Implementing a Warehouse Management System (WMS): Benefits and Best Practices

The warehouse is like a busy city in the rush hour, with lots of activities being performed 24/7; it is the heartbeat of a supply chain, as it stores things before they are sold, used, or sent out to the shops. Considering a high level of continuous activeness, effective management of the warehouse is the major component of its qualitative performance.

When aiming to transform the chaotic hustle-and-bustle of the warehouse into a highly structured and efficient environment, business owners are looking for tech innovations, as they help maximize profits and improve the market position. One such tool is SAP ERP and its warehouse module SAP EWM, implemented and integrated by LeverX, a global supplier of SAP solutions

Let’s have a look at SAP’s characteristics and the benefits it offers regarding warehouse management. 

What Is SAP?

SAP stands for Systems, Applications, and Products in Data Processing. It is a complex of modules that target various aspects of business performance. SAP offers core software for businesses that aim to monitor and streamline all the processes within the company structure. 

Overall, there are 64 SAP modules, each one targeting a particular area of business functioning. One of the best features of SAP is the flexibility of usage, as each module can be used as a stand-alone solution, dedicated to a particular sphere, as well as be integrated with other modules, creating a monitoring network for the company. 

When aiming for operational efficiency in warehouse management, it’s essential to find a warehouse management system, and SAP for Warehouse Management stands out as a first-to-consider tool. Tailored to assist wholesalers, manufacturers, and exporters, SAP Warehouse Management enables comprehensive tracking of warehouse activities and the automation of essential processes.

What Is SAP Warehouse Management?

SAP for Warehouse Management is the first-to-consider tool when focusing on the operational efficiency of the warehouse. SAP Warehouse Management was created to help wholesalers, manufacturers, and exporters keep tabs on all the activities within the warehouse, and automate all the activities. 

However, with the constant development and improvement of the digital environment, SAP WMS has also undergone qualitative changes, which have led to a more optimized and versatile solutionSAP Extended Warehouse Management or sap ewm. 

SAP EWM is the key to warehouse and supply chain upgrades and streamlined logistics. When properly implemented, it leverages the functioning of the warehouses and increases the profitability of the enterprise. 

What Are the Benefits of SAP EWM?

SAP EWM is an all-embracing solution as it helps to monitor and automate every warehouse-related activity; moreover, its configurations can be customized to the specific needs of every customer, and be applied to several locations. 

  1. Lean management

Lean warehouse management is a trendsetter these days, as it aims to minimize resource consumption and maximize the productivity and quality of the processes. In layman’s terms, lean management unchains better efficiency with fewer efforts. 

SAP EWM helps to streamline all the warehouse operations, reducing all the ‘waste’ (wrong timing, excessive movement, etc.) and sophisticating the picking-loading processes. Here you can discover more information regarding the SAP EWM implementation and its influence on the warehouse management routine. 

2. Resource management

SAP EWM is a powerful tool for warehouse operators to keep all the interactions under control and resolve any issues as soon as they appear.  SAP EWM provides a real-time mode of visibility, letting the managers track all the activities, and eliminate the chances of delays. 

3. Quick scanning

As a rule, all the items within the warehouse undergo the triple procedure of scanning – the barcode, the label, and the bin location. Besides, some products may require only one scanning, which the workers are unaware of, and waste time for the other two. It may seem like a minor issue, yet, when there are more than 100,000 picks a day, the time loss is significant. 

 

With SAP EWM and its enhanced radio frequency capabilities, the operators needn’t perform three scans, one will be enough to fill the right information about the product. 

4. Cost calculations

SAP EWM eliminates one of the most tiresome processes – cost calculation. As a rule, the pricing policies are relatively stable and all the details of paymentі are agreed upon in advance; however, there are situations and unexpected conditions, when the price of a certain product suddenly changes. It creates the need to count all the additional costs and make the replacement of price tags. SAP EWM will calculate the cost for additional resources automatically, and send the new pricing to the retailer. 

5. Stock movement

SAP EWM helps to regulate the speed of stock processing according to the demand. During busy periods, like Christmas, New Year, and Easter the slotting will be processed quicker considering the volumes of orders. Once the period is finished, SAP EWM will automatically change the category of stock, changing the focus accordingly. 

6. Completeness

With SAP EWM, there is no need for other third-party applications to organize the warehouse’s routines. SAP EWM is a complete system, with a cover-it-all set of tools to provide full visibility into the warehouse processes. It is both efficient and cost-saving, as with the automation and simplicity of all the operations, the businesses need no additional payments.

7. Advanced shipping and delivery processing

SAP EWM supports multiple delivery addresses, features flexible routing (considering the weather conditions and road situation with sat-nav technologies), maintains consolidated deliveries, etc. 

8. Supply chain efficiency

While SAP EWM manages the warehouse life, it can also be integrated with other SAP solutions like SAP YL (Yard Logistics), SAP SCM (Supply Chain Management), SAP SAP S/4HANA (ERP software), EDI (EDI), providing full control and visibility into the manufacturing process, and thus, creating the foundation for efficient and waste-less production and supply chain performance. 

The Takeaways

  • SAP EWM is a powerful tool that enables every user with full access and visibility to the operations in the warehouse, helping to keep track of all the interactions, and resolving the issues once there is a need. 
  • SAP EWM can easily be integrated with other SAP modules that leverage workforce productivity. 
  • SAP EWM makes every warehouse a waste-proof site, as all the activities are perfectly planned and arranged, which in turn complements lean warehouse management.
  • SAP EWM integrator LeverX will customize the module according to the company’s needs and l help to choose the right solutions for integration. 

 

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