks for the next bin with the required space in the storage type or another bin in another storage type, depending on the search sequence for putaway.
  • “Product Master Decides” – This helps control the split at the product level rather than the storage type level.

Note : The check for the split happens only for product warehouse tasks, not HU warehouse tasks.

Threshold Addition

The Threshold Addition indicator is set if the Split During Putaway indicator details above is set to split the product during putaway. The value holds a percentage of the actual bin capacity.

Putaway Storage Control

The Ptwy. Stor. CtrI indicator defines which type of warehouse task should be created for putaway of a HU with process-oriented storage control.

Note : The value in this field is considered only if we use POSC. Otherwise, the type of task is determined from the “Select HU w/o Storage Process indicator” at the warehouse process type level.

Following values are allowed in this field

  • Storage Control: Dynamically Evaluated : The system determines the creation of a product or HU warehouse task based on the value of the Prod/HU WT field while assigning storage process steps to the storage process definition in process-oriented storage control.
  • Storage Control: Putaway with HU WT : System creates HU WT
  • Storage Control: Putaway with Product WT : System creates a product warehouse task
Warehouse Task Generic

This field determines which destination data is determined when a putaway task is created.

Below three values are possible for this field

  • Not Generic : Full destination data , Storage type, Storage Section & Bin is determined.
  • Storage Type and Section : ST & SS is determined
  • Only Storage Type : System only determines the destination storage type during task creation and leaves the Storage Section and Storage Bin fields blank. These fields are populated at the time of warehouse task confirmation. For example, you can maintain this setting for packing stations for which you want the bin to be selected at the time of putaway.
Mixed Storage

The Mixed Storage field controls whether multiple HUs and products are allowed in a storage type.

  • Mixed Storage without Limitations : system allows multiple products and multiple HUs in the storage bin.
  • Several Non -Mixed HUs with the Same Product/Batch : system allows multiple HUs with the same product or allows the same product with the same batch (if the product is batch-managed) in a storage bin.
  • Several HUs with Different Batches of the Same Product : The system allows multiple HUs in the storage bin of the same product and multiple HUs with different batches of t he same product if the product is batch managed.
  • One HU Allowed per Bin : The system allows only one HU per bin.
Mixed Storage in Handling Unit

field controls whether multiple quants can be stored in an HU.

Note : If we want to putaway unpacked goods, then each bin acts like a HU, making this field relevant for bins.

Below are the options for this field

  • Mixed Storage Not Allowed
  • Several Batches of the Same Product per HU
  • Mixed Storage without Limitations in HU
Quant Addition to Stock Goods Receipt Date

allows to receive quants with a different goods receipt date in the same bin or HU, if additions to existing stock in the storage type is allowed.

The available options for this field are as follows.

  • Allowed – Most Recent Date Dominant
  • Allowed-Earliest Date Dominant : The system allows putaway of stock and updates the goods receipt date on new stock being put away to the oldest goods receipt date on the stock that was originally present in the bin or HU.
  • Not Allowed : Not allowed to putaway into a bin or HU if GR date of current stock & new stock is different.
  • Product Putaway Profile Decides
Quant Addition to Stock Shelf-Life Expiration Date

This setting allows you to receive quants with a different shelf life expiration date in the same bin or HU if additions to existing stock in the storage type is allowed.

The available options for this field are as follows.

  • Allowed – Most Recent Date Dominant
  • Allowed-Earliest Date Dominant : The system allows putaway of stock and updates the shelf life expiration date on new stock being put away to the oldest goods receipt date on the stock that was originally present in the bin or HU.
  • Not Allowed : Not allowed to putaway into a bin or HU if shelf-life expiration date of current stock & new stock is different.
  • Product Putaway Profile Decides
Quant Addition to Stock Alternative Unit of Measure

The value in this field is used to set the correct UoM if the addition of stocks with different bases and AUoMs is allowed in the bins in the storage type.

The available options for this field are as follows.

  • Allowed – First Alternative UoM Dominant : The system allows putaway and updates the first AUoM on the stock.
  • Allowed-Manage Stock in BUoM Only : The system allows but continues to keep the stock in BUOM only.
  • Not Allowed : The system doesn’t allow putaway if the current stock has a different UoM than the BUoM.
  • Product Putaway Profile Decides
  • Partly Allowed-Manage Stock in AUoM.
Identification Point Active

If the ID Point Active checkbox is selected. then an ID point is set for the given storage type. The stock is then routed through the ID point before it moves to the final putaway location.

Note : An identification point (ID point) is an intermediate storage space in the warehouse where a product is kept for identification and labeling before it’s put away. This is used in LOSC.

Do Not Putaway Handling Units

if this is selected and an HU is to be put away, then a product warehouse task is created to move stock from the HU into the product, 1,vhich is then moved into the final storage bin.

Check Maximum Storage Type Quantity

System checks the maximum quantity for the product in the storage type before putaway. If quantity exceeds the maximum storage type capacity for that product. then putaway bin determination moves to the next storage type in the storage type search sequence.

Delete Stock Identification

This indicator is used to delete stock identification after a product is putaway into the final storage type. so this indicator must be set for all final STs

Search Rule Empty Bin

This is used if we want to put stock in empty bins. There are three options

  • Sorting According to Definition : The bins are sorted according to the value specified in the Sort field in the bin master data.
  • Near to Fixed Bin : The bins are sorted based on their nearness to fixed bins for the product.
  • Product Decides : Sort sequence is determined based on the “Emp. Storbin Sch.” field in the St. Type Data tab of the product master.
Level: Addition to Stock

This field controls at which level stock is added during warehouse task creation for putaway. The options are

  • Addition to Stock at Bin Level : This value allows you to add stock at BIN level i.e. destination HU field remains blank and we can select HU of our choice to put the stock in putaway. So we have flexibility to choose the destination HU in which to add stock based on accessibility and proximity
  • Addition to Stock at Highest HU Level : Here system propose the HU into which stock will go. Operator than need to go to ST, identify the HU and put stock into the HU to complete the putaway

Note : The value in this field is considered if you allow additions to existing stock in a bin.

Capacity Check

The product capacity in product master (Dimensionless) is compared to the maximum bin capacity, which is maintained at the BIN master or BIN type Level. Now there are 4 options

  • No Check According to Key Figure : Though capacity check is not performed as per this option but still capacity check based on maximum weight
  • Check According to Key Figure Product : System checks the capacity consumption of the product based on the capacity maintained in the Units of Meas. tab in the product master.
  • Check According to Key Figure Packaging Material : System checks the capacity consumption based on the HU being put away.
  • No Check against Key Figure, Weight, and Volume : No check based on capacity key figures at the bin level. The system still performs a check based on maximum weight and volume if they’re specified at the bin master or bin type level. This setting is ideal for work centers or staging areas.
Early Capacity Check

System checks the max capacity of the bin type before looking for the capacity of individual bins in the bin type. The
system rules out bin types for which maximum capacity is less than the capacity of the product or HU being put away.

Putaway Quantity Classification

PutawayQtyClass describes the packaging unit in which a product is stored in the warehouse.

Note : In rounding config described below, system checks the value maintained in the PutawayQtyClass field to ensure that only allowed units are put away in the storage bin. Thus, for a storage type, if the putaway quantity classification is maintained at the case level, the system rounds off the warehouse task quantity to a few cases, and then the cases are moved to different bins.

Rounding after Split

The options available are as follows

  • No Rounding : With this setting, the split quantities aren’t rounded off. Thus, the entire rounded quantity is added to the storage bin as is.
  • Round Down WT Quantity to a Multiple of a Unit : System rounds down the warehouse task quantity based on the putaway quantity classification.

Note : This setting is considered if storage type settings allow split during putaway. The system checks the bin capacity before finalizing the split quantities to ensure that the additional rounded off quantities can
be included in the bin.

Mixed Stock Type

If selected , then only products & batches with similar stock type (UNR, QI, Blocked) can be stored in the bin or HU

Mixed owners

If selected , then only products & batches with same owners can be stored in the bin or HU

Mixed Parties Entitled

If selected , then only products & batches with same parties entitled to dispose can be stored in the bin or HU

Mixed Inspection Documents

If this indicator isn’t selected, then the system allows stock with different inspection documents in the storage bin or HU, otherwise, it will only allow single inspection stock.

Mixed Special Stock

If this indicator isn’t set, system allows materials with different special stock indicators in the same storage bin or HU. If this indicator is selected, then system will only allow groups of materials assigned to the same special stock indicator.

Mixed Alternative Units of Measure for the Same Product

If this indicator isn’t set, then the system allows the same product and same batch with different AUoMs in the storage bin or HU.

Fields in “Stock Removal Control” Section of Storage Type Configuration

Stock removal can include picking for sales orders, stock transfer orders, consumption orders, or bin-to-bin transfers. You can also create picking strategies that determine the order in which bins will be selected for picking in the storage type.

below are the fields available in this section

Picture : Stock Removal, Goods Movement & Replenishment Config of a ST

Confirm Removal

If selected then stock removal requires confirmation of warehouse tasks before stock is reduced from bin. If not set then stock is removed from ST as soon as the warehouse task is created.

Stock on Resource

If this indicator is selected then system considers the stock on a forklift (for example) like a pallet picked from bulk storage that’s en route to the pick point or deconsolidation center.

Negative Stock

Negative stock is stock below the available quantity. The options available are

  • Negative Stocks Not Allowed : In this option system will throw an error if available qty is less then picked qty.
  • Negative Available Quantity Allowed : in this option stock removal task will be created, if picked qty is less then- the available quantity + quantity scheduled for putaway in open putaway warehouse tasks with destination bins set as the bin from which stock removal is being planned.
  • Negative Stocks Al lowed : Stock removal task is allowed to create from the bin even if available qty is less the picking qty , but confirmation can only be done if available qty is more than the picking quantity.
Handling Unit Picking Control

The HU Picking Ctrl indicator controls how a full pallet being picked should be affected if it matches the required pick quantity.

The options available are as follows

  • Adopt Source HU with Lower-Level HUs into Pick HU : The source HU is selected as the lower-level HU into the pick HU when the picking task is confirmed.
  • Propose Source HU as Destination HU : The source HU becomes the destination HU upon picking warehouse task confirmation.
  • Warehouse Process Type Controls Proposal for Destination HU : How the source HU will be affected when picked is determined by the value of the Control for HU Pick setting in the warehouse process type.
  • Only Adopt Contents (Prod. and Lower-Level HUs) into Pick-HUs : Only the products in the source HUs and any lower-level HUs are included in the pick HU. This option is used only if the product or lower-level HUs are to be picked from the issuing HU.
Pick Point Active

Pick point indictor is used for a ST for which pick point is active

Note : A pick point is an intermediate location where HUs are placed for picking, packing, or inspection. The picked quantity is moved to a pick HU (if pick HUs are used), while the rest of the pallet is moved back.

Use for Rough Bin Determination

system determine the source ST based on stock removal strategies and filled in warehouse request line item as soon as it is created.

Note : This setting is used in combination with order-related replenishment, in which the replenishment quantity is calculated based on the rough bins determined in open orders. The replenishment then can be run to make the required stock available in the required bins, and the warehouse picking request can be completed.

Stock Removal Rule

Here we give the various stock removal rules that allows the system to sort the quants in order of preference for picking

Note : The stock removal rules are also set at the storage type search sequence level and storage type group level. The system only looks for stock removal rules at the storage type level if they’ re not maintained either of these two places.

Round Whole Units

Stock can be from ST in full pallets, cases or EA depending on ST.

  • No Rounding : No round off is done
  • Round Down WT Quantity to Single Unit : Rounded off to a single unit. For example, for multiple full pallet picks, the system creates a separate warehouse task for full pallets.
  • Round Down WT Quantity to a Multiple of a Unit : Quantities in a warehouse task are rounded off to a multiple of a unit. For example, the entire pick quantity is rounded off to multiples of cases or pallets, and the remaining quantity is moved to a different warehouse task for picking from a different storage type.
  • Round Up WT Quantity to a Multiple of a Unit : Quantities in a warehouse task are rounded up to a multiple of a unit. The remaining quantity can be moved back to storage or moved to a different storage area created for storing loose cases.

Fields in “Goods Movement Control” Section of Storage Type Configuration

These settings controls how goods movement happens in the storage type. Below picture shows the different settings available

Picture : Goods Movement Control in ST configuration

Availability Group

It controls the availability of stock in the storage type.

You can read about this in details here

Non-dependent Stock Type

This field controls the availability of only a certain non dependent stock type (UNR,QI, BLK, RTN) in ST

Posting Change Bin

This controls whether stock should move to another bin if a posting change is made to a quant. The options are

  • Posting Change Always in Storage Bin : In this option stock will not move to another bin at posting change
  • Posting Change According to Mixed Storage Setting : if the storage type setting doesn’t allow multiple stock types in the storage bin, then a warehouse task is created to move stock to another storage bin.
  • Posting Change Never in Storage Bin : System always create a WT to move stock to another bin if a posting change happens in ST

Note : For option “Posting Change Always in Storage Bin”, If putaway settings don’t allow mixed stock types in the same bin, this setting will gain preference, and the system will allow bins to have stock with different stock types even if a posting change only occurs for partial stock in the bin.


if this indicator is selected then system allows only stocks with availability group in the storage type.

Note : This setting is very important to change the stock IM SLOC from “Received on DOCK” to “Available for Sale”

No Goods Issue

with this setting , system does not allow goods issue from this SLOC. This is set for final putaway storage types.

Stock Type Role

This field is used if we want to store only a particular stock type in the storage type. If stock of a different stock type is moved into the bins in the storage type, then the stock type is changed to the stock type defined in this setting.

Note : You can use this setting for storage types reserved for scrapping. The stock type role can be set to scrapping stock, and any stock then moved to this storage type will be moved as scrapped stock.

Fields in “Replenishment” Section of Storage Type Configuration

The Replenishment section includes storage type settings for controlling replenishment. Replenishment is used to fill stock in a picking area so that it reaches a minimum required threshold level and can be used for direct picking.

Replenishment Level

This determines the level in the storage type from which the stock levels will be read when replenishment tasks are being created to fill stock in the storage type. The options available are

  • Storage Bin Level for Fixed Bins : Stock levels for replenishment are calculated at bin levels for fixed bins allocated to a product. Based on these, the replenishment tasks are created to pick stock from reserve storage types
  • Storage Type Level : Stock quantities will be calculated for all the bins in the storage type.

if replenished quantity is less than the replenishment request but more than the tolerance level (defines in percentage), the warehouse replenishment tasks are completed.

Define Storage Sections

A storage section is an subdivision of a storage type. It joins storage bins that have similar attributes.

Picture : Storage Section Configuration

We have created below storage sections for our car business warehouses

Picture : Storage Section for PA11 Warehouse…continued in next picture
Picture : Storage section for PA11 Warehouse

Define Storage Groups for Layout-Oriented Storage Control

The storage group for the layout-oriented storage control is a logical or physical breakdown of a storage type. For Example – All storage bins in an aisle are grouped in a storage group, since the goods have to be brought during picking from this aisle to an intermediate storage bin at the end of the aisle

Note : The system uses the storage group for the layout-oriented storage control to determine the intermediate storage type.

Picture : Configuration of Storage group for LOSC

Below Storage groups are configured

Picture : Storage Groups for PA11 Warehouse

Define Activities

An activity in a warehouse triggers goods movements like Perform Physical inventory, perform putaway, perform picking, perform replenishment etc

Note : An activity must be uniquely assigned to a warehouse process category

Picture : Activity configuration path

Below activities are configured for our warehouse and linked to WP category

Picture : Activities for our Warehouse

Define Activity Area

Activity area are logical area of the warehouse, which groups storage bins together with regards to specific warehouse activities like : Put-away, Picking , Physical Activity etc.

Note : An activity area is used to group warehouse tasks into warehouse orders, which are then assigned to resources. Activity areas are also used for bin sorting based on activity area and activity. We can perform multiple activities in an activity area. An activity area also can include bins from multiple storage types.

Picture : Activity area configuration
Picture : Activity Area for PA11 Warehouse …To Be Continued
Picture : Activity Area for PA11 Warehouse

Generate Activity Areas from Storage Type

Through the report /SCWM/R_AREA_LGTYP_CREATE., we can creates the activity areas 1:1 from the storage types automatically. In the above section all the activity area corresponding to storage types are created automatically and description was given by system

Picture : Automatic Activity area configuration

Note : Once we have generated an Activity Area for all activities, a generic sort sequence is automatically created for every combination of storage type & activity If we create manually activity area corresponding to a storage type as we did in the above configuration, system will not automatically insert our warehouse entry into configuration “Assign Storage Bins to Activity Areas” & “Define Sort Sequence for Activity Area”

Assign Storage Bins to Activity Areas

Here we will Implicitly enter the storage type i.e. we will enter only the storage type and leave all the remaining fields empty. The system specifies the storage bins using the storage type, and assigns all storage bins within this storage type to the activity area.

Note : If we have generated activity area through configuration node “Generate Activity Areas from Storage Type” then system will insert this automatically

Picture : Assign Storage Bin to AA

Picture : Assign Bin to AA for PA11 Warehouse (implicitly)

Since we have created three activity area which is not 1:1 with Storage types so we need to manually insert these activity area in the above config in order to assign bins

Picture : Assignment of Bins to Activity Area not 1:1 with ST

Define Sort Sequence for Activity Area

Here We define the sorting rules within an activity area for all activities except cross-line stock put-away. We will Implicitly enter the sorting i.e. enter only the storage type and leave all remaining fields blank. The system sorts by storage bin name in ascending order.

Note : If we have generated activity area through configuration node “Generate Activity Areas from Storage Type” then system will insert entries in this configuration automatically

Activity : Sort Sequence for Activity Area

For the activity area

Picture : Sort Sequence for activity area

Define Sort Sequence for Cross-Line Stock Put-away

To influence the sort rule during the bin search, we need a sort sequence for the activity CSLP (cross-line stock put-away)

Picture : Cross Line Put away sorting used in inbound Bin search

Note : Put-away strategy doesn´t look for “Sort Sequence” defined for PTWY Activity Area. the activity PTWY assigned in the previous configuration is not considered during the bin search. This can only be used for sorting existing warehouse tasks during the WOCR or in the WO. This activity is never in a warehouse process

Picture : Cross Line put Away sorting to determine storage Bin during Put-away

Settings for Storage Bins

Here we will create the structure & template to create storage bins

Define Storage Bin Types

Storage bins can be divided into groups according to their physical attributes (for example, large bins, small bins). During slotting, you can have the system determine a preferred storage bin type.

Note : In combination with the handling unit type, a suitable storage bin is suggested to you during put away

Picture : Storage Bin type configuration path

Created below storage bin type for our warehouse

Picture : Storage Bin type for Warehouse PA11

Picture : can define capacity in Storage Bin Type configuration

Define Bin Access Types

Access types for storage bins is defined here

Picture : Bin Access Type configuration Path

Picture : Bin Access Type for WH

Define Storage Bin Identifiers for Storage Bin Structures

Here we define storage bin identifiers. These are used for Define Storage Bin Structures to uniquely identify the parts of the storage bin and to define activity areas independently of the storage type

Picture : Storage Bin identifier

Picture : Storage bin identifier Configuration

Define Storage Bin Structure

Here we define storage bin structures with the same configuration. The system uses the initial storage bin structure to automatically create a sequence of similar storage bins.

Picture : Storage Bin Structure

Staging Areas and Warehouse Doors

Staging Area

Staging area is defined by a storage type (called staging area group), a storage section (called staging area), and one or several storage bins (called staging bays).
A staging area can be assigned to one or several doors.

Note : Staging areas are storage sections that fall within a storage type with role D. Staging areas are used to provide interim storage for goods after unloading or before loading. During loading, the sequence of the bins in the staging area can be used as a loading sequence

We can also select a loading rule.
•The handling units should be sent to the warehouse door immediately after arrival.
•All handling units must arrive before loading can begin.
•There needs to be a wait of 24 hours before loading can begin

Picture : Staging Area Configuration Path

We have configured below staging area

Picture : Staging Area Configuration

Define Warehouse Door

A door is defined by a door number and a storage bin (that is door bin).
Note : The storage bin must be located in a storage type with storage type role “F”. The storage type does not contain any storage section. Furthermore, a door is assigned to a staging area.

Picture : Staging area and door Configuration
Picture : Door Configuration for PA11 WH

Note : Standard means of transport can be used for automatic creation of vehicles and transportation units in transaction /SCWM/DOOR (Maintain Door/Transportation Unit Assignments).

Assign Staging Area/Door Determination Group to Door

Here we define which staging area groups/door determination groups are permitted for a warehouse door.

Note : This can be used to separately control warehouse doors with bulk material and warehouse doors with palleted goods

Picture : staging area/door determination group

Assign Staging Area to Warehouse Door

Picture : Staging area and door assignment

Picture : Assignment of door to staging area

In the next post we will look at the further configuration of EWM

Business photo created by freepik –

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