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Today I am going to make a comparation of physical inventory process among IM vs WM vs EWM.

Overall process steps are quite the same, but are still different and each process has it own advantages. Let's check it out through this post.

Customizing isn't mentioned as this blogs focus on comparing the processes. Customizing topic is referenced to another blogs can be found in the Reference part.

Note: Sample-based inventory isn't covered in this blogs.



Type of Inventory

  • Periodic inventory

  • Continuous inventory

  • Cycle counting

  • Periodic inventory

  • Continuous Inventory

  • Continuous Inventory During Putaway/ Removal

  • Cycle Counting Inventory per Bin

  • Cycle Counting Inventory at Quant Level

  • Periodic Physical Inventory Procedure (storage-bin-specific and product-specific).

  • Continuous Physical Inventory Procedures
    - Ad Hoc Physical Inventory (Storage-Bin-Specific and Product-Specific)
    - Low Stock Check (Storage-Bin-Specific)
    - Putaway Physical Inventory (Storage-Bin-Specific)
    - Storage Bin Check

  • Cycle Counting (product-specific)

Type of counting Material specific Bin specific Bin specific or Material specific
Counting Paper based RF based or Paper based RF base or Paper based
Movement type for adjustment

701/ 702 Unrestricted used

703/ 704 Quality inspection

707/ 708 Blocked Stock

711/ 712 Unrestricted used

713/ 714 Quality inspection

717/ 718 Blocked Stock

711/ 712 Unrestricted used

713/ 714 Quality inspection

717/ 718 Blocked Stock
Useful Tcode MI01 - Manually create PI doc
MICN - Cycle Counting create PI doc
MI31 - Create PI doc using Batch input
MI02 - Change PI doc
MI21 - Print Warehouse Inventory List
MI04 - Enter count
MI05 - Change Count
MI06 - Display Count
MI11 - Recount
MI07 - Write Off
MI08 - Enter Count and Clear difference
MI10 - Enter Count Results and Clear Without Document Reference
MI20 - Difference List
MI24 - Overview
LI01N - Manually create PI doc
LX15 - Annual Inventory
LX16 - Continuous Inventory
LX26 - Cycle Counting
LICC - Cycle Counting per Quant
LI02N - Change PI doc
LI04 - Print Warehouse Inventory List
LM50/ LM51 - RF Count
LI11N - Enter Count manually
LI14 - Recount
LI12N - Change count
LI13N - Display count
LI20 - Clear difference at Warehouse Management
LI21 - Clear difference at Inventory Management
LI06 - Block Storage Type
LX23 - Stock Comparison
LX25 - Inventory status
LX22 - Overview
/SCWM/PI_CREATE - Create PI doc
/N/SCWM/PI_CC_CREATE - Create PI Cycle count
/SCWM/PI_PROCESS - Edit PI, Recount, Delete, Print
/SCWM/DIFF_ANALYZER Clear difference
/SCWM/MON - Warehouse Monitor
/SCWM/PRPI_GCM - Condition Record for PI form
/SCWM/PI_USER_DIFF - Assign user to Tolerance Group Difference Analyze
/SCWM/PI_USER - Assign User to Tolerance Group Recount/Clearing

I - IM Physical Inventory

Step 1: Create Physical Inventory Document & Active PI document

Tcode: MI01 Create PI doc

This way is kind of manually and you have to enter single material by material and batches as well.

Tcode: MI31 Create PI doc with Batch input

This way you can select a range of material based on some criteria like plant, storage location, material group... so you don't have to manually select which material to be counted.

Select materials in the list and active. PI document is created.

Step 2: Print Physical Inventory Document (Optional)

Tcode: MI21 Print PI doc

Enter PI doc that is created in previous step, enter PI doc number and plant to print.

Example of IM Physical Inventory list.

Step 3: Enter count result

Tcode: MI04 Enter count manually

After you have the count result, enter the count manually for each line.

Save the count result and later you can change the count by Tcode MI05 or do the Recount by MI11.

Step 4: Clear Difference

Tcode: MI07 - Post difference

When the count result has the difference, you have to clear off those lines with a reason code.

Post the transaction then a material document is auto created to record the change and adjust the quantity.

Check document posting by MB51.

Movement type 701 for stock increasing and Movement type 702 for stock decreasing (Unrestricted use).

Alternative options

Tcode: MI08 - Post and Count difference

MI08 is a combination of MI04 & MI07, you can enter count then clear difference at the same time.

First steps is still required to create PI document before you can execute MI08.

Tcode MI10 - All steps at once Create Document, Count and Post difference

MI10 is a combination of MI01 & MI04 & MI07, you can create PI doc, enter count then clear difference at the same time.

That's really a powerful Tcode, so make sure you have all the correct data on hand before executing.


Tcode MI20 - See difference before clear off

This report gives an overview of all differences in the plant at the real time.

You can link to another function from this report. Ex: Post difference (MI07), Change count (MI05),...

Note that if difference is cleared off, it will not be shown here anymore.

Tcode MI24 Inventory list

PI List with status for your overview. Can link to another function from here as well.


II - WM Physical Inventory

Step 1: Create Physical Inventory Document & Active PI document

Tcode LI01N Create PI doc

Enter one or multiple Bins of specific Storage type to count.

You have to manually enter single Bin which need to be counted.

Active document and Save to create PI doc. Bin is blocked.

Tcode LX16 - Create PI for continuous Inventory

This way will auto list all the Bins in specific Storage Type. Then you only need to select Bins in the list and active to create PI doc.

Step 2: Print Physical Inventory Document (Optional)

Tcode LI04 Print PI doc

Select PI doc number and printer.

Example for WM Inventory List

Step 3: Enter count result

Option 1: Manual enter count

Tcode LI11N - Enter count manually

Enter the count, which lines that count result is zero, mark at "Zero count".

Option 2: RF gun

Prerequisite: Assign user ID to PI doc.

RF gun link as below or Tcode LM50

First scan Bin to start the count > Scan HU the first time to recognize that HU is in the Bin > Scan HU the second time will trigger screen to enter quantity or mark as zero count > After all HU are scanned, F1 Save to end count in this Bin.

Note: At screen number 4 - if you press F9 BnEm - Means that you have finish counting the Bin, any HU is missing will be counted as Zero.

Step 4: Clear Difference WM

Tcode LI20 Clear off at WM level

Once you write off WM quantity will be updated, but not updated yet in IM. Bin is unblocked.

No material document is created at this step.

Step 5: Clear Difference IM

Tcode LI21- Clear off at IM level

All the difference will come to this list, review once again then Write off.

At this point, material document is created and stock quantity is updated at IM level.

Display Material document.


Tcode LX25 Inventory Status at Bin level.

Tcode LX22 Physical Inventory List and status.


III - EWM Physical Inventory

Step 1: Create Physical Inventory Document & Active PI document


Select PI procedure first.

Find by Storage Bin or Material number, a list will be displayed. Active & save to create PI doc.

Note that 1 PI doc will be created per one Activity Area.


Step 2: Print Physical Inventory Document (Optional)

Tcode /SCWM/PRPI_DOC - Print PI doc

Enter Whs number and PI document, printer to print.

Note that Condition report for PI print need to be set up in advance before printing.

Can also use /SCWM/PI_PROCESS to print.

Example for EWM Inventory count list.
Note that one Bin will be printed in one counting sheet separately, but not combine many Bins to print together in one sheet.

Step 3: Enter count result

Option 1: Enter Count manually


Enter the count manually or mark as Zero count.

Option 2: RF count

Follow the path as below.

Scan WO number, this info is printed in PI doc or check /SCWM/PI_PROCESS to know WO number.

Firstly scan the Bin to be counted or select Bin in the list > Next verify Material and enter count Qty. F11 to save the count.

Note: Because this example is non HU management to need to scan material number instead of HU.

Step 4: Post Physical Inventory Document


Select document and Post.

Status of the PI doc is updated as Posted. At this time, EWM quantity is updated, but IM qty is not yet updated.

Step 5: Clear difference


Review the difference once again before posting.

Choose Post and Save. At this time Material document is created to update quantity at IM level.



Can review all count result of PI doc with Warehouse Monitor.

Reference of PI Form Condition Record



Thank for reading, I would love to receive your feedback/comment to improve my blogs.



EWM Physical Inventory

WM Physical Inventory

IM Physical Inventory

WM Blogs for Physical Inventory

EWM Blogs with customizing
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