IM VS WM - How to sold WM as the right solution?

[diegoviquez1293]

Hi folks !!! Recently we have been in a discussion around IM vs WM.

The approach the organization is taking is to "mimic" WM using IM, basically creating a lot of storage location (one per bin in the warehouse) and performing basic movement from SLOC to SLO, what is the risk of using this approach to mimic a real WM solution, and what other functionalities we might be loosing. (the warehouses are usually around 300-700 Bins locations, depending of the site)

They keep saying things like:

If i need to know where the product is, i just need more Sloc

what would be the advantages of have a complex system like WM if i can just make more SLoc

WM is so complex, there are a lot more of process to do, IM is easier

Appreciate it your expertise on this tricky question

[DominikTylczyn · Accepted solution]

Hello diegoviquez1293

I must say that is one crazy idea to "mimic" WM using IM, basically creating a lot of storage location (one per bin in the warehouse)" Whoever came up with that clearly doesn't know much about inventory and warehouse management.

First of al,l WM and IM are not alternative solutions, they are complementary - IM manages inventory on storage location level, whereas WM manages warehouse processes and stock on bin levels. IM and WM work hand in hand.

There are no advantages at all with that idea to mimic WM with IM. I guess that was devised by someone scared of WM. WM is not complex if you know the solution. It is less complex then IM, as for instance WM doesn't integrate with FI/CO.

Now to answer you question directly, i.e. what you'll lose if you go with that madness:

• WM provides stock placement and retrieval strategies out of the box. You will have to implement them all in IM.
• Storage location is a configuration setting, whereas WM storage bin is master data. So whenever a new bin is needed, you will have to customize a new storage location in your configuration system and transport it over to quality and then to production environments and provide adequate configuration documentation.
• Storage location code is only 4 chars long, whereas WM storage bin is 10 chars, and EWM one is 18 chars. How do you indent to fit storage bin numbering schema e.g. aisle-rack-stack into 4 chars of storage location code?
• IM doesn't provide any RF transactions. EWM and WM support all WM processes with barcodes and radio data terminals. You'll need to develop all IM RF transactions by yourself.
• Storage bin capacity management - IM doesn't provide any capacity management on storage location level. How are you going to maintain physical constraints of warehouse bins in IM e.g. max allowed weight?
• Storage bin status management / storage bin blocking - again that is not available on storage location level, but it is essential to warehouse management. Yet another custom development
• Labour management - WM automatically assigns tasks to warehouse people with RF queues. How are you going to implement that in IM?
• Warehouse task execution confirmation - WM/EWM creates transfer / warehouse orders. Then they are executed and confirmed by warehouse personel. That is not available in IM - a material document is either posted or not existing. How are you going to implement that? With IM reservations? That would be another level of craziness.

Last but not least - you won't get any support from SAP with that solution. If you run into problems and report them to SAP support, once they stop laughing, they will tell you that you are on your own with that much custom developments.

You need to use the right tools for the job. WM or EWM is the right SAP tool for warehouse management job. Don't use a hammer to drive a screw.

Best regards

Dominik Tylczynski

[FredericGirod · Accepted solution]

Happy Birthday Dominik 😉

[diegoviquez1293 · Accepted solution]

Domink !! Great Answer !! Thanks