Step by Step Approach for Configuration of Warehouse Management


1.             Concept of Warehouse Management  

                                Master Data  

  Define control parameters for warehouse no

A warehouse number is an organizational unit in logistics that represents the company from the warehouse management view.

In the Warehouse Management System (WMS), you can define various control parameters at the warehouse number level. The control parameters will be:

1)     Weights / units of measure

2)     Storage unit management is active or not

3)     Checking the data for capacity check

      Define Number ranges

Define the number ranges for the objects which have automatic number assignment in the Warehouse Management system.  These are:

v  Transfer requirement

v  Transfer order

v  Quant

v  Posting change notice

v  Group

If you are using Storage Unit Management, you must take the following objects into account:

  • Number range for storage units

The number ranges for the storage units cover all the warehouse numbers.

  • Type of number assignment for storage units


1. Decide which number ranges you require for assigning the document numbers in the Warehouse Management system.

2. Create the number range intervals.

The following action is only required if you are using Storage Unit Management:

3. Create the number range LE for assigning the storage unit numbers and the respective assignment type (column VA).  Via the assignment type, you can define per warehouse number whether, for example, external or internal storage unit numbers are to be managed.  

4. Conversion of the storage unit number in Warehouse Management, you can determine per client (!) how the storage unit number is to be converted.  For information on the different input options, refer to the field documentation.  

Define Storage Type

A warehouse number is divided up into a number of storage types.  A storage type is defined on the basis of its spatial or organizational features (for example, high rack storage area, bulk storage area, and goods receipt area).

A storage type has the following features:

  • A storage type does not have an address, but a short description.
  • It is possible to store storage-type-specific material data.
  • Within a storage type, inventory is executed for each storage bin.


These interim storage types (900-999) are required for various postings (for example, GR and GI postings, and differences) in WM.  When you define your warehouse numbers, copy the interim storage types from warehouse number 001.


1. Create your storage types with the respective descriptions.

2. Copy the interim storage types from warehouse number 001.  

Important Note:  

The placement strategy for ATC, AEC and ECO is decided as Addition to existing stock. So while creating the storage type, the Put away strategy should be “I” – Addition to existing stock.  

The removal strategy for all the materials without Shelf life expiration date check (SLED) will be FIFI (Picking strategy – “F”) and for the materials with SLED check will be “H” – Shelf life expiration date.  

There will be two distinguished strategies one for materials without SLED check (Put away strategy – “I” and Picking strategy “F”) and one for material with SLED check (Put away strategy – “I” and Picking strategy “H”).

Define Storage Sections

Within a storage type, a storage section is a series of storage bins with the same features. These bins are used for the purpose of stock placements.

For stock placements, the following features of storage bins can be important:

  • distance to the turnover point
  • loading capacity
  • temperature

Standard settings

In the SAP standard system, sample entries are preset for the respective storage types in warehouse number 001.


  • When you create a storage bin, you must enter a storage section.
  • If you are using storage types without sections, you must define at least one storage section (for example, 001) per storage type.  The storage section in this case is identical to the storage type.


Create your storage areas with the corresponding names.  

Important Note:

There will be only one storage section for all ATC, AEC and ECO.  

Define Storage Bins

Storage Bins

In the menu option "Storage bins", you define the configuration for the storage bins in the Warehouse Management system.

Before you create the storage bins (master data) you should work through this section as well as the section "Define field usage - Storage bin data".

Define Storage Bin Types

You can divide your storage bins into groups (for example, large storage bins, small storage bins, and so on).  A suitable storage bin is proposed by the system during stock placement in combination with the storage unit type.


1. Decide whether you want to use the "Storage bin type search".

2. Create your bin types with the corresponding names.  

Important Note:  

Create only one Storage bin type for ATC, AEC and ECO. Define Blocking Reasons

In the Warehouse Management system, you can block the following units for stock placements and stock removals:

  • Storage types
  • Storage bins
  • Quants
  • Storage unit

You can enter the reason for the block (for example, assembly work) using the indicator "Blocking Reason".


Create your blocking indicators with the respective descriptions.

Define Storage Bin Structure

In the Warehouse Management system, you can create a sequence of similar storage bins automatically.

Example for setting up similar storage bins

Define the parameters required for creating storage bins in the table "Storage Bin Structures".

In this table, you must also define which warehouse master data (for example, storage section, fire-containment section, and so on) you want to create when you generate the structures.


1. Create your storage bin structures in the detail screen.

2. From the menu bar (detail screen), select: "Environment --> Create bins" to generate your storage bins.


This function can also be found in the application menu (menu option "Master data").


In this menu option you configure the material master records that are relevant for the Warehouse Management system.

Before you create the material masters, you should work through this section and the section "Define field usage - Material master".

Define Storage Type Indicators

With this indicator you can control whether certain materials are placed into or removed from stock in certain storage types with a higher priority.  This leads to a classification of your materials and allows you to use the stock placement or stock removal strategies in an optimum way.

Default settings

In the SAP standard system, examples are preset for warehouse numbers 001 and 002.


1. Classify your materials according to certain criteria (for example, small parts, and materials for block storage).

2. Create your storage type indicators with the respective descriptions.

Further information

You will find more information on this subject area in chapter "Strategies - Storage type search"

Important Note:

Define 2 storage section indicators – one for the materials with SLED check and one for the materials without SLED check. In Storage type search you have to define the priority according to materials without SLED check and materials with SLED check.

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