1 SAP SCM-EWM Vs SAP ECC-WM

About the Author:

Mr. Sachi Patabendige is a senior Enterprise Architect
and Solution Architect in Supply Chain Management
& Business Intelligence, one of his primary expertise
is in IT Solution Template designs and building them
for domestic & global rollouts.
He has extensive experience in consulting for SAP
EWM, SAP TM, SAP EM, SAP SRM systems with
Ariba, SAP CRM, SAP HANA, SAP AIF, SAP Process
Orchestration Middleware, SAP Solution Manager,
“His vision is to HP/QC and SAP ECC modules (SD, MM, PP, PM,
FICO and LE) implemetations around the world.
help companies to His other skills include IT Service Delivery
achieve best value Management, Project Management, Change
Management, Test & QA Management. He also has
from their IT expertise in PHP development, MySQL and ABAP
investments and developments. He is also a Subject Matter Expert in
Public Sector Procurement and was the Solution
bring competitive Architect for SRM at New South Wales Government
advantage into (FACS) ITS Template Project in Australia. His main
focus industries are 3PL, Public Sector, Mining ,
there business Consumable Products, Retail, Health Care and E-
Learning.
processes
wherever
possible”

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Check my Contact details at www.myscmconsultant.com

Document Version Control:

V1.0 – Released on 05.08.2013

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2 SAP SCM-EWM Vs SAP ECC-WM

1 SAP SCM-EWM Vs SAP ECC-WM ................................................................................ 3

1.1 Comparision............................................................................................................ 3
1.1.1 What is SAP ECC WM ..................................................................................... 3
1.1.2 What is SAP SCM-EWM ? ............................................................................... 3
1.1.3 How SAP SCM EWM Evolved ? ...................................................................... 3
1.1.4 Why SAP SCM EWM was developed .............................................................. 4
1.1.5 Why it is necessary to move from SAP ECC WMS to SAP SCM EWM ............ 5
1.1.6 Capability comparision of SAP SCM EWM 9.0 with SAP ECC-WM based on
SAP ECC 6.0 ................................................................................................................. 5

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3 SAP SCM-EWM Vs SAP ECC-WM

1 SAP SCM-EWM Vs SAP ECC-WM

1.1 Comparision
1.1.1 What is SAP ECC WM
What is currently referred to as traditional SAP Warehouse Management is a Software that
has been available since the SAP R2. When the client server version of SAP R/3 was
introduced in 1992 SAP WM also got a big boost in new capabilities to manage warehouse
operations. With this release many companies included WM into their upgrade
strategies.Ever since then, SAP WM has been widely adopted, with more than 7,000
customers worldwide. It is a scalable solution that has been deployed in various business
environments and industries from simple raw materials warehouses to complex, high-
volume, and automated distribution facilities. SAP WM can be deployed as a centralized or
decentralized solution. The functionality of SAP WM has been expanded further as part of
the latest SAP version ECC 6.0.

1.1.2 What is SAP SCM-EWM ?

In 2005, SAP released a new Warehouse Management solution called SCM-EWM. EWM is
the abbreviation of Extended Warehouse Management which offers flexible, automated
support for processing various goods movements and for managing stocks in simple to
complex warehouses, furthermore it supports planning and efficient processing of all
logistics processes in customers warehouses. SAP EWM maps an entire warehouse
complex in detail in the system, down to storage bin level. The business user can always
determine exactly where a stock belongs to a particular material is located in the warehouse
complex at any given time.This redesigned solution accommodates the core functionality of
ERP WM with additional capabilities that match those available from third-party, state-of-the-
art solutions. The most significant functionality advancements include labor management,
slotting and a solution called Material Flow Systems, which is designed to allow the WMS to
directly control automation without the use of what is commonly known as a Warehouse
Control System or WCS.

1.1.3 How SAP SCM EWM Evolved ?

In year 2002, SAP partnered with Cat Logistics and Ford Corporation to develop a new
supply chain management solution specifically tailored for the service parts management
industry. After investing thousands of man-hours on this project, SAP EWM application was
built as an application on mySAP SCM (Supply Chain Management) application stack. The
development of the solution mainly focused on managing complex warehouse operations.
Cat Logistics began implementing the solution for one of its Indianapolis, Ind., Caterpillar
parts facilities in January 2006. Then, in September 2007 Evobus (bus and coach
manufacturer) built a new logistics centre where interface with miniload system and SAP
EWM was implemented.

Below diagram shows how SAP EWM has been evolving and what capabilities has been
intrduced over the time.

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4 SAP SCM-EWM Vs SAP ECC-WM

First software Browser

Connecting to First RFID
system support Technology/ Pick
Relational EDI
warehouse by Voice
databases Connecting
operations Pick by Light
eSOA
Optimization Wireless Data Systems
Strategies transfer

1975
1975

1970
1970 1980
1980 1990
1990 2000
2000 2010
2010 2011
2011 2012
2012

R/3 Release R/3 Release R/3 Release R/3 Release R/3 Release R/3 Release R/3 Release SCM SCM SCM SCM EWM SCM EWM SCM SCM
2.0/2.1 3.0/3.1 4.0 4.5 4.6 4.7 EE1 4.0 EE2 EWM 5.0 EWM 5.1 EWM 7.0 7.0 EhP1 7.0 EhP2 EWM 9.0 EWM 9.1

Slotting Advanced ARM function

Integration Rough workload Graphical WH Layout
Decentral WM Task & Re-Arrangement Streamline Business
PP Estimate Production Supply
Prototype of Resource Warehouse Orders Cartonization Planning
QM Picking Waves Merchandise Distrib. XD
RF Management Warehouse Monitor Crystal Report
LIS Two Step Picking Task Interleaving
Internal Routing GTIN number Support
Warehouse Monitor
MFS Enhancements
Storage Unit HR Integration Native RF/SAP ERP EWM
Labour Mgmt Usability Enhancements
Management Console XD
HUM YM MFS Integration to ECC
Parallel Integration with Transportation
Packing VAS WH Cockpit Transport Processes
Processing Planning & Warehouse Execution
RFID Integration Enhancement to Claims
Batch Mgmt Enable Analytics
and Returns Pre-Configured Warehouse
Serial Nr BOBJ Integration
CWM Structure
ESA Enable Pick by Voice
DAS Functionality
Scale Integration
Stock Specific UoM
Route Planning with Maps

1.1.4 Why SAP SCM EWM was developed

EWM Represents a new Supply Chain Management (SCM) based Warehouse
Management System (WMS) solution rather than a highly modified Logistics Execution
System (LES) / Warehouse Management (WM). Reasons for this completely new
design include:
1. Requirement for data volume, performance and process flexibility made a new
architecture necessary.
2. Follow on from the Decentralised SAP Warehouse concept enabling 24/7 system
availability
3. Extend the basic concept of SAP ECC WM, Transfer Orders to enable process
flexibility
4. To avoid high risk of changing existing architecture of mature application (WM) with
thousands of live customers
5. Customer mind shift from Managing Stocks to Controlling Processes.

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5 SAP SCM-EWM Vs SAP ECC-WM

1.1.5 Why it is necessary to move from SAP ECC WMS to SAP SCM EWM
1. SAP future vision is to continue to expand SAP EWM as a professional WMS
solution with new capabilities and refinements.
2. SAP will still support SAP ECC WMS implementations with ever increasing
maintenance costs, but no new enhancements are done to make it a comprehensive
WMS system.
3. SAP EWM supports multiple Industries.
4. SAP EWM enables warehouse activities to be executed seamlessly with inbuilt
industry best practises. e.g. Catch Weight Management, Cross Docking, Value
Added Services
5. SAP EWM gives the capability to handle large volume of transactions with faster
times required in Consumer Product industries.
6. As the market leader in Business Systems Developments SAP brings continuous
enhancements to SAP EWM with cutting edge technology to enable business to grow
faster. e.g. SAP EWM versions 7.02 eliminates middleware's to connect with MFS
systems, SAP EWM 9.0 eliminates requirement of middleware's in Voice Picking,
7. In future SAP SCM – EWM running on SAP HANA will bring the speeds in
processing transaction, handling huge volumes of data and capability for predictive
analytics.

1.1.6 Capability comparision of SAP SCM EWM 9.0 with SAP ECC-WM based on
SAP ECC 6.0

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