¶ Delivery and Shipping in SAP ECC
In SAP ECC, the Delivery and Shipping processes are essential components of the Sales and Distribution (SD) module. These processes ensure that goods are efficiently picked, packed, and transported to customers, forming a critical link between sales order processing and logistics execution. Proper management of delivery and shipping not only improves customer satisfaction but also optimizes warehouse and transportation operations.
¶ Overview of Delivery and Shipping in SAP ECC
The delivery and shipping functions in SAP ECC manage the physical movement of goods from the company’s warehouse to the customer’s location. This includes creating delivery documents, managing picking and packing, scheduling transportation, and confirming shipments.
¶ Key Components of Delivery and Shipping
- Delivery Document Creation: A delivery document is created based on the sales order, outlining the quantity and items to be delivered.
- Picking: Warehouse staff use the delivery document to pick the goods from inventory.
- Packing: Items are packed appropriately for transportation, and packing details are recorded.
- Post Goods Issue (PGI): Confirms that goods have left the warehouse, triggering inventory updates and billing processes.
- Transportation Planning: Scheduling and organizing shipment of goods, including route determination and carrier selection.
- Shipment Creation: Consolidates one or more deliveries for transportation, allowing efficient shipment planning.
- Goods Issue and Shipment Confirmation: Confirms shipment departure and updates logistics and financial records.
- Tracking and Reporting: Provides visibility into shipment status for both the company and the customer.
- Sales and Distribution (SD): Delivery and shipping are integral to completing the sales process.
- Materials Management (MM): Ensures accurate inventory management during picking and shipping.
- Warehouse Management (WM): Coordinates detailed warehouse activities related to picking and packing.
- Financial Accounting (FI): Billing and revenue recognition are triggered by delivery and shipping confirmations.
- Transportation Management (TM): In advanced scenarios, integrates with SAP TM for enhanced transportation planning and execution.
¶ Benefits of Delivery and Shipping Management in SAP ECC
- Accurate Order Fulfillment: Ensures that customers receive the right products on time.
- Improved Warehouse Efficiency: Streamlines picking, packing, and dispatching processes.
- Enhanced Customer Service: Provides shipment visibility and timely delivery.
- Optimized Transportation: Enables cost-effective and timely shipments through proper planning.
- Real-Time Inventory Updates: Automatic stock adjustments maintain accurate inventory levels.
Delivery and Shipping in SAP ECC are vital for bridging the gap between order processing and logistics execution. By managing the entire physical distribution cycle—from picking to shipment confirmation—SAP ECC helps organizations improve operational efficiency and customer satisfaction. Understanding these processes is essential for SAP professionals involved in sales, logistics, and supply chain management.