ECC 5.

0 Instructor Manual
SAP WM WMs Interface with Inventory Management

Table of Contents

Course Content.................................................................................................................................................. 2
Course Goals..................................................................................................................................................... 3
WMs Integration with IM.................................................................................................................................... 4
Integration at Enterprise Structure Level............................................................................................................ 5
Movement Type.................................................................................................................................................. 6
Movement Type.................................................................................................................................................. 7
Movement Type.................................................................................................................................................. 9
Interim Storage Area- GR/GI (IM Before WM).................................................................................................. 11
Interim Storage Area - GR/GI (WM Before IM)................................................................................................ 13
WMs Interface with IM - Review..................................................................................................................... 15
 ECC 5.0 Instructor Manual
SAP WM WMs Interface with Inventory Management

Course Content

Warehouse Managements Interface with Inventory Management

 ECC 5.0 Instructor Manual
SAP WM WMs Interface with Inventory Management

Course Goals
 ECC 5.0 Instructor Manual
SAP WM WMs Interface with Inventory Management

WMs Integration with IM

 ECC 5.0 Instructor Manual
SAP WM WMs Interface with Inventory Management

Integration at Enterprise Structure Level

o This is the only connection between IM and WM in customizing for setting up Enterprise structure of
Warehouse Management in SAP
 ECC 5.0 Instructor Manual
SAP WM WMs Interface with Inventory Management

Movement Type

Movement Type
o Inventory Management Movement Type identifies WM Movement type through Reference

Movement type. It happens as follows

o IM Movement Type is assigned to a Reference Movement type in Customizing for Warehouse
Management
o This reference movement type is assigned to Warehouse Management Movement type in
customizing for Warehouse Management.
o Once Warehouse Management Movement type is identified , source or destination storage types
are taken from the details of the Warehouse Management Movement Type.
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SAP WM WMs Interface with Inventory Management

Movement Type

WM Movement Type
o Like Inventory Management Movement Types, WM has also some movement types which
controls process flow in the warehouse. In fact, WM movement type decides which Interim
storage area need to be used for a particular material movement.
o At the same time WM Movement type has various other control functions like Manual /Automatic
TO, Print code, GR Data to be updated in quant or not, information regarding TO confirmation,
Return storage type search for material returns and control indicators for Storage type search.
Reference Movement Type determines
o WM Movement Type
o Stock Category for the Quant to be generated in WM
o Transfer Requirement generation indicator
Connection between IM and WM Movement Types
o To ensure the connection between IM Movement and WM Movement of the material, IM
Movement types are assigned to Warehouse Management Movement types through Reference
Movement types. These settings are done in Configuration.
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SAP WM WMs Interface with Inventory Management

o This connection works on the same lines on which Automatic account determination is done in
Purchasing , where IM Movement type is assigned to a Material type through Account Category
Reference.
 ECC 5.0 Instructor Manual
SAP WM WMs Interface with Inventory Management

Movement Type

Notes
o If its not required to connect a IM Movement type to WM, the reference movement type 999 must
be assigned. This means the posting activities with this movement type dont have any
consequences for WM, even if the affected SLOC is subject to WM. Example for this is Account
Assigned Purchase Orders for consumption.
o Permanent Bins can be created within interim storage areas, but dynamic storage bins are used
in many cases.
o To use a permanent bin, the coordinates of the bin or its description is entered directly in the
relevant field in the desired movement type.
o To use activity related movement types, SCR (Dynamic Storage Bin) field in the movement type is
activated
o Note: The direction of movement is to be considered while mentioning the interim storage areas
for a movement type. For Putaway, the Src field should have the interim Storage type, for removal
it should be in Destination field
o A non interim storage area such as fixed bin storage, can be assigned to a movement type if you
want to put a material directly into a fixed bin. In this case, activate the FixBn indicator in the
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SAP WM WMs Interface with Inventory Management

relevant movement type and at the same time enter the fixed bin in the material master. If you
enter a storage bin in the movement type its fixed for all the materials for this movement.
o If a TR item is distributed among several storage bins, Several TO Items will be created for this
TR item
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SAP WM WMs Interface with Inventory Management

Interim Storage Area- GR/GI (IM Before WM)

Interim Storage Areas

o Interim Storage Areas act as a bridge between Inventory Management and Warehouse
Management
Processing GR- IM before WM
o When a GR is created , a positive quant is automatically created in the interim storage area (GR
Area) created for this purpose. At this point, the stock quantity in Warehouse Management is the
same as the quantity in Inventory Management (parallel inventory management). The bin number
created can either be determined dynamically or a fixed bin can be used in Interim storage area.
o Automatic creation of Transfer requirement takes place at this point, which helps in stock
placement at a later point of time. Settings for enabling these automatic postings are done in
customizing.
o Transfer Order can be created either manually or automatically from TR in this process.
Depending on the search strategies and other control parameters in WM, system finds a suitable
storage bin for moving the material from Interim Storage Area to Actual Storage Bin. Here the WM
Stock remains same , because this movement is within the warehouse .
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SAP WM WMs Interface with Inventory Management

Processing GI IM Before WM
o When a GI is created, a negative quant is created in the interim storage area created for this
purpose (GI Area). Again stock quantity in IM and WM are same here. The bin number created
can either be determined dynamically or a fixed bin can be used in Interim storage area.
o Automatic creation of TR takes place at this point on the same lines on which it is created for GR
process again depending on configuration settings in Customizing.
o TO can be created either manually or automatically from this TR, depending on search strategy
for picking system finds a suitable bin where the material is placed and moves the material from
actual storage to the interim storage area. Here the WM Stock remains the same, because this
movement is within the warehouse.
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SAP WM WMs Interface with Inventory Management

Interim Storage Area - GR/GI (WM Before IM)

Processing GR- WM before IM

o When an inbound delivery is created in Inventory Management, a TO is created either manually
or automatically in WM, the system proposes a negative quant in the interim storage area (GR
Area) and a positive quant in the actual storage bin in one of the storage type (depending on the
search strategy used). On confirmation the negative and positive quants are posted in respective
storage bins. At this point of time, there is no change in warehouse management stock, as this
TO posts an internal Movement only.
o When a GR is created , a positive quant is automatically created in the interim storage area (GR
Area) created for this purpose. At this point, the stock quantity in Warehouse Management is the
same as the quantity in Inventory Management (parallel inventory management).
Processing GI WM before IM
o When an outbound delivery is created in Inventory Management, a TO is created either manually
or automatically in WM, the system proposes a positive quant in the interim storage area (GI
Area) and a negative quant in the actual storage bin in one of the storage type (depending on the
search strategy used). On confirmation the negative and positive quants are posted in respective
 ECC 5.0 Instructor Manual
SAP WM WMs Interface with Inventory Management

storage bins. At this point of time, there is no change in warehouse management stock, as this
TO posts an internal Movement only.
o When GI is posted , a negative quant is automatically created in the interim storage area (GI
Area) created for this purpose. At this point, the stock quantity in Warehouse Management is the
same as the quantity in Inventory Management (parallel inventory management).
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SAP WM WMs Interface with Inventory Management

WMs Interface with IM - Review