How do you set up a new warehouse for today, knowing that a much larger SAP transformation is coming tomorrow?
Canon, a global leader in imaging, print, and document solutions, faced precisely this challenge. At the production site in Venlo, inks are among the products manufactured. For the warehouse with raw materials, Canon aimed to optimize the logistics processes, improve traceability, and better support employees in their daily work. Initially, it seemed logical to build on SAP Warehouse Management (SAP WM) for this purpose, which Canon also uses for the existing warehouses.
But why invest in customization within an environment that you know you will replace in a few years?
Together with McCoy, Canon therefore chose a different route: a decentralized SAP Extended Warehouse Management (EWM) system, linked to the existing SAP ECC landscape and to the Manufacturing Execution System (MES) that controls production.
For the new warehouse, Canon had a clear goal: a future-proof solution that met the new requirements for the warehouse and production. Improved traceability of raw materials, further automation, and support with RF scanners were important components in this.
With EWM, Canon now has the necessary functionalities without needing to further invest in the existing SAP WM. At the same time, the organization is gaining valuable experience with EWM for the broader S/4HANA transformation that will commence next year.
"We knew that we would eventually move to EWM. You can invest a lot of time in developing functionality within the existing system, but you can also bring that step forward. This way, we are already gaining experience with EWM," says Ron Duijs, IT project leader at Canon.
A warehouse does not stand alone. Materials come in, are stored, moved, and eventually used in production. It is precisely this connection to production that made Canon's environment challenging.
With SAP EWM, Canon integrated these processes into a single warehouse solution. From goods receipt and internal stock movements to making raw materials available for production: SAP EWM directs and records the logistical steps.
McCoy contributed the specialized SAP EWM knowledge, while Canon remained responsible for part of the implementation and integration. In doing so, they consciously stayed as close as possible to the SAP standard. This resulted in a solution that not only works for this warehouse but also provides valuable knowledge and experience for the next phase.
"The scope of the project was clearly defined around warehousing, but within that, we were dealing with quite complex processes and integrations. That is precisely why it was important to establish a solid foundation and make choices that will continue to work within SAP S/4HANA," said Ron.
The go-live went almost seamlessly, and production staff quickly adopted the new way of working. For Canon, the choice of SAP EWM has already yielded a lot:
Better traceability and support for compliance
Materials can be accurately tracked throughout the entire warehouse and production process. In the event of discrepancies or audits, it is quickly clear where materials have been and what has happened to them.
Less manual work
SAP EWM automates and controls a larger portion of the warehouse processes.
More controlOf course! Please provide the text you would like translated from Dutch to English.
Current information makes it easier to identify, investigate, and specifically resolve deviations.
Simpler Working
Employees are digitally supported in performing their tasks.
Less dependency on customizationOf course! Please provide the Dutch text you would like translated into English.
By utilizing standard functionality in SAP EWM.
Future-proof
The experience gained forms a valuable foundation for the broader transition to SAP S/4HANA.
Of course! Please provide the text you would like translated from Dutch to English."A new way of working always brings some reluctance. People are accustomed to their existing processes and need to gain confidence in something new. But after the go-live, that quickly changed: SAP EWM was received very positively, and employees quickly adopted the new way of working," says Ron.
Canon itself possesses SAP knowledge. Therefore, McCoy's role was not to take over the project, but to supplement that knowledge with specialized SAP EWM expertise.
That combination worked well: Canon brought the knowledge of its own processes and systems, McCoy the experience with SAP EWM and the choices needed to establish a future-proof solution.
"The collaboration with Eefke and Tertius was great. It didn't even take a week before it felt like we were colleagues. That accessibility made working together very easy," says Ron.
The decision to implement SAP EWM even before the major S/4HANA transition has worked out well for Canon. The new warehouse became a valuable test case: the organization gained practical experience with SAP EWM, learned from the implementation, and simultaneously observed how the new way of working was received in practice.
The results are particularly visible on the work floor. Production employees receive better support, processes are simpler, and there is less manual work. This first step not only provides valuable lessons for the future transition but also brings McCoy's philosophy to life right now: Work Smart, Be Happy.
At this moment, Canon and McCoy are jointly preparing for the broader SAP S/4HANA transformation, with the implementation expected to commence at the beginning of 2027.
Are you faced with the choice between further developing in SAP WM or switching to SAP EWM? Feel free to contact Frank van de Pas for more information.