Discover Logistics with SAP

Preface ... 17
Acknowledgments ... 23

PART I: Procurement and Logistics Execution ... 25

1. Introduction to Logistics with SAP ... 27


Origins of SAP ... 27
SAP and Logistics ... 30
Logistics Functionality ... 34
Conclusion ... 39

2. Procurement ... 41


SAP Organization Structure ... 41
Purchasing Organization Structure ... 48
Purchasing Process ... 53
Accounts Payable and Invoice Verification ... 61
SAP Supply Network Collaboration ... 65
Ariba ... 73
Summary ... 76

3. Inventory Management ... 79


Plant Structure ... 80
Goods Movements ... 83
Physical Inventory ... 93
Summary ... 97

4. Warehouse Management ... 99


Warehouse Structure ... 100
Warehouse Movements ... 107
SAP Extended Warehouse Management ... 115
Summary ... 121

5. Inbound and Outbound Logistics ... 123


Inbound Logistics ... 124
Outbound Logistics ... 131
Summary ... 136

PART II: Product Development and Manufacturing ... 139

6. Product Planning ... 141


Sales and Operations Planning ... 142
Forecasting and Replenishment ... 149
Demand Management in SAP ERP ... 152
SAP Advanced Planning and Optimization ... 159
Supply Network Planning ... 165
Demand Planning in APO ... 169
Materials Requirements Planning ... 173
Global Available-to-Promise ... 177
Summary ... 180

7. Manufacturing Operations ... 183


Manufacturing Structure ... 184
Shop Floor Control ... 193
Product Costing ... 203
Summary ... 206

8. Plant Maintenance ... 209


Maintenance Organization Structure ... 210
Preventive Maintenance ... 218
Maintenance Processing ... 226
Summary ... 233

9. Quality Management ... 235


Quality Management Structure ... 237
Quality Planning ... 239
Quality Notifications ... 243
Quality Inspections ... 247
Summary ... 258

PART III: Sales and Service ... 259

A native of London, England, Martin Murray joined the computer industry upon his graduation from Middlesex University in 1986. In 1991, he began working with SAP R/2 in the Materials Management area for a London-based multi-national beverage company. In 1994, he moved to the United States to work as an SAP R/3 consultant. Since then, he's been implementing the Materials Management (MM) and Warehouse Management (WM) functionality in projects throughout the world. He works for IBM Global Business Services.Martin is the author of six best-selling books from SAP PRESS: Materials Management with SAP ERP, Warehouse Management with SAP ERP, Discover Logistics with SAP ERP, Maximize Your Warehouse Operations with SAP ERP, Understanding the SAP Logistics Information System, and SAP Transaction Codes: Your Quick Reference to T-Codes in SAP ERP.