SAP TM: The Standardized Creation of Packages

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Systematical Packing: How the Standardized Creation of Packages in SAP TM Supports Employees

August 8, 2023 | Reading time: Approx. 7 minutes 

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Consultant SAP TM at FIS

The standardized creation of packages can be used to optimize the entire supply chain and, at the same time, reduce the workload of your employees. This article describes how packages are created in SAP TM and what setting options are available. 

Do you know that? There are countless packages that must be united in a handling unit in the best possible space-saving way. This packing process is often lengthy and inefficient: Pallets are not utilized optimally or products are damaged during transport due to incorrect piling or cardboard boxes being crushed by heavy products lying on top of them. 

Combining different products in standardized packages is an enormous challenge for warehouses with a high variety of products. The optimization of this process does not only mean the saving of time and resources but also the reduction of costs for packaging materials – an important step towards Green Logistics. 

The “standardized creation of packages (eEP)” function of SAP Transportation Management can be used to easily combine more products in packages and, consequently, ideally utilize means of transport. 

The use of SAP Transportation Management (TM) enables the mapping of all transport processes of your company from inbound and outbound freights and transportation planning to freight settlement with subsequent invoice verification. 

How does the standardized creation of packages in SAP TM work? 

The software solution for creating packages in SAP TM assists the packing staff in their complex packing process by generating proposals for combining products on one pallet on the basis of various master data/Customizing settings. 

Moreover, a 3D display of the calculated package can be used as a central planning tool both in the transport cockpit and in a separate application. 

A central advantage of package creation is that transportation planning can be based on handling units (HU). Packages planned by the system can be used to plan material requirements on the basis of handling units. 

It is also possible to automatically create packages in freight units directly after the creation of a delivery. Alternatively, the creation of packages can also be triggered manually. This improved planning accuracy increases the utilization of loading space and saves precious costs. 

However, your solid and consistent master data management is indispensable to use the chances of this functionality. It may be impossible later in the process to pack the package according to the specifications due to missing or wrong data, such as minimal variances in length or weight. 

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What setting options are available? 

When creating packages, different settings can be made. They depend on material, business partner and location: 

Type-based packing of products in one package 
Creation of mixed packages with different products

Configuration of mixed and type-based layers

Fig. 2: type-based layers vs mixed layers in the 3D model

Maintenance of maximum height and weight for a package 
Determination of the stacking factor

The stacking factor specifies how many products may be stacked on top of each other. 

Separation of product layers using product-specific separating materials

Fig. 3: separation of product layers using product-specific separating materials

Specification of the maximum number of products per package

In addition, diverse Customizing settings enable users to centrally influence the creation of packages in a cross-client or cross-system manner: 

Maintaining product relationships: Product relationships can be maintained within Customizing. Here, for instance, a stacking sequence can be defined as well as conditions between products. Different product categories can easily be separated from each other so that packing incompatibilities are taken into account. In figure 4, for instance, product TM-08 (displayed in blue) is separated from the other products and separately packed onto a new pallet.

Fig. 4: maintenance of product relationships in the 3D model

Defining product alignment: Products can be placed vertically or horizontally on a pallet as needed. A good example is the transport of a refrigerator that must be transported in an upright position. In the configuration, this specific product alignment can be considered correspondingly. 
Even products that must not be packed together for several reasons can be kept separate according to different settings. This is the case, for instance, if dangerous goods are transported or goods that require refrigerated transport. Consequently, it is possible to make groupings according to source/target locations, products, business partners and document types. 
If remaining products or quantities cannot be packed in a specific layer, it can be selected whether the last object is nonetheless to be placed on top of the topmost layer or whether a new pallet should be created.

In addition to the standardized creation of packages, SAP TM also provides the option of using packing instructions or packaging specifications: 

The packing instruction is used as a template for the creation of packages and based on the packing instruction master data from the SAP ERP system. The packing instruction defines the materials and packaging materials to be packed in one HU. 
The packaging specification defines all necessary packaging levels for a product, i.e. the quantities and packaging materials for packing the product and the packing sequence.

How can planned shipping HUs be integrated into SAP TM and SAP EWM? 

If SAP TM sends a freight order to the SAP EWM system by means of a loading instruction, it will automatically create the corresponding transportation unit. When creating the outbound delivery in the SAP ERP SD module, the delivery order will be generated in SAP EWM in addition. The transportation unit can be found at the level of this delivery order. 

After creation of the transportation unit and the packages in SAP TM, planned shipping HUs are generated in SAP EWM at the same time, which reflect the packages from SAP TM. After picking, the goods can be loaded onto the transportation unit and completed successfully due to precise transportation planning based on the same knowledge of SAP TM and SAP EWM packages. 

System Prerequisite 

SAP TM – Some of these functions can be used in combination with a connected SAP EWM system. However, companies can enjoy benefits even without an integrated Warehouse Management system. 

Conclusion 

The standardized creation of packages is not only used to facilitate the daily work of packing staff. The entire process along the supply chain from warehouse to delivery can also be optimized using the functionality and integration of SAP TM and SAP EWM. 

In addition to increased transparency, factors such as time and cost saving due to the specification of product items on the pallet provide companies with added value and ensure a more efficient procedure within the goods issue process. 

Questions about this topic? Our team will be happy to assist you personally.

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