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SAP Extended Warehouse ManagementOperational Excellence in WarehousingProduct Management, SAP EWMPublic

SAP Extended Warehouse Management (EWM)IntroductionSolution Overview and HighlightsSolution DetailsSAP EWM ImplementationSAP Development Focus & StrategySummary & Wrap-Up 2014 SAP AG or an SAP affiliate company. All rights reserved.Public2

Introduction

SAP Customers are Producing .70%86%Of sport shoesworldwide9 Mio.Tons of cheese50%Of chocolateworldwideOf branded jeansworldwide72%77.000Of beer production worldwideCars per day.and all of this has to be transported & stored 2014 SAP AG or an SAP affiliate company. All rights reserved.Public4

SAP Customers are Investing in Warehousing for Higher customerserviceIncreased efficiency& productivityReduced inventory& labor costsGreater visibility& decision supportProcess automationand scaleabilityCompliance andsustainability 2014 SAP AG or an SAP affiliate company. All rights reserved.Public5

History (1994–2014)A long history of warehouse management business, process, and IT expertise1994SAP R/3:warehousemanagementfunctionality(SAP R/3 2.0–4.7) .20142007SAP Supply Chain Management (SAP SCM)SAP EWM application(SAP EWM 5.0– 5.1)DistributionGoods storagecenterLogistics executionlogistics 2014 SAP AG or an SAP affiliate company. All rights reserved.(SAP EWM 7.0–7.02)(SAP EWM usemanagementPublic .6

SAP EWM PositioningNew generation warehouse process flexibility, performance and coverageSAP ERPWarehouseManagementSAP SCMMigrationTools(Continuousimprovement /maintenance) Basic warehouse processes Simple warehouse operations Small & medium-sizedwarehousesExtended WarehouseManagement(Strategic investment solution /strong roadmap) Comprehensive warehouse mgmt.processes Full process transparency Flexible automated processes High performance, high volumewarehouse operations Medium & large-sized warehouses 2014 SAP AG or an SAP affiliate company. All rights reserved.Public7

SAP Transportation & Logistics Coverage TodayProcesses, players and collaborationPlanning, orchestration, execution and trackingof the physical movement of goodsFreight tionPlanningWarehouseExecutionFreightExecution &MonitoringFreightSettlementTrackingCarriers 2014 SAP AG or an SAP affiliate company. All rights reserved.Public8

SAP Supply Chain Execution Mission and StrategyMissionThe World's Best Supply Chain Execution edFreight ForwarderShipperCapacityProcurement &Network ecution &MonitoringCustomerBilling & FreightSettlementConsigneeTrackingCarriers 2014 SAP AG or an SAP affiliate company. All rights reserved.Public9

SAP Supply Chain Execution Platform StrategySAP ERP Order-to-CashProcure-to-PayDangerous Goods Mgmt.SAP GTS Customs & compliance mgmt.Supply Chain Execution PlatformSAP Transport.ManagementSAP ExtendedWarehouse Mgmt.SAP Event Management (Track & Trace)Supply Chain Execution Platform Synchronized solution delivery SCE Suite implementation in 1 instance Out-of-the box SCE integration 2014 SAP AG or an SAP affiliate company. All rights reserved.Public10

SAP Supply Chain Execution PlatformComprehensiveTransportation Mgmt.Best-in-classWarehouse Mgmt.HolisticTrack & Trace Multi-mode All industries Domestic, international,inbound & outboundtransportation Distribution centers &production warehouses Process & logisticsexecution milestone tracking Shipper & freightforwarder processes Simple & complex, highvolume warehouse operations In-transit visibility of goods& assets Event & exceptionmanagementSupply Chain Execution PlatformSAP TransportationManagementSAP ExtendedWarehouse Mgmt.SAP Event Management (Track & Trace) 2014 SAP AG or an SAP affiliate company. All rights reserved.Public11

SAP Supply Chain Execution Platform HighlightsBest-in-class functionalityCapacity Procurement& Network PlanningDeep process ul decision supportFreight Execution& MonitoringCustomer Billing &Freight SettlementTrackingFlexibility & scaleabilityNative technology integration 2014 SAP AG or an SAP affiliate company. All rights reserved.Rapid Deployment SolutionsPublic12

Analyst Validation#1 in the software WMS market“SAP EWM has gained strong traction in““SAP is #1So, is SAP EWM a rival to best of breeds?Yes they are.the marketplace due to itsrobust functionality, interoperability withthe SAP suite of solutions, and the largeexisting SAP installed base of potentialcustomers.”Warehouse Management Systems:Worldwide Outlook 2011-2016."SAP EWM: A Rival to Best of BreedSolutions?Steve Banker, Clint Reiser, ARC Report, August, 2012Steve Banker, ARC Brief, October 14, 2010, p. 5 2014 SAP AG or an SAP affiliate company. All rights reserved.Public13

Solution Overview andHighlights

SAP Extended Warehouse ManagementBest-in-class warehouse managmentBest-in-class Warehouse Management All industries Distribution centers & production warehouses Simple & complex, high volume warehouseoperationsInboundProcessing 2014 SAP AG or an SAP affiliate company. All rights reserved.Storage &OperationsOutboundProcessingPublic15

SAP Extended Warehouse Management OverviewA complete, integrated, best-in-class solutionSAP Extended Warehouse ManagementInbound ProcessingStorage & Operations Transportation UnitProcessing Goods Receipt Management& Optimization Inbound Quality Management Internal Routing Physical Inventory Replenishment /Rearrangement Kit-to-Stock ManagementOutbound Processing Outbound Planning(Route, Wave, Bin ) Picking Optimization,Packing, Staging &Load ManagementAnalytics & ReportingResource & Labor ManagementCross DockingYard ManagementImport / Export, Dangerous Goods & ComplianceNative Technologies (RF, RFID, Voice, Material Flow System)TCI, TCO Reduction, HANA, Optimization Tools 2014 SAP AG or an SAP affiliate company. All rights reserved.Public16

Inbound Processing with SAP EWMGoods ReceiptInboundProcessing ASN handlingTransportationunit handlingUnloadingGoods receiptImport customsprocessingGoods Preparation& Putaway Planning Quality managementReturns handlingDeconsolidationRepackingSlotting / putaway bindeterminationLoadingStorage Cross-docking(opportunistic,transportation ormerchandising)PLC communicationvia Material FlowSystem Dangerous goodshandling & storage Inbound Processing Highlights Advance Shipping Notification processing (Automatic/ manual creation) Automatic, rules-based process guidance Comprehensive quality management and returns management Leading-edge warehouse technology integration (PLCs (pallet/case conveyors, RF, RFID.) Integrated import and dangerous goods compliance (bonded warehouse; DG handling) 2014 SAP AG or an SAP affiliate company. All rights reserved.Public17

Storage with SAP EWMWarehousePlanningStorageStorage Labor ManagementLabor Demand PlanningSlottingReplenishmentKit-to-stock Put-away strategiesRearrangementDangerous goods storagePhysical inventoryValue Added ServicesStorage Planning & Processing Highlights Complete labor management solution (planning, execution, monitoring, HCM integration) Comprehensive slotting rules (condition technique), incl. rearrangement Broad set of replenishment strategies Value added service orders (Kit-to-stock, Kit-to-order, repackaging, labeling ) 2014 SAP AG or an SAP affiliate company. All rights reserved.Public18

Outbound Processing with SAP EWMWavePlanningMaterial FlowSystemPickingPacking& StagingLoadingOutboundProcessingWork planningoptimization Pick path Picking bindetermination Material retrievalvia directintegration to PLC Monitoring ofMFS via centralwarehouse monitor Labor planningoptimization Variety of Pickstrategies Paper-, RF &voice-basedpicking Cartonization Kit-to-order Export compliancechecking Transportation unithandling Yard management Outbound Processing Highlights Wave, labor & cartonization optimization Full native technology support (mobile radio frequency, pick-by-voice, RFID) Material Flow System for direct PLC and conveyor system communication Transportation process integration Comprehensive warehouse performance analytics & operations monitoring 2014 SAP AG or an SAP affiliate company. All rights reserved.Public19

SAP Extended Warehouse Management HighlightsSAP EWM Solution Highlights Powerful warehouse analytics and monitoring Advanced warehouse optimization High performance warehouse execution Built-in Material Flow System technology Deep integration with SAP Business Suite Comprehensive mobile offering for warehousing Industry-specific process support Implementation tools for lower TCI/TCO(Rapid Deployment Solutions and Migration Tools) 2014 SAP AG or an SAP affiliate company. All rights reserved.Public20

Solution DetailsWorld-class analyticsBuilt-in optimizationHigh performance executionIndustry-specific process supportDeep SAP Business Suite integration

World-class Analytics with SAP EWMComprehensive stock and process transparencySupply chain managerWarehouse supervisorComprehensive,central warehouseoperation monitorAlert and exceptionmonitoringDrill-down and directaction triggeringCross-warehouseperformance monitoring 2014 SAP AG or an SAP affiliate company. All rights reserved.Public22

Warehouse Performance AnalyticsAnalytics & ReportingPowerful, visual KPI dashboards for effectivewarehouse & labor performance analysisCross-Distribution Center DashboardLabor Management DashboardKey Performance IndicatorsKey Performance Indicators Outbound delivery items (value / # per worker) Service level analysis (% delivery errors / % on time) Warehouse capacity usage (% level / stock value) Warehouse activity area (volume / weight) Worker performance 2014 SAP AG or an SAP affiliate company. All rights reserved.(average / per execution step)Public23

Cross Distribution Center Performance DashboardWarehouse Performance DashboardWarehouse performance overview at a glance with graphical display of topkey performance indicators for DC comparison and decision supportCross Distribution CenterPerformance Key KPI monitoring Service level analysis Warehouse capacity usageoverview Drill-down to details 2014 SAP AG or an SAP affiliate company. All rights reserved.Public24

Warehouse Operations Reporting & MonitoringAnalytics & ReportingFull warehouse operations visibility for efficientperformance monitoring & problem resolutionWarehouse Management MonitorWarehouse CockpitWarehouse activity monitoringwith direct activity triggeringGraphical view withSAP Cyrstal ReportsMulti-KPI / area monitoring cockpitwith SAP Easy Graphics Framework Comprehensive, real-time warehouse operations overview Activity and exception monitoring with alert management Direct follow-up action / exception handling capabilities 2014 SAP AG or an SAP affiliate company. All rights reserved.Public25

Solution DetailsWorld-class analyticsBuilt-in optimizationHigh performance executionIndustry-specific process supportDeep SAP Business Suite integration

Built-in Optimization in SAP EWMWave management, labor management, and slottingSlottingAdvanced storage concept; ABC goods classificationCartonizationAutomatic shipping-unit determinationWavemanagementOptimized work orders; efficient pick pathLabormanagementReduced labor costs; improved labor planning 2014 SAP AG or an SAP affiliate company. All rights reserved.Public27

Slotting with SAP EWMInboundProcessingStorage &OperationsOutboundProcessingSlottingOptimal storage parameter onSupportedTasksProduct Demand Storage section Storage bin Storage bin SAP APO forecast /historical dataProduct Data Weight, volume, height Storage Requirements properties Put-away strategydetermination Rearrangement Replenishment# order items, storage qty.Packaging data Single item, pallet, cases, Advanced, fully automatic slotting determination for efficient goods storage Optimal storage determination for improved warehouse capacity utilization 2014 SAP AG or an SAP affiliate company. All rights reserved.Public28