SAP EWM – SD Integration flow
Importance of SAP EWM-SD Integration:
SAP EWM-SD Integration is very much necessary for large enterprises as it is very responsive, accurate, and cost-effective in the supply chain phase, and it connects critical warehouse processes directly to the sales cycle. It plays a crucial part in seamless order fulfillment for floating of information from entry of order to delivery, and it also updates the stock availability with accurate information so that the sales team will have exact data of the products in warehouse. This EWM-SD integration automates the workflows, speeding up order processing and warehouse operations. Instant updates on order cancellations or modifications happen in S/4 HANA-SD, and it reflects immediately in EWM.
Pre-Requisites for Delivery Distribution to EWM:
Before the Outbound delivery can be distributed to EWM, three essential configurations must be set up:
- Plant, Storage Location & Warehouse Number
- RFC Connections
- Generation of Distribution Model
EWM Simple Outbound Process:
- This is also called the OTC process in the logistics space. Here initially the sales order is created at the S/4 level, against which the outbound delivery will be created based on the due date for delivery based on schedule lines.
- Once the OBD is created in S/4, it is transferred to EWM as an outbound delivery order, which is a trigger point for the warehouse operations team to initiate pick tasks. A warehouse order is created, and picking is done from the source bin, then it is packed and then shipped to the customer (ship-to-party).
- Major Steps in the Process:
- Sales Order Creation.
- Outbound Delivery.
- Picking
- Packing
- Loading/Staging
- Goods Issue.
Advantages/Key Benefits of EWM-SD Integration:
- Enhanced and seamless way of the order processing.
- Improved accuracy and efficiency.
- Efficient return management by real-time inventory updates.
- Increased Flexibility and Scalability.
- Better stock allocation.
Conclusion:
To conclude, through the combination of SAP EWM with SD, order-to-delivery procedures are streamlined, inventory correctness is guaranteed, and overall operational efficiency is increased. This interface facilitates smooth data flow, shortens lead times, and improves customer experience by increasing order accuracy and response times by directly linking warehouse operations with sales processes. It gives companies access to real-time information about inventory and order statuses, enabling them to make proactive changes that enhance order fulfillment and reduce costs. Finally, EWM-SD integration is a wise investment for businesses looking to maximize supply chain efficiency, cut expenses, and preserve high levels of customer satisfaction.
For a more comprehensive step-by-step guide on setting up and optimizing this integration, you can download our detailed guide here.
Author
Gowtham Parasa
SAP EWM consultant
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