SAP Extended Warehouse Management

Operational Excellence in Warehousing

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Complexity

Inventory

Workforce

Costs

Velocity

Shorter cycle times

Supply chain

Value added services

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Visibility

Expectations

Automation

Customers

Quality

Efficiency

Growing the business while satisfying customer demand

is getting tougher

Compliance
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What does better mean to you?

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Customer
service

Warehouse
transparency

Inventory
costs

Reduced
labor costs

Process
automation

Compliance

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SAP Extended Warehouse Management (SAP EWM)

Mission and strategy

Mission

The worlds best warehouse management solution

The thought leader in supply chain execution

Warehouse
mangement
leadership

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History (19942012)
A long history of warehouse management business, process, and IT expertise

1994
SAP R/3:
warehouse
management
functionality
(SAP R/3 2.04.7)

SAP Supply Chain Management (SAP SCM)

SAP EWM application
(SAP EWM 5.0 5.1)

Distribution
Goods storage
center
Logistics execution
logistics

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2012

2007

(SAP EWM 7.07.01)

(SAP EWM 7.02)

Advanced
warehouse
management

Best-in-class
warehouse
management

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SAP Extended Warehouse Management

Best-in-class warehouse management solution

World-class analytics

Comprehensive integration
with SAP Business Suite
applications
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Built-in optimization

Leading-edge warehouse
technology integration

High-perfomance
execution

High degree of flexibility

and adaptability

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Overview of SAP Extended Warehouse Management 7.02

A complete and integrated solution

Inbound
processing
Transportation unit
processing
Goods receipt mgmt.
and optimization
Inbound quality
management
Yard management

Storage and
operations
Physical inventory
Replenishment and
rearrangement
Kit-to-stock management

Outbound
processing
Outbound planning
(route, wave, bin,
cartonization, and so on)
Picking optimization,
packing, staging, and
load management
Value-added services

Analytics
Labor management
Cross-docking
Compliance
Native technologies
Implementation tools
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Customer status of SAP EWM

Strong customer growth and implementation momentum

Facts and figures

Sample customers

Over 120 new customers in 2011

More than 150% new installations (2011)
Over 150 ongoing implementation projects
Productive use of SAP EWM in 20 countries
and 9 industries

Live customers and live sites

Coca-Cola
Enterprises

Customer geographical coverage

300
250
200
Live sites

150

Live customers
100
50
0
Dec 2007

Dec 2008

Dec 2009

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Dec 2010

Dec 2011

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World-class analytics with SAP EWM

Comprehensive stock and process transparency

Supply chain manager

Cross-warehouse
performance monitoring

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Warehouse supervisor

Comprehensive,
central warehouse
operation monitor

Alert and exception

monitoring
Drill-down and directaction triggering

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Built-in optimization
Wave management, labor management, and slotting

Wave
management

Optimized work orders; efficient pick path

Labor
management

Reduced labor costs; improved labor planning

Slotting

Advanced storage concept; ABC goods classification

Cartonization

Automatic shipping-unit determination

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Leading-edge warehouse technology integration

Increased accuracy, efficiency, and visibility

Material flow system (MFS)

Native technology integration

Programmable logical controllers

(PLC)

Mobile radio frequency (RF)

Pallet and case conveyors

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Pick by voice
RFID

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Native integration with SAP Business Suite

Comprehensive, smooth, and real-time process integration

Sales and distribution

Procurement

Advance shipping notification (ASN)

Inbound quality management

SAP Manufacturing

Comprehensive production supply support

(process orders and crate parts)

SAP Environment, Health,

and Safety Management

Dangerous goods handling

Storage and document printing

SAP Global Trade Services

Compliance with import and export regulations

Customs; bonded warehouse

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Order processing
Customer relationship management (CRM)
Back-order processing (global available to promise)
Advanced claims and returns management
Track and trace

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Verticalized offering
Examples of support for in-depth industry-specific processes in SAP EWM

Automotive
Production supply
Kit to stock
Kit to order

Service
parts
Slotting
Kit to stock
Kit to order

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Chemicals
Batch management
Dangerous goods

Transportation
and
logistics
Transportation
cross-docking
Dangerous goods
Transport integration

Consumer
products
Catch weight
Batch management
Best-before handling

High
tech
Serial numbers
Production supply

Retail
Merchandise distribtribution crossdocking
High-volume
throughput
Best-before handling

Life
sciences
Batch management
Best-before
handling

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High flexibility and adaptability

Tailor SAP EWM to your specific needs

Personalization

Configuration

Role-based menus

Warehouse layout

User-specific reports

Industry-specific warehouse
processes

Role-based user interfaces

Multilingual support

Customer-specific extension
Open code for reuse
Documented interfaces
Modification-free extensions
Upgrade security or
upgrade-secure interfaces

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Strategies (picking, putaway,

and so on)

Service-oriented architecture
Development of composite
applications
Integration to legacy systems
and third-party software

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Solution architecture of SAP EWM

Deployment options

Decentral solution architecture

SAP EWM as an
add-on
SAP EWM

SAP ERP

SAP ERP
SAP ERP

SAP EWM
Server for SAP SCM

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Customer benefits of SAP EWM

Increased
warehouse
productivity

Greater
transparency

Increased
accuracy

Better service
levels

Reduced
costs

Flexibility and
scalability

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The best are leading the way with SAP EWM

speed and significantly

Increased
reduced picking times

34%

ongoing labor cost reduction

Near zero customer-complaint rate

30% increase in warehouse productivity
20 warehouses live using the same template
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Transportation and
logistics provider,
headquartered in Italy.
With SAP software,
management
transformed a regional
transportation business
into a global logistics
service provider.

2012 SAP AG. All rights reserved.

30%

increase in warehouse worker productivity

10%

reduction in cost of transportation

20x

increase in order-to-cash processing speed

Optimized key business processes such as planning, tuning of

local and domestic distribution, and fleet and routing definitions
Reduced CO2 emissions through optimized transportation routes

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If there is NO appropriate image in the SAP library, and the image is $50 or less, purchase
the image after internal approval.
MAXIMUM of three metrics.
MAXIMUM of 4 bullets of what the customer accomplished.

Chinese joint venture

between
First Automobile Works
(FAW) and
Volkswagen Group
With SAP software, FAWVolkswagen (China) reports a
20% increase in warehouse
efficiency and resulting cost
savings.

70%

increase in real-time visibility of daily workload

and the pick, pack, and load status of an order

34%

ongoing labor cost reduction

13% ongoing packaging material expense reduction

SAP EWM and integrated RF technology achieved real-time

visibility of warehouses.
Wave management greatly increased picking efficiency.
Precise bin management greatly increased accuracy.

.
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Analyst quotes

So, is SAP EWM a rival to best of breeds?

Yes they are.
SAP EWM: A Rival to Best of Breed Solutions?
Steve Banker, ARC Brief, October 14, 2010, p. 5

SAP has global go-to-market and deployment

capabilities, in addition to its experience.
Magic Quadrant for Warehouse Management Systems
Dwight Klappich, Gartner, February 27, 2012, p. 21

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Analyst quotes

The vendor has a compelling vision for SCE

convergence It reaches beyond transportation to
include process integration,
with areas such as manufacturing, order
management, global trade and EH&S.
Magic Quadrant for Warehouse Management Systems
Dwight Klappich, Gartner, February 27, 2012, p. 21

2012 SAP AG. All rights reserved.

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Total cost of implementation: strategy for SAP EWM

Rapid-deployment solutions
Complete solution that is
ready to run
Fixed scope, fixed cost, and 100%
transparency

Migration tools
Accelerated migration of data from WM
in SAP ERP to SAP EWM
Master data migration

SAP
ERP

Master data,
inventory,

SAP
EWM

Migration guide

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Services and ecosystem around SAP EWM

Strong service offering and ecosystem

Service and
support
SAP consulting
practice
24x7 global support
Quality assurance
services and
SAP Safeguarding
Rapid-deployment
solutions
Custom development

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Partners
Global partners
Expert logistics
partners
Local partners
Complementary
software products

Education
Classroom
training
E-learning
Certification
program

Ecosystem
SAP Community
Network
User group for
SAP EWM
Social networks
for SAP EWM

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Wrap-up

Comprehensive, deep warehouse

management expertise
Best-in-class, integrated warehouse
management solution
Strong and growing customer base
Strategic investment area for SAP
Integral part of platform road map for
supply chain execution

2012 SAP AG. All rights reserved.

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Learn more about SAP EWM

Landing page for SAP EWM

www.sap.com/ewm

Supply chain execution community

https://cw.sdn.sap.com/cw/community/sce/external
Registration via:

https://cw.sdn.sap.com/cw/community/sce

2012 SAP AG. All rights reserved.

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Thank you
Contact information:
F name MI. L name
Title
Address
Phone number

Differentiators and value of SAP EWM

Comparison of SAP EWM with WM functions of SAP ERP

SAPs strategic warehouse

management solution

Functional area

WM

SAP EWM

Manage stock at storage location

Bin management
Placement strategies

Strong investment and

supply chain execution roadmap

Removal strategies
Pick logic wave management
Replenishment
Standard mobile RF technology

Enhanced process flexibility

Handling / storage unit management

Yard management
Enhanced configurable RF technology

Full warehouse visibility

Latest technology support

Task and resource management

Material flow system
Value added services
Cross-docking
Dynamic cycle counting

Labor management

Unloading of transport units

Deconsolidation
Slotting / rearrangement

Better performance

Labor management
Multi client warehousing
Flexible process modelling

2012 SAP AG. All rights reserved.

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Customer geographical coverage

2012 SAP AG. All rights reserved.

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 2012 SAP AG. All rights reserved.

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