SAP WM/MM
Two SAP ERP (Enterprise Resource Planning) modules, SAP WM (Warehouse Management) and SAP MM (Materials Management), are created expressly to manage various aspects of inventory and warehouse operations inside an organisation.
SAP MM (Materials Management)
Inventory management and procurement are the main areas of focus for SAP MM. It manages the full range of duties associated with the acquisition of materials, inventory control, and the receiving and distribution of commodities. The following are some of SAP MM’s crucial features:
Procurement
This entails procedures like the generation of purchase orders, choosing vendors, and processing purchase orders.
Inventory Management
maintaining control over stock levels, monitoring product movement, and assuring accurate inventory assessments.
Goods Receipt and Issue
recording the distribution of commodities to various production processes or departments after they have been received from vendors.
Material Valuation
Managing the valuation of commodities using various techniques (such as standard price and moving average price).
SAP WM (Warehouse Management)
Optimising and simplifying warehouse operations are the main goals of SAP WM. It offers resources for controlling how things are moved and kept in a warehouse. The following are some of SAP WM’s crucial features:
Warehouse Structure
defining and organising the warehouse’s physical layout, including its storage bins, storage categories, and storage divisions.
Goods Receipt and Putaway
coordinating the entry of goods into the warehouse, choosing storage sites, and planning the best places for each item’s installation.
Goods Issue and Picking
coordinating the picking of items from the warehouse to fill orders, planning the best picking routes, and maintaining inventory levels.
Integration with Other Modules
To ensure smooth information flow throughout the supply chain, SAP WM works closely with other modules including SAP MM, SAP SD (Sales and Distribution), and SAP PP (Production Planning).
The management of an organization’s supply chain and inventory activities requires the use of both SAP MM and SAP WM. Depending on the unique requirements and complexity of the logistics and warehouse management procedures inside an organisation, they may be utilised singly or in combination.
