3/6/2016 1:48:22 PM

The various SAP EWM functions can be grouped into processes as shown in the diagram below. Ths blog will give you overview about SAP EWM Functions and Processes as Inbound Process, Slotting, Yard Management, Quality Inspection, Outbound Process, Cross Docking, Value Added Services, Packaging, Replenishment, EHS, Handling Units, Mobile Data Entry, RFID, Monitoring Tools, Labor Management and Physical Inventory.

Inbound Process:

At the core of the Inbound Processes is the goods receipt process that includes the functionality necessary to direct the movement of products from the warehouse door to their final destination bins. Based on configuration settings and master data, products can be putaway in an optimal fashion. Use of the Slotting and Rearrangement function can be used as an integral part of the putaway optimization process.


During slotting, a storage concept is automatically determined for a product. The system determines the underlying storage parameters that are relevant for putaway on the basis of product data, requirement data, and packaging data. Rearrangement is used to optimize the arrangement of your products in the warehouse by moving stock such as fast-moving items to the relevant optimal storage bin as determined by the slotting process.

Yard Management :

Yard Management can be used to monitor and manage vehicles (Transportation Units) that arrive to deliver products to the warehouse. Although described as part of the Inbound Process, Yard Management can be used to also manage Transportation Units (TU's) that arrive to pick up orders to be delivered to customers or other company warehouses.

Quality Inspection:

Materials that are being received into the warehouse may require quality-related inspections. These inspections can be managed using the EWM Quality Inspection function through the use of the Quality Inspection Engine (QIE). Quality inspection documents are created for the products to be inspected and the results of the inspections can be posted against them.

Outbound Process:

Outbound Processes represent the second of the major EWM processes. Within the Outbound Processes, goods issue represents the pick, pack, staging and loading of products from the warehouse. The remaining processes in the Outbound processes support the goods issue process. Using the Wave Management function you can use EWM to combine items or split items from warehouse requests for outbound deliveries into waves. These waves must be picked and processed at roughly the same time. Waves can be created manually or automatically in EWM.

Cross Docking:

In cross docking you transport the products or HU's from goods receipt to goods issue without putaway occurring in between. In the case of push deployment (PD) and pick from goods receipt (PFGR), you start by working with a standard goods receipt process. Transportation cross-docking (TCD) supports the transportation of handling units (HUs) across different distribution centers/warehouses to the final destination. If the final destination is a customer site, a sales order in SAP ERP or CRM forms the basis for TCD. However, TCD can also be used to support the movement of HU's between your warehouses. In this case, a stock transfer order forms the basis for TCD.

Value Added Services:

Typical Value Added Services (VAS) activities performed in warehouses/distribution centers are assembling products, packing products, labeling, or kitting. Although, described here as an Outbound Process, a value added service can be performed as part of an inbound or an outbound process. VAS activities are managed in EWM under the control of a VAS order. The VAS order defines which product processing must be performed by warehouse employees in the work centers, for example. You can also use a VAS order in the goods issue process to assemble kits for your customers, and to pack them on a customer-specific basis using this VAS order.

Packaging: Packing in the Outbound processes generally involves the removal of stock from a storage bin and placing it into a pick handling unit (HU). Depending on your packing requirements, the pick HU may be taken to a packing work center where the products in the pick HU are packed further into other HU's for shipping or repacked into other HU's

Replenishment: Replenishment control can be used to re-stock a picking area in accordance with the demand for products that are picked in this area. There are several replenishment strategies that can be used to direct the replenishment process. Data that can be used to determine replenishment stocks can come from slotting, open warehouse requests, and can be entered manually..


The functions in Environmental Health and Safety (EH & S) provide support for the proper handling and storage of hazardous substances in the warehouse. In addition, these services can help insure that goods are transported in accordance with the various governmental regulations. The hazardous substances data used in the EH & S Services function is obtained by integration with the EH & S application in the SAP ERP system.

Handling Units:

The EWM Warehousing and Storage Processes include the support of handling units in all of the warehouse processes where products must be moved using handling units. An example of this requirement is in the use or EWM process-oriented storage control that insures that product movements occur in the proper sequence in the warehouse. 

Mobile Data Entry:

Support of mobile data entry/scanning devices (RF) is an integral function in EWM and can be used for all warehouse processes. Integrated with the RF functionality is the resource management function that is used to link warehouse resources, people and material handling equipment, to the RF environment to insure that the proper resources are assigned to a warehouse task.


Support of Radio Frequency Identification (RFID) tags is also a key function in EWM. Use of RFID tags with the SAP AutoID Infrastructure (AII) component is possible for inbound, outbound and internal product movements. For warehouses that have automated storage/retrieval systems (AS/RS), EWM provides the Material Flow System (MFS) that can be used to interface these systems with EWM.

Monitoring Tools:

Evaluation & Planning processes in EWM consist of various monitoring tools and the labor management function. The central monitoring function for all EWM processes and master data is the Warehouse Management Monitor, or simply, the warehouse monitor. Contained within the warehouse monitor is the ability to display warehouse request, warehouse task and warehouse order document data. In addition, stock related data form the EWM storage bins can be displayed. Built into the warehouse monitor is an alert monitoring function in which various EWM exceptions can be monitored.

Labor Management:

Labor Management provides a series of functions that can be used to plan labor times and resources in your warehouse more effectively, thereby making your warehouse more productive. You can use these functions to measure, plan, simulate, and visualize the activities in your warehouse. Labor Management also provides the ability to compare and evaluate the performance of warehouse employees based on engineered labor standards. After executing planned work, the planned and actual times can be reviewed, and incentives can be triggered in a connected HR system for bonus payments.

Physical Inventory:

Physical Inventory processes in Extended Warehouse Management (EWM) are used to carry out a physical inventory of products and handling units (HU's) for stock control and balance sheet purposes. You have the following options:

Storage-bin-specific physical inventory - this option refers to counting a storage bin and therefore to all the products and HU's in this storage bin.

Product-specific physical inventory - this option refers to counting a specific product in one or more storage bins and/or HU's.

To perform a physical inventory, you can choose between three business inventory


Periodic physical inventory procedure

Continuous physical inventory procedure

Cycle counting

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