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46 Inventory Management

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Agenda Solution Overview Introduction Example Frontend Content zDemand & Supply Planning zProcurement zManufacturing zWarehousing zOrder Fulfillment zInventory Management zTransportation zSC Visibility zSC Network Collaboration zSCM for SAM zSCM for Retail
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Page 1: 46 Inventory Management

Agenda

Solution Overview

Introduction

Example

Frontend

Content

Demand & Supply PlanningProcurementManufacturingWarehousingOrder FulfillmentInventory ManagementTransportationSC VisibilitySC Network CollaborationSCM for SAMSCM for Retail

Page 2: 46 Inventory Management

Overview: Content in Inventory Management

Material Stock and Movements on plant and on storage location level (values andquantities)

Stock Typessales order stockproject stock...

Stock Categoriesunrestricted usein transitin quality inspection...

Combinations of Stock Types/Stock Categoriesvendor consignment stock in unrestricted use...

Page 3: 46 Inventory Management

Details: Content in Inventory Management

New InfoCube 0IC_C03 Material MovementsApplicable for reporting on Material MovementsDistinguish different types and categories of stock

e.g. sales order stock in quality inspectionChracteristics:– Material (incl. Material type, etc.)– Batch– Storage Location– Plant– Stock category– Stock type

New Multi ProvidersSlow Movers 0MC_C01Days of Supply components 0MC_C02Days of Supply WIP 0MC_C03 (as of BW 3.2)

Page 4: 46 Inventory Management

Data Flow

2LIS_03_BFMaterial Movements

(as of BW 2.0B)

2LIS_03_UMRevaluations

(as of BW 2.0B)

2LIS_03_BXMaterial Stock

(as of BW 2.0B)

Initial Stock transfer

Material Movements

Revaluations

0IC_C03Material Movements

0IC_MC01MultiCube

Slow Movers

0IC_MC02MultiCube

Days of Supplycomponents

0PP_C02Period-Specific

Order/Material View

0MATERIALMaterial Master Data

0IC_MC03MultiCube

Days of Supply WIP

0PP_C05Plan/Actual

Comparison MaterialConsumption

Page 5: 46 Inventory Management

Stock Overviews

InfoCube:0IC_C03 (Material Movements)

Queries:0IC_C03_Q0006 (Stocks and Movements)0IC_C03_Q0015 (Stocks and Movements with quantities of valuated stock)0IC_C03_Q0012 (Stocks)0IC_C03_Q0013 (Stocks with quantities of valuated stock)

Stock Overviews:0IC_C03_Q0013 and 0IC_C03_Q0015 available as of BW 3.1Stock Queries contain the most relevant stock types and categoriesStock and Movement Queries contain Stock with Inflow and Outflow of the total stockquantities and values

Page 6: 46 Inventory Management

Consignment Stock

InfoCube:0IC_C03 (Material Movements)

Queries:0IC_C03_Q0001 (Stocks and Movements customer consignment)0IC_C03_Q0002 (Stocks and Movements vendor consignment)0IC_C03_Q0010 (Stocks vendor consignment)0IC_C03_Q0011 (Stocks customer consignment)

Consignment Stock:Stock Queries contain the most relevant stock types and categories in this areaStock and Movement Queries contain Stock with Inflow and Outflow of the total stockquantities and values in this area

Page 7: 46 Inventory Management

Stock in Quality Inspection

InfoCube:0IC_C03 (Material Movements)

Queries:0IC_C03_Q0002 (Stocks and Movements in Quality Inspection)

0IC_C03_Q0007 (Stocks Quality Inspection)

Stock in Quality Inspection:Stock Queries contain the most relevant stock types and categories in this areaStock and Movement Queries contain Stock with Inflow and Outflow of the total stockquantities and values in this area

Page 8: 46 Inventory Management

Stock in Transit

InfoCube:0IC_C03 (Material Movements)

Queries:0IC_C03_Q0004 (Stocks and Movements in Transit)

0IC_C03_Q0008 (Stocks in Transit)

Stock in Transit:Stock Queries contain the most relevant stock types and categories in this areaStock and Movement Queries contain Stock with Inflow and Outflow of the total stockquantities and values in this area

Page 9: 46 Inventory Management

Blocked Stock

InfoCube:0IC_C03 (Material Movements)

Queries:0IC_C03_Q0005 (Blocked Stocks and Movements)

0IC_C03_Q0009 (Blocked Stocks)

Blocked Stock:Stock Queries contain the most relevant stock types and categories in this areaStock and Movement Queries contain Stock with Inflow and Outflow of the total stockquantities and values in this area

Page 10: 46 Inventory Management

Project Stock

InfoCube:0IC_C03 (Material Movements)

Queries:0IC_C03_Q00014 (Project Stocks and Movements)

Project Stock:Contains Stock with Inflow and Outflow of the total quantities and values in this areaAlso with the quantities of the valuated stockAvailable as of BW 3.1

Page 11: 46 Inventory Management

Sales Order Stock

InfoCube:0IC_C03 (Material Movements)

Queries:0IC_C03_Q00016 (Sales Order Stock and Movements)

Sales Order Stock Stock:Contains Stock with Inflow and Outflow of the total quantities and values in this areaAlso with the quantities of the valuated stockAvailable as of BW 3.1

Page 12: 46 Inventory Management

Inventory Obsolescence (Scrap)

Inventory Obsolescence as % of Total Inventory

Annual Scrap

Annual Average Gross Inventory=

InfoCubes:0IC_C03 (Material Movements)

Query:0IC_C03_Q0020

Inventory Obsolencence (Scrap):Percentage of Materials that were posted to scrap in the last 365 days.

Page 13: 46 Inventory Management

Inventory Days of Supply

Inventory Days of Supply:Raw materialsFinished goodsBased on average demand in the past the days of supply for future will be determined (valueor quantity).

=average Phyiscal stock

average total usage / 90 days

Inventory

DOS

InfoCubes:0IC_C03 (Material Movements)

Query:0IC_C03_Q0018

Page 14: 46 Inventory Management

Inventory Turnover

Inventory Turnover:Valuated stock (quantity and value)KPI is calculated for the amount respectively

=value of total usage

value of average physical stock

Inventory

turnover

InfoCubes:0IC_C03 (Material Movements)

Query:0IC_C03_Q0017

Page 15: 46 Inventory Management

Slow Movers

MultiProvider:0IC_MC01

Query:0IC_MC01_Q0001

Slow Movers:Materials with no transfer postings during the last monthsGoods Issues are identified via movement typeMultiCube with Goods issues and receipts of all Materials reveals list of slow moving material

Page 16: 46 Inventory Management

Days of Supply components

MultiProvider:0IC_MC02

Query:0IC_MC02_Q001

Days of Supply components:Refers to material componentsrestricted to components managed with MMCalculates the range of coverage of current stock related to reservations of materialcomponentsOnly as quantity, not as value

Page 17: 46 Inventory Management

Days of Supply WIP

MultiProvider:0IC_MC03

Query:0IC_MC03_Q0001

Days of Supply WIP:This Query displays based on the values of the historical goods issue how many days theactual stock on semi finished products covers the future demands

Page 18: 46 Inventory Management

Work in Process

Inventory Work in Process (Value)Based on Work in Process derived from FI-CO (Overhead Costs)Reporting on a daily basis possibleExample:

WIP on 01.03 = 100 EUR * (1 – 0 ST/100ST ) = 100 EUR

WIP on 02.03 = 500 EUR * (1 – 30 ST/100ST ) = 350 EUR

„CO-relevant„Order

Scheduledquantity

Confirmedquantity

Postingdate

Value

4711 100 0 01.03 100 EUR

4711 100 30 02.03 500 EUR

PP CO

Page 19: 46 Inventory Management

Further Information

The Central Information Point onthe issue is note # 586163 !!!

Page 20: 46 Inventory Management

Overview Content (since BW 1.2)

2 Cubes 0IC_C01 and 0IC_C02Periodic Materials Movement on plant level (values and quantities)Periodic Materials Movement on storage location level (quantities)

Available KPI‘sInventory days of supplyInventory turnoverGoods issues and receipts

Valuated stockConsignment stock...

Do not use anymore !!!

->

See note # 586163 !!!

Page 21: 46 Inventory Management

Data Flow Content (since BW 1.2)

BW:

2LIS_03_S196Transfer BW: Stock)

Initial Stock transfer

2LIS_03_S197(Material Movements

:Plant)

Materials Movements:Plant0IC_C01

Material Movements:Plant

0IC_C02Materials Movements:

Storage Location

2LIS_03_S195Transfer BW: Stock)

Initial Stock transfer

2LIS_03_S198(Material Movements

:Storage Location)

Materials Movements:Storage Location

Do not use anymore !!!

->

See note # 586163 !!!

Page 22: 46 Inventory Management

© SAP 2007 / Page 22

Thank you!

Page 23: 46 Inventory Management

© SAP 2007 / Page 23

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