3 important questions about EWM in S/4HANA
Introduction
Since SAP S/4HANA 1606, SAP Extended Warehouse Management has been part of S/4HANA and is also referred to as Embedded EWM . Since 2016, SAP has enhanced the integration with the other modules in S/4HANA, so that EWM in S/4HANA now largely acts like a really integrated warehouse management solution and not like a third-party system that was installed as an add-on. In this article, we answer essential questions that customers ask themselves when looking at SAP EWM in S/4HANA.
What is the scope of Embedded EWM in S/4HANA in 2024?
Since the first release of EWM as a module in S/4HANA, SAP has greatly enhanced the integration of SAP EWM with the other modules in S/4HANA. It is now possible to enter warehouse management data directly from the MIGO, e.g. from which storage location in EWM a certain stock is to be used. This enables postings in EWM directly via a one-step procedure using the material document from MM. Previously an outbound delivery was required for this.
The exact scope of functions that Embedded EWM in S/4HANA offers depends on the version you have chosen. SAP offers EWM in two versions, Basic and Advanced . These differ significantly in their features. Only the advanced version of SAP EWM in S/4HANA offers important functions such as wave management or planning of transport units. The functions are of course also available in the basic version. However, the use of advanced functions must be confirmed in customizing via a flag and is checked during the license audit.
What is the price for Embedded EWM in S/4HANA?
EWM in SAP S / 4HANA is available in two versions: a basic version and an advanced version. Embedded EWM Basic in S/4HANA is sometimes referred to as S/4HANA “Basic Warehouse Management” does not have any additional license costs. So if you choose the basic version, only the license costs for your S/4HANA installation are still due.
When using Embedded EWM Advanced, you need licenses for SAP EWM in addition to the licenses for SAP S/4HANA. These license costs are comparable to those for a decentralized deployment of SAP EWM.
Details on the license costs of SAP EWM in the basic or advanced version as part of SAP S/4HANA may be obtained from your contact in the license sales department at SAP.
Is there still SAP WM in S/4HANA?
Short answer: Yes and no.
SAP WM is technically still availablein S/4HANA. However, it should be noted that classic SAP warehouse management may only be operated in S/4HANA within the framework of a so-called compatibility pack. This means that classic WM in S/4HANA will expire at the end of 2025. Users who are currently using SAP WM face the choice of switching to SAP EWM or using the so-called SAP Stock Room Management
Stock Room Management in SAP S/4HANA is technically based on the same structures as SAP WM. However, certain functions such as the integration of a warehouse control computer (WM-LSR) or deployment as a decentralized warehouse management system (WM-DWM) may no longer be used in Stock Room Management.
More information may be found here:
Bottom Line
SAP has significantly advanced the integration of Embedded SAP EWM in S/4HANA in recent years. This is in line with the positioning of SAP EWM as the strategic warehouse management solution from SAP. When implementing an embedded EWM, it must be carefully checked whether the basic version is sufficient or whether the advanced version should be used. The classic SAP WM is still technically available, but should only be used until 2025. As an alternative, Stock Room Management is available, which is technically largely identical to the classic WM.
