The process flow for SAP S/4HANA Embedded Transportation Management (TM) Outbound Delivery Shipper Process integrated with Extended Warehouse Management (EWM) for ASR (Advanced Shipping and Receiving) in 2023 generally
follows these steps:
- Creation Of sales order – Creation of sales orders in SAP S/4HANA. These orders serve as the demand source for transportation planning.
- Creation of Outbound Delivery – the OBD will be generated w.r.t to Sales order.
- . Transportation Planning
- Integration with Transportation Management (TM) – OBD is transferred to TM as a Freight Unit (FU), the determination factor for creation of FU is Shipping condition, Delivery type and Shipping point.
- Breakdown of orders into manageable transportation units (freight units) based on weight, volume, or other criteria.
- Routing: Determine the most efficient routes considering cost, time, and service levels.
- Carrier Selection: Evaluate and select carriers based on predefined criteria such as contracts, rates, and capacity.
- Freight Order Management – TM generates a Freight Order (FO) or Freight Booking depending upon the Road for FO and Air and Sea for FB
- Assign carriers using the Carrier Selection functionality.
- Tendering: Send requests for transportation to select carriers using automated or manual tendering processes.
- Schedule pickup and delivery times.
- Generate and send transportation instructions to carriers.
- Execution in Extended Warehouse Management (EWM)
- Once the Outbound delivery gets generated and if its relevant for ASR and Storage location is EWM management then the delivery will be distributed to EWM.
- The Warehouse execution status should be set as 3 for ASR relevant.
- Pick, Pack, Stage process in EWM
- Picking Process: picking process performed in EWM. Once Picking in EWM is done, the EWM will send the signal to TM for picking completed.
- Packing: Items are packed into Handling Units (HUs) in EWM and Information send to both S/4 and TM
- Staging: Goods are moved to the staging area for loading.
- Loading and Goods Issue
- Loading Process: HUs are scanned and loaded onto the vehicle using Loading Unload FO App
- Goods Issue Posting: Once the vehicle is loaded, the system posts Goods Issue in both EWM and S/4HANA from TM.
- Execution and Monitoring
- Goods Issue: Post goods issue for the delivery document in the warehouse.
- Track and Trace: Monitor shipment status in real-time using Event Management (EM) or integration with carrier systems.
- Proof of Delivery (POD): Capture delivery confirmation upon goods receipt.
- Freight Settlement
- Define Freight Agreements
- Charge Calculation -calculate transportation charges using agreed freight rates
Conclusion :
The embedded TM system bridges the gap between logistics operations and transportation, providing a unified platform for managing end-to-end shipping requirements with efficiency and precision. This ensures competitive advantages in the dynamic logistics landscape.
Refer the blog for SAP S/4 HANA EWM and Transportation Management Integration with TU : The Power of SAP EWM and TM integration | SCM-Cloudbook
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