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2 Key Transactions to Start Each Day
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LL01; LX04
The best way to learn is by doing. Welcome to the video service that unlocks and reveals the hidden value in your SAP system. Hi, Martin here, and in this video, we're going to focus on two key features that every warehouse supervisor manager should view each day. So Steven, tell us why these features are so important to start the day. Absolutely, Martin. In this video, I will focus on capacity use per storage bin and the warehouse activity monitor. These two key transactions personally helped me as a warehouse manager, prepare for the day by viewing our potential supply chain disruptions and by analyzing the warehouse capacity health status. This video will demonstrate two key transactions that every warehouse supervisor, lead, or manager should really review every single morning to start the day. So this is something that I did and really paid dividends in the end. So the first is you want to take a look at your health as far as your warehouse capacity. So I would always go into LX04, enter my warehouse number, take a look and just get a high level overview of where I am with capacity usage percentage. How many empty bins I have per storage type. We utilized capacity usages, so the load percentage also meant a lot to me. This would give me a sense of where I could possibly move things. I could judge my inbound volume to see how much more I could put into each of these storage types. So really we were in a state of very, very, very high capacity so managing this, making sure that there was no bottlenecks was a big part of the morning function. Probably the most critical is going to be your Warehouse Activity Monitor. So your Warehouse Activity Monitor is going to be LL01. LL01, you'll enter your warehouse number, you have options here as far as entering movement type, storage types, etc, or you could just go ahead and click right through. This is your late or critical warehouse processes. So, moving into the morning in this will certainly fluctuate throughout the day. The goal is for it to be in green or as low as possible at the end of each day, if there's something that ends up here, it just means that it's exceeded a time parameter. So what you really want at the end of the night, if you're picking, depending on your hours of operation, you're picking all of your warehouse functions, there's a point where this should be the lowest for me walking into the day, you would have a bunch of unconfirmed TOs because we just started receiving, so all those inbound activities were created. So this will fluctuate overnight though, right, when that was kind of our, our dead period, as far as the least amount of interactions or transactions going on. I would expect that to be the lowest point or as close to green as possible, but you still want to open this and take a look at what's kind of pending what's out there and you could see when it was created on and really gives you a sense of what's still due, because all these are potential supply chain disruptions. So, this more of a critical supply chain disruption aspect, you want to go and research and alleviate all these potential issues. And again, the second was going to be LX04, which was taking a look at your health or your overall capacities in your warehouse. In summary, we have covered how capacity per storage bin can be leveraged to analyze warehouse capacity status and how the warehouse activity monitor can be utilized to identify supply chain disruptions that need immediate research and action. Thanks Steven. I can certainly see the benefit of how reviewing this information to start the day could pay dividends for a supervisor. Hey, if you guys want to learn more about this capability and others in your SAP system, please feel free to check out our video catalog and of course if you have any suggestions, please submit it below.
Blocking and Unblocking Storage Bins in Mass
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LS12; LS06
The best way to learn is by doing. Welcome to the video service that unlocks and reveals the hidden value in your system. Hi Martin here, and in this video we're going to focus on blocking and unblocking storage bins in mass. So Steven, tell us a little bit about how you do that in SAP. Sure Martin. Blocking and unblocking storage bins in mass is an important capability and tool in your tool belt to assist with warehouse projects and emergency situations. Mass blocking and unblocking could not only save a lot of time but can prevent future issues in SAP if materials are already allocated to bins. Blocking storage bins in mass is sometimes necessary in your warehouse. There's two transactions which we'll go through today. First one will be t-code LS12. LS12 is to block every bin in that storage type. So you can either block it for placement or for removal. So some reasons that you might want to do this, if you have a quality issue or there's a reason to shut down the put away or the picking for every single bin and material within a specific storage type. So to do that, it's just a simple check box, you select it and hit save and all those bins are now blocks for stock placement or in other words, put away. So I'll just undo that really quick, uncheck it, save once again. So again, it's all or nothing there in this option. The other transaction to do this in mass is going to be LS06. So LS06 is a little more specific and you have a little more flexibility here. So you still have to enter a given storage type there, and this is where you can then go into specific bins or you can enter a range of bins. So, if you don't want to block everything within 001, you would do so here. So, one example which we had to do when I was running a warehouse is I had to block a good portion of half the aisle because there was a fire in the warehouse, the sprinkler came on and the sprinkler damaged half the products within that aisle. Systematically, SAP wouldn't know that, right? So, you had to go in there and you had to block specific bins, but there's too many to go and do individually. So, that's where LS06 came into play. So, again, storage type you enter here, and you could just click away. So, you could click if you had entered that range of bins in the initial screen, it would just only populate those other bins, but you just click on which bins that you want to block, and then you can hit this block button, and then it gives you the option of, for put away, or for removal. If I just wanted to block them for put away, see it applied the put away block and then hit save. Same thing to unblock. You could just click away mass, unblock for put away, save and there you have it. So that is two transactions, LS12 for all bins within that storage type and LS06 could do the same, but this is where you'd want to use it for specific ranges of bins. Both these are transactions, by the way should not be given the access just to your everyday user. Really, you really want to lock these two things down because you could shut down your whole operation here. So LS06 and LS12, you have seen the power it's great when needed. In summary, we have covered how blocking unblocking storage mins and mass is a powerful capability that could save a lot of time for warehouse projects. It could potentially prevent warehouse service disruptions with the ability to block and unblock in mass. Thanks Steven. Wow, what a powerful tool that can be as a big time saver for the warehouse. So folks, if you want to learn more about this and other features in SAP, please feel free to check out our video catalog and of course if you have any questions please submit them below.
Critical Deliveries
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LL01; VL03N
Welcome to the video service that unlocks and reveals the hidden value in your SAP system. Hi, Martin here and in this video we're going to focus on critical deliveries within the warehouse activity monitor. So Steven as we know, the best way to learn is by doing so tell us more about how to do this in the system. Absolutely Martin. Critical deliveries within the warehouse activity monitor have surpassed the time allotment and are now deemed as critical and are creating a supply chain disruption. In this video. We will demonstrate how to analyze this portion of the monitor and review strategies to manage and take action on. In this video, I'll demonstrate the critical deliveries that have exceeded the time parameter in the warehouse activity monitor. So we'll go straight into tcode LL01. The default that you want to enter here is your warehouse number. Once that is entered, go ahead and then execute the transaction. You can see here, the open deliveries are at the bottom. There's no movement type, because I'll explain why in this next second here, as we go into the report. You can see, I have two critical deliveries within this bucket. When I click on the subfolder, it just gives me two options as one is partially processed and one the delivery hasn't processed yet. So it hasn't really started, it's in that initial phase, so just double click straight into both of them and what you get here is you can actually again select, create those TO's from these deliveries. You absolutely want to research them, so in doing so, you can jump straight into the delivery if you double click onto one of them and you can see it jumped me right into the view of VL03N and my delivery. What I have here is the material, the delivery, I'm on the picking status tab, so it has been picked, however the WM status of this is set to a B, which means it's partially processed or this TO has not been confirmed. So it's been picked, it just needs to be confirmed and then we can go ahead and post goods issue this or PGI this. So in this case, this has exceeded the actual loading date, which is why it ended up on this monitor. So to get this closed again, you'll confirm that TO after we do our due diligence and investigation. We'll just check out the second one here, you can see it's a little different status. The actual picking has not started yet, we have zero picked quantity in there of our 15, but it'd be the same process, we'd want to investigate why, because we've exceeded the time parameter and this is now a potential supply chain disruption. So in summary we have covered. How critical deliveries are supply chain disruptions pushed through the warehouse activity monitor and have surpassed the time allotment. These deliveries are late and need action to be researched and quickly corrected. Again thanks Steven. Those are certainly great strategies to review and take action on processing those late deliveries. If you want to learn more about how to get the most out of your SAP system please check out our videos and of course if you have a burning question please submit a suggestion.
Easy Access Warehouse Management
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LLVS
Hi, Martin here. And as we know, the best way to learn is by doing so welcome to the video service that reveals and unlocks the hidden value in your SAP system. In this video, we're going to focus on SAP's easy access to warehouse management. I often hear that WM is a complex and has a lot of transactions to deal with. Furthermore, these transactions are behind many layers of folders and subfolders and still may not be what a warehouse associated needs to do their job. So Steve, are you telling me there's a quick way to access only WM transactions? Absolutely, Martin. This is something that I wish I knew when I was running a warehouse. This simplifies and brings forth only the transactions relevant to operating a warehouse. Folks will typically save our favorite specific transactions, but may not be aware of others that may provide value in the warehouse. So let's get into SAP, where I'll demonstrate. The streamlined transaction list. And discuss new ways to potentially utilize these transactions. Your SAP screen may look similar to this or very different. I've seen a lot of different things and strategies, people have favorites, folders where they save their favorite T codes or the ones that they most use. You could have SAP standard drop down lists like this, where you just have a bunch of subfolders, depending what you click in here, you might get to the right place or may not. You may have to, depending on your job function, go to a variety of these things. But is there a way to actually streamline only the WM or warehouse relevant transactions just simply off your menu path like this? And the answer is obviously yes. So here's the standard out of the box menu path, but if you just go into your bar here and enter T code LLVS, it transformed my menu path to only WM stuff. So here's the master data folder, which now is all relevant only to WM. I have my bin level detail in there, I can look at any material, I can make changes, so on and so forth. You could look at a display from a material master setting. You can look at all of your TRs, TOs, so on and so forth. You know that these are only in the actual warehouse. These are really the only T codes that you need to operate within WM. So it's a cool little toolbar. Let's say I don't like this and I want to go back to the main menu path. Another little trick, if you go right back here into your menu bar and enter SAP1, it resets it right back to the standard menu path of all of your menu tree of all of your WM transactions, so on, so forth, you get the standard LE stuff. Just different ways to set up your home screen, your default settings. But again, for the sake of just WM, LLVS gives you just the WM relevant transactions. Welcome back. In this demo, we've covered how switching to easy access warehouse management. Streamlines and simplifies your WM transactions. And may even replace or subsidize your WM favorites folder. Well, thank you Steve, much appreciated. This is great stuff, right? It's something I can certainly see would be a useful to someone who touches warehouse transactions. So folks, if you want to learn more about this video and other related videos, please check out our video catalog and of course, if you have a specific question or just a general one please feel free to submit it below.
Fastest Velocity Materials
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LX14; MCLD
The best way to learn is by doing. Welcome to the video service that unlocks and reveals the hidden value in your system. In this video, we're going to focus on identifying the fastest velocity materials in a warehouse. So Steven, we know the best way to learn is by doing so share a little bit about how SAP will do that for us. Of course Martin. Identifying the fastest velocity of materials is an important capability that can be leveraged for strategic purposes, such as slotting to increase efficiency and throughput within your warehouse. In today's video we will focus on the analysis of material transfer frequency and the material quantity flows to unpack hidden value in WM. In this video, I'll quickly demonstrate how to identify the fastest velocity or fastest moving materials in your warehouse. WM unfortunately doesn't have slotting built in. However, that does not mean we can't leverage WM to identify these fastest moving materials and perform a slotting decision or potentially put the fastest velocity material into a fixed bin. So in order to do so, the quickest way is going to be going into t-code LX14. LX14 is the analysis of material transfer frequency. Essentially just looking at your past TO data and how many times that material has moved out of a potential storage type. So the mandatory field here is going to be your warehouse number. We'll go ahead and leave all TOs populated and then the date range is what you'll need and you can go back spot really flexed this to seasonality if you would like, in this case, since this is our test system I'm going to go very far back, just from year 2000 all the way to today and then this would be your source storage type, where the material is coming from. We'll go ahead and I'll just leave that blank and execute it. It's very nice because it's just high level simply shows this material, here's the description moved out of that storage type 80 times within this date range. It is not accounting for the actual quantity. It's accounting for the number of times that is actually left 001 to somewhere else, could be a different storage type could be for a pick, etc. But really that's going to be your velocity, which is fantastic. It's also nice too because it sorts automatically in descending so you could just see your top materials that you have in a descending fashion there. I Would take these if I wanted to if these were important of re slotting these Identify whatever that this top I would take maybe a pareto approach my top 80%, and create these as fixed bins because I want these relocated specifically because of the fastest moving materials. So you could utilize this report in that way in order to utilize it from a slotting perspective. Another great transaction which uses an LIS infrastructure is going to be MCLD. MCLD is a little different. You'll need to enter a month date range there. So we'll go back again to the year 2000, and we're just going to leave this as 001 warehouse and execute this. What this shows is you get the capability of switch, drill down, drill down by, little different layout here, but it's very powerful because you can have multi warehouse numbers if you have multiple warehouses, but then it shows a total quantity moved. The three asterisks just simply are there because there's multiple units of measure. Not a consistent one, but now let's break this down and see what materials moved out of there. So we can go ahead and we'll go to switch drill down. You have many options of which you can drill into. You can go by type, where it came from, the stock placement, where the stock removal was from. We just want the material. So now it will populate the 45 materials that moved from that date range, but from a quantity perspective. So, unlike LX14, where it shows the total, or just a, that material was moved out, irrespective of the actual quantity, MCLD shows the quantity, or the pieces moved, really that unit of measure. It also has weight, time that the TR was created to transfer. So you have many, many options of what you could do here in MCLD from really the perspective of it took this time from here to here you could do so. You have many options too of what you could bring in. So again, you have, this is what's already populated here, but you have a lot of different, average weight moved, average move quantity, so many different options, we'll just go ahead and bring that in there, that you can throw in there and same thing as the other reports, you can save this in a variant if you really like this. But again, it's going to show the actual quantity moved. Another nice thing too is you have some graphs available to you if you, would like to see. We can just go ahead and select the move quantity and you could do time series graphs, you could just show this in different graphs that are embedded and already available to you all in the EWM. So, two different reports there, LX14 and MCLD that could be used to identify really your material velocity. So, in summary, we have covered how identifying the fastest velocity materials can be used for strategic decisions, such as slotting, to increase efficiency and throughput within your warehouse. Wow. Thanks Steven. Those standard velocity tools are pretty neat and I can certainly see how they can be used for strategic slotting. So folks, if you want to learn more about this and other warehouse management features and videos please check out our catalog and of course, if you have a question please submit it below.
Fixed Bin Maintenance
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LS09; LX29; MM03
Hi, Martin here and welcome to the video service that unlocks and reveals the hidden value in your SAP system. In this video, we're going to focus on SAP's fixed bin maintenance capability. So Steven, tell us a little bit about this. We know that learning by doing is the best way to do it, so share with us what you know. Absolutely Martin. Fixed bins are excellent strategies when utilized correctly. You can leverage SAP to make strategic decisions such as which bins material should be assigned to for put away and picking. Fixed bins do require some maintenance, so in this video, I'll demonstrate some strategies and transactions, both to help and assist with that. Fixed bins in a warehouse are very powerful, but they're very specific and come with a lot of maintenance. In this video, I'll quickly walk you through two reports. One in order to quickly find a material that has a fixed bin. The second is more of your everyday maintenance fixed bin report. The first one is going to be Tcode LS09. LS09 is simply, I have a part number, where is that fixed bin assigned? If you know a part number, I'll just enter one here, you just need to enter the warehouse number for the only required field and execute that, and it'll show you the warehouse number, that part, the storage type that it's in, and then the fixed bin. If you have min max data replenishment quantities, it would populate that as well, but this is just where that part is located or that fixed bin right here. It's showing up here in storage type 001, no fixed bin assigned because that part, this material is in that storage type as well, it's just not a fixed bin assignment and it's not located there. So good info if you want to just see some replenishment quantities and where this material has a fixed bin. The second transaction, probably where you want to spend a lot of time for maintenance purposes is going to be LX29. LX29 is extremely powerful and it comes with a lot of different check boxes, which all pull up different reports for specific reasons. So this first one just simply shows your bins that within a fixed bin storage type, that do not have an assignment yet. So they're fair game to occupy or to assign a material to it. So if you have new parts that come in and you want to locate them, you would execute this and it'll pull up all the bins that do not have anything located. The second one is going to be your bins without assignments that have stock. So probably not the best if you have a storage type that's a fixed bin and there's materials in there and you want to go ahead and get those assigned. So kind of a good report to run for maintenance purposes if you actually want to go and pull those materials and you want to make a decision with them, you either want to assign a fixed bin to it or you want to move it out of that storage type. With this you have storage bins with assignments and without stock, just simply there's that bin is located at this part it's just out of stock. This middle report, you have bins, that are assigned and stock. So similar to LS09, you could just enter this for a whole storage type in order to pull up all of your fixed bin locations that have stock. This next report is probably going to be the biggest one where you want to troubleshoot if you have problems. If your fixed bin, comes up with a scenario where you have warning messages versus a hard stop, this is where you want to go and troubleshoot a lot of this. So for example, when I was running a warehouse, we had the warning messages that If you tried to put away a material into another material's fixed bin, it would just give you a warning message essentially saying, are you sure you want to put this into this location, it's assigned to part 1, 2, 3, 4, 5. All you would have to do is blow through it and it would allow you to do the bin to bin. Then the issue is the next time that part comes in, there's already now that one part in there, so you want to absolutely go and clean this up, because it's telling you where all those incorrect materials are located. These last two, these overviews, are really with respect to mixed storage. So the first one, Overview of fixed bins multiple materials assigned not allowed, just says, hey you've got a storage type that allows mixed storage, you've got warning messages here, there's multiple parts assigned there, so you only want one in there. The second one is just the overview of mixed storage with the correct material assigned. So this is really a good use for kanbans for a lot of production supply areas. So if you have multiple parts that you want staged close to production, all within the BOM, you can have multiple parts all within that same bin. Same thing is you could utilize fixed bins really for kitting orders. Same use, if everything goes in a kit and you want all those materials all within one bin you can utilize fixed bins for that as well. So we'll just go ahead and I'll click all these and you could see which ones have data coming back. Okay, so the first one is going to be your materials that were, good to go, you could assign any materials to them. So they're in storage type 005. They have nothing assigned to them. So if you have a new part, you can go ahead and assign them. This one is that error. This storage type, 005 and this bin B-01 is assigned to this material. However, this material T-MS02 is actually there with this quantity. So again, this bin is assigned to here, this is actually in there. So you would want to pull this out, you could maybe run LS09 for this if it doesn't have a fixed bin already, you want to go ahead and assign it to maybe one of these but just definitely not this bin because it's already assigned to this. This is just simply saying yep, this is the fixed bin for it so very similar to LS09, here's the quantity, this is just it's out of stock, storage bin, here's the part and these other three are the ones that I mentioned without assignment with stock and here's really those mixed storage scenarios. So great, great report here, very powerful, you could use this in a lot of different ways. So as I mentioned, fixed bins are excellent if utilized correctly, but you do have to maintain them a lot. Especially in those last two scenarios for production for kitting even if you have very high velocity materials and you want to go and have a specific bin that's close, that's in the golden zone, that's a scenario where you want to use some fixed bins. In summary, we have covered fixed bin strategies maintenance, and how we can leverage WM to assist with our fixed bins. Thank you, Steven. That's good information. That was some really great stuff covered on fixed bins. And I can see the benefit on how these tools can help maintain them. So folks, if you want to learn more about this feature and others in your SAP system, check out our video catalog and if you have any suggestions, please submit them below.
Fixed Bin Replenishment Options
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
MM02; LP21; LP22; LP24
The best way to learn is by doing so welcome to the video service that reveals and unlocks the hidden value in your SAP system. Martin here, and in this video, we're going to focus on fixed bin replenishment options within the warehouse. Replenishment is a big part of the supply chain and can take form in many ways, such as replenishing specific plants, storage locations, and in this case, we will touch on how it occurs in the warehouse. So Steve, what are the different transactions you can use to replenish storage bins within the warehouse? Yes, Martin, there are a few different ways, and replenishment is one of my favorite topics within WM. It's one of my favorite topics because replens in my warehouse were critical in our environment to be proactive in keeping our storage bins full and healthy in our fast paced, high volume bins that maximize efficiency. What I wish I knew before was the different options and scenarios, what transactions to use based on what scenario I want replenishment to occur. So let's jump into SAP where I'll demonstrate how replenishments work. Which transactions to use. And what material master settings to utilize for your specific situation. In this video, we will cover the replenishment options that you get with fixed bins. In our previous video, we touched a little on just assigning a fixed bin and some strategies of when you would want to utilize fixed bins. In this will jump into how the replens work with fixed bin. So we'll first go straight into the Material Master, MM02. This material was our fixed bin material that we used last time. So we'll go with it on 100-600. I'm going to only select the WM1 and WM2 tabs. Really our replen data lives in that WM2 tab, but it's good practice just to populate both when dealing with WM data. Now, at the very minimum, you need your plant and warehouse number. Now, if you know your storage type for fixed bins, you have to enter that here. So I know it's 005 and now I'll go ahead and select it. It'll default to WM1 tab because we selected both. But again, that data lives on the WM2 tab. If we did not select that storage type, you would not get this additional tab of the fixed bin data in there. So from our previous video, all we did is we entered that storage bin for it, which is A02, now we could talk a little bit more about the quantities and the replen quantities behind there. So, I went ahead and put a maximum bin quantity of 100 there. So obviously that bin will not exceed 100. Put in a minimum quantity of 5. So anytime it drops below 5, it will then be eligible for a replenish, which there's a multitude of reports, which we'll get into here shortly. There's one additional tab here that we'll talk about right now is the replen quantity tab. So here you could enter data here and what that'll do is it'll replen in quantities or increments of this quantity, so in this case 5. You'll do this really, it's a good strategy if you know the case quantities, or if you don't want to break pack. So if I were to enter 5 there and it dropped below 5, it will then replen in increments of 5 to our max quantity. So it really takes that replen quantity and multiplies it until it reaches that max. You do not need to use this replen quantity though. If you just kept that as a blank, well now it'll take your current stock situation in the bin, so let's say that there was 10 in there, and it'll just fill it up to 100. So it create a TR and TO for 90 to fill the maximum quantity of a 100. So that's how the replens work with the replen quantity, your min, your max. The final thing I'll touch on is the control quantity. So control quantity is simply a plus or minus. So if I put a 50 control quantity in there, what this will do is if there's a open pick for this particular material in this bin for 49, it will pick it from this bin because it's below this control quantity threshold. If it's 50 and above, it will then go to a overstock bin to not deplete this fixed bin for a pick. So that's how control quantity comes into factor as well. So again, that's the replen quantity and and information that you get and options with fixed bin. So we'll jump into now the reports of how to generate some of these replens. So the first one that we'll touch on is going to be LP21. And LP21 is probably one of the most flexible ones because you get your storage bins, you can enter a range of bins and or materials and what's nice is this considers your open picks and put away. So it takes into consideration, if you have like a 916 or it registers those interims that are going to be put or picked from that bin, and then it will execute those replans. It'll create TRs first, and then obviously your TOs. It's nice to do this again in the foreground before, because you have that option of seeing those bins and then you could see all that information before you actually execute. So that's LP21. LP22 really takes into consideration planning and deliveries. So you can see here, you get some additional information, really that integration from SD. You can enter shipping points, and the biggest thing here is going to be your picking and GI dates. So it takes into consideration your future deliveries or picks, if you know your picking date and goods issue date range, and it'll replen those bins based on that as well. The final case here, two little bubbles are on your control quantity. So we just touched on control quantities, that plus or minus. So if you include this bubble on control quantity, it will take the consideration of those deliveries and that control quantity and then make the replenishment recommendation based on those two factors. If there's a pick there in the future and a replen. If you hit ignore, it will actually ignore that delivery and control quantity if it is there. So really LP22 is a good report to run proactively and really you want to do this probably after you're picking or,overnight before those deliveries or the picking begins, because then it's taking into consideration those bins, the transfer requirements are then created, and you want to execute those replens before that picking actually starts for this delivery. So that's LP22. And the final one that we'll touch on is going to be LP24. LP 24, is really good if you are using auto TO, it creates replens straight to the TOs. LP24 does not actually consider picking or put away. So it doesn't touch those interim storage types. It's just going simply off of your data in that WM2 tab, your min, your max in your current stock situation. So that's LP24. Covered a lot here in short round on replen options, they're LP21, 22, and 24. Depending on your current situation, will determine the best replen situation and report to run for you. Welcome back. In this demo, we've covered all things replenishment within a warehouse. I hope this video clarifies a lot of questions that may be out there. With and when to use which transactions. What master data to populate. And how to maximize the use of replenishments. Thanks Steve, it certainly did for me. And I can now see how these critical replenishments are within the four walls of a warehouse. So folks, if you want to learn more about this video and other videos, please feel free to check out our video catalog. And if you have a particular suggestion or something you'd like to know more about, please submit it below.
Fixed Bin Strategy
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
MM02; LX04; LS09
[00:00:00] Hey folks, Martin here, and we know the best way to learn is by doing so welcome to the video service that reveals the hidden value in your SAP system. Today, we're going to focus on a fixed bin stock removal strategy within the warehouse. Steve, I know that this is one of the many stock removal and picking strategies. I'm sure there are many benefits that come with the fixed bins. Please share. There certainly is, Martin. Fixed bin strategy also can come with a lot of maintenance, such as minimum quantities, maximum quantities, and replenishment quantities. These additional features to fixed bins are an extra layer of goodness. And if used correctly, can dramatically increase the efficiency in your warehouse. So let's get into SAP, where I'll demonstrate how these additional layers work with fixed bins. The first thing we'll do with fixed bins is identify the storage types where it allows fixed bins. From previous videos, you'll find out LX04 is where we want to start. [00:01:00] LX04 is titled the capacity used per storage type, but we're going to use it for something a little different. So I'm going to use my default warehouse as 001. Just go ahead and execute that, and you can see it just gives you the breakdown of all the storage types, the names, the percentages, kind of how many bins are within each storage type. But the real reason we're here is to find the rules behind there. You can see here, 005, just from the description, is fixed bin storage. But to find the rules behind that, just to verify, you'd select it here, hit storage type details, and then you can start to see the actual rules behind that storage type. So in this case, it does have a F or fixed bin put away strategy, and then a actual fixed bin removal strategy here. So, it's fixed to a material, it's going to allow a specific material to be assigned to a bin for picking and for stock removal. So [00:02:00] what we see here is we have 6 total bins, 4 are empty, 2 are occupied, and we know it's storage type 005. So let's find the materials that are in there, we're going to go ahead and hit the back arrow, back arrow, and we're going to go into LS09. LS09 can be used in a few different ways. If you have a material number and you just are curious if it has a fixed bin or not, you can go ahead and enter that there. It defaulted to my warehouse, we just found out storage type 005 is our fixed bin, so we'll just go ahead and populate that there. And then we just have our warehouse number, storage type, and let's execute this. What this does is shows you, in my warehouse 001, here's my materials that I have there. They are assigned to that fixed bin storage type, so they are allowed to be signed in that fixed bin storage type. They're all right here, 005, and if they have an actual bin specified here, [00:03:00] that means that is the fixed bin for that. There's additional data, which we'll touch on in the next couple screens here. You'll see you have your max, your min, and replenishment quantities. That is not populated, but if it was and we wanted to use that for replenishment purposes or really to kind of enhance our fixed bins, you would see that data there. So, let's just go ahead and pick this material, we know it's now assigned to this particular bin, A-02. I'm going to select that material, let's do a CTRL Y to bring up the plus, and now we have our material selected I hit CTRL C and then, just to view, this is going to be very critical for fixed bins, we'll go into the material master. In this case, I'll just go into the change view of MM02. We have our material populated there, 100-600. Then, the only relevant information that we really want [00:04:00] is the WM tabs, the Warehouse Management 1 and 2. So, go ahead and select both of those. we have our plants , warehouse number. The most critical part of a material master for fixed bins is, I'll show you very quickly, if you just enter, so we have our material here, we have our plant and warehouse defaulted, if I just hit this without selecting the storage type, it drills in on the WM1 tab, you see your information here, the stock removal, bulk, bulk. Warehouse Management 2, you only get this amount of data there. So, it's kind of taking a default, view of just a material in a warehouse view. So go back in there hit both, and now you'll populate your warehouse number, and we know storage type 005 Because this is what you'll want to do when setting or doing any information with fixed bins. [00:05:00] So, 005, now it brings up a different set of criteria. See this little box down here that did not exist before? Well, there's our fixed bin assignment. So, for any bin that you want, you would assign right there. If you wanted to assign a maximum quantity to it to say, hey, I can only fit 200, pieces in there, you would set that. A minimum quantity we'll talk about in a few replenishment videos coming up here. Rounding quantity, you get all these additional fields that you can enter that, that enhance your fixed bins. If you just want to leave them blank that is completely fine. The stock placement and stock removal strategy will still drive it to this bin but without this additional information, you won't enhance or really get those replens, all these additional levers work in conjunction with other fixed bin storage types or rules and or replenishment quantity. So that is fixed bins, [00:06:00] they're specific and really used for high velocity materials because you really want to be specific with where you actually place them because again, you are, you're picking the singular bin for that stock placement and stock removal. They're also used many times in the manufacturing realm for close to a production supply area or near like a work center where you want to keep that close, keep all those components close, that's another way fixed bins are typically used. Welcome back, in this demo. We've covered not only fixed bin strategy. But a lot of the additional features that come along with it. Especially the replenishment strategies. Yep. Thank you, Steve. Much appreciated. This was, of course, very informative, and I love learning about the additional layers of fixed bins and how they can drastically improve the warehouse efficiency. So, folks, if you want to learn more about warehouse management videos and SAP, please check out our other videos, but just general features and functions that [00:07:00] exist. And if you have any specific questions, please submit it below.
Hazardous Materials List
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LX06; LX07; LX24
Hey folks, welcome to the video service that unlocks and reveals the hidden value in your SAP system. Hi, my name is Martin, and in this video we're going to focus on hazardous materials managed in the warehouse. Knowing that there are many dangerous chemicals and substances out there in the world, or just some that I know should not be stored next to each other, I can only imagine how imperative this may be to get it right. Steve, I know that this is a real issue in SAP, and how can SAP automatically segregate and identify these materials in the warehouse? Please share that with us. Why yes, Martin. It absolutely can. In the beginning stages of my career, one of the duties I had in the warehouse was safety captain for the building, which I took very seriously. The warehouse I worked in had many categories of hazardous materials, and many separate rooms, drop down doors, that were made specifically for storing these hazmat materials. In addition, we had up to a certain amount of hazmat materials stored in the general warehouse. So, segregating these materials in the general population was key and that first took a lot of daily monitoring, until I leveraged the capability of SAP. To help automatically segregate and identify these materials. This is critical, not only for the importance of health and safety of the employees. But also for government regulators such as OSHA. So let's get into SAP where I'll demonstrate how to use the features of hazardous materials management within the warehouse. If your warehouse has hazardous materials, it's important to know the information in SAP of what they are and where some of these hazardous materials are located in your warehouse. So one of the first transactions we'll go through is LX24 and what this does, it gives you an overview of the actual hazardous materials that you're storing. If you know that hazmat number, which is associated to exactly what it is, you could enter that there, or in this case, we'll just go to a regional specific code there. All the U S warehouses, it would list the hazmat of which we have there. So you could see if I had multiple warehouses, multiple hazmat numbers in there, it will list them all out there and then obviously by the storage class. So storage class is what it is. So in this case, it is an explosive material, but you could see the list of everything, gases, flammables, oxidizers, so on and so forth there. And then you would have a material number associated to that in the material master. But this is again, a list of all the hazmat materials that you would have within your region. Let's jump into some more of the granular per warehouse transactions. So these are very important if a fire chief inspector, someone from OSHA, someone that's regulating you wants to see where some of your materials are located. So LX06 will be the next one that we go into, and you can see it's the fire department inventory list. What I recommend based on how you have this configured, you designate storage classes and fire containment sections by storage types. So we'll go ahead and just click this list by storage type, and I'll show you why as we go through there, and then we'll go to our warehouse 001. And what you see here at first, as we know, quants kind of roll up. So if I hit list per storage type, that view will change a little bit. Now you can see quants are essentially the amount of pallets in there or locations that have a hazardous material in there. So it rolls up the quants and the weight, which is very important for the fire department. They want to go by weights. They want to know where it is. So at this point we just know that in storage type 001 and in our receiving doc we have some pallets there, we have some locations there with X amount of weight. There's no class there because it's not configured to these storage types in there but nonetheless, this report is actually just showing us that, hey, it's not configured, but you have some hazardous materials and weights in those storage types. Okay, so LX06, again, it's going to be used, fire department, someone rolls in there and they just want to see your hazardous materials and weights by storage types. And the final report that we'll go into, it's going to be LX07 and this will show you kind of those rules, are you storing them in the correct manner or not? And then it simply shows, okay, all my storage types per warehouse 001, and I have 9 incorrect. Oh no, you want some further information or details, so click on the bins, and you can get that information as to why. So simply what it shows is, I have all of my bins in there, my materials that are hazmat, or in this case, they're related to the hazmat material 11, the explosive materials we first showed and then it gives you the reason that they are incorrect is because at the bins, we didn't designate this storage type, having a specific storage class as to, at least in this case, store explosive materials. If I simply populated what storage class was okay to be stored in this storage type, we wouldn't get these errors. So you can see here, material stored in incorrects, it's stated number 2 across all those and you can see number 2 is simply storage class is not maintained for storage type. So again, a great report to show you, am I storing them correctly? Is my system set up correctly? Do the rules apply to the behavior? In this case, we got some hazmats in there not designated by a storage type. So there's a lot of good information on hazmat. There's a whole suite there. These are just some of the most important reports that you may want to know in case you get regulated or audited. And welcome back. In this demo, we've covered quite a lot on hazardous materials and how. SAP could do much of the heavy lifting from segregating and identifying these materials. Not only can this save a tremendous amount of time. But the most important thing is it can actually save lives. Well, Steve, yep, I completely understand how serious this topic is. And I love the features you showed and the real life success story you told on how to leverage SAP, not only to make your life easier, but also to deal with this hazmat materials. But most importantly, you made others around you safe, so thank you. So folks, if you want to learn more about this video, other safety features, or even functions and features in SAP that can help on the warehouse side, please check out our video catalog or put your recommendation suggestion below.
Interim Storage Stock Without Movement
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LL01
The best way to learn is by doing. Welcome to the video service that unlocks and reveals the hidden value in your SAP system. Hi, Martin here and in this video we're going to focus on materials in the interim storage types that have exceeded their allotted time within the warehouse activity monitor. So Steven, tell us why these materials cannot be in an interim storage. Absolutely Martin. Interim storage within the name of itself is temporary and it's not a permanent home in the warehouse for any materials. If the material has exceeded the time parameter in an interim storage type, it is simply contributing to a supply chain disruption. Materials hanging out here are generally in limbo on the receiving dock waiting to be put away or on the outbound dock, just picked, waiting to be PGI'd. In this video we will. Analyze this portion of the monitor. And review strategies to manage and take action on. In this video we will demonstrate the interim storage stock without a movement in the warehouse activity monitor. So first we'll go straight into the transaction of LL01. You'll populate your warehouse number in the required field here, go ahead and hit execute. You could go straight to the exact of what we'll be covering today, which is a stock and interim storage type, or in this case, just to get the overall view, which most users do go ahead and just execute here so you get the holistic view of everything and today we'll focus on the interim storage stock without a movement. You can see that there's 4 past due potential supply chain disruptions here. So you can either click this dropdown arrow here, which then displays the actual storage type and the description of where they're held up, or you could just double click straight onto the header line. You then get the description or the display of the 4 materials that are held up there. And this portion of the warehouse activity monitor is giving you plenty of information here to do some analysis. So you have your material, the biggest thing here is it's showing you the actual stock category status and that these are held up due to being in quality inspection. So, they're in quality, they need to pass inspection, and that's why they are in the temporary or interim storage type of 902, or in other words, the receiving dock. Since they are in an interim storage type, the storage bin is dynamic and showing the actual inbound or the goods receipt delivery document number here. So all these actually represent those inbound deliveries, you can see 2 of these right here are for the same material, the same document here. The biggest thing that you want to do here is to not go ahead and just try to confirm these. You want to do your due diligence or escalate as to why these are in quality. Transactionally, these are held up so you want to get to the bottom and really get to the key user of who was really doing this. So you could do that by double clicking the line here, it brings you straight into the actual quant of this material. You can dig a little further and actually get the document number, so you can look at the inspection lot. To do your inspection here to get that queue or that quality block off there, I'm going to hit the back arrow, you can also get the document number of the transfer order in LT21. It gives you the key user information of who has really created this, so in this case there's a name so you could do your due diligence there and then you can also look at your goods receipt document information here from that materials or the procurement side who's responsible for this material document here. One thing that's very underutilized in the warehouse activity monitor is going to be your notes. So if we're going to do investigation, you can click on the actual line and write notes Skinnell followed up with so on and so forth. You can then save that and really at that point you can have a running log of what is going on with these issues, because again, these are supply chain disruptions held up in a temporary or interim storage type that need to be resolved. So, in summary we have covered. How materials in interim storage contribute to supply chain disruptions. Push through the warehouse activity monitor and have surpassed the time allotment. These materials are late and need to be researched and promptly corrected. Thanks Steven. Great points on taking action on these materials that need to be moved on from the interim storage types. If you want to learn more about how to get the most out of your SAP system, please check out our other videos and of course if you have a burning question you can submit it below.
Material Locations
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LS24; LS26; LX02; LX03
Welcome to the video service that unlocks and reveals the hidden value in your system. Hi, my name is Martin and in this video we're going to focus on how to quickly identify material locations in the warehouse. So, Steven, we know the best way to learn is by doing, show us how we can find these needles in a haystack. Certainly Martin. The biggest thing you want to move away from is tribal knowledge of warehouse workers "knowing" where they place materials in the warehouse versus utilizing SAP. Materials move often and are touched by many people. So it's critical to always utilize SAP. To identify where materials are located. In this video I'll demonstrate a few ways to quickly find material locations. In this video I'll quickly walk you through how do you locate a material in WM. We'll go through a couple transactions beginning with LS24. LS24, it's going to be your fastest way to find where a material is located in each storage band. So you'll need to enter your warehouse number, your material number, and then the plant which corresponds to that warehouse number. So once you have all three of these, just select enter. It then brings up your material, the description, and then all the bins in which that material is located. So you have storage type information here, below that you have which storage location each of these are tied into. So really you have all of your information of where this material is located. You then have the quantity that's available to these bins or that's consuming these bins here. So you could see that, you have all this quantity within these bins, and then you have a minus 73 here because this is in a production bin waiting to be consumed for production order. This is the default view, which is great, but if you want more information you can go ahead and click this little three staircase. What's shown on here is all this information on the left, but if you want any other information that speaks to you that you want, you can just simply start clicking, hit a single arrow, and then click copy or that check mark, it'll bring it over. So if any of this other information is relevant to your situation and you like it, you could go ahead and just save this as a personal variant to you so that way you don't have to go and click that staircase like we just did every single time. So LS24 is going to be your fastest way, it's a great transaction to quickly find where your material is located in each storage bin. Now the second one I'll just quickly I'll show you through because a lot of the WM users that say, well what is the difference between LS24 and LS26? LS26 is really for storage location and not WM. So I'll just quickly, I won't spend too much time here, but the same information is shown, you get your warehouse number, your material, and your plant, and just click enter. But you see it just kind of summarizes high level of where your inventory is located per storage type. So it's putting in subtotals now. I'm going to take that off so we can get a better picture and you can see here, here's my actual material number, my total pieces are here, and then it just provides which storage type and quantity that it's in. So it really doesn't give you that specific granular detail that WM does. So that's the difference between LS24 and LS26. In WM, we want LS24 and not 26. The final transaction is going to be LX02. LX02 is going to be all of your materials within your warehouse, so from a bin level. So I'm going to enter my warehouse number here, I'm going to click execute and it has your material, the description, your plant, all this information, but then finally your storage bin. So you could see there's a lot of materials here because this is every material within that warehouse, 361 in this case. But if I wanted to specify a specific material, just like LS24, you could just simply click the material header and you could filter and then you could just enter your material number there and then, same information, it brings your material number, the description, the bin, and all that available stock. With LX02 you probably get even more flexibility of the information that you could pull in. So using the same method you can bring in all this other information to be shown. So in this case, let's just do the double arrow, copy, and you could see all the different fields that it brought in. So again, same thing, you could save this as a variant so that way you don't have to enter it every single time. Two very, very powerful tools to use in different ways, LS24 and LX02. So, in summary we have covered. How to quickly identify where materials are located in SAP. Which allows anyone to be able to locate these materials and not just the person who put them away. Hey, once again thank you Steven. Excellent points on how we need to always be in SAP to find materials versus relying on tribal knowledge. Hey folks speaking of tribal knowledge, if you want to learn more about how to use SAP's system and actually get the most out of it please check out our other videos and of course if you have any suggestions for us please submit it below.
Material Staging for Production
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LS41; LX40; LX41; LX42; LX43
Hey folks, we know the best way to learn is by doing so let's get into this video. My name is Martin, and specifically what we're going to talk about today is focusing on material staging for production. Spending a good portion of a career in a production environment, I can tell you firsthand how important it is to have the right materials in the right place at the right time. Steve, I know there is integration and handoff from the warehouse to the production floor, but it's often not known. Can you please tell us more about that? I would love to, Martin. Some organizations use WM solely for this integration alone. There are many options suited to specific business needs that WM offers in how and when materials are picked and or staged, when they should arrive at the production supply area, which we will cover in other videos. In addition to the other options, there are many standard reports to assist and identify potential staging disruptions, which are game changing if used correctly. So let's get into SAP where I'll demonstrate. The staging parameters. And a few reports that may greatly improve your warehouse production service levels. With staging materials for production, everything really starts in the control cycle. Control cycle, best transaction for that is going to be LS41. So we'll go into LS41, and what you'll do is you'll just populate your plant here to start with, we'll go ahead and run that just wide open by plant, execute. It lists all of your production supply areas, the materials that are assigned there, the plant, your warehouse number, storage type, all the good stuff. Whether or not it's a dynamic bin, and then really these are going to be your staging indicators, the things that trigger the way that materials are stored and brought over to your production supply area based on the production order release. So that's really where all this data lives here. So we'll start here with this LS41, you have your number of options of how you're staging again. Other good reports really from here, you could look at LX40. Transaction LX40, it's going to do a stock check against a specific production storage bin. If you know this data, if you know where you have materials in or a batch etc, if there's anything against it, it will bring back some data right here, there's no material number transferred. So it brought back blank. LX41 is another transaction here really to evaluate. So again, we'll run this wide open. What this transaction checks is what your status is and it shows in a traffic light symbol there of your production supply bin and if there's allocation or available stock against it. So in this case, it's all red. There's a production order open for there that's why the stock is negative because there's a degradation against these production supply areas there but really it's just a good way to show what's against that production supply area and what's open what picks are going to be there? So right now again, you have your negatives there all within this production supply area and all these materials there. So moving along, we're going to go to the next transaction right in order LX42. LX42 is really going to evaluate and if you run this wide open, it populates at a thousand, so let's narrow this down because that could take some time, we'll just go to 10. Really, this just shows kind of your statuses of orders. If you have a specific order, it's probably best to enter it there, but we're just going to narrow this down to 10 to have this thing run quickly and it just shows the overall status of is that production order closed, traffic symbol there again. So all of these have been released, they're okay, everything is good to go. The final transaction that we'll go through is going to be LX43, and LX43 just really does an ATP check against your plant and how your PSAs and the rules of how you're staging work, so we can run that wide open. There is my control cycles, everything is green, which means the configuration behind everything, all the control cycles is good to go. So that's really it on some of the transactions that you could use, but really you're going to live a lot in that LS41 where it identifies the materials and everything under those control cycles, and that's going to be your good starting point. Welcome back. In this demo. We've covered material staging data. And reports that can drastically improve your service levels. I hope you enjoyed this video and please tune into additional material staging videos that we have. Steve, that's excellent information, thank you so much. Especially when it comes to staging and those parameters and the reports, I know we are just scratching the surface with this particular topic. If you want to learn more about this topic and all the production related topics that we've been preaching about and talking about in the other videos, please feel free to reach out, otherwise please submit a recommendation down below.
Materials Not Turning
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LX03
Hi, Martin here, and welcome to the video service that unlocks and reveals the hidden value in your system. In this video, we're going to focus on materials not turning in the warehouse. So, Steven, we know the best way to learn is by doing. Tell us how we're going to find these dusty old materials without actually walking the warehouse floor. Sure, Martin. Being able to systematically locate materials not turning in your warehouse is a game changer. Storage bin real estate is critical in a warehouse, and it is important to identify materials that are not turning or selling to have cross functional conversations as to why. In this demonstration, we will focus on using time in location feature to quickly identify these materials. If you're walking through your warehouse and you spot a material with dust on it, you should absolutely question why. There could be some strategic reasons why a material isn't turning such as you need that part or there's been a decision made to keep that for services down the road but in most cases there is most likely something wrong, either no material master or put away strategy, so it's all manual, it could just be incorrect rules or even outdated rules. Although the warehouse associates and team may not be directly responsible for material turns the buying and selling, it's critical because space is critical in the warehouse and every square inch, every volume, every bin adds up and counts, so you really want to manage your materials very well and you want good, healthy materials that are turning. You want those high velocity materials in there. So how do we find those materials or that data that we could potentially identify and partner with maybe the buyers planners who are responsible for bringing in and fulfilling our warehouse. So quickest way rather than going and just doing some spot checks around the warehouse by walking, just go into LX03. LX03 is going to be your overall bins in your warehouse. You could run it wide open with all the storage types in there, you can do only bins with stock. So if you ran this wide open, it's going to show you all the bins within that warehouse, whether there's materials in there or if they're empty. So in this case, let's just execute it and this is the default that's shown here. You just have your plant, your storage location, your storage type, so on and so forth. There is so much information in LX03. So I clicked on this staircase, which again shows you, I'll move this over here, all the information that's shown. But then on the right is everything that you can bring over in this view and the power of LX03 is you can save variants for specific things. So we want to just find those materials that are expiring. But the fifth one down is duration. So we want to highlight that and do a single click over, and there you go. So you could see, all right, these ones are empty. But then you have TiL and TiL simply time in location. So these are some pretty old materials. What I would do is go ahead and sort these descending so it brings the oldest to the top and you could just quickly see the quantity where they are what the material is and the time in location. So now you have a set of data where you can go and identify who's responsible for the material, such as the MRP controller, and say hey, this material has been sitting in the storage bin for X amount is that, did we know that, is there something that we could do about it, because I really need this bin for something else for something high turning. So there's just a quick way to find some materials that are not turning in your storage bins and in your warehouse. So in summary we have covered how to quickly identify materials not turning in your warehouse to provide data for strategic conversations. Thanks, Steven. That's great stuff and some powerful information to arm our warehouse folks to have strategic conversations. Speaking of strategic conversations, guys, if you want to see more about how to get the most out of your system, please check out our other videos and of course if you have a burning question, please submit it below.
Moving Materials in Mass
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LT10; LX02
The best way to learn is by doing and welcome to the video service that reveals and unlocks the hidden value in your system. Martin here, and in this video, we're going to focus on how to move materials in mass within your warehouse. Steven, tell us a little bit more about how to do that. Yes, Martin. Moving materials in mass truly can be a game changer for warehouse folks. This powerful capability can save a lot of time, but also it can create a lot of damage if not utilized correctly. In this video, I will demonstrate the use of this powerful tool and highlight the pros, cons, and when it may make sense to use. The most common way materials are moved in a warehouse are from system generated transfer orders, usually in the form of a goods receipt, a production staging, or an outbound pick. These are usually singular or specific transfer orders created from a material document or an integrated area within the supply chain. But what about moving materials in mass where there's no system generated documents? That is where transaction LT10 comes into use. This powerful tool has tremendous capability and streamlines moving materials from one storage bin to the other. So let's just jump straight into LT10 and I'll demonstrate how this transaction works. So a couple of things to point out. The first two things, a warehouse number is a required field. The storage type right below is going to be your origin storage type or where you want to move the materials from. You have the option to specify other details, a storage location, a material, et cetera. It then defaults in actual movement type. So in this case, we'll just go with a 999, a straight bin to bin, not tied to a material document. You then have three bubbles at the bottom, which display a quant so you can actually move a specific quant if there's mixed materials in that storage bin. You can actually do the same from a storage unit. So again, from a mixed storage perspective, if there are multiple storage units or different storage units, you could specify that storage unit and do a bin to bin. In this case, we're just going to use the storage bin transfer. What this will do, it's black and white from the standpoint, it will move all materials from one bin to the other. So if there are mixed storage, if you have mixed storage enabled in your warehouse, it will move all the materials that are in there from your origin bin to your destination bin. So let's just go ahead and execute this. I'll show you the next screen here. What you'll get is within my warehouse and storage type, it pulls up a number of options starting with the bin, the material, the stock, et cetera. You could pull in more fields if you would like but this is going to be your standard layout. These lock boxes over here are demonstrating that they are a lock, you cannot actually perform a bin to bin transfer. I just, I know there's an open material inventory counts. So, it's nice because the system is smart enough to know that there's a open inventory document so it won't allow you to do a bin to bin transfer because that would throw off your inventory. So those are going to be locked. You then see some check boxes right below, and these are the options that you have for bin to bins. First thing that I will point out, you see there's a gap here and then all these other ones are just singular boxes. Well, that gap is because there are two different material numbers in that same bin. So that's fine, let's go ahead and actually just move that. So all you do is you simply click the box, it selects and highlights both, you then want to go to this plus with the forklift, which is going to be your stock transfer in the foreground or where we want to move those materials to. So, again, you have some options here. You do have to pull in a actual storage type for your destination. So, in this case, we'll just show you the different variety or flavor. We just want to move it to 007, our pallet storage. If you leave it blank, like we're going to do so, it will actually use the system rules and go ahead, depending on your material master and your structure setup, it will automatically just place these two materials in a bin. So let's go ahead and just do that. I can even click this confirm immediately, and it will close out that transfer order. It's going to use that 999 movement type. I'm going to click copy and they both turn to green. You could refresh and they should drop off and let's just go ahead and see where those went. So I'm going to go and I'm going to open a new session, LX02. We moved it to storage type 007. So let's take a look, and there we go. You could see our two materials actually right there went to the same bin. So because of the material master and the setup, they actually consolidated both into the same bin. So it went both from the origin bin in that same bin to the destination bin in the same bin. So we will then just go ahead and click a singular, let's specify a bin here, click that. We're going to do the same thing, the plus foreground, same storage type, but let's pick a different bin, let's just go to 01-02 here, the one next to it, confirm immediately, went to green, it'll drop off, and go back to LX02, unfortunately you can't refresh, so we just have to go back and execute it once again, and there you go. It actually went to 01-02 or that bin that we specified. You can also straight from here, it doesn't have to be a different storage type so this last example, we will just move this material here into this bin and that same storage type. So we're just going to hit the plus once again, we're going to keep it in 001 and then we're going to specify 01-05-04. Okay, confirm immediately. All right, and then we'll refresh and there you go. They're both in that same bin. LT10 is a fantastic and very easy to use transaction, especially from the standpoint of you just confirm immediately and it moves materials. The transaction, the power that we displayed, the best practice would be to not use this on a daily basis or on your regular operation. You really want to utilize this transaction when you're doing warehouse projects, so in the past I've used these a lot from slotting. So we're moving materials around for the sake of finding the most optimal or that golden zone and we want to move all those materials from one bin to the other. It was a specific project. That's the form or fashion that you want to use it. Another way that I've used this in the past was we were doing an actual warehouse reconfiguration where we're moving racking around and we want to quickly do bin to bin transfers. This was going to be it. So. This is how you want to actually utilize that transaction and kind of those one off situations that will support any projects that you have. So with great power comes great responsibility and I would highly recommend you do not want to open this transaction up to just everyone. You want to ensure that this is only locked down to your trusted SAP users that are fully educated on the capability of this tool. So in summary, we have covered how moving materials in mass can save warehouse folks significant time, but if not done correctly can cause a lot of systematic damage within your warehouse. Thank you Steven. Wow, I can certainly see how this can save a lot of time for our warehouse project. Folks, if you want to learn more about warehouse management and any kind of capabilities in your SAP system check out our other videos and please submit any suggestions below.
Negative Stock
SAP® ECC
New
Warehouse Administrator
Warehouse Management
WM
LL01
The best way to learn is by doing. Welcome to the video service that unlocks and reveals the hidden value in your SAP system. Hi, Martin here, in this video we're going to focus on the negative stocks within the Warehouse Activity Monitor. Steve, I know this is a big deal, why don't you tell us more about why negative stock is such a problem? Sure, Martin. Negative stocks within the warehouse activity monitor have surpassed the time allotment and are now deemed as critical and are creating a supply chain disruption. In this video we'll demonstrate. How to analyze this portion of the monitor. And review strategies to manage and take action upon. In this video, I'll demonstrate negative stocks in the warehouse activity monitor. So we'll go into LL01, which is the activity monitor. The required field here is going to be your warehouse number, mine defaulted to 001, so I'll go ahead and execute this. Negative stocks are going to be at the bottom of this report. You can then hone in and the interim storage types where negatives maybe listed there. So you have the option to include these in specific variants if you own that portion of the warehouse monitor, you could create ranges, so on and so forth. But what we're going to do here, just like many other users that use the activity monitor, we're just going to execute and get the holistic picture of everything. You can see I have 33 negative stocks. If I click this subfolder, it just breaks down the actual storage type in which they're in, both are interims. One is 999, one is 998. So we'll just go ahead and get the whole view here, the list. Unlike the other portions of the activity monitor, you cannot just create or convert the straight into a TO, a little more due diligence and research is needed because at this point, all we see is that there's a material, there could be a status in there, in this case there's a quality block on this one, we have the bin and the stock. So what you could do though, is select one, jump straight, if you click this transfer order for quant, that's where you're going to get your additional research. So in this case, you had your TO numbers associated to that. So if you just click on the TO number it jumps you straight there. So now you can see that it's in this interim trying to be put away from here. You don't want to do this just blindly, again you want to do your research because it will confirm it to this bin because you do have the option to do so here. You can confirm, you can cancel straight to this bin. In this case, what I would do I'll go to the header details, find the user, say what's going on, really you want to understand why these have exceeded that time parameter and why these are negative. So as we are working these, you have the option, just like the other reports, you can notate anything that's going on with these, but ultimately you want to balance these because these are all a negative, these are all issues that have exceeded that time parameter. So, in summary, we have covered. How negative stocks or supply chain disruptions push through the warehouse activity monitor and have surpassed the time allotment. These negative stocks are late and need to be quickly corrected. Thanks, Steve. I can certainly see why it is imperative to move as quickly as you can on these overdue negative stocks. Folks, if you want to learn more about WM and other areas within SAP and see how you can get the most out of it, please check out our other videos and of course if you have any questions please submit them below.
Now's the Time to Run the Delivery Due List
SAP® ECC
New
Customer Service
Warehouse Administrator
Warehouse Manager
Warehouse Management
OTC; WM
VL10G; VL10BATCH; VL01N; VA02; VL10A-E
Greetings supply chain professionals. I am Martin, and today, we're on a mission to uncover the hidden value in your SAP system. So let's get started. In this video, we're going to explore one of the gateways from planning into execution. It's called the delivery due list. The delivery due list helps us to know what orders are ready to be moved into delivery so we can stay on time with execution and deal with any exception that may crop up. So Dave, I know we're all eager to know more. Tell us more what we need to know about a delivery due list. Hi Martin. Today's walkthrough, we're going to go over a few key things. First, we'll pull up a delivery due list so we all know where it is in SAP. And I'll also speak to where it falls into the process. Second, we'll talk about what it is or the purpose. And lastly, we'll highlight how it can be used to make the transition into logistics execution more effective. I think it's best we go and take a look. What is the delivery due list? Delivery due list is where we take sales orders that have a delivery date on them and we use the transaction to convert them into delivery document, which is the instruction for a warehouse to go and pick the product and ship it out to the customer. Deliveries can be created in a number of different ways, we can create them directly from a sales order VA02, and then use the delivery create button. We can create them manually using VL01N, and we have a number of alternatives to create a collective number of deliveries for a number of sales orders, and those options are VL10A for the header items, VL10C for the items, and VL10E for schedule line details. Likewise, we can create deliveries for STOs, for stock transport orders. In the same way, we have VL01N, or VL10B, or VL10D, and VL10F. These are all used to create the deliveries for stock transport orders. In addition to all of these options, we create deliveries via background jobs, and these can be set up in VL10BATCH. When we create delivery documents, the important parameters we need to know where we're shipping from, or for a range of shipping points. We need to know which plant we're shipping from? Are we going to create deliveries specific to a customer? Do we include overdue orders? Do we include documents not blocked for delivery, which are due today or possibly in the future. These are all decisions that the delivery create transaction can manage for us. Typically, the delivery is created on the date that the system calculates the material availability date. We derive the material availability date on a sales order through the process of ATP checks, and also MRP calculations. We have a number of recordings which speak specifically about how ATP works and what these MRP calculations are. For this demo, let's schedule a manual delivery create using the VL10G which does sales orders, and purchase orders, really stock transfer orders, right? We can do those simultaneously. I am showing you a list of the VL10 transactions, as you can see, there is a number. We're going to use Documents due for Delivery, which is the VL10G. This transaction covers all of the variations we have for STO's and purchase orders simultaneously. I have a variant that I've created. I'm going to pull up my variant, which is called VL10G, and in this variant, I have set up a delivery create range, which is automatically loaded. The delivery create range is doing dynamic dates for me, so I can eventually just put this into a background job and then let this run on a daily basis at its pre-determined time. If I run it here, you'll see that this runs quickly. I'm getting a really quick picture, everything in red is overdue, everything in yellow is almost overdue, everything in green means I'm creating it ahead of its delivery due date. These are important factors. We can modify the screen. We can add additional fields and columns to give you more details about the delivery create. I want to quickly take you through the batch job, the automating of this task, and we do that through the VL10BATCH transaction. VL10BATCH is pretty neat. I can take the variant I've just shown you, I can schedule it. I can set it periodic scheduling. I can say I want to run this on a daily basis and I'm done. This is going to run every day at the same time, 2200, 26 minutes, and it will run every day at this particular time. So what happens in the morning, I come in, I've got my deliveries they're being distributed to the correct location to the warehouse and they can go ahead and pick and schedule what needs to be picked for that particular day? Let's talk about the so what. Timing is everything. We want to make sure that we are making all of our hand offs from one functional area to the next on time so that we can then be on time to our customers. When we run the delivery due list, we get one last chance for review. Now, hopefully over time, we don't have to have that manual intervention and we can start to automate. But if we're early on in our journey to quality ATP, or if the master data is not quite right yet, there is a good opportunity to verify everything looks good and is ready to execute. Thank you, Dave. There's nothing worse than getting the inventory in the place only to fall down at the last moment when handing off to shipping. Timely, accurate and complete hand offs are essential. If you want to learn more about this video and other topics related to this, please check out our video catalog, and of course, if you have a burning question, please submit it below.
Open Posting Changes
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LL01
Hi, Martin here and welcome to the video service that unlocks and reveals the hidden value in your SAP system. In this video we're going to focus on the open posting changes within the warehouse activity monitor. Hey, Steve and as you know the best way to learn is by doing so please tell us more about this particular feature. Not a problem, Martin. Open posting changes within the warehouse activity monitor have surpassed the time allotment and are now deemed as critical and are creating a supply chain disruption. In this video we will demonstrate. How to analyze this portion of the monitor. An review strategies to manage and take action on. So first we will go into LL01 which is the warehouse activity monitor. The default is you're going to enter your warehouse number, mine populated already so I'm going to click execute. You can see open posting changes is going to be the third thing down, so we have some options here where we can actually select and specify movement types for those open posting changes. So again, as I've mentioned in previous videos, you could save a variance if you would like, or you could just run right through the report here and we have five open posting changes. You can click the subfolder and it breaks down the actual movement type, so of the five, four of them are in the quality bucket and one is just posted, that 309 movement, to a general posting change movement. So, we'll collapse this and go back into them. Here you could see the ones that are in that quality hold right away because they have that queue that are represented right there. You also get additional information with the movement types, the storage types and then there's our one that we have that is not of quality hold. So, posting changes, as we know, there's something within the characteristic of this material that is changing. So in this bottom one, let's click in number 31, in this case, the material, the 309 movement is your general posting change. It's moving from this batch to a general batch. So the characteristic of this batch is going to change or needs to change, that's what's holding it up. So, it hadn't done so within the specific time parameter, which is why it's on the warehouse activity monitor. So within here too, as I mentioned in previous videos, you could click notes and really identify what is going on with these open posting changes. You want to absolutely investigate why are, they are still delayed, what is going on with them? Because from here too, just like the other videos and the transfer requirements, you can actually create a TO or the actual movement to clear this up and really confirm this transfer order straight from this posting change. So great functionality, great power here in that you can do this in mass, but really these have exceeded that time parameter, they need to be addressed because they're causing potential supply chain service disruptions. So, in summary we have covered how open posting changes are supply chain disruptions pushed through the warehouse activity monitor and have surpassed the time allotment. These posting changes are late. And need to be researched and quickly corrected. Thanks again, Steve, great information. Those are certainly some great pointers and strategies to quickly take action on those open posting changes. If you want to learn more about this and any other topic about how to maximize the use of SAP please check out our video catalog and of course, if you have a specific question please post them below.
Picking Areas
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
MM02; LX04
Hey folks, welcome to the video service that reveals and unlocks the hidden value in your SAP system. Hi, Martin here. In this video, we're going to cover picking areas in warehouse and discuss how this feature can be used to strategically group or batch materials needed to be picked. Steve, I'm already thinking of the potential ways this might be helpful, but I'm sure you're going to show us a lot more. Take it away. Sure thing Martin. Think of picking areas as the twin to storage sections, but instead of being used to group materials for put away, picking areas are used to group materials for stock removal. The beauty of this feature is that it can be used in a variety of ways to improve efficiency, prevent injuries, and materials from being damaged. I'm personally a huge fan of picking areas and will touch on a few success stories in the demo and how I utilize them and the benefits that we received in our warehouse. I know the anticipation is probably killing you. So let's jump right into SAP where I'll demonstrate. How this works. Propose a few ideas on how you may use these in your environment. Picking areas are a special field, similar to a fixed bin status. So you would have to go into the material master, in this case, we'll just go to MM03. We'll go for a material 100-600 here. We're going to go to our two favorite WM tabs, WM1, WM2, and why I mean, it's similar to a fixed bin storage type is you have to enter the storage type here in order for that pick area field to be populated on the WM2 tab. So we'll go ahead and enter 001, and we'll go and enter D02 for this material. Okay it defaulted to my WM1 tab. The pick area for this part is actually going to live here, so because we entered storage type D02, here's our picking area field. So in this case this material is looking for a pick area, so a separate release by the storage type of D02. So that way we can queue it with anything to be picked for any specific reason, whether it's a heavy material, velocity, so on and so forth. Then on the actual bins, it's going to look for any of those materials that are eligible. So you could easily search for any pick areas, we'll go to LX02, we'll run LX02 wide open and a field that you're gonna have to bring in that you could see all the, it's actually towards the bottom here, you have your picking area, bring that over to our basic LX02 list, now it's going to be over to the right and you can see our last field here is by picking area, so you can do a sort of all the bins that are eligible by pick area. So in this case, there's 3 bins assigned to this pick area. So if these orders were picked, it will then queue these, this material 100-300, and it's going to release these separately based on this D02 picking area. So again, the best case is going to be if you have multiples of these or many parts in there that you want grouped separately. But the way to do it is going to be to identify those in a storage type, enter your storage type in your material master in the WM2 tab, and then that way those parts will be released and treated differently from a pick area perspective. Welcome back. In this demo. We've covered how picking areas work. And discussed a few different ways they can be used. I challenge you to utilize this functionality in some of the ways that I did, because the outcome and benefits are absolutely tremendous. Man, you've made me a fan too, Steve, thank you. What an excellent feature and great examples you covered in explaining how these work, and specifically how it worked for you in your warehouse. So folks, if you want to learn more about warehouse management or other features that SAP can provide for you to help you, please feel free to check out our other videos, and of course if you have a particular question or even a recommendation, please submit it below.
Return Inventory from Outbound Delivery
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LTOG; VL03N; LS24; LT24; LT21; LL01
The best way to learn is by doing so welcome to the video service that reveals and unlocks the hidden value in your SAP system. Hi, my name is Martin and in this video we're going to focus on returning inventory back to the warehouse that was already picked via an outbound delivery. Steve, that sounds a little bit like an oopsie feature. Where can you potentially correct a mistake or still have a chance to save a potential return before materials officially go out the door? Am I correct? It's hard for me to admit, Martin, but you're right. After a transfer order has already been confirmed to an outbound delivery. You still have the ability to reverse it before it gets post goods issued to the customer. This is helpful and can be used for a variety of reasons, such as if a material is damaged, if the customer changed their mind at the last minute, etc. So let's jump into SAP, where I'll demonstrate how to use this tool, which can almost make you go back in time. The first thing we'll do when returning inventory from an outbound delivery, is we'll jump straight into the warehouse activity monitor, we'll just identify a delivery that's out there for an example. So you can see I have one critical delivery, I'll double click, go into that delivery, it's showing that this has exceeded its time parameter. So I'm going to double click to drill in again, we'll take a look at the status overview to really tell us what's going on. What returning or T code LT0G will do is anytime that a delivery has been picked, this WM status represented in this delivery would be a C or a complete. If it's A, there's the picking where the TOs have not been generated, partially means that the TOs could be created, but not confirmed, so that's really the difference here, so for this outbound delivery, what we'll do is we'll go ahead and we'll go and generate the transfer orders. So I'm going to go ahead and just create these TOs in the background for this delivery. You can see the triangle or the status bar then changed to a yellow. So we'll go in there and we will actually confirm those TOs now. We'll go and look at LT24, just to double check, we know that material was a 100-300, I'm going to go and look for only open TOs and you can see here's my one for this outbound delivery in there. So there's a few different ways you can do this, I'm going to go ahead to my Transfer Order tab and I'm going to, we'll just confirm this in the background and boom, that TO has been confirmed. If I go back to my delivery if I back all the way out here, go back in, there shouldn't be anything there and then my status on my delivery should be picked. So if I went back in there and now you could see my Status Overview the WM status has now been changed to C. If I go to my Picking tab in my delivery, I have a picked quantity now that matches my delivery quantity of 15. Okay, so now this delivery has been picked. We're going to go ahead and reverse that pick, which is what this video is all about. So, we will go to transaction LT0G. LT0G then allows you to go back and return that inventory to stock. So, my delivery already populated there, my warehouse populated. I have a delivery view option, which will take and undo all the TOs for a specific delivery or, you can undo individual TO line items if you need to do that. So, in this case, there's only one line item, we'll just leave that one picked. The movement type will actually control what that movement type is to move it back to stock. So essentially, this is going to undo that status in the delivery and give you options to put it back in stock into the warehouse. So we'll go ahead and execute that and simply all you need to do is select this checkbox, which is calls for that delivery, here's my 15 and if you did the put away in the background, it'll simply just follow the rules that you have in the system and put it right back to this storage type and bin using a 999 reference. Probably the easiest way to go, if you want to go step by step, you have the option to do that in the foreground. So in this case, we just have that selected and we're just going to put away in the background. You could see it turned to green, which means that TO confirmed. Should have put that 15 back into this bin. So let's go ahead and do our double check. We'll go into LS 24, 100-300 already populated, we're going to put in our plant 1000 and boom, now the 15 has been added back to bin 01-01-B1 totaling a quantity of 50. As it followed the addition to stock put away strategy. Welcome back. In this demo we've covered. The use of LT0G and returning materials that have already been confirmed to an outbound delivery. This transaction has personally saved myself and our customers a lot of time and money from preventing reverse logistics. So I hope that you reap some of these same benefits and savings that work for me. Okay, thank you Steve, for sure. This is a good one. This is a great demo and I am absolutely in favor of using this tool to prevent costly reverse logistics. So folks, if you want to learn more about how to save money, use SAP better, please feel free to check out our video service and of course if you have a particular question feel free to submit it below.
Shelf Life Expiration Date
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LX02; LX27
The best way to learn is by doing and welcome to the video service that unlocks and reveals the hidden value in your SAP system. In this video we're going to focus on shelf life expiration date capability in warehouse. Steven, this is a big deal for many companies, how about you tell us a little bit more about how to deal with shelf life management? Absolutely Martin. Managing shelf life expiration dates in your warehouse is no easy task. WM has built specific stock removal or picking strategies that automatically direct you to the material or batch that will be expiring first. This allows you to maintain FIFO principles and minimize expiring materials. The most critical thing warehouse folks must do is pick the batch called upon from SAP rather than picking another just because it may be easier or closer. In this video I will demonstrate. A few tools. And best practices to help warehouse staff identify and manage SLED materials and materials that have surpassed their expiration dates. Many organizations and warehouses have materials that expire. There's many different strategies and really ways that you can manage your shelf lives within your organization, your supply chain, and SAP is certainly capable of helping utilize and really manage those shelf lifes. So one of the first transactions that we'll display here is going to be LX27 which is the SLED, which is shelf life expiration date control list. There's two required fields here, it could be your warehouse number which has shelf lives. The second is going to be down here in the number of days remaining in your shelf life. You can see below that there's two bubbles that are populated there. The first is total remaining shelf life, which accommodates for your transit time or your transportation time, such as your goods receipt time. It takes into consideration the overall picture outside of the warehouse, which is awesome. The second one below that is just simply, hey, it's expired in the warehouse, you need to get it out now before it actually expires and doesn't take into consideration some of those lead times. So in this case, at the very least, we want to enter one day okay, and we'll just go ahead and let this run. What this shows, you get a traffic light, and it simply means, this material has expired by a lot in this case, it's June 2023, so almost 5,500 days, thankfully this is just a test system and not real materials. You could see, it actually gives you the amount of days, the number of when this actually expired, so back in 2008, you can also see the total quantity and the storage bin and where it's at. So that's going to be very key is to know where it's at. But one of the things that it's missing, because when we're talking shelf lifes, we're also talking in potentially batches, right, which makes sense. If you're dealing with shelf lifes for materials that expire, you want to be able to identify which batch it was on to be able to trace it back for a lot of quality issues. So you don't see that here now, however so one of my clients asked, can we get the batch on this, absolutely, which I would highly recommend. What you could simply do is you can click these three staircases from this current layout and it just simply shows you your material, your plant, so on and so forth up there. You want to click item and then there's some additional fields there. So we'll just bring in storage unit and batch, highlight both of those, bring them over, they drop to the bottom there, go ahead and click copy and there you go. It now brings in the batch. So that's Tcode LX27, it's a very nice display of traffic lights. So we touched on red, obviously these have expired. If you had a yellow, it would mean, hey, maybe it's expiring in your warehouse in the WM environment, but not the total shelf life, so that would be a yellow. And then your green obviously means that you're in line or you're not in the potential of expiring yet. Another way to find this, if you do have shelf lifes, is just simply through Tcode LX02. So if you go into LX02, you can see all of your material listed in your warehouse and one of the fields that you can bring in, which is the last one here, is SLED or best by date. And it's just very nice here because, you could do some sorts, so if you have many different shelf lives within your warehouse you could just get all that same information here and it'll sort ascending, descending, however you want to have it displayed. The overall theme here is SAP will absolutely point you in the direction of your SLED, your shelf lifes, it has the stock removal strategy of picking by SLED or your oldest shelf life, right? So you don't risk picking materials that are just produced. So it'll point you to that batch, the one that's going to expire first. The system is only as good as your setup. Now, I can't emphasize that enough. If your material, if you're working in an environment such as like a floor stack area and working with shelf lifes, you want to be able to access that material from the back, because if you're going to continue to pile materials in the front, SAP will point you to that batch all day long, it'll point you to the bin, but you want to set your warehouse staff up for success in order to quickly access that batch and or material that's going to be expiring first. I've seen often too many times a lot of workarounds where it will propose that batch, that shelf life and the warehouse workers, just simply, out of bad practices, don't want to move six pallets in order to get to that one in the back, so they've worked around the system and just picked the one in the front. You really want to be disciplined when working with shelf lifes, utilize SAP, be disciplined to the process, and really pick that shelf life which is going to be expiring first. So, in summary we have covered how managing shelf life expiration dates are no easy task. But there are many tools and strategies to leverage in SAP. That enable us to manage and work proactively with expiring shelf life dates. Hey, once again Steve thank you very much. Fantastic stuff here and some great strategies shared on how to leverage SAP to assist within the management of shelf life. Folks again if you want to learn more about how to get the most out of your SAP system please check out our videos and of course if you have a suggestion or a question for us please submit it below.
Staging Crate Parts
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LS41; LP11
Hey folks, we know the best way to learn is by doing, so let's get right into it. My name is Martin, and today we're going to focus on specifically how and what are the options for staging materials from the warehouse to the production floor by using staging crates parts indicator. Wow, that's a mouthful. Steve, why don't you tell us a little bit more about it. I can only imagine that this option for materials or stored in crates may be best suited for specific industries. Is that correct? Exactly, Martin. Crate parts are typically small materials with large quantities, such as nuts and bolts, and are staged near the assembly line. These materials are typically consumed and even ordered in bulk. The big call out with crate parts is that quantity is predefined in the control cycle and requested independent or manually from existing production and process orders. Next, we'll go into SAP. Where I'll demonstrate how crate parts are defined in the control cycle. And how the replenishment process works. With staging crate parts, we'll first identify some of those PSAs and within the control cycle that have indicator 2 and or the crate parts. So we'll go into LS41 to identify some of those. Really, you can go about that a couple of ways. You can enter your plant here, obviously of 1000 for our demo, but if you knew your specific staging indicator, you could just select those and only those would come back. So in this case, we'll do just two of our crate parts. Go ahead and execute that and it lists all of our production supply areas, the materials that are in there, and you can see the indicator is actually a 2 there, there's our crate part. Now to kind of see the bones behind all these and what those quantities are, if you just double click to any of these here or single click, it then brings up the number of kanbans and quantities. Number of kanbans is really just the number of containers, so this is saying, hey there's 2 containers, each of those containers has a quantity of 20. So as we know these replenishments will be independent of a production order, it's really meant just for those production floor associates needing more bulk container, they would then request one. In order to do that, so this is the guts behind it, we'll stick with this material, to now replen, you'll have an LP11 here. So LP11 is going to be staging for specific crate parts. You can go ahead here, you can do this in the background or in the foreground. Once you enter your material, and we'll do a 100-300, and we'll go ahead and just execute this in the background and the plan date of today, this supply area, everything matches. I'm going to go ahead and hit enter, okay and the WM staging was then saved, you can see here. What that is going to do is then create an actual transfer requirement. So we'll go in for that same part, we'll go into LB11. LB11 is just to display the transfer requirements. Okay, and go ahead and enter and you can see it then created our open quantities for replenishing our kanban. It then references the actual PSA or that, and it has our movement type 319. Then we can go about and we can actually go from here and create these into TOs and have these go into the background for them to actual stage to that PSA. It then created that transfer order here from our transfer requirement, so I'm going to go in here and then all we simply have to do is then confirm that TO when it said 350, you go ahead there, I'm going to hit enter and there it is, it has our 100-300 going and replenishing from and to these actual production supply areas for a total quantity of 20. Go ahead and enter that, the transfer order has been created and we can go ahead and verify that in LS24, okay. And here we go right here it's got our decrement of 23 within our production supply area.Welcome back. In this demo. We've covered staging crate parts for production and process orders. Demonstrated how the replenishment takes place. This is one of the few staging options, so please tune into the other videos for staging to explore the best options and solution for your specific situation. Nice job, Steve, that was awesome. I'm actually very excited to continue to unpack the different staging options that are available in WM. So folks, if you want to learn more about what else is available in SAP in the Warehouse Management module, please check out the other videos, and of course if you just have a burning question, feel free to submit it below.
Staging Release Order Parts
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LS41; LP12
Hey folks, welcome to the video service that unlocks and reveals the hidden value in your system. We know the best way to learn is by doing, so let's get going. In this particular video, we're going to focus on the options for staging materials for production with release order parts. So Steve, I know from the title, I am guessing the orders are staged upon releasing the production order or process orders. Is that right? In a way, they are, Martin. Release order part indicator is used to request materials that are needed in several production or process orders. Unlike crate parts, the quantity may vary or be inconsistent, therefore it's not predefined in the control cycle, as different production lines or work centers may require varying quantities. This is also one of the more efficient staging indicators as you are picking from the storage bin once and staging or dropping these materials in different production supply areas. So let's jump into SAP where I'll demonstrate how release order parts work for staging to production. Release order parts, what we'll do is we'll go into LS41 to identify these in our control cycle, we're going to go into plant 1000, we'll go and we'll enter our warehouse 001, and then we can go into our material staging indicator, and we're going to look for our release order parts. Go ahead and execute this, and this will just simply bring back all of the materials that are eligible to be released from a release order part perspective, meaning you'll release them, they're independent of your actual production order, there's going to be a requirement out there, but until we actually replenish this, that's when it'll trigger that TRTO movement to bring it over, you'll do one swoop though, of the required quantity for all production orders that are required for those materials, and then you drop it at the individual PSA. So that's how it's really different than PIC part, is you're grabbing that material once, and then it's going to look at all the requirements and then stage them individually at each production supply area that has any requirements out there. So to do that, if there's any out there, we'll enter a new session here and that replenishment aspect will be LP12. So LP12 pre populated our plant and then you would enter your supply area that's eligible for a release order pick, you can see there, 1310. It's then going to ask for the actual plan date of when that TR should be created. You have the option to create a TO automatically if you have that configuration set up, and then in this case, you would just simply hit your material staging or enter, and you can then enter any production orders if you had them at that point. It would trigger those TRs for those replens. So it's a little bit how the staging works for release order parts. Welcome back. In this demo, we've covered the use of release order parts. Discussed some of the benefits behind the indicator. And demonstrated how this works from release to staging at the production supply area. Thanks, Steve. I can certainly see the benefits for this staging indicator, especially from the standpoint of the time saving it can provide. So folks, if you want to learn more about SAP and other transactions that can save you time as well, please check out our other videos, and of course, if you have a specific question feel free to submit it below.
Stock Removal Strategy According to Quantity
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
MM02; LX04
Hey folks, the best way to learn is by doing so welcome to the video service that unlocks and reveals the hidden value in your SAP system. Martin here, and today we will focus on the stock removal strategy M, which utilizes control and rounding quantity functionality. Steve, I know that control and rounding quantity is used in other areas within the supply chain. But is this feature and function in the warehouse the same thing? It absolutely is, Martin. This is one of a few stock removal or picking strategies that we used in the warehouse that I was running. This is an excellent strategy for faster velocity materials. Where SAP will automatically control and propose which bin to remove stock from, based on the quantity being called upon. The intention is to prevent your fixed bin from running low, and saves you a potential replenishment. So let's jump into SAP, where I'll demonstrate how this strategy works and show the required material master data. In this video, we'll cover stock removal strategy M or according to quantity. We've touched on some of these aspects in different videos, but really what we'll talk about is when to use this. I personally use this when I was managing a warehouse in a distribution center, and it is actually perfect for that. If you are in a high velocity type of building or environment, and really you have different picking modules or picking avenues per your materials. You also really need to know your carton quantity, your pallet quantity, and each's. So if you have all that and you meet that criteria, according to quantity might be your go to. So first we'll go into LX04 actually, and I'll just show you, it doesn't have to be a fixed bin per se. But I'm going to go into LX04, look at this storage type D02, look at the details behind it, and you can see, my removal strategy is set to M, or large, small quantities. And really, all that means is it's going to respect the control quantity and look for rounding quantities. My putaway strategy, however, is add to existing. So that's D02, but it's going to utilize additional information. So we'll talk about now the material master and that means, so I'll go into MM02, our default material that we've been using 100-600. We'll plug in WM1, WM2. Since this stock removal strategy is asking for specific materials, our, additional information, the control and rounding quantity. You have to enter that storage type here, similar to the fixed bin videos that we've touched on. So I'll enter D02. Without that, again, you wouldn't get this additional tab, this box here with this information. So really the way, according to quantity or the stock removal M strategy works is it looks at these two things. Control quantity, which we've again touched on in the fix bin videos and replen videos because one of the replenishments looks for control quantity threshold, but then it looks for this grounding quantity. So the difference really again, control quantity is going to look and set a threshold of plus or minus a certain quantity for a pick. And if it is below that, it will pick from that storage type. If it is above it, it will bypass it to a different rounding quantity. However, it will always pick in those increments of the quantity that you define. So really, if you know your carton quantities or like interpacks, you'd want to define that there. So the way we used this strategy in our warehouse, which was excellent, we had three different picking modules, as I mentioned, a mezzanine, which had a conveyor system running through it, which was really for your each's or kind of your your smaller picks. We then had case so bulk of our warehouse right in the middle was all racking where we pick case quantities or carton quantities. And then we had a floor stack area for kind of the bulk or the larger quantities of that. So if you have a pick come in, how do you define where it picks from based on the quantity? That's exactly using this strategy. So the way that we set this up is you would use those three storage types in a sequence. So your first storage type that you would do is just go here in your control quantity, and you want to define if you know your carton quantity, let's say it's 25, you'd want to do one less than that. So anything of 24 or less than a carton will drive from this first storage type. Our second storage type that we would define in our sequence in, let's say, now that we knew our palette quantities, so we knew that our carton is 25, and so we'll put in 25 as the carton quantity, and now our pallet quantity, let's say is a 100, so there's 4 cases of 25 on a pallet. You want to do again, one less than that. So we would do 99 here as our second storage type in sequence. And what this will do is since we would have saved our control quantity of less than a carton on the first sequence, any picks less than that carton will drive from that first storage type. So in our real life example that I went through was the mezzanine. It would drive all picks less than a carton there. The second sequence, if an order dropped for 25 or greater, 25, really up to a pallet quantity, it would then pick from the rack or in this case, so it would pick in increments of 25. So the strategy behind this is you don't want to break pack and that's really one of the biggest advantages of using this, is now you're reducing all that processing time, the cutting open the boxes and picking this, because it's going to round always and pick in increments of 25. And then again, you're controlled quantity of 99. And your third and final that you would do, no need for a control quantity there, right? Simply all you would do here is you would enter your rounding quantity as 100 or cases. And in this case, we were the hub of the Midwest, so we did a lot of transferring to other distribution centers. So this was fantastic because we would do all of our buying into our distribution center and then redistribute it back out via an STO. But the system then automatically, in those STOs would be in large quantities, would just pick those based on these palettes So that's an excellent use case and way to use this strategy for picking, if you have this type of environment. Welcome back. In this demo, you've covered how. Stock removal M, which uses a control and rounding quantity works. What master data is required. And some possible scenarios on when this may be used. Thanks Steve. I certainly see a lot of value with this picking strategy and how it proactively saves us replenishment from occurring and of course keeps your primary bins full and healthy. If we can do more of that and learn more about that in other videos, please check out our catalog. And of course, if you have a specific question or suggestion, please submit it below.
Transfer Order Research
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LX06; LX07; LX24
Hey folks, welcome to the video service that unlocks and reveals the hidden value in your SAP system. Martin here, and in this video, we're going to focus on researching transfer orders within the warehouse. So Steve, with known transfer orders are used for all movements in the warehouse, I can imagine there may be many ways to research these, is that correct? Exactly, Martin. Typically, warehouse folks, when researching TOs, will use LT23 to view the details and history of where materials went and why. But in this demo, we will touch on a few other of the less common transactions that may be used to expedite or simplify the TO research where needed. Let's jump right into SAP, where I'll demonstrate. The use of a few of the tools. And explain some of the features that may be valuable to you and your warehouse team. Researching transfer orders are absolutely critical in your warehouse. A lot of users, if they know the material number, will go straight into T code LT24. You could enter the material number, you can grab all TOs, enter specific dates, and then it'll give you the actual TOs or movements for everything within this material. LT23 is where most people live and this is really all things about your TOs. So you can go all TOs, if I enter a specific date range, I'll just go very recent here because it could be overwhelming. And this is just my default, but you get all these fields in here, which is the biggest amount of data, which could be overwhelming, right? So a lot of people will say variants if some of this information is specific or important to them, but again, very overwhelming. But we'll talk about these next few, where if you just need to go in and these are the most uncommon T codes. So I'll jump into LX11 and this is going to be a little more higher level data. You just enter your warehouse number, you have the ability to select only open TOs, but in this case, we'll just go ahead and execute that wide open. It sorts by TO number in sequential order, but then you just get this amount of information. Higher level, not as much. You just see the TO, the create, if it's open, confirmed, if it's tied to a material document and by who. So not all that information from LT23, but just sorting by TO number, you get some of that details there. I'm going to go back and go to the next LX12 and it looks a little similar to LT23. You get a little more information here and this is actually what's going to be in the report once we execute. So enter it there and it's more of that grid format. And this is just simply where did that material go from and to. It's simple bin to bin by TO number material, what I like is you get the description in there, but really you would go into LX12 if you just want to know if it was tied to the material document, your source storage type and your destination with the quantities. That's really all it's intended to do is to bring forward that information. I would probably use this one, I think a little more than LX11 because this is just, again, give me the facts, give me the details of who, what, where, when, why. And then probably the most high level one too, if you're trying to see your movements by storage type, you'll use LX13, and this is nice because you can enter again, specific date range. I'll just go ahead and hit all TOs, I'll run this wide open for now, I'll show you this view first. And this just simply breaks down by storage type, how many TOs, and it rolls up the amount of TOs that were in there and here you can see that's a pretty large date range. So I'm going to go back and narrow that date range back just to this year, it'll give you a better picture of what's been going on. LTOs, and you can see we were doing some testing in our system, but I received in a lot from 902 and that correlates right back into D02. So little less information because I scaled back my date range there, but just simply shows what is my activity really? What are my movements per storage type? So obviously you're probably going to be using more storage types than just these ones if you're traditionally running a warehouse with all the operations. But it just breaks down per storage type, so it's nice to see that movement there. So,went over LX 11, 12, 13, some of the other ones that we covered in the beginning, you probably know about. But there's a lot of standard tools out there in order to help you research your TOs and movement types throughout your warehouse. Welcome back. In this demo, we've covered. A few different reports that may be used to research transfer orders in different ways. Like many other things in SAP, there are various reports that bring forward similar information. Some of those transactions allow you to get what you need a lot faster than others. Great point, Steve, thank you. That's really good stuff and I can certainly see the value that the warehouse team might have with a few more of these tools in their tool belt. So folks, if you want to learn more about these videos and have more tools in your tool belt, please check out the other videos in the catalog that we have and of course, if you have a question, please submit it below.
Unconfirmed Transfer Orders
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LL01; LT21
Welcome to the video service that unlocks and reveals the hidden value in your system. Hi, this is Martin, and in this video, we're going to look at the unconfirmed transfer orders within the warehouse activity monitor. Steve, we all know about the best way to learn is by doing so why don't you tell us why unconfirmed transfer orders is so important to manage. Not a problem Martin. Transfer orders within the warehouse activity monitor have surpassed the time allotment and are now deemed as critical and are creating a supply chain disruption. In this video we will demonstrate. How to analyze this portion of the monitor. And review strategies to manage and take action on. In this video we'll focus on the unconfirmed transfer orders in the warehouse activity monitor. So we'll go straight into the warehouse activity monitor which is LL01. The required field here is going to be your warehouse number, so we'll just go ahead, I have mine populated, click execute. The first topic which we'll talk about here is unconfirmed transfer orders. So you could just click execute again and run through this. If you wanted to focus or create a variant specifically to movement type and storage types that you use, you could do so here. So a lot of ways in which this report is split up amongst the warehouse team is someone would own the warehouse inbound movement types, and then you'd have a supervisor own some of the outbounds. So based on that you could save multiple variants or if it's a smaller operation and it's manageable to get through all the activity monitor elements in a day you can absolutely just have one person own the whole monitor. But again, you have those options here, in this case, we're going to just click execute to get the whole picture and you can see you have the time that the batch job was run here and then it lists all the transactions that have surpassed that critical time parameter. So we'll talk about the unconfirmed TOs, which are the actual movements in the warehouse, you can see I have 104 total. If you click open this folder here, the subset, it then breaks down the actual movement types within each, so of the 104, I have 1 related to a GI outbound delivery, a 100 of them, or the bulk of them, are goods receipts in storage type 501, and then the remaining 3 are in a movement type 101 there. So, you can close this, you could again jump straight into those ones if you wanted to, to specify or see the TOs in the specific movement types. Here we'll just double click, we will go into the whole picture. So, it lists all those TOs, you have the TO number, the material, a ton of information here, when it was created, etc. Anything in here, these are your actual movement types. The power of the warehouse activity monitor is to work through, and you can actually confirm straight from here. That power is also dangerous too, so if we were to go ahead and confirm these, you are confirming these movements or the materials from a source bin to a destination bin so you absolutely want to investigate all these and never want to actually just blindly confirm. So you have some options in order to do that. Again, as I just mentioned, you could split it by inbound or outbound however it fits in your warehouse. One thing that you could do if one person owns it, you could create notes for all these things. So, hey, I own it, I'm working on it, or just create notes. .From a research perspective, it gives you at least the source, the destination, et cetera. You can double click in there, which jumps you straight into the TO and you can get a better view of the from, to, some additional information on the quantity, et cetera, you can get the header view here to see who created this. You really want to pinpoint, hey what's going on with this do you know when it'll be done? Really, these are going to be your research aspects right here, all within the TO. You could, from this immediately, actually just confirm this, if you wanted to, again, if you knew what was going on, you have the option to confirm it, you can cancel this, so you have a lot of options. You could do it in mass too, from the Goto, so you can cancel, you can confirm, but in this case, you would only want to do this if you knew what was going on. So all these have surpassed that time limit, which is why they are there. They're listed by movement type. Very, very powerful tool to eliminate those supply chain disruptions, especially from that integrated supply chain perspective. So, in summary we have covered. How unconfirmed transfer orders are supply chain disruptions pushed through the warehouse activity monitor and have surpassed the time allotment. These TOs are late and need to be researched and quickly corrected. Thanks Steve. Yeah, for sure powerful information on why these late transfer orders need quick action to alleviate supply chain disruptions. Folks, if you want to know more about this and other topics please check out our video catalog and of course if you have a question please submit it below.
Unconfirmed Transfer Requirements
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LL01
The best way to learn is by doing, welcome to the video service that unlocks and reveals the hidden value in your system. Hi, my name is Martin, in this video, we're going to focus on unconfirmed transfer requirements within the warehouse activity monitor. Steve, this is a big deal, unconfirmed transfer requirements, tell us more about this. Sure, Martin. Unconfirmed transfer requirements within the warehouse activity monitor have surpassed the time allotment and are now deemed as critical and are creating a supply chain disruption. In this video we will demonstrate. How to analyze this portion of the monitor. And review strategies to manage and take action upon. In this video, I will demonstrate the unconfirmed transfer requirements portion of the warehouse activity monitor. So we'll jump straight into it in LL01. The required field here is going to be your warehouse number. Mine populates, so I'm going to hit execute, and from a transfer requirements, which is what we're going to be discussing. You have options, and I mentioned this in previous videos, you could, if you have variants set up or depending how you split up the warehouse activity monitor, because it could be a lot of overdue elements that have surpassed that time limit, you could specify and just see all the movement types or as in most users do, you could just execute straight through and it'll list everything within the monitor. So the transfer requirements, which is the second line there, which as we know, they will be converted into TOs. So very similar to your purchase requisitions from your procurement aspect, transfer requirements are really the same thing in WM. They need to be converted into TOs right above into actual movements. I have 58 that are open. I can click the subtree here then it'll specify the movement types behind there, so the bulk of them are related to a goods receipt from a PO. The one is from a movement type 312, which is a transfer. Collapse that, jump straight in to get the whole view, and you can see they're all listed there, the TR quantity, the material, the TR number, which is listed, and then you have statuses and that one yellow that's standing out, I'll get into that after. But let's jump straight into the TR number. I'm going to double click there. Jumps me in, gives me additional information. So now I'm in LV03, which is displaying the TR. You can look at the header to really pinpoint the user to gain insight of what's going on, when will this be converted, why has this exceeded that time parameter? So that's really the information, the types of questions that you want to be asking there. From this tool, which is why it's very powerful, you could select and you can create these or convert them into TOs straight from here. You can also, if they're hanging out and you've done your due diligence or your research, you can click this and it will actually complete them. So this one, and really how this should be worked, this report in general, you'll do your research. But many of the users in which I've come across that use this monitor on a daily basis, don't know this powerful functionality is you can actually notate here. So this is yellow because a status has changed. I went in there earlier and I added a note. So if I'm owning portion of this, or I'm trying to identify two other users who have access to this, that hey I'm looking into it, I can click on there, hey, currently working on and you see that there's notes. You could do that for do another one here. I'll just type in note and it'll change that status there, then anyone can go in there, click that line, click the note and see what's going on. But really at the end of the day, you want to convert these into TOs, because these have surpassed that time limit. So, in summary, we have covered how unconfirmed transfer requirements are supply chain disruptions pushed through the warehouse activity monitor and have surpassed the time allotment. These TRs are late and need to be. Researched. And quickly corrected. Hey, thanks Steve, really good stuff there. Again, powerful information on how these late transfer requirements need quick action to alleviate supply chain disruptions in the future. If you want to know more about SAP, warehouse management, and other opportunities that you can do to improve your business in SAP technology, please check out our other videos, and of course if you have any suggestions for us to follow up on, submit them below.
Warehouse Activity Monitor Overview
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LL01; LX04
Martin here and thank you for joining us on this video service that unlocks and reveals the hidden value in your SAP system. In this video, we're going to focus on WM's version of the exception monitor. It's the warehouse activity monitor. This is a big deal and Steve, as we know the best way to learn is by doing so please share with us why this tool is so important. Absolutely Martin. The warehouse activity monitor is WM's way of communicating to the warehouse staff that there are potential supply chain disruptions. If elements appear on the Warehouse Activity Monitor, if simply surpassed the time allotment to process the warehouse task, and should now be investigated and resolved. In this video, we will demonstrate how the monitor works and cover some strategies of ownership. In this video, I will demonstrate WM's version of exception monitoring. T-code LL01 or the warehouse activity monitor is the most powerful tool in WM to really identify, research and take corrective action on potential supply chain disruptions. So I cannot say enough about this tool, we'll talk more as we jump in here. So I'm in LL01. The first requirements, you're just going to enter your warehouse number in there, it'll prompt you to the next screen here. Which you'll see all these are specific transactions that you could play around with after by movement type and storage types there. So for now we're just going to go ahead and hit enter. What it brings up and what this is really built around is time parameters. So you set time parameters per storage type and movement type and depending on whatever that time is that you set, it will end up here on the Warehouse Activity Monitor, really as a flag, to say, hey, it's surpassed that time. So therefore take action on it because at this point, it's a potential supply chain disruption. So all these things are different categories within the WM world. You have your unconfirmed TOs, which are going to be your movements. The opened transfer requirements, which are going to be similar to requisitions. As we know, requisitions are the requirements our first for the transfer order, open posting changes, critical deliveries, negative stocks, interim stock, and potential production supply. So if material is not staged in the according time. So this tool is really essential, every day to get in there, take a look at because if it's in here, it's late, it's really built and you could see here there's a date here so this has to be set up and configured, which is a good thing because this and it's all configured directly to a specific warehouse. So you can have, let's say you're responsible for three warehouses or a production warehouse and then a distribution warehouse. Well, those two different warehouses could have different time parameters set. So it doesn't have to just be a fixed time parameter per movement type across the board. So that's really the power of this, it's all built around how you want to customize it on your movement types. However that time is for your business, it ends up here and really the beauty of it is it only ends up here if it's exceeded that time parameter, so it accommodates for the time to be worked or that processing time. So, for example, if you opened up a truck first thing in the morning and you ran all of your open TOs, you would see all of your open TOs for the day. You wouldn't see them in the Warehouse Activity Monitor if your time parameter was set up accordingly, because it's going to accommodate for that processing time. So, that's the foundational part of the Warehouse Activity Monitor. The biggest thing, and the biggest challenge, after setting it up is going to be how do we want to split and designate this work to different areas in the warehouse, to different supervisors. This should not be worked by every single associate in the warehouse. This is really meant for the supervisor level and above because you can do a lot of things in mass. You can confirm TOs in mass. It's a very powerful tool and as we know with those tools comes great responsibility. So, really, that's one of the foundational parts is you want to decide within your warehouse, who owns what, because that ownership and accountability is really what delivers for this report. So, in summary, we've covered how the Warehouse Activity Monitor is communicating that the warehouse elements are late maybe causing supply chain disruptions that require action and ownership. Good stuff Steve thank you very much. Well, I can certainly see why the warehouse activity monitor is such a fundamental tool for those that are working daily within the warehouse. Thanks again. Hey, so for folks if you're looking for more information about the WM environment and of course just SAP supply chain in general our SAP video catalog will be the best place to go. If you have any questions, please submit them below.
Warehouse Bottlenecks
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LX01; LX02; LX03; LX04
The best way to learn is by doing. Welcome to the video service that reveals and unlocks the hidden value in your SAP system. Hi, my name is Martin and in this video, we're going to focus on how to proactively identify warehouse bottlenecks. As we know, the best way to learn is by doing and Steve, we know that bottlenecks are the biggest issue in supply chains. Why don't you share how we alleviate those in WM? Absolutely Martin. There are a few standard tools in WM that can be utilized in conjunction to identify and redistribute stock to relieve capacity in a storage type and prevent a bottleneck. In this video, we will focus on how to analyze the capacity, how to search for empty bins, And finally, how to move these materials in mass to prevent a bottleneck. In this video, we'll demonstrate how to spot possible warehouse bottlenecks at high capacity, how to locate empty bins, and then to actually relocate materials to alleviate that high capacity or potential bottleneck. So we're going to jump around to a few transactions. The first is we're going to go into LX04, and our warehouse, just to run this wide open in LX04, it's going to be your capacity per storage type and what this will do, it'll list all of your storage types, simply occupied versus empty, and you'll get a percentage of what that looks like, that mix of the occupied versus empty. So, in this case, we'll just go ahead and we'll use this 001 since it's our highest used capacity and now we want to find and maybe move some of these 202 materials that are in there to a different storage type below and LX04 is nice because it lists everything in that percentage right there for you. So let's go ahead and move some of these materials in 001 to 007. Now I'm just using this for an example, but if you tune into one of the earlier videos just on LX04, what you'll see is these have rules behind them. So just for the sake, we're going to just go ahead and move those there, but each storage type could be configured in your warehouse for specific reasons with specific put away strategies and stock removal. But this is just a good way to relieve some of this capacity. So, LX04, we'll leave that up, we'll just enter a new session, we'll click here, you can also click up here and hit create, click there and to identify empty storage bins, it's t-code LX01 and then we want 007, which is the one that had very low capacity utilized, and this just simply lists all those bins that are empty or not occupied. So it's just a nice way, LX01 is great too, you could print it out and that's I think what this line is for, for manual entries. Now, I would use this also LX01 as kind of a spot check for inventory sake. So, it's one thing if it's systematically empty, but I would send some of my inventory counters when I was overseeing the warehouse, to go and actually ensure that there was nothing physically there. So, just a good practice to get in, you want to ensure that something is always systematically accurate to what's physically there. So, going back to this, we have our list there and if you tune into one of the earlier videos also on moving materials in mass. We're going to go ahead and utilize t-code LT10 to move some of that stuff. So again, LT10 is going to be our source storage type and what we wanted was exactly that 001. We're going to leave movement type 999, and we're going to move everything out of those bins. So if there's mixed storage, that's okay. We're going to go ahead and we'll just execute this. Here we go. Here's some of our options. So it'll list all those materials and or the bins in there from storage type 001 and LT10. We'll just go ahead and we'll start clicking on these because it's a nice, simple way to alleviate some of this capacity and generally what I would do if we're going to utilize that LX01 sheet, and we just selected a whole bunch, you would want to make sure that each of these are going to this specific location. So I would have someone go check that location again and I would say, okay, yep, it's empty. Do a check mark on that sheet or whatever the case may be and then have this material in the quantity of 40 go to this bin, this one, go to this bin, so on and so forth down the list. I wouldn't just blindly do this, I'm only doing this for the sake of the demo to demonstrate how the tools work. So again, that's what you would want to do, you want to have your list available of empty bins, and then you want to just simply bin to bin them, and that's what LT 10 does and that's what we're going to be doing here. So we're going to go ahead and just hit the stock transfer in the foreground, 007, and this is what I mentioned earlier, we could just go in and specify some bins there, but I'm just going to go ahead and let the system ride with it and select any bins it would like just for the sake of the demo. So go ahead and check. They all went green, that's great, and now if we go back to our capacity, so they all should be in some of these bins depending on the rules of the storage type and put away strategy, et cetera. So I'm going to get out of LT10, go back to LX04 to simply show, these occupied should have been dropped off slightly and this, storage type 007, should have increased slightly. So let's go back, go back again, and there you go. There's now 190 dropped slightly of 65% utilized and this, it looks like I put it all into one bin, so we will go and take a look here. You can even go and spot check where I put all those. I'm going to LX02, 007, and there's our bins. So I put them all into one bin, so that's what happens when you don't specify the bin. It's riding the rules of SAP. So that's why it's so critical to understand all the rules behind each storage type because in this case, right, it's mixed storage, it's great, that's how the system's configured. But if you want to specify individual bins, that's exactly the process you want to do. You want to go one by one in LT10, the origin bin and the destination bin. So again, just a few transactions. We went through LX04. We went into LX01 to identify the empties, and then we used LT10, but I would recommend going one by one. And you really want to just ensure that those locations are physically empty and matching the system. So, in summary, we have covered how standard tools in SAP can be used in conjunction to analyze, search for empty bins, and alleviate warehouse bottlenecks. Wow, thanks Steve. Clearly, there's some great strategies and fantastic ways to utilize these tools in conjunction to alleviate these bottlenecks. Folks, if you want to learn about how to alleviate bottlenecks in other parts of your supply chain, please check out our video catalog and if you have a question, feel free to submit it below.
Warehouse Capacity Evaluation
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LS03N; LX03; LX04
The best way to learn is by doing and welcome to the video service that unlocks and reveals the hidden value in your system. In this video, we're going to focus on SAP's warehouse capacity evaluation and how to quickly understand some of the rules behind each storage type. Steve, why didn't you just take us there and tell us more. Sure Martin. The Warehouse Capacity Evaluation Tool is a hidden gem in the warehouse world. There is a lot of excellent and essential information to unpack and that can be used to understand all the details and information of each of your storage types. In this video, we will focus on the key features such as capacities, load percentages, and how to view the rules behind each storage type. When I was running a warehouse, one of the first transactions I would start my day with was t-code LX04. LX04, as you can see here, is capacity used per storage type. So the required field here is going to be your warehouse number and what it'll do is it will look at your capacity amongst many other things in every storage type within your warehouse. So at the time when I was running my warehouse, we were in a state of very, very high capacity and just looking for any breathing room or any available space. T-code LX04 could absolutely be used for that. So if you see here, it breaks down all of your storage types within your warehouse, and it simply shows the description, and then occupied versus empty. That percentage is calculated right here next to it in the usage. So that's really how I would utilize it in a high capacity situation, is it shows, oh, okay, I have 70% utilized. I have some breathing room in this storage type and as you know, storage types have many different storage bins in there. So that's one way and a great way to utilize this. Another way and really how I started using it towards the tail end of my warehouse journey as soon as my WM maturity really began to develop. So you can actually see the background or the makeup of how these storage types, the rules behind them. So if you click on any of these, so I selected 001 and I click storage type details, it tells you for this storage type, here's the rules. So this does not allow storage unit management, the putaway strategy is set to C, no capacity, so on and so forth. So all these different rules really interact and potentially could disrupt and or be the reason of some of these, high usage, if the rules do not reflect the current situation any longer. You can just continue down this list and you can see the makeup and this one's different. Again, no SU management, the put away strategy is next empty bin, this storage type does not allow mixed storage, so on and so forth. So there's a lot of information within here that really explains how these interact and the rules behind each storage type. Another thing that it shows you within this same storage type, if you click on, I still have this highlighted, detailed analysis, it gives you the breakdown of some additional structural things in WM. You can see now your storage sections, your bin types, etc. So, you have a really good split or make up to see it per storage type all the details behind the scenes, beyond just the capacity. The final thing, which I really, really want to highlight, which is a great way to utilize this tool is going to be down here in this last storage type, D02. You can see in this particular storage type, there's one material occupied out of a bin of four total, which is why it's calculating 25%. But then there's this load percentage. Load percentage is one of the most powerful things in WM because this takes into consideration capacities. So if I look at the rules kind of behind the engine here, click on storage type details, it has storage unit managed, it has a capacity checking used based on the material. So essentially it's taking the size of the material and trying to look at the volume of the bin. So in other words, capacity usage is just looking at occupied bins versus not, so is there a material there or not? Load percentage is actually calculating the volume of each storage bin. So in this case, if we look, and let's, let's dive in here a little more and I'll explain. So, it's set to 20% right now. So if I look, we're going to go into LX03, my warehouse already populated. Let's just pull in D02 to look at our 4 bins within this storage type and then what it shows you, I'll expand this here, here it is, I have 3 empty, 1 occupied, there's 80 units available or in there. So you could click on the storage bin to get the capacities and it says, hey, yep, 80% of this bin is utilized out of 100. My total capacity is a 100. I'm using 80%, there's my 20. So you could see if you really wanted to get into the details behind the material master of this part too, you'll see a capacity usage in there. So it's a great tool again, in many regards where you could look at the capacities or your volume, your total health check, and then really the rules behind the engine. So in summary, we have covered how the warehouse capacity evaluation tool is your one stop shop for all information and rules behind each storage type. Hey, thanks Steve. That is some great information covered on the capacities and the rules behind each storage type. If you want to know more about how to optimize your supply chain, please check out our other videos and if you have any suggestions for us please submit them in the box below.
Warehouse Inventory Counts
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LI01; LI03N; LX22; MIBC
Hi, Martin here and welcome to the video service that unlocks and reveals the hidden value in your SAP system. In this video, we're going to look at the warehouse inventory counting capability and where to view counting records. Steve, as we know the best way to learn is by doing so why don't you take us into the system and show us how to do inventory counting in the warehouse tool. Sure thing Martin. The power of WM is the granular detail down to each storage bin. With this we are able to store thousands and thousands of materials in different bins. Rest assured, SAP offers a variety of strategies to perform inventory counts for all of your inventory and storage bins. In this video we will. Discuss SAP's standard inventory counting methods. Best practices. And demonstrate how to evaluate and reset the ABC indicator for cycle counting. SAP offers a variety of inventory counting methods. The three most common and the warehouse arena are going to be your annual inventory counts, which are, you shut down your operation, you pick a day, you count every material and bin for that one day when there's no activity in there. The second is a continuous inventory, which is at the beginning of your fiscal and or calendar year, whatever year your operation is in, your goal is to count every single bin by the end of the year. What's nice is that you control that and really work in off peak times to get ahead or queue those up in peak times, but you control your destiny there but knowing that your end goal is going to be, you have got to count every single bin. And then finally the last is going to be your cycle counting. So cycle counting is counting by a material number and that material number is tied to a, A, B, C designator, that ABC designator dictates the frequency in which that material is counted. The frequency could be determined by a dollar value of high velocity, whatever you set that as could be your criteria. So we're just going to go ahead and jump in and take a look in the warehouse at tcode LX22. LX22 just simply is a check of are we performing inventory counts or not. The only mandatory field here is going to be your warehouse number. All this other information you don't even need to populate or check. You can just run this wide open. Although if you want to specify, you can absolutely. What this will pull up is all of your inventory records, whether or not they've been cleared, so the status, not cleared, the date, the storage type, all kinds of great information. This first one, and what you really want to look for is going to be inventory active, so if there's an X here that means there's an open count. This is an issue because this count is open. All these bins are tied up. All these bins have materials in them and they're all locked, so they can't be sold, they can't be picked because there's an open inventory count, right? And you don't want your count to fluctuate so therefore, that's why it's locked out for all warehouse activity. So if you spot one of those, you absolutely don't want to have this linger, you want to take action on it because there's materials that are tied up that you cannot sell. So a lot of good information on there but what you really want to look for is consistency here. And if I'm running continuous counting, do I have a consistent record, every day, every few days, if I have cycle counting, do I have a record every single day or every few, an annual account you would be able to spot easily because you would only see once a year, you would have a huge record or a few inventory records here, but all on that same date. So in order to initiate a count, it's just simply LI01 and I'm not going to go ahead and run that, but you would just enter this criteria of when you wanted to actually count the storage type, the warehouse number and then you could see your inventory methods here, which I just mentioned, continuous, your annual accounts, a cycle count, or even a manual inventory. So if you're not sure of material or there's a part missing and you wanted to manually activate an inventory count, you could do so here. So this is really where you initiate those counts. The last transaction that I'll show is going to be with respect to cycle counting. So cycle counting again at the material level is actually going to be set at the plant and storage location level. It is carried out in the warehouse. So again, it's set at that plant level, but you perform them in WM. The tcode in which I have displayed here, which we'll go into is MIBC. MIBC should not be accessible to everyone because it's a very powerful tool, you can see at the bottom you can actually update your ABC indicators. We're going in here just to show you really how this works, so you have all of your materials where they might have an ABC indicator. We could see in this transaction, what it is currently, and then we can run some scenarios to see what it potentially could be so in this case, it's going to be run by consumption or usage, so looking at historical consumption. If you are to check this bubble, it's future looking or forward looking at a look for any requirements in the future. So, we'll just take a look here, I'm going to go way back here because this is our test system, go ahead and just execute this, so for plant 1000, I want to see what's my consumption is, and it will simply display the parts. So all of your materials, the description, what the cycle count indicator was, so this was a D, but based on my velocity and consumption, it's now recommending that it's an A. So you could have the option actually to save this, it will override or you could just use this simply as analysis. So you could look at this and say, like this is great information, you could pull in some of this and say, this is a faster velocity or frequently used material and there might be strategic reasons why you want to keep this as a D or an A. And again, this indicator is going to be the velocity or the frequency that you count those materials. So, there's a little flavor of cycle counting, where to look in WM at LX22. If we're counting or not, but these are going to be the ways to check our counting methods in WM. So, in summary we have covered. SAP's standard inventory counting methods. Best practices. And have demonstrated how to evaluate and reset the ABC indicator for cycle counting. Thanks Steve. That is some fantastic information and tools that you've covered on those counting methods and strategies. Folks if you want to know more about these topics and any other topic related to SAP and getting the most out of it please check out the other videos and if you have a particular suggestion or question submit them below.
Warehouse Wizard Tool
SAP® ECC
New
Warehouse Administrator
Warehouse Manager
Warehouse Management
WM
LS11
Hi, Martin here and welcome to the video service that unlocks and reveals the hidden value in your SAP system. In this video, we're going to focus on what's called the warehouse wizard tool. So Steve, you know the best way to learn is by doing so I'm a little curious about these superpowers that you talk about in this wizard tool. Martin, I'd venture to say this may even be more powerful than Gandalf's staff. The warehouse wizard tool, or the capability to change several storage bin rules simultaneously is the ultimate tool for performing warehouse projects. As wizards know, the power of this tool should only be granted to select few who truly understand the capability and rules behind the system to make these changes. In this video, we'll demonstrate the use of this tool and review some scenarios of when to possibly use it. In this video I'll walk you through how to use what we're calling the warehouse wizard tool. The warehouse wizard tool is t-code LS11 and LS11 is to change several storage bins simultaneously. So this transaction has saved me countless hours and really should only be granted access if you have proven yourself in the WM world or really understand the effects of this transaction, because you are changing many bins all at once. So this should not be given out lightly, but really if it is, it goes and can be utilized to save you lots and lots of time if you need to change several bins all at once. So the required fields are warehouse number and then your storage type. So in this case, we'll just do 001. If you wanted to enter specific bin ranges or specific bins, you could do so there. But for now, let's just bring back everything else, run this wide open, hit execute, and it brings all of your storage bins, whether or not they're empty, if there's any kind of blocks, if there's an active inventory, like a cycle count going on there, and then all the characteristics about your storage bin. So if we just single click on any of these bins, that's the bin, right? You could see that there's nothing in that one. That's why I showed that one is empty. It has a storage section of 001 storage bin type of E1 and it has an actual weight in there. So LS11 goes from changing any of this data from a singular bin by bin to multiple all in one swoop by just simply clicking and checking. So that's really the power of it. So you can see all that information there. So if we wanted to change these first two from a total weight of, let's say 1, 000 kilograms, you just click this change and then you can update the weight here. We want to, I'll just say double. 2, 000, okay, hit check, and boom, there it goes. It won't actually take place until you hit the save button and there we go, it's been changed. It's very, very, very helpful. Some of the things, so if there's an active inventory count in there, right, that means that there's materials in there. As we know, if we wanted to delete bins, it won't let us because there's an actual active material and count going on there. So we'll just show you what it does anyway, we're trying to delete those only empty. So it's smart enough to recognize what it can and can't do if there's inventory in there. So if we want to change anything, these are stored section 001. I'm going to change what options do we have there to 002, they're now slow moving let's say, go ahead and double click. There's a 3, it changed to 002, we'll save and boom. Now it's permanent, now they're all in there. So you could do a lot of things in mass here and that's the whole point of this. This is probably the most powerful tool beyond going into the actual configuration yourself. But this is really intended for projects to do in mass, if you really understand the storage sections, the bin types, if you're talking about capacities and weights, this is your transaction to do everything all in mass, which is awesome because saves you a lot of time rather than going in there one by one. You can also reset, so all these fields over there, if it has a picking area already set, which is, there's nothing there populated a storage bin type E1. If you reset those, it'll just go to blank. How and when to edit structure and storage bins in massSo if I hit reset, I have those two selected, check, see it wipes them out. So that's the difference. You could either input something or you could reset it, which takes it out but all in mass. So in summary, we have covered the power of this wizard tool. How it could save a lot of time, but should only be granted to the proven and few warehouse wizards. Great stuff, Steve. Thank you. What a powerful tool that can be and what a game changer for the warehouse projects. I can see why you call it the Warehouse Wizard Tool. Folks, if you want to learn more about other wizard tools out there or in SAP, just getting better capabilities, please check out our video services. And of course, if you have a question for us, please submit it below.

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Why Do We Call It the MAD Date?

Decoding material availability calculation and its impact

9 min
New
SAP® ECC
SAP S/4HANA®
Order Fulfillment & ATP
SD; MM; PP
MD04; VA03
The best way to learn is by doing so. Welcome to the video service that unlocks and reveals the hidden value in your system. Martin here, and today we've got a good one, in this video we're going to explore a material availability date, otherwise known as the MAD date. SAP has such a wide variety of dates which all have specific purposes and lead to a flow of information that drives our supply chain. The material availability date is no exception, as is what drives the required on hand date for MRP, traffic light, stock on hand, and exceptions. It's pretty important. We don't want to miss out on what exactly it is. So, Kristie, why don't you tell us exactly why the material availability date is called the MAD date? Because Martin, it's the date that the customers get mad if we don't have material available, and that might be our external customers, or our sister facilities, or even the manufacturing floor. Okay, before I jump into SAP for this demo, did you at least chuckle? That's it, folks. That's as funny as she gets. Yeah, okay. So what will we see in the demo today? We will explore how the MAD date gets determined. And some very important and often overlooked lead time considerations. How it shows up in the stock requirements list and what the impact is on the MRP run and exception monitoring. Off we go! All right, let's go in and see what this MAD date is all about. So, as we previously said, the MAD date is the date that the customer gets MAD if we don't have the product available. It's the date that the product is needed to be on the shelf so that all the other subsequent activities that are required in order to get it out the door to the customer on time based on when we made and are now trying to keep that promise. So, if you go into a sales order, and I'm going to show you an example of what I would call a flat schedule. I'll explain how this is actually working. You may see this a lot on your sales orders and what I want to do is explain what maybe should be happening instead. So let's just go in and we're going to grab the second item and I'm going to go in and I can see that there's a schedule line. So we ran an availability check. There's a schedule line in place and I can see the first date is the 2nd of December, that's when they're looking to get this product from us. And right now we can see that it was not able to be fully confirmed for the 2nd of December but instead has been confirmed partially for the 2nd and partially for the 4th. So this customer is allowing us to do two shipments. So multiple, partial shipments in this case, it happens to be two. Now, if we go in here, though, to the shipping tab, this is what allows us to get to that mandate, and this is so important because this is what drives the supply chain, right? This is the date that we're transferring over because it's the date we've committed to the customer and we're driving our supply chain to be able to meet this date. And if you look here, we have the delivery date of 12/2 and everything else is sitting flat to that date, right? So there's no additional time that is allotted for any of these additional pieces of the puzzle, and SAP has loads of dates and they're all based on lead time offsets. Lead time becomes very, very important, and the really nice thing about SAP is that it allows us all of these different lead time buckets so we can go through and figure out how much time we realistically need in order to accomplish each of these activities in order to be able to make sure that we get this to the customer on time. And so think about it as, you know, your quality inspection time, or your goods receipt processing, or dock to stocks time on the supply side, your planned delivery time, or in house production time, or the time on your routings. Same thing applies for a customer, so we've got a bunch of different things that we have to do. So we're shipping from a particular shipping point, we may have a route and a route schedule involved. The customer may have a receiving calendar that dictates when they're able to receive goods. Let's say it takes five days to ship to the customer and we're responsible for coordinating that delivery. So if the delivery date was 12/2 and we need five days for it to move and make its way to the customer, probably we're going to have a material availability date that is at least five days, if not longer before that in order to be able to make sure that that happens. So if you go into your sales order and you notice that this is really just a flat schedule, think about what kind of time buckets you need in order to be able to set yourself up for success because what you're trying to get to is that material availability date. So the delivery date offset by whatever time is necessary to get that product to the customer, so when do we need to issue those goods in order for it to hit that delivery date. Now for some of us, that delivery date represents the date it's leaving our facility, for others of us that will represent the date it is actually going to be reaching the customer. So you got to know your particular terms with your customer. Based on the date that you want to issue it, when do you need to start pick, packing, and staging for loading? That might be another day offset. If it's export and you have paperwork to do, it may be several days or even a week or two beforehand that's required. All of those things, calculating backwards, the delivery date minus the lead time for your route and transportation time minus the amount of time it takes to pick, pack, and load is what gets you to the material availability date or when that product would be required. And so as you run your ATP check and it's looking to see when inventory can be available, then you're flipping the schedule and scheduling from that material availability date forward for when it actually is ultimately going to get to the customer based on how much time you need to pick, pack, and stage, and load, and when you're going to actually goods issue and then the amount of time it will take in transportation. In addition to that, we have this transportation planning date and this is able to run in parallel, but what it does is it buys us additional time for things like the administrative work of setting up a shipment, going through the process of getting that booked and ready to go so you're able to actually start that process working on that transportation planning, assuming that you're going to hit that material availability date, which again, all has to do with how predictable and stable that supply is and how well aligned the ATP rules are to what it is that you can make and keep a promise against. So again, if you go into your sales order and you go to the schedule line, you look at the shipping tab and you notice that you have a flat schedule here, I really would like to challenge you to think through these different buckets of activities and make sure that you're setting yourself up for success so that customer is less likely to get mad because we will have the correct date in order to allow for all those other activities to occur in this material availability date or the MAD date. That's what's going to drive the supply chain, that's what you're expediting towards, that's what you're working your supply chain to try to achieve, is that material availability date because that's the date that we need to hit in order to make sure that we get the product to the customer on time. Welcome back from the demo, to summarize. The MAD date is the date that the customer gets mad if material is not available. We explored several lead time components that drive the correct date and the importance of getting this right. And lastly, we looked at how the state is driving MRP and exception messages. The date is the entry point for driving the supply chain. It drives all other dates and decisions related to how to best get that supply for the demand. And if we did all the other upfront work on lead time, so long as we meet this date, we have a really good chance of fulfilling our promise to the customer. Good stuff, Kristie. Thank you, once again. If we go to the trouble to really understand how the MAD date is determined, and then work hard to hit that date or manage the client's expectations, we'll be setting ourselves up for success. You know what I've learned today, Kristie? Most of us should not have flat delivery schedules in our sales orders. We really need to think about those lead times. SAP has a lead time bucket for all the different pieces of the process. So getting this right, neither too short nor too long, makes a big difference in efficiency of the flow of material to our customer. Well, I think that's a wrap today. Folks, if you want to learn more about MAD dates please check out our other videos and of course if you have a burning question please submit it below.

Work Center Analysis

Assess work center performance for improved outcomes

8 min
New
SAP® ECC
Scheduling & Shop Floor
PP; PTM
MCP7
The best way to learn is by doing. Welcome to the video service that unlocks and reveals the hidden value in your SAP system. Hi, my name is Martin and in this video we are going to focus on how to take the advantage of SAP work center analysis. When used correctly, work center analysis can help organizations gain insight to how well we're able to run the schedule on the floor and identify where the bottlenecks might lay. It's a valuable way to improve performance and uncover opportunities for improved throughput. So Eacliffe, tell us a little bit more about work center analysis. Sure Martin. Work center analysis is a powerful feature when used correctly, how well a work center is performing and keeping its commitment to its schedule. In this demonstration I'm going to focus on three things. Provide an understanding of what insight this report provides from a work center perspective. How it goes about providing this insight on work center performance. And how to evaluate each work center performance. The intent here is the use transaction MCP7 to perform work center analysis. In this report the data is primarily captured by plant, work center, and month. So let's get into this transaction, and what I'm going to do is, because it's a test system, I'm going to run it for a couple of years. So let me execute this, I'm going to bring up all work centers within this plant that has information. Okay and here we can see that we got information currently sitting at the plant level. So basically we specified the amount of historical information we want to take a look at hence the amount of history was driven by that date range. Ideally we should have zero variances and when I mean zero variances just looking at my screen here, what we can see is we have target lead time, we have actual lead time. So based on our master data, this is how much late time we expect versus based on the production confirmation. The variance is then reflected in this column. In terms of execution time I don't have a variance, but we could see what the target is versus actual. If we want to see what the difference is we can do the quick calculation or you can select this column, come here to comparison to key figures, going to compare the target execution time, I'm going to compare that to the actual execution time. Okay, and here we can see the difference. So we'd spent just over 39 days difference between the two. So the question is, hey, is this something I need to take a look at? Okay. And then even queue time again, we have target queue time, actual queue time. This is the amount of wait we expected based on our master data, we're expecting only one day of queue time, we ended up with 23 days of queue time, so deviation of 24 days. So again, what's going on? And this is sitting at the plant level. So what I'm going to do is do a switch drill down, and I'm going to bring it down to a work center. Let's see what this information looks like. So we have the totals still sitting like before on top, but now we can see who's contributing to the variance perspective, so let's look at this the deviation. So I'm going to sort this. I don't see any negatives. So let's do this, we could see the biggest contributor is coming from this particular work center where we said, yeah, it should take us 9 days when in fact it took us only 1.4 days to fulfill that particular operation for that work center. So this is great, but recognize that, look any kind of deviation, positive or negative that could have a significant risk to our operation. if we are running too fast, like this is implying we may not have other components in a timely manner resulting in a shutdown vice versa, if we are not completing orders in time without operation in time we also run risk to the business. So ideally, our goal is to really bring these lead times into alignment. The other thing I'm going to call out is, notice we see these big numbers here, it's like, wow, this is a big deviation, I mean, the difference is 144 days. So how can this only be 14.4 days at the total level? And we have to recognize that the system is actually averaging these numbers at a total level, so because we are dealing with time we just can't simply add it up, so what SAP has opted to do is to take these number of days and just average them by the number of entries or in this case work centers that we have here. So this can be a bit misleading looking at it, and hence it's definitely good to come down to this work center view and actually look at the information at the work center level. And then just to take this one level further here we can see we had a big deviation the question is, okay, when did this happen? I can pick this single line item, I can then do what is called drill down by, which is this icon here, and we'll dive into that specific work center. I'm going to pick months and we could see we have 4 months listed here and for the most part, things were looking pretty good until we came into 2023. So in this case because there's just one entry we will try and get an answer for what's going on, but it definitely looks like an anomoly and for that reason there's a high probability we don't need to take any action, but still, we don't want to second guess this, we want to determinethe root cause of this. You know, was it a matter of something posted incorrectly, in this case did this order linger around for a couple of years, for example given the number of days, et cetera. So at the end of the day, yes we use this transaction, we focus on columns like lead time deviation, we can compare processing time between the two, like what's going on, actual queue time, and of course we can also take further information to consideration like operation data and so forth. Okay, so this is the type of insight that you can gain from doing a work center analysis to help determine which data set you should be going to, to improve the quality of your master data. So in summary we have covered how work center analysis allows you to. Appreciate the feedback that this report provides by work center. Identify which key figures to focus on in this report. And evaluate each work center performance. Thanks Eacliffe. Using this feature allows real-time information on work center utilization and performance allowing the business to improve production planning, optimize resource utilization, and enhance cost control. If you want to learn more about this topic and others in your SAP features and functions please feel free to check out our video catalog and if you have any specific questions feel free to submit them below.

Working With Forecast Bias

Ensure SAP supports your forecasts, optimistic or pessimistic, with the right setup

11 min
New
SAP® ECC
Demand & Supply Planning
DM
MM02; MD04
Hey folks, Martin here. Are you ready to tackle uncertainty and challenge? Are you comfortable with confronting the level of risk and uncertainty in your forecast head on? Well, today's the day. Today we're talking about forecast error and bias, and how to put the consumption horizon to work for you in managing your way through the risk that is inherent in your forecast. If this is a challenge for your business, you're in good company. Predicting customer behavior is a challenge for most organizations, and it's a topic that we're going to continue to build upon over time on this channel. In fact, if you search, you'll find other videos on monitoring forecast performance, working with consumption modes, and choosing a planning strategy that addresses different kinds of variability, volatility, and risk tolerance. Check them out. But specifically for this topic, we're going to be talking about forecast bias. To help us today on this topic of forecast bias, we have Kristie. Kristie, I know this is something that you love tremendously. This is something you deal with all the time. You may get even excited about this. So take us away. Yes, it's true. I do love a good demand planning puzzle. And while we may hit temporary plateaus in improving the quality of our forecast on some of our individual materials or products and in some of our segments. What we can do is get really great at managing the risk. And that is what I want to chat with you about today. I remember exactly when the shift in perspective hit me. I was in an IBP meeting that was well on its way to becoming a post mortem on forecast quality, and I remember hurting for my team as they tried to explain all the things that they were doing to try to get the forecast "right". And all the blame that was coming their way for our failures as an organization to deliver to the customer. Our cost to serve is ridiculous and our suppliers are tired of it. Forecast. The shipment was late and the customer is upset again. Forecast. Precious time, materials, and capacity gone because. Forecast. Now I'm a manufacturing gal at heart that also happens to love demand planning. So you know what? I know that SAP and supply chains salute all too well. It looks like this. And it's not helpful. So let's stop doing that. Baby steps are a good place to start. So let's focus the conversation. Supply chains are made up of quantity and time. So today, we're going to focus on time as an ally in dealing with the volatility in quantities. We'll also address our bias. Are we dealing with a bull or a bear? And then we're going to talk about the importance of differentiating where it matters and setting the appropriate rules in place as we consider our plan for every part. One of the tools that we have that can really help us is to understand the bias in our forecast and that is if we are consistently under or over predicting. What the demand will be for a particular item, and this is for those of us who are working on the supply side. We look at this at the material, the plant and potentially even the MRP area level. So it's very granular in terms of how we are observing that forecast. There are a ton of videos to help us to understand and unpack the different tools. I want to bring a couple of them together, though, today in the context of bias. And I'm going to talk specifically about consumption and the way that we can manage our consumption parameters to help protect us against some of the risks that's inherent in our forecast process. Here are a couple of other tools, though, before we go there. The first is we can take our average daily consumption. So that is what we have been using over the last X number of periods and compare it to our projections, our average daily requirement where those are wildly different, that gives us a great way to have a conversation with our counterparts. In demand planning and they can help us to understand the reasons for why that may be different. We want to make sure that we do respect the demand plan, just like when we say that we can't get production done by a particular date or we can't get supply in by a particular date the demand planning team the customer experience team has to trust that we are doing everything in our power to get it there when we see the demand plan and we have the conversation we ask the question at some point we have to say we've done everything in our power to get the best prediction that we can on this particular item. And it's good to ask the questions and certainly if you see something to say something. But at some point I do want to emphasize it is important that we start to work the process and commit. What we're talking about today can help us to manage through the inherent variability and volatility that we're going to experience with demand over time. One of the other things that we can get a quick line of sight on is how our forecast that is in the now is performing. So here's a good example. This is our remaining balance open to sell. It is December right now. We have nothing left and we have requirements for 45 units. Looks like that is a pretty typical demand. You can see November has 48 pieces remaining open. Looks like we might have had a timing issue there. The demand came in in a different time bucket than what we were expecting and we have 36 pieces projected for January. Looking like that's a little less than what we are seeing in the months that follow. So this is where we start to say, okay, what's going on? Are we over under forecasting? Is there some predictability to that? And if so, how can we set our consumption rules in place to help set us up for success? So, let's go in there and take a look. I'm going to go into the material master. This all lives on the MRP3 tab. Now my colleague and friend Patrick has put out a couple of great videos around consumption mode and forward consumption period and backward consumption periods. He's gone through and he's demoed as you change those settings what happens. So I will let him speak with you about that. What I want to address is the consumption based on bias. So how do you think about that depending on if you tend to over or under forecast? Now it's important to note that your consumption mode and the way you're consuming your forecast and what's eligible for consuming your forecast does tie back to your planning strategy. So there is a tight connection there and that is a big topic to explore. But when we're talking about consumption mode, think about it like this. So your sales orders, for example, are coming in and they're eating away at the forecast that is out there, the demand plan that's in the system. I think about them like Pac Man. It makes me less angry when things are wrong. So I think about it like Pac Man. We are coming in, that sales order is eating away at the demand plan. Now sometimes, that Pac Man gets too full and it just stops eating and then we end up with extra forecasts out there that's just hanging out like that November forecast we just saw. Sometimes, in a particular period, it may overeat. So, for example, the December time period that we saw that was completely consumed and now we're moving into January. When we know that we are maybe not right in terms of timing, but we are roughly right in terms of quantity, that is where the consumption mode can really help us. And really that's what it's saying. This is how much or how far out I am allowed to consume that forecast. So at some point, if I tend to under forecast, my demand plan is not high enough. I may want to allow those additional sales orders to sit on top of the forecast that we've put in. So it's going to stop eating away, it is additional incremental demand on top of the forecast. If I tend to under forecast, backward consumption and then controlling or not allowing, or controlling the horizon of forward consumption becomes my friend. So I don't continue to add to the problem. I'm not in a position where I allow it to continue to consume forward to January or February when I know I'm already over my forecast in December. I don't allow that problem to continue because I restrict how far forward I'm allowed to consume that forecast. If I am, over forecasting, so I am in a position where I am planning too much, this is where I really want to lean into that backwards and then that forwards consumption and I might allow myself to go a little bit further back and a little bit further forward in order to smooth that out because that might mean that I am a little bit off in terms of when that forecast is hitting. But if I'm roughly right and I'm confident that I'm going to consume it within the next couple of periods, then I might allow those days to go further out. Your consumption periods are in work days, they are subject to your factory calendar. So make sure that you're aware of that. A lot of times people come in, they put 30 days, they assume it's a month. Depending on your factory calendar, that may not be the case. So that's something really important to be aware of as you're going in and you're adjusting those dates, so you really want to think about whether you tend to under or over predict that demand and then use that to help you to choose the correct consumption mode and the period that you need for being able to smooth out that forecast. So look at your risk buckets and figure out what those bands look like and then adjust the timing so that you're getting the smoothest demand signal to your supply partners. Very, very helpful to be able to come in and fine tune this and make sure that we have the right rules in place so that we don't compile or add on or complicate the situation by allowing that forecast consumption to go too far out and allowing those sales orders to overeat into future periods when we really want to restrict that in if we do tend to under forecast. So whether you're overly optimistic or if you're pessimistic with your forecast, there is help for you here and it really surrounds the consumption mode and the consumption periods and how far out you allow that Pac Man or those sales orders to eat that forecast. You know what all good demand planners have in common? Radical candor, excellent storytelling, and intense curiosity. They live in a world where the good jobs are rare and the criticism is high. So to get better at all this, the first step is to know thyself as a person. As a collective that builds a consensus plan and as products, product families, customer and customer groups, whatever is the right level for you to get to a roughly right picture of demand. We have to be champions of risk and attack it heads on. If we can acknowledge and address where we're most likely to be wrong and historically how wrong without outliers and in which direction we tend to be wrong in, we can evaluate what we need to borrow from and how much time we need. Most importantly, the bias doesn't go away if we ignore it. So we need to work with it, rather than against it, and have SAP help us make it work. We are supply chain stewards, and good ones make it work with the cards that we have, while we are working on getting to a better hand. Much more to come on this particular topic. Okay, wow, Kristie. I mean, you were off to the races on that one. I can't imagine where this is going to go next. Hey folks, I'm sure there'll be plenty more videos to come if you're looking for those other videos we mentioned earlier use the chatbot, it will recommend them for you. If you have a specific question for us, please submit it below.

Working With the Release Date

Releasing requisitions on time ensures supplier success and reliable procurement

8 min
New
SAP® ECC
Procurement & MRP
P2P
ME5A; MD04; ME53N
Hey, welcome back fellow SAP explorers, Martin here. And today we're going to be looking and exploring a feature in SAP that has a strong value proposition, but is often overlooked. What we're chatting about today is the importance of the release date in driving the procurement process. What drives your PO placement today? Do you run off the release date or the delivery date? So today, Kristie is with us, and I know you love the process cadence, so have at it. Tell us more about the value of release date in procurement. Cadence keeps the chaos at bay, Martin and yes, the release date is one of the many dates in the procurement process. And it is one that is often overlooked. But it really represents a critical milestone. It is what helps ensure we're setting our suppliers and ourselves up for success by smoothly running through key process steps with the right amount of time to get them done. Today I want to show you how the release date is calculated and where we can find it. Let's go in and take a look. I love making a Reveal TV video on something that I have done wrong in the past and have found so much value in once I learned what it was for. And I remember in the early days of setting all of this up not knowing exactly when I need to get a purchase order to my supplier and being really worried that I could be past you and passing that ball to them and then not set them up for success and not get what we need when we needed it. So enter math on the part of SAP and enter this lovely field called the start or the release date. The start date if it's production, it is the release date if it is purchase orders or purchase requisitions that need to be converted into purchase orders. It is the starting line for the procurement process. It lets us know when we need to start moving that purchase requisition onto the next stage in order to be able to get that purchase order delivered on time based on all the master data that we have maintained in the system. So if you cannot see this column right now in your stock requirements list, it is hiding from you. And there are a number of columns here that are sometimes missing. Sometimes you'll be missing opening date. Sometimes you'll miss start and release date, and sometimes you'll miss rescheduling date. It's fiddly, but you just have to hover over the fields until you can see you'll see actually a double line arrow appear and then you have to drag that out in order to be able to get theparticular column exposed But this is a good one. And so it lets us know when we need to release. So in order to have this purchase order here on time, we have to start the process or get that purchase requisition converted into a purchase order no later than 08/27/2024 in order for it to get here on September 23rd. Okay, and if I double click in here I can even get a little bit more information without even having to leave my stock requirements list. So I can see the goods receipt processing time for this is 3 days, so the date that it is planned to be available. So the material availability date is the 23rd of September. That means we have to receive it from the supplier so that it can go through all of its stock to stock activities, receiving, quality inspection, etc. We have to have it by the 18th of September, okay? So that means that we have a weekend in there because those are our working days, subject to our factory calendar, and in order to make all of that magic happen so that the supplier can be set up to deliver on time, in order to start our process and get through it, get the purchase order out the door and over to them on time, we have to release this by the 27th of August. And if we go into the purchase requisition, we can further look at those details and see the planned delivery time. Okay, so all of that math is happening for us, we don't have to look at a calendar, it's right here and then all along the way it's letting us know if we have any exception messages. So you can see this is some old housekeeping that needs to be taken care of because not only is my start date in the past, but also my finish date is in the past too. So we really missed the boat on that. So how do you make sure that that doesn't happen? Well, you go to List Display of Purchase Requisition. So you might be using any of the ME57, ME58, ME59 transactions to move through your procurement process. You may be working in ME21N and pulling a list of requisitions. This is another great place to look. This is ME5A, you can see right down here. And when I was coming in here previous life, I would run this based on delivery dates and then try to estimate my lead time offset. Don't need to do that. Come in here, put in the release date. This is everything that you would want to go and work on. So your release date up to whatever the date is that you're working with. So you know, today, tomorrow, if you're about to be out of the office for the holiday break, you might reach out a little bit further than that, but it should be very, very near term. And then you would go in and pull a list of purchase requisitions that were standing out there that needed to go through, be released, and converted into a purchase order. This should not be reaching far out into the future. When we release things to our suppliers early, we can no longer get a good read on their performance or their ability to deliver on time and in full. Because we've released it to them early, we're giving them more lead time than what they asked for. And we also are limiting our flexibility. So the one thing we know about demand is that it changes. And so if we have trouble being correct in terms of time or quantity, we want to make sure that we maintain that flexibility for as long as possible. If you're struggling with that and you're trying to give your supplier more visibility, so maybe you're releasing really early, like this case, this is way out into the future. We don't want to do that. We want to have our dates be nice and tight to what we should be working on today, tomorrow, this week. If you find that you're needing to do that, then chances are you need to explore other options in sourcing such as scheduling agreements or other ways to get a good forecast to your supplier. So make sure you check out some of those other Reveal TV videos and they'll help guide you through that. But this release date is here and it's present in many of our purchase requisition related transactions. Extremely helpful for helping us to produce a list of purchase requisitions that we need to go through and work and get out to our suppliers in purchase orders. So, release date. It's a very, very helpful field available to you in SAP. Welcome back from the demo. As we highlighted today, Release dates represent the date we need to act to give our suppliers the time they need to successfully deliver to us. They can be a leading indicator of process adherence, improvement, or challenge. We can work with them in variants and we can use them to select our requisitions and convert them into POs. And we no longer have to do the math around lead time to determine if it's time to cut that PO or not. And I totally used to do this. I had a calendar at my desk and I was figuring out if it was 63 or 91 days of lead time and what date I needed to release it. Now we even have Google and other tools to help us get better, but why use those when SAP is already doing this work for us? Time marches on Kristie, thank you so much. The release date sounds like an asset to the process that gets us the right signal at the right time. Win win. Thanks again. Hey folks, if you want to learn more about other particular topics related to procurement, we have a whole section on procurement that you can look into. And if you're struggling to find a video, feel free to use the AI chatbot.