outbound

logistics

Definition

Movement of material associated with storing, transporting, and distribution a firm's goods to its
customers.

 Outbound Logistics

Scenario

This scenario describes the process of a supplier shipping his parts to OEMs. Processes like
outbound processing, transportation planning and execution including freight costing are key
elements of the scenario. Supply Network Planning, Supply Chain Monitoring and Control and
Supplier Inventory Collaboration complement the scenario.

Lowering Working Capital

   Improve capacity utilization

Increase Speed & Efficiency

   Increase collaboration (internally & externally

Reducing Operating Costs & Increasing Efficiency

   Lower logistics costs

Outbound Outbound processing comprises the preparation of goods to be delivered from a Configuration
warehouse to a receiving location. Outbound processing within the scope of
Processing warehouse management typically comprises activities like the notification of goods to Variants
be supplied from a warehouse to a customer for which the outbound delivery serves
as the reference document, picking, packing, physical goods issue in warehouse,
loading, goods issue and goods issue posting to IM, advising advanced shipping Outbound
notifications to business partners and, obtaining a proof-of-delivery from the Processing with
receiving business partner.
WM
 

 
To fully utilize this functionality, the following solution(s) should be
evaluated

 SAP ERP

 SAP Extended Warehousing and Logistics for Automotive

 
Transportation The Transportation Planning process as part of mySAP SCM creates optimizes Configuration
shipments and transfers these shipments into the connected R/3 systems for
execution. To do so, it reads transportation relevant business documents from the Variants
Planning connected SAP R/3 systems, assigns the loads represented by these documents, to
resources (trucks, railcars, …) to create planned shipments, assigns carriers to these
shipments and tenders these shipments to the assigned carriers. Transportation
Planning
 

 
To fully utilize this functionality, the following solution(s) should be
evaluated

 SAP ERP

 
Freight Costing A shipment can have costs which represent the charges of the Transportation Service Configuration
Provider (TSP, carrier), possible handling charges, surcharges such as fuel, and other
accessorial or direct transportation costs. The Shipment Cost Document enables the Variants
calculation of the shipment costs for any given shipment.

 
Freight Costing

 
To fully utilize this functionality, the following solution(s) should be
evaluated

 SAP ERP

 
Supply Chain Supply Chain Performance Management (SCPM) enables you to define, select, and Configuration
monitor key performance indicators (KPIs), giving you an integrated, comprehensive
Monitoring and view of performance across the supply chain. SCPM with mySAP SCM includes a Variants
large number of predefined KPIs based on the Supply Chain Operations Reference
model (SCOR) covering all supply chain activities including source, plan, make,
Control deliver, and return. Supply Chain
 
Monitoring and
Control
 
To fully utilize this functionality, the following solution(s) should be
evaluated

 SAP NetWeaver

 SAP NetWeaver

 SAP Sequenced Manufacturing for Automotive

 
Supply Network Supply Network Planning integrates purchasing, production, distribution (of Configuration
demands), and transportation so that comprehensive mid-term to long-term tactical
planning and sourcing decisions can be simulated and performed on the basis of a Variants
Planning single, global consistent model. The SNP Optimizer performs a finite, cost-based, and
bucket oriented planning of the supply chain.
Supply Network
  Optimization

 
To fully utilize this functionality, the following solution(s) should be
evaluated

 SAP ERP

 SAP Sequenced Manufacturing for Automotive

 
Transportation Transportation Execution is a complete and integrated solution to create, execute and Configuration
monitor shipments. Transportation Execution provides shipping, collaborative
Execution shipment tendering, express ship interface and distance determination functionality. Variants

  Transportation
 
Execution
To fully utilize this functionality, the following solution(s) should be
evaluated

 SAP ERP

 
Supplier Supplier Managed Inventory Processing is a replenishment process were the Supplier Configuration
assumes responsibility of the replenishment planning and execution, instead of the
Managed Customer (or Customer's ERP/MRP system). The Supplier recieves updates on gross
 Inventory demand (dependent requirements) and stock in SAP ICH, and uses min/max stock Variants
level logic to calculate a suitable replenishment plan, and consequently creates PO's
and ASNs to indicate plan commitment and shipments, which updates the Customer's
ERP system accordingly. Supplier Managed
 
Inventory
Processing
 
To fully utilize this functionality, the following solution(s) should be
evaluated

 SAP Lean Manufacturing for Automotive

Goods Issue
The outbound delivery forms the basis for goods issue posting. The data required for goods issue posting is copied from the
outbound delivery into the goods issue document. When you post goods issue for an outbound delivery, the following functions are
carried out on the basis of the goods issue document:
1. Warehouse stock is reduced by the delivery quantity.
2. Value changes are posted to the balance sheet account in inventory accounting.
3. Requirements are reduced by the delivery quantity.
4. The serial number status is updated.
5. The goods issue posting is automatically recorded in the document flow.
6. Stock determination is executed for the vendor's consignment stock.
7. A worklist for the proof of delivery is generated.

After goods issue is posted for an outbound delivery, the scope for changing the delivery document becomes very limited. This
prevents discrepancies between the goods issue document and the outbound delivery.
 
Delivery Processing & Distribution
Controls the actual fulfillment of sales orders and purchase orders as well as stock transport orders. The execution of logistics tasks
is handled here. With delivery processing, the goods are shipped and relevant documents are printed out. The sales requirements
can be distributed to alternative locations. The delivery might be shipped to the customer directly from the fulfilling locations (more
than one delivery), or consolidation may occur at one location before one complete shipment is transported to the end customer.
 
Proof of Delivery
Proof of delivery (POD) is an instrument involved in business processes in which an invoice is issued only after the customer has
confirmed the delivery's arrival. In addition to the POD itself, you can also record the POD date, time, actual quantity, and the
reason for possible differences in quantities. This is especially important for deliveries where the delivery quantity varies because of
the nature of the goods or for which the exact delivery quantity is unknown from the start. You are now in a position to issue an
accurate invoice based on the customer's confirmation of goods received. You no longer need to create credit memos. The reasons
for deviation that occur most frequently in real-world scenarios, such as stock shrinkage, theft, certain characteristics of goods
(volatility, for example), and transportation damage, are recorded and analyzed in the system. This analysis is especially valuable
when you are negotiating with forwarding agents, vendors, or customers, since all deviations can be reflected.
 
Value-Added Services
Value-Add activities in the warehouses need to be managed and monitored. Using the VAS functionality, you are able to manage
and control the execution of services in the warehouse. VAS is fully integrated into Warehouse Management, Handling Unit
Management, Task and Resource Management, and Mobile Data Entry.
 
Delivery Monitor
Provides an overview of deliveries in working processes. Gives an overview of the workload in different areas, for example shipping,
transportation, or invoicing, while allowing you to collectively process documents that have the same selection criteria. Specialists in
different execution areas of the organization can use this tool to gain a quick overview of their workload, drill down to single
documents, and trigger follow-up activities