Operational efficiency of the warehouse is crucial to stay competitive as a company. Nothing new so far. But something new is happening in the modern warehouse world. If you don't get into it now, soon you'll be behind the facts. With the transition to the public cloud, the warehouse management system is going to change too. SAP WM for Public Cloud is still relatively unknown but is significantly different from other SAP WM systems. We are happy to update you in this article.
SAP offers various Warehouse Management systems. As a result, consultants sometimes assume that their knowledge is up-to-date, while that is no longer the case. The systems we will not discuss further in this article are the following ones:
SAP Warehouse Management. This will soon no longer be supported. The switch to another WMS is therefore necessary.
SAP inventory management. This system makes it possible to keep the transitions to S/4HANA and EWM separate and to locate them simultaneously on 1 transition.
SAP Extended Warehouse Management (EWM). designed to optimize warehouse processes and increase tremendous supply chain efficiency. There is a Basic and Advanced license.
More and more companies are making the transition to the Public Cloud. Do you use SAP S/4HANA Public Cloud? Then the warehouse management solution is standard SAP WM for Public Cloud. This is separate from the well-known SAP EWM. It is a slimmed-down variant, based on EWM. This makes it less complex, especially compared to the Advanced license of SAP EWM. The functionalities are currently almost comparable to SAP Basic EWM.
The great advantage of SAP WM for Public Cloud is that it is easy to implement. This is thanks to clearly defined Scope Items & Best Practices. SAP also maintains the system itself. In addition, there are over-the-air upgrades that regularly bring new and updates without much effort. It will be expanded considerably in the coming years to reach the level of Advanced EWM. Many technical aspects are already pre-configured, which shortens the implementation time. However, there are a few differences. Two important examples are that PPF is not possible and that the use of Process Oriented Storage Control in the Cloud is not possible for the time being. It is on the roadmap but unfortunately without a date.
By opting for an SAP Cloud approach, you can save up to 50% on implementation costs and it is possible to get 40% to 60% faster value out of it, according to SAP.
In addition, there is the possibility to use a Public Cloud S/4HANA system with a standalone EWM system (instead of WM for Public Cloud) to still be able to take advantage of the many benefits that the Advanced EWM system offers.
Find out more about the benefits of an SAP Public Cloud implementation in this extensive blog.
McCoy has successfully completed multiple Public Cloud projects, including several WM in Public Cloud related projects. I would like to refer you to a success story about an SAP S/4HANA Public Cloud incl. WM for Public Cloud implementation. Listen to the podcast if you want to know more about this. Or watch our video on SAP S/4HANA Public Cloud Warehouse Management
If you want to take the next step in this, SAP S/4HANA Public Cloud in combination with SAP WM for Public Cloud has added value. Weigh the limitations of the system critically against EWM and determine your strategy.
Do you want to learn more about SAP S/4HANA Public Cloud or discover how McCoy can help your organization on its digital transformation journey? Take a look at our website where we often post blogs and videos on the theme of Public Cloud or contact Jan Laros.
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