Difference Between Master Data in SAP MM and EWM

These days, every business is integrating SAP solutions to maximize their supply chain efficiency. This way, the SAP market keeps flourishing among Indian enterprises. Yet, people are still unaware of the difference between the master data in SAP MM and EWM. Why? The reason lies in the requirements and purpose behind both solutions dealing with materials. Don’t worry! We are here to reveal these differences in detail and guide you on how to make strong integration between master data for both SAP systems.

What is Master Data?

Master data in SAP is the lifeblood of every business in its non-transactional form, ensuring consistency among the various modules. The SAP master data encompasses customers, products, vendors, and assets, anchoring some transactions. SAP master data management focuses on the maintenance of correct and integrated master data in the enterprise systems.

Types of Master Data in SAP

SAP master data is fundamental business data disseminated through various modules. Major types include:

• Material Master Data: The centralized knowledge base for all materials, covering descriptions, purchasing, and accounting data.
• Vendor Master Data: Supplier details for payment terms and business partner information.
• Customer Master Data: Contains all data concerning customers, including sales terms and contact details.
• Asset Master Data: Covers fixed asset attributes-depreciation and valuation parameters.
• Employee Master Data: Employee master data includes HR details about employees.
• Condition Master Data: This includes price, discounts, and tax information.

Key Differences Between Master Data in SAP MM and SAP EWM

Inventory and warehouse operations management require adequate knowledge of SAP MM (Material Management) and SAP EWM (Extended Warehouse Management) master data. The data sets may view some repetitive aspects related to the two modules, but they diverge in scope and purpose.

Core Focus

• SAP MM is concerned with materials procurement, inventory management, and material planning within an enterprise. 
• SAP EWM is designed for warehouse logistics, including storage, movement, and movement optimization of goods.

Master Data Elements

SAP MM Master Data:

• • Material Master: Contains descriptions of material, units of measure, pricing, and availability.
  • Vendor Master: Contains details about suppliers, terms of payment, and type of business relationships.
  • Purchase Info Record: Relates pricing and procurement conditions to the vendor.
  • Source List: Contains approved vendors for the specific materials.

SAP EWM Master Data:

• • Warehouse Structure Master Data: Designates the warehouse layout, including storage types and bins.
  • Warehouse Product Master: Extends the material master by including warehouse-related attributes like put-away strategies.
  • Storage Bin Master: Specifies the exact physical locations of the materials in the warehouse.

• Packaging Specifications: Specifies how the materials are packed and stored.

Integration & Scalability

• SAP MM works with other relevant modules such as procurement, inventory, and finance for efficient and effective material tracking.
• SAP EWM adds advanced warehouse execution and integration with transportation, labor management, and real-time inventory tracking for large-scale logistics operations.

Both modules have critical roles in supply chain efficiency. SAP MM focuses on procurement, while SAP EWM focuses on warehouse management.

How Master Data in SAP MM and EWM Interact?

To facilitate a smooth warehouse process, SAP MM uses Core Interface (CIF) to transfer the master data into SAP EWM. The synchronization of Material Master, Vendor Master, and Warehouse Product Master will help to maintain an accurate inventory. Decentralized EWM uses ALE/IDOC for data transfer for procurement and warehouse logistics integration.

Integration of SAP MM and SAP EWM Master Data

By integrating SAP Materials Management (MM) and SAP Extended Warehouse Management (EWM) master data, you can smoothly perform operations, ensuring data integrity and supply chain effectiveness. Such integration allows for the visibility of inventory activities in real-time and employs best practices for warehouse processes.

Process of Integration

• Master Data Synchronization: Ensure area master, vendor, and storage location data synchronization between MM and EWM.

• Procurement to Warehouse: Purchase orders in SAP MM trigger inbound deliveries in SAP EWM while goods receipt updates stock levels in MM.

• Warehouse to Production: Production orders in MM generate staging requests in EWM, ensuring raw material availability.

• Logistics & Delivery: Outbound deliveries in MM trigger picking, packing, and shipping activities in EWM.

• Inventory: Cycle counting and physical inventory adjustments carried out in EWM are reflected in MM stock balances.

Benefits of MM-EWM Integration

• Track your inventory in real-time during the procurement, production, and warehouse processes.
• Removes Data Duplication, simplifying manual error reduction.
• Increased process automation that has not improved the lead time and reduced operational costs in any way.
• Greater supply chain transparency, with materials traceable from order to shipment.

Deployment Scenarios

• Embedded EWM: This is part of SAP S/4HANA, having a high degree of integration.
• Decentralized EWM: It employs IDocs and Queued Remote Function Calls (RFCs) for communication with MM.

A well-integrated MM-EWM system streamlines warehouse operations and enhances end-to-end supply chain efficiency.

Conclusion

For a business to derive any value from procurement and warehouse management, distinguishing between what is master data in SAP MM and EWM is crucial. SAP MM primarily manages materials procurement and inventory, while SAP EWM deals with advanced warehouse logistics operations. Tight integration affords seamless real-time inventory visualization, process automation, and operational transparency. By utilizing SAP master data synchronization, a business can minimize errors, avoid redundancy, and improve supply chain performance.

FAQs

• What is the difference between SAP MM and SAP EWM?

SAP MM emphasizes procurement, management, and materials planning, whereas SAP EWM deals with advanced warehouse logistics, including storage, picking, and transportation management.

• What is master data in SAP MM?

Master Data refers to the essential procuring, inventory tracking, and supply chain operationally running data in SAP MM, including Material Master, Vendor Master, and Purchasing Info Records.

• What is master data in EWM?

Master data in SAP EWM supplements the material master data with warehouse-specific properties, such as Warehouse Product Master, Storage Bins, Packaging Specifications, and more, designed to facilitate warehouse operations.

• What is the difference between SAP MM and SAP EWM in terms of master data?

Unlike SAP MM, which has a master data category dedicated to the information required for procurement and inventory management, SAP EWM focuses on warehouse structuring, storage management, and logistics execution.

• How does master data integration work between SAP MM and SAP EWM?

Master data is always in sync from SAP MM to SAP EWM using Core Interface (CIF) or IDocs, where material, vendor, and warehouse product data is provided to facilitate the end-to-end procurement and warehouse processes.