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Process documentation Outbound Processing Without WM  Locate the document in its SAP Library structure

Purpose

You can use this business process for your outbound processing by implementing Lean Warehouse Management. When you implement the Warehouse Management System (WMS), you manage goods movements and stock changes in the warehouse at storage-bin level. However, if you implement Lean WM – in other words Outbound Processing without WM – inventory management runs at storage-location level. The system does not update the stock data at storage bin level using the quants. For more information, see the ERP documentation in the SAP Help Portal under Documentation ® mySAP ERP ® Logistics ® Logistics Execution (LE) ® Warehouse Management System ® Warehouse Structure in the Warehouse Management System ® Warehouse Management with Lean WM.

You use Lean WM solely for processing goods receipts and goods issues. Using Lean WM, you process the warehouse movements in the same way as WMS. You work with deliveries and you create transfer orders for these deliveries. These transfer orders serve as pick lists. For more information about pick lists, see the ERP documentation in the SAP Help Portal under Documentation ® mySAP ERP ® Logistics ® Logistics Execution (LE) ® Warehouse Management System ® Warehouse Movements ® Transfer Order. We recommend that you implement Lean WM if you wish to pick deliveries in a warehouse that you are not managing using WMS.

Outbound processing typically comprises the following activities:

      The notification of goods to be supplied from a warehouse to a customer for which the outbound delivery serves as the reference document

      Picking (using TOs in Lean WM)

      Packing

      Physical goods issue

      Loading

      Goods issue and goods issue posting to Inventory Management (IM)

      Advising of advanced shipping notifications to business partners

      Obtaining a proof of delivery (POD) from the receiving business partner

Prerequisites

You can only implement Lean WM in a fixed bin warehouse; random storage is not possible.

Process Flow

This graphic is explained in the accompanying text

 

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       1.      Create delivery (SAP ECC)

The outbound delivery contains essential information to enable the warehouse to meet outbound fulfillment objectives. It also contains business partner information, data as to materials required, and the quantities ordered. The outbound delivery also stipulates delivery deadlines, delivery points and conditions, mode of transport, and delivery terms.

An outbound delivery is usually created based on a reference document, such as a sales order, purchase order, and stock transport order, but you may also create an outbound delivery spontaneously (that is, without reference to a reference document).

In its role as central object of the goods issue process, the outbound delivery supports all shipping activities including picking, packing, transportation, and goods issue. During the outbound delivery process, shipping-planning information is recorded, status of shipping activities is monitored, and data accumulated during shipment processing is documented. When the outbound delivery is created, the shipping activities, such as picking or delivery scheduling, are initiated, and data that is generated during shipment processing is included in the delivery. For more information, see the ERP documentation in the SAP Help Portal under Documentation ® mySAP ERP ® Logistics ® Logistics Execution (LE) ® Shipping (LE-SHP) ® Delivery Processing.

       2.      Pick (SAP ECC)

The picking process involves taking goods (matching the respective outbound delivery requirements) from a storage location and staging the right quantity in a picking area where the goods will be prepared for shipping.

Picking transfer orders may be created either:

¡        Through the subsequent function-update mode of the outbound delivery

¡        Using the delivery monitor to create transfer orders for outbound deliveries that are available for picking

Transfer orders created with Lean WM have the following characteristics:

       Confirmation of transfer orders is not required.

       Stock differences are reported to IM for processing. Differences cannot be handled in WM.

       You can transmit Lean WM transfer-order data to external systems.

       Recording performance data, such as assignment to a picker, return confirmation of actual times, or determining planned times is possible for this type of TO.

       If a transfer order has been created, subsequent changes to the delivery can be made in the Pick Quantity field. This is not possible in standard WM.

For more information, see the ERP documentation in the SAP Help Portal under Documentation ® mySAP ERP ® Logistics ® Logistics Execution (LE) ® Warehouse Management System ® Warehouse Structure in the Warehouse Management System ® Warehouse Management with Lean WM ® Setting Up Lean WM. For a description of the different activities, see Logistics Execution (LE) ® Shipping (LE-SHP) ® Picking ® Picking with Warehouse Management ® Using a Transfer Order as a Pick Order in Lean WM.

       3.      Pack (SAP ECC)

Packing and repacking the picked items is frequently required if, for example, an outbound delivery mandates items to be picked:

¡        Delivery items have either more or less quantity than the storage units of these items in the warehouse.

¡        Delivery items of different materials are to be packed together on to one pallet for transport.

¡        The delivery quantity does not fit one pallet and needs to be split over several pallets of equal quantity, with the remaining quantity to be packed in a carton.

Packing is part of delivery and shipment processing. When you process a delivery, you can select delivery items for packing and assign them to handling units. You could, for instance, pack delivery items in boxes, pack the cartons on pallets for delivery to the customer, and load the pallets onto a truck.

For more information, see the ERP documentation in the SAP Help Portal under Documentation ® mySAP ERP ® Logistics ® Logistics Execution (LE) ® Shipping (LE-SHP) ® Packing.

       4.      Confirm goods issue in warehouse (SAP ECC)

Upon transfer order confirmation of the picked or picked-and-packed items contained in the delivery to the goods issue zone, goods issue is confirmed. Upon goods issue, confirmation and posting of the outbound delivery are updated.

In Lean WM, you create transfer orders for deliveries to pick stock from fixed bins in the warehouse that are not managed by WMS.

For more information, see the ERP documentation in the SAP Help Portal under Documentation ® mySAP ERP ® Logistics ® Logistics Execution (LE) ® Shipping (LE-SHP) ® Picking ® Picking with Warehouse Management ® Using a Transfer Order as a Pick Order in Lean WM.

       5.      Load (SAP ECC)

The delivery items in the goods issue zone can now be moved onto a truck or into transport equipment, such as a container using an RF (LE-LMOB) loading transaction.

Using an RF device, you can do the following:

¡        Load handling units (HUs) on – or unload HUs from – a means of transport, if you know the number of the shipment to which the HUs are assigned.

¡        Load HUs on – or unload HUs from – a means of transport, if you know the number of the delivery to which the HUs are assigned.

¡        Perform system-guided loading. You enter a shipment number and the system proposes the load sequence of the HUs assigned to it. In the case of nested HUs, you can enter the higher-level HU, and the respective lower-level HUs are loaded automatically.

Vehicle or transport equipment sealing activity is also supported.

For more information, see the ERP documentation in the SAP Help Portal under Documentation ® mySAP ERP ® Logistics ® Logistics Execution (LE) ® Warehouse Management System ® Mobile Data Entry (LE-MOB) ® RF – Supported Warehouse Processes ® Loading and Unloading.

       6.      Post goods issue to inventory management (IM) (SAP ECC)

Upon transfer order confirmation of the picked or picked-and-packed items contained in the delivery to the goods issue zone, goods issue is confirmed and posted to IM. Upon goods issue, confirmation and posting of the outbound delivery is updated. As soon as the goods leave the company, the shipping business activity is finished.

In order to post goods issue, all necessary shipping activities must be completed. These activities include:

       Entering all necessary data in the outbound delivery. For example, the storage location, batch, or valuation type must be specified in the delivery.

       Picking of all individual outbound delivery items must be complete for all items for which you have set the Relevant for picking indicator in the Implementation Guide (Logistics Execution ® Shipping ® Picking section, Define relevant item categories activity). You can post goods issue for picked quantities only.

       All transfer orders must be confirmed for individual outbound delivery items if those items were picked using the WMS or Lean WM and if you have indicated them as having a confirmation requirement.

For more information, see the ERP documentation in the SAP Help Portal under Documentation ® mySAP ERP ® Logistics ® Logistics Execution (LE) ® Warehouse Management System ® Warehouse Structure in the Warehouse Management System ® Warehouse Management with Lean WM ® Setting Up Lean WM. Also see the ERP documentation in the SAP Help Portal under Documentation ® mySAP ERP ® Logistics ® Logistics Execution (LE) ® Shipping (LE-SHP) ® Picking.

       7.      Send ASN to business partner (SAP ECC)

Following the outbound delivery update based on loading confirmation, the business partners (receiving customer, logistics service provider, and trucker or shipping company) can receive an ASN announcing the dispatch. It advises the impending arrival of the delivery. An ASN can be either sent electronically by EDI, XML, or non-electronic means.

In the EDI scenario, you create a message with the delivery which is sent to the customer via EDI as a shipping notification. On your side, the delivery can be initiated automatically by a forecast delivery schedule from the customer, for example.

An ASN contains logistically relevant data, such as date and time of delivery, material, quantities, and packing information.

For more information, see ASN to Business Partner.

       8.      Receive POD from business partner (SAP ECC)

The receipt of a proof of delivery (POD) marks the end of outbound processing and has the objective of confirming the arrival of the dispatched goods and their associated conditions (damage, differences in orders shipped or ordered, and so on).

A POD is also used in business processes in which an invoice is issued only after the customer has confirmed the delivery's arrival. In addition to the proof of delivery itself, you can also record the POD date, POD time, the actual quantity that arrived, and the reason for possible differences in quantities. This is especially important for deliveries in which the delivery quantity varies because of the nature of the goods or for which the exact delivery quantity is unknown from the start.

You can record proofs of delivery in inbound deliveries for which your vendor has sent shipping notifications and send them via IDoc. You have three different options for recording differences and reasons for deviation:

¡        Automatic creation

When you change quantities in an inbound delivery, the system generates the POD data, including the difference in quantity, and standard reason in the background. In this case, you cannot change this data or create other data manually.

¡        Partially-automated creation

When you change quantities in an inbound delivery, an input screen appears with the POD data that was generated by the system as suggested values. You can use this screen to add other data or change the reasons manually.

¡        Manual creation

When you change quantities in an inbound delivery, an input screen appears in which you must enter all POD data manually.

       9.      Track and evaluate fulfillment process with SCEM (optional) (SAP SCM)

Optionally, you can track and evaluate the process in Supply Chain Event Management (SCEM).

For more information about SCEM, see Fulfillment Visibility as well as the SAP Library under mySAP Business Suite ® SAP Event Management (SAP EM)® Supply Chain Coordination ® Uses of Supply Chain Event Management and Processes in Supply Chain Event Management.

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