Whether you’re a supply chain or logistics manager, consultant, or decision-maker considering SAP, or you’re new to SAP and need to understand how it works, this detailed, reader-friendly guide will give you a complete overview of the logistic business processes and key components in SAP ERP. You’ll learn how each component works, the advantages they offer, and how this fully integrated solution addresses the challenges facing today’s companies. Along the way, you’ll learn how to improve your logistics efficiency in key areas, including inventory and warehouse management, plant maintenance, sales and distribution, and more.

1 Discover what Logistics with SAP is All About
Read the concise topic overviews, definitions of terminology, and clear explanations of business processes.

2 Gain Detailed Knowledge
Find out what each powerful component provides, how it’s used, and how it can help you improve your logistics processes.

3 Learn How Logistics with SAP Works in the Real World
Explore the in-depth case studies and find out how companies have improved their business processes and enhanced efficiency.

4 Find the Tools You Need
Investigate how various aspects of your business, such as manufacturing, production planning, sales and distribution, and more are handled in SAP.

5 Navigate as You Like
Go directly to the chapter that interests you, or read from cover to cover. Use the glossary and list of additional resources to expand your understanding.

Highlights

• Procurement
• Production Planning
• Inventory Management/Warehousing
• Distribution/Transportation
• Maintenance/Repair
• Inbound and Outbound Logistics
• Manufacturing
• Quality Management
• Sales & Distribution

About the Author(s)

Martin Murray has worked with SAP since 1991. In addition to the best-selling SAP MM: Functionality and Technical Configuration, he is the author of Understanding the SAP Logistics Information System and SAP Warehouse Management Functionality and Technical Configuration, also from SAP PRESS.

Table of Contents

... ... Who This Book Is For ... 17
... ... Navigational Tools for This Book ... 18
... ... Organization of This Book ... 18

... Introduction to Logistics with SAP ... 25
... ... Origins of SAP ... 25
... ... SAP and Logistics ... 28
... ... Logistics Functionality ... 32
... ... Conclusion ... 37

... Procurement ... 39
... ... SAP Organization Structure ... 39
... ... Purchasing Organization Structure ... 48
... ... Purchasing Process ... 53
... ... Accounts Payable ... 62
... ... Summary ... 66

... Inventory Management ... 67
... ... Plant Structure ... 68
... ... Goods Movements ... 72
... ... Physical Inventory ... 82
... ... Summary ... 87

... Warehouse Management ... 89
... ... Warehouse Structure ... 90
... ... Warehouse Movements ... 97
... ... Summary ... 106

... Inbound and Outbound Logistics ... 109
... ... Inbound Logistics ... 110
... ... Outbound Logistics ... 117
... ... Summary ... 124

... Product Planning ... 129
... ... Sales and Operations Planning ... 130
... ... Demand Management ... 137
... ... Materials Requirements Planning ... 145
... ... Summary ... 150

... Manufacturing Operations ... 153
... ... Manufacturing Structure ... 154
... ... Shop Floor Control ... 164
... ... Product Costing ... 176
... ... Summary ... 179

... Plant Maintenance ... 181
... ... Maintenance Organization Structure ... 182
... ... Preventive Maintenance ... 191
... ... Maintenance Processing ... 201
... ... Summary ... 208

... Quality Management ... 209
... ... Quality Management Structure ... 211
... ... Quality Planning ... 214
... ... Quality Notifications ... 218
... ... Quality Inspections ... 224
... ... Summary ... 236

... Sales Order Management ... 241
... ... Sales Structure ... 243
... ... Sales Ordering ... 250
... ... Shipping Processes ... 265
... ... Billing Function ... 267
... ... Summary ... 274

... Customer Service ... 275
... ... Service Structure ... 277
... ... Service Agreements ... 282
... ... Service Processing ... 290
... ... Summary ... 299

... Transportation Management ... 301
... ... Transportation Planning ... 302
... ... Freight Costs ... 313
... ... Transportation Execution ... 320
... ... Summary ... 323

... Implementation ... 327
... ... SAP ERP Implementation ... 327
... ... Total Cost of Ownership (TCO ... 341
... ... Return on Investment (ROI ... 345
... ... Summary ... 348

... New Technologies and Conclusion ... 351
... ... SAP NetWeaver ... 351
... ... Service-Orientated Architecture (SOA) ... 353
... ... SAP Supply Chain Management (SAP SCM ... 357
... ... SAP Supplier Relationship Management (SAP SRM ... 359
... ... Conclusion ... 361