Picking Materials for Outbound Deliveries

Objectives

After completing this lesson, you will be able to:
  • Work with waves
  • Create pick handling units
  • Work with exceptions

Waves

An example is shown of how warehouse request items can be grouped when defining waves and working with Wave Management.

Waves are groupings of warehouse request items to control warehouse activities such as picking or posting changes.

Note

An outbound delivery order is a warehouse request. An internal SAP EWM document such as a stock transfer delivery or a posting change, is also a warehouse request. The items of these types of documents can also be used to create waves. An inbound delivery is also a warehouse request, but the items of this type of document cannot be used in waves.

The first and foremost function of a wave is to optimize the creation of warehouse tasks and warehouse orders. This can be done manually or by the system at a defined point in time (called the release time of the wave).

Usually a warehouse request item has a point in time when it is supposed to leave the warehouse (the goods issue time). In wave management, this time is considered as the time the wave has to be finished. The system plans the release time so that the processes in the warehouse are finished before that end time.

Assignment of Items to Waves

As stated, one way of creating waves, is to manually select warehouse request items and assign them to a wave.

Wave templates can be used to have the system automatically assign warehouse request items to a wave.

Another way to create waves is the automatic creation of the waves using wave templates and condition records for the determination of these wave templates. In this determination process, information can be used from within the warehouse requests and the items to determine the proper wave template and to combine the items in the desired way.

Processing Waves:

Processing steps for waves can be several things - for example, a wave can blocked. It can also be split into several individual waves. It is possible to add items to a wave or remove items from a wave. A wave can also be released manually, even if an automatic release is planned for the wave.

Creating Waves after Transportation Planning:

Besides the creation of waves as explained before, waves can also be created after transportation planning has been executed. In this case, the transportation unit is the object which is used to trigger wave creation. Again, this process can be triggered manually or automatically.

Warehouse Tasks for Outbound Delivery Orders

Similar to the process for an inbound delivery, the physical movement of a material in an outbound process is also controlled with a warehouse task. The details concerning the creation of a warehouse task for picking though, are very different from the details concerning the creation of a warehouse task for putaway. While during putaway, the system tries to find the best bin for the material to be stored, during picking the system tries to find the best quant based on what is requested in the outbound delivery order.

During the warehouse task creation for picking (based on an EWM outbound delivery order), the system needs to determine the source storage type and the correct quant to be picked.

When you create a warehouse task with reference to an outbound delivery order, the system considers two things when trying to find the right stock to pick:

  • The storage type sequence:

    This sequence contains the sequence of storage types that the system should follow when trying to find a bin. The system checks the first storage type of the sequence, and if no stock can be found that fits all requirements, the system checks the next storage type, and so on.

    For picking, the storage type search sequence can also contain a storage type group. A group is used to consider quants from different storage types simultaneously and to use criteria from the so-called stock removal rule for the quant determination (see below: stringent FIFO).

  • The stock removal rule:

    The stock removal rule (or picking strategy) can be assigned to a storage type, but can also be determined in general in combination with the storage type search sequence. This is especially fitting if you have rules like FIFO (first in, first out), which looks for the oldest quant in your storage types in a defined sequence; or stringent FIFO, which uses a storage type group to do the same but then across several storage types.

Warehouse Order Creation Rules

Warehouse Orders:

Warehouse tasks for outbound delivery orders are grouped into warehouse orders similar to what was discussed for inbound deliveries and their warehouse tasks. While the process is generally the same, the process is often more complex when dealing with outbound processing. Maybe complete pallets with one material on it, are usually putaway. During picking however, small quantities of various materials often need to be picked together. This of course depends on the warehouse and the materials that are bought and sold (among other things).

Warehouse Order Creation Rules

During the grouping of warehouse tasks into warehouse orders, SAP EWM can use one directly assigned warehouse order creation rule, or it uses a search sequence for several warehouse order creation rules (for example, rule A, then rule B, then rule C). The sequence is defined and assigned to the so-called activity area to which the selected storage bin for picking belongs. Customizing controls which storage bins (and thus which activity areas) are being considered during picking.

An example is shown of how warehouse order creation rules are used when creating warehouse orders.
  • Filter and Limit Values:

    These control which warehouse tasks, and how many warehouse tasks, SAP EWM groups into a warehouse order.

  • Sort Rules:

    When SAP EWM applies a warehouse order creation rule, it sorts the warehouse tasks according to the sort rule. Individual warehouse order creation rules can contain their own sort rules.

In addition to the sort rules and filter and limit values, warehouse order creation rules can also contain parameters for packing and consolidation groups. The consolidation group determines the warehouse tasks that are permitted to be packed together.

Create a Wave Manually

Part 1 of the exercise/simulation:

Part 2 of the exercise/simulation:

Pick Handling Units

In SAP S/4HANA, it is possible to generate pick Handling Units (pick-HUs) into which materials are packed during picking. A pick-HU is assigned to a warehouse order. You can then use the pick-HU for shipping or repack the material at a work center. You can either further pack the HU into another packaging material (and thus creating a nested Handling Unit structure), or you can move the material from one HU into another HU.

A picture is shown representing a pick handling unit.

A user can create a pick-HU manually using the dialog screen on the mobile device that the user uses: the user chooses the packaging material and creates the HU. Using packaging specifications, it is possible to propose the required packaging material(s) based on selected fields during the set-up for the determination of the packaging specifications. With the correct set-up of the system, pick-HUs can also be created fully automatically. That is of course something that then only happens in the system: the physical packing activities must still be executed by a user, but this user can simply trigger the printing of the needed label(s) with a push of a button on their mobile device based on the automatically generated packing structure.

Exceptions

During the everyday operation of a warehouse, things can go wrong. An example is as follows: a picker cannot find all of the materials they need to pick in a specific bin. Alternatively, a scanner (which is part of the Material Flow System (MFS) of the warehouse) cannot read a HU label. Alternatively, a bin that is supposed to be empty is actually not empty. Alternatively, when putting away a pallet, the material quantity on the pallet is smaller than the quantity that should be on the pallet.

Exceptions are shown.

Whenever an exceptional situation arises in the warehouse, an exception code is needed to describe in the system what the reason or cause for the exception is. A follow-up action can then also be triggered. Such an action can be highly automated; a delivery can be changed or a physical inventory document can be created automatically. The follow-up action can also be very basic; someone is informed that the exceptional situation occurred for example.

Exceptions can be entered by a user using his/her mobile device. They can also be entered using desktop transactions. Another way of creating exceptions is by triggering them through communication with automated devices in the warehouse or by SAP EWM itself.

Examples of Exception Codes

SAP delivers several exception codes for all kinds of warehouse situations. The following are examples of exception codes:

  • BIDP, Partial Pick Denial:

    The user cannot find the required quantity in the bin they are supposed to pick a material from. When entering the exception using his/her mobile device, the system shows a screen where the user has to confirm the quantity picked. The system then tries to trigger a new warehouse task to pick the missing quantity from another bin. Additionally, it is possible to set-up the system to trigger a workflow to inform someone about the situation. It is possible to create a physical inventory document and the bin can be blocked for putaway and picking.

  • BIDF, Full Pick Denial:

    A user cannot access the bin from which a material needs to be picked. This exception (BIDF) can be entered using a mobile device. The system is able to create a new warehouse task to pick from a different bin. Additionally it is possible to set-up the system to trigger a workflow to inform someone about the situation. And then after that, to create a physical inventory document and to block the bin for further putaway and picking tasks.

  • DIFD, Difference as Charges for Inbound Delivery:

    During putaway, the material that is putaway in the final bin is counted and a difference is found. The full quantity was not delivered by the vendor. The exception is raised and the quantity in the inbound delivery is adjusted and the goods receipt is corrected.

  • DIFW, Difference as Charges for Warehouse:

    During putaway, a piece of a material falls from a pallet and is broken. The correct quantity was delivered, but in the final bin there is now a difference quantity. This difference is then posted to the Difference Account.

Work with Exceptions

Part 1 of the exercise/simulation:

Part 2 of the exercise/simulation:

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