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Rahul_Gandi
Explorer
3,118

Let's assume a scenario in an automotive spare parts warehouse, where efficiency and precision are paramount, especially when handling a variety of components ranging from hefty engine blocks to small yet essential items like spark plugs and brake pads
Rahul_Gandi_0-1734111577047.png

Step 1: Arrival and Unloading

The process begins when a consolidated shipment arrives from the vendor. After unloading, goods are temporarily placed in the Goods Receipt Zone, ready for further processing.

Step 2: Deconsolidation – Sorting by Size and Type
  • Insp. Planning W/o Rules

At the Deconsolidation Work Center, the shipment is broken down into handling units (HUs) based on size and type, ensuring storage efficiency and traceability.

Step 3: Quality Inspection

Each HU undergoes a thorough Quality Inspection to ensure standards are met before storage. Only approved items proceed.

Step 4: Putaway

Warehouse tasks guide operators to place:

  • Large Components in the Bulk Storage Area.
  • Small Components in High Rack Storage or Mezzanine levels, depending on the requirement.

By combining POSC and LOSC with Quality Management Integration, SAP EWM ensures accurate, error-free inbound processes, improving overall warehouse efficiency and maintaining strict quality standards.

Configuration

1. Process-Oriented Storage Control: 

Process-Oriented Storage Control (POSC) involves assigning a sequence of specific steps to be carried out in the warehouse after products are received.

  • Path: SPRO--> IMG-->SCM EWM-->EWM-->Cross Processing Setting-->Warehouse Task--> Define Process-Oriented Storage Control.
  • External Storage process step

Rahul_Gandi_1-1734112261025.png

  • Storage process- Definition

Rahul_Gandi_4-1734112752400.png

 

  •  
  • Assign Storage Process Step

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  • Process Oriented Storage control

Rahul_Gandi_9-1734113298118.png

 

 

 

 

 

 

2. Warehouse Process Type

A Warehouse Process Type is a classification that defines the type of movement and handling required within a warehouse. It specifies the nature of material flows, such as putaway, stock transfer, or picking, and is used to guide the system in executing these movements efficiently.

Path: SPRO-->IMG-->SCM EWM-->EWM-->Cross Processing Settings--> Warehouse Task-->Warehouse Process Type

  • Define Warehouse process type

Acceptance WPT

Rahul_Gandi_16-1734116787422.png

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rejection WPT

Rahul_Gandi_0-1734116900421.png

  • Control Indicator for warehouse process type

Rahul_Gandi_1-1734116982785.png

  • Determine Warehouse Process Type

Rahul_Gandi_2-1734117168236.png

 

 

 

 

3. Work Center

A Work Center in the warehouse is a designated area for specific physical activities, replicated in EWM to mirror the actual workflow. It enables the system to recognize the activities performed there, allowing warehouse associates to update information directly into the system.

  • Two activities must be completed in the warehouse before putaway: deconsolidation and quality inspection. This requires setting up two separate work centers one for deconsolidation and another for quality inspection
 I. Quality Inspection Work Center
  • Define Storage type for QI Work center, Create a Bin and do bin sortin
  • Define Work Center

        Path: SPRO--> IMG-->SCM EWM--> EWM--> Master Data--> Work Center--> Define Work Center

Rahul_Gandi_4-1734117530975.png

  • Assign bin to work center- /N/SCWM/TWORKST

Rahul_Gandi_5-1734117607133.png

 

 
 
 
 
 
 
 
 
 
 
II. Deconsolidation Work Center
  • Define Work Center

Rahul_Gandi_6-1734117713703.png

  • Assign Work Center to the Work Center Bin- /N/SCWM/TWORKST

Rahul_Gandi_7-1734117776648.png

 

 

 

 

 

 

 

 

 

III. ID point Work Center

  • Define Work Center

Rahul_Gandi_8-1734117854490.png

  • Assign Work Center to the Work Center Bin- /N/SCWM/TWORKST

Rahul_Gandi_9-1734117894259.png

 

 

 

 

 

 

 

 

 

 

4. Put Away Strategies

Put away strategies are essential in EWM, ensuring that products are efficiently directed to their designated storage areas. The storage types have been defined as follows: HA10, HA20, and HA30 for high-rack storage, HA40 for bulk storage, and RJCT for rejected products.

Path: SPRO-->IMG-->SCM EWM-->EWM-->Goods receipt processing--> Strategies--> Storage type Search

  • Define storage type search sequence for put away

Acceptance STSS

Rejection STSS

Rahul_Gandi_10-1734118042280.pngRahul_Gandi_11-1734118042281.png
  • Assign Storage type for storage type search sequence

Acceptance

Rejection

Rahul_Gandi_12-1734118196771.pngRahul_Gandi_13-1734118196773.png
  • Put away Control Indicator

Control Indicators are considered same for acceptance and rejection.

Rahul_Gandi_17-1734118325883.png

  • Specify Storage type search sequence

Rahul_Gandi_16-1734118319853.png

 

 

 

 

 

 

 

 

5. Deconsolidation Attributes

Path: SPRO-->IMG-->SCM EWM-->EWM--> Goods Receipt Processes-->Deconsolidation

  • Define Attributes for Deconsolidation

Rahul_Gandi_1-1734136324993.png

  • Specify Deconsolidation station

Rahul_Gandi_2-1734136377889.png

  • Pull Deconsolidation Number to Activity Area

Rahul_Gandi_3-1734136407985.png

6. Quality Management set up

Quality Management (QM) integration is essential for effective quality inspection processes within the warehouse. Configurations on both SAP EWM and SAP S/4HANA sides must be set up to ensure a seamless flow of quality data and processes between systems. This integration enables real-time quality control within the warehouse, allowing for efficient handling of inspection results and facilitating smooth movement of goods based on quality decisions.

I. EWM Quality Management
  • Generate Inspection object types version

Path: SPRO-->IMG--> SCM EWM--> EWM--> Cross Processing settings--> Quality Management--> Basics and Integration--> Generate Inspection object type version

Rahul_Gandi_6-1734136699420.png

  • Maintain Inspection Object type- IOT-04

Path: SPRO--> IMG--> SCM EWM--> EWM--> Cross processing Settings--> Quality Management--> Basics and Integration--> Maintain Inspection Object types versions

Rahul_Gandi_9-1734136851936.png

  • Define and Activate warehouse dependent IOTs

Path: SPRO--> IMG--> SCM EWM --> EWM--> Cross processing Settings--> Quality Management--> Basics and Integration--> Define and Activate warehouse dependent IOTs

Warehouse Dependent IOT Settings

Rahul_Gandi_10-1734136937919.png

Insp. Planning W/o Rules

Rahul_Gandi_12-1734136998220.png

  • Maintain Inspection Rule Group

Path: SPRO--> IMG--> SCM EWM --> EWM--> Cross processing Settings--> Quality Management--> Inspection Planning--> Maintain Inspection Rule Group

Rahul_Gandi_13-1734137058942.png

  • Maintain Follow-up Action

Path: SPRO--> IMG--> SCM EWM --> EWM--> Cross processing Settings--> Quality Management--> Inspection Result--> Maintain Follow-up Action--> Define Follow-up Actions

Define Follow-Up Actions for Inspection

Rahul_Gandi_14-1734137128831.png

  • Assign Logistical Follow-up Actions

Path: SPRO--> IMG--> SCM EWM --> EWM--> Cross processing Settings--> Quality Management--> Inspection Result--> Maintain Follow-up Action--> Assign Logistical Follow-up Actions

Rahul_Gandi_25-1734137309542.pngRahul_Gandi_26-1734137309543.pngRahul_Gandi_27-1734137309546.png Rahul_Gandi_28-1734137309548.png

 II. S4 Quality Management

  • Maintain Settings at Plant Level

Path: SPRO--> IMG--> Quality Management--> Basic Settings--> Maintain settings at plant level

Rahul_Gandi_31-1734137562606.png

  • Define Follow Up Actions for Usage Decision

Path: SPRO--> IMG--> Quality Management--> Inspection lot completion--> Define Follow Up Actions for Usage Decisions

Rahul_Gandi_32-1734137562609.png

  • Edit Code Groups and code for usage decisions

Path: SPRO--> IMG--> Quality Management-->Inspection completion--> Edit Code Groups and code for usage decisions

  • Code Groups for usage decision

Rahul_Gandi_33-1734137562615.png

  • Codes for Usage Decision

Rahul_Gandi_34-1734137562617.png

  • Edit Selected sets for usage Decisions

Path: SPRO--> IMG--> Quality Management-->Inspection completion-->Edit Selected sets for usage Decisions

  • Selected sets for Usage Decision

Rahul_Gandi_35-1734137562620.png

  • Selected set codes for Usage Decision

Rahul_Gandi_36-1734137562623.png

7. Maintain Material & Product Master

Proper configuration of Material and Product Masters is essential, especially for quality inspection processes. Maintaining quality information in the Material Master is crucial, and all control indicators should also be accurately configured in the Product Master to ensure seamless operations.

  • Material Master – MM01

Quality Management view

Rahul_Gandi_41-1734138240036.png

The 1701 inspection type is assigned to the material master under the Quality Management view. Similarly, all materials subject to inspection have been assigned the same inspection type. Due to the length of the blog, not all screenshots have been included.

  • Product Master- /N/SCWM/MAT1

Rahul_Gandi_42-1734138240044.png

Each product subject to quality inspection in the product master should be assigned its respective process type indicators and put away controls. Additionally, assigning the quality inspection group is essential. To maintain brevity, other screenshots have been omitted and listed in table below.

Product

PTDI

PACI

Quality Insp. Grp

Bulk Indicator

000000000000001351- Engine Blocks

ME

EB

QUAL

BL

000000000000001352- Spark Plugs

ME

F1

QUAL

-

000000000000001353- Oil Filters

ME

OF

QUAL

-

000000000000001354- Brake Pads

ME

BP

QUAL

-

8. Maintain Inspection Rule in EWM

T.code: /N/SCWM/QRSETUP

In this step, we define that a particular product is associated with the INB document type and IDLV item type, along with the Quality Inspection group QUAL and 1701 inspection type. This setup indicates that if the product arrives with this specified information, it will be subject to a quality inspection in EWM.

Rahul_Gandi_43-1734138450276.png

9. Layout- Oriented Storage Control (LOSC)

Create storage type and bins for a mezzanine floor (HAF1), generate an activity area (HAF1), and perform bin sorting.

  • Define Layout-Oriented Storage process Control

Path: SPRO--> IMG--> SCM EWM--> EWM--> Cross processing settings--> warehouse Task-->Define Layout Oriented Storage Process Control

Rahul_Gandi_44-1734138450278.png

Testing

 

Rahul_Gandi_46-1734138657646.png

  1. Create Purchase Order -ME21N

The following four products will be sent together to the warehouse

Product

Quantity

000000000000001351- Engine Blocks

1

000000000000001352- Spark Plugs

1

000000000000001353- Oil Filters

1

s000000000000001354- Brake Pads

1

 

  1. Create Inbound delivery & distribute to EWM- VL31N

Product

Quantity

HU#

000000000000001351- Engine Blocks

1

700817

000000000000001352- Spark Plugs

1

 

700818

000000000000001353- Oil Filters

1

000000000000001354- Brake Pads

1

Engine blocks are packed in a separate handling unit (HU) due to their weight, while the remaining products are grouped in another HU. These two HUs, containing all four products, will be sent to the warehouse.

  1. Maintain Inbound delivery in EWM- /N/SCWM/PRDI

Two HUs with four products are distributed to EWM

Rahul_Gandi_47-1734138726068.png

  1. Create Unload Warehouse Task

Two warehouse tasks are created separately for each HU, using process type ZMEC and storage process ZMEC.

Rahul_Gandi_48-1734138726076.png

For wider visibility, let’s open this Inbound delivery in SAP Monitor

  • /N/SCWM/MON

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A warehouse task is created with the storage process ZMEC, starting with the initial step to unload using the external step IBUL, moving items from the door to the staging area. Upon confirming these tasks, four pending tasks and two open tasks are generated, as shown in the below image.

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Open tasks involve moving HUs from the staging area to the Deconsolidation work center, designated as storage type 8010. Pending tasks are those awaiting put away to the final storage bin. Since there are four products in the inbound delivery, four pending tasks have been created.

Rahul_Gandi_53-1734138944702.png

 

Let's confirm the tasks for moving the HUs to the Deconsolidation work center. All open tasks are now confirmed, but the pending tasks still remain. The warehouse associate must deconsolidate the items and update the system, which can be done using transaction code /N/SCWM/DCONS.

5. Deconsolidation- /N/SCWM/DCONS.

The Deconsolidation work center is DMEC. By entering the warehouse number and work center details, the warehouse associate can update the information.

Rahul_Gandi_54-1734138944704.png

As the inbound delivery consists of two HUs, those are listed here as shown in the image below.

Rahul_Gandi_55-1734138944707.png 

Now let’s put each product in each HU and process it by clicking on “Complete process step for HU”. More HUs can be created using “Create HU” section on right side of the screen as shown in image.

Rahul_Gandi_56-1734138944710.png

Upon clicking "Complete Process Step," follow-up tasks will be generated automatically. Let's return to the monitor to check.

Rahul_Gandi_57-1734138944716.png

As observed, the pending tasks still remain. Additionally, four more tasks have been created for Quality Inspection with the external step "QIS." These open tasks are for moving products from the Deconsolidation work center (8010) to the Quality Work Center (8020).

Rahul_Gandi_58-1734138944722.pngRahul_Gandi_59-1734138944728.png

Let’s confirm those four tasks to move to quality work center an open Quality Work Center.

6. Quality Inspection Work Center- /N/SCWM/QINSP_S4

Work Center is “QINC” and storage type is 8020

Rahul_Gandi_60-1734138944730.png

As shown in the image below, four products are ready for inspection. The associate will conduct the inspection, make a decision, and update the information in the system.

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In the Quality Inspection Workload Overview screen, the warehouse associate can perform a mass inspection for multiple items by selecting “Mass Inspection for Selected Items.” This action opens the decision panel, where the associate can make quality-related decisions for each item. From the decision panel, choices are made using specific codes within the code group:

  • A1 represents "Accepted – unrestricted stock" for items that pass inspection.
  • R1 represents "Rejected – blocked stock" for items that fail inspection.

By selecting the appropriate code, the associate updates the inspection status in the system, ensuring that each item is routed accordingly based on the inspection outcome. This streamlined process allows for efficient handling of inspection decisions for multiple items at once.

Rahul_Gandi_62-1734138944738.png

In this quality inspection process, the associate evaluates each product and selects an appropriate decision based on the inspection results.

  • For the first three products (Automotive Engine Block, Spark Plug, and Oil Filters). These items passed inspection. The associate selects the decision code "A1" (Acceptance) in the "Decision" field, which automatically triggers the follow-up action "EWM_AP". This action ensures that accepted products proceed to the next step in the warehouse workflow.

Rahul_Gandi_63-1734138944742.png

For the fourth product (Automotive Brake Pads): This item failed the inspection. The associate selects the decision code "R1" (Rejection) in the "Decision" field, which triggers the follow-up action "EWM_RP". This action routes the rejected product to a designated rejected storage area for further handling or rework.

Rahul_Gandi_64-1734138944747.png

Clicking on “Close HU” completes the process and saves the information.

Rahul_Gandi_65-1734138944749.png

Returning to the Monitor, observe that one pending task has been canceled due to rejection. This task is redirected to the RJCT storage type, and a new task has been created with the activity “STCH” for posting change, directing it to blocked stock. All remaining pending tasks are open for put away to their respective storage bins EXCEPT one Warehouse task is still pending because, it should be going to Mezzanine floor, LOSC takes from here for that storage bin, system generated additional tasks to move from ID point HAID.  

Rahul_Gandi_66-1734138944756.png

All tasks have been confirmed, and items have been moved to their final destination bins EXCEPT Spark plug , that is in ID point as shown in below image. All stock types are marked as F1, except for one item labeled B5, which was rejected during inspection. This blocked stock (B5) is excluded from picking operations.

Rahul_Gandi_67-1734138944763.pngRahul_Gandi_68-1734138944770.png

Let's check the status of the inbound delivery in transaction /N/SCWM/PRDI. The Goods Receipt, Unloading, Put away, and Warehouse activities have been completed. Now, let's return to the S4 system to verify if it has been updated accordingly.

Rahul_Gandi_69-1734138944776.png

The information has been successfully updated in SAP S/4HANA, triggering movement types 411 and 325. Movement type 411 is used for transferring special stock, such as consignment or project stock, to the company's own unrestricted-use stock. Movement type 325 facilitates the transfer of materials from one storage location to another within the same plant, specifically moving items into blocked stock

Rahul_Gandi_70-1734138944779.pngRahul_Gandi_71-1734138944782.png

The Material Document List (MB51) displays the movement types used for various automotive parts at the HAAP Plant, tracking each item's stock status based on inspection results. Each material, such as the Automotive Engine Block, Spark Plug, Oil Filters, and Brake Pads, initially received a 101-movement type upon goods receipt into the warehouse. Following inspection, accepted items (Engine Block, Spark Plug, and Oil Filters) were assigned a 411-movement type to indicate a posting change to unrestricted-use stock, making them available for use or distribution. The Automotive Brake Pads, however, failed inspection and were first assigned a 344-movement type to move them to blocked stock, followed by a 325 movement type for further classification in restricted stock. This process ensures that rejected items are excluded from regular operations, allowing for effective stock management and quality control within the warehouse.

2 Comments
Thrinadh_Chowdary
Discoverer

Nice blog Rahul 

mandeep_ps
Discoverer

Great article Rahul

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