Westernacher — SAP EWM is the recommended solution for 3PL Providers
as well as Contract Manufacturers in the Life Sciences Industry
SAP Extended Warehouse Management (EWM)
The most common drivers in choosing SAP EWM
over other WMS warehouse solutions are:
Both 3PLs and Contract Manufacturers serve multiple clients
with unique and frequently changing requirements, as well
as different billing terms and conditions. This requires an
extremely flexible WMS solution that also provides all the
required data for billing purposes.
•• Standardization within SAP environments and avoiding
interfaces vs. bolting with third party applications.
Single-site, single-client solutions that have been enhanced
with add-ons are simply not robust enough anymore to cope
with these ever-changing variables.
As add-ons continue to be layered on in response to evolving
customer needs, it often leads to unnecessary system
complexities, and more importantly, mounting costs of
ownership.
Now, SAP has introduced SAP EWM —a standalone, flexible,
state-of-the art warehouse management solution. Compared
with SAP ERP WM, SAP EWM offers many enhanced as
well as new features that benefit both 3PLs and Contract
Manufacturers, to easily handle all of these challenging
requirements and ensure long-term efficiency and
profitability.
© 2011 Westernacher & Partner Consulting, Inc. | All Rights Reserved
•• Functionality and feature parity with competitive software,
previously considered best of breed solutions.
•• No internal support needed for third party solutions
when paired with an existing internal SAP support structure.
Leverages in-house SAP skill sets for ABAP development,
administration and maintenance, configuration security, etc.
•• Lower TCOs
•• Multiple interfaces, e.g., standard interfaces to SAP ERP (Sales
and distribution, purchasing, production, logistics, finance, HR,
etc.) vs. custom or complex interfaces to third party WMS. Also
interfaces with other SAP solutions, e.g.,SPP, CRM, SNC, Global
ATP, GTS & BW.
•• Single sign-on: Many other WMS solutions have multiple
modules within their portfolio with different Uls and
development languages, resulting in increased integration issues
and maintenance costs.
•• Long term vendor viability: Many WMS solutions have no
upgrade path due to vendor consolidation, or are so outdated
that they cannot be upgraded in the future.
Special Expertise Partner
SAP® Silver Partner
SAP EWM is the recommended solution for 3PLs as well as Contract
Manufacturers in the Life Sciences Industry
Features and Benefits of SAP EWM
SAP EWM introduces many new features to meet the specific requirements of 3PLs and Contract Manufacturers, such as:
Multi-Client Warehousing Supports full transparency of which
products, in which quantity, of what client, are stored in the
warehouse at any time — not only at stock level, but during each
activity. This information is crucial for accurate billing.
Flexible Process Modeling EWM uses pre-defined process steps which
can be combined to quickly and easily set-up warehouse processes.
These process steps also offer increased flexibility, resulting in a
significantly accelerated process for setting up new clients.
Labor Management EWM provides a series of invaluable functions
which allow for planning and analyzing times and resources more
efficiently and therefore, making your warehouse more productive.
Westernacher Warehouse Billing Solution built on
SAP EWM technology — Key Benefits:
•• Activity and consumption based billing replaces arbitrary
allocations and estimates
•• Highly automated billing processes replace manual billing
•• Real-time sales & revenue reporting via tight integration with SAP
•• Caters to individual customer contract terms
•• Calculates penalties for exceeding load or contract terms
•• Integrates with various customer-specific billing services
Integration of Value-Added Services (VAS) Supports most value-
added activities, e.g., assembling, packaging, labeling, kitting etc.,
as one of its core functions.
Customer A
Combine SAP EWM with the Westernacher
Warehouse Billing Engine for maximum benefit
Customer B
Billing is a key part of any business system. An efficient and flexible
billing system ensures that it provides the necessary integration with
operational activities to avoid potential revenue leakage.
With that in mind, Westernacher has created a unique Warehouse
Billing Solution that further extends the SAP EWM solution by
providing additional compre­hensive support for warehouse billing
processes. It allows both 3PLs and Contract Manufacurers to meet
their contractual obligations and invoice customers accurately on an
activity basis, without significant manual tracking.
With seamless integration into SAP ERP, customers can be billed for
value-added services based on individual contract agreement. These
could be logistical, manufacturing, and order fulfillment services, all
the way to receivables management.
For example, 3PLs could bill for receiving, replenishment, put-away,
picking, packing, staging, loading, etc. Additional allocations based on
warehouse rental, space consumption and equipment usage can also
be accurately tracked and billed. Contract Manufacturers could bill
for services such as material manufacturing, scale-up services, clinical
packaging, etc.
ECC
6.0
WMS
ERP
Customer C
Westernacher Billing Solution
The Westernacher Billing Solution combines data from the EWM
warehouse management system with the billing functionalities of SAP SD.
It selects and aggregates data (e.g., number of putaway activities, number
of picks, or number of shipping units) and sends it to the ERP system.
ERP’s standard SD billing functionality picks up this data and selects the
appropriate price to create a customer invoice. It then bills customers
based on a client specific database and individually negotiated prices.
Our Offer to you
Once installed, the benefits of an SAP EWM solution quickly become
evident. Although the cost benefit ratio of each company depends on
their specific business situation, the cost of implementing SAP EWM is
often quickly offset by increased efficiency and transparency, savings
that result from replacing legacy systems, and lower maintenance
costs achieved by working with a uniform software release.
On average, experience has shown that EWM can reduce warehouse
costs by one third.
Westernacher & Partner Consulting, Inc.
8 Grove St., Suite 200, Wellesley, MA 02482 USA
tel +1 781-283-5777 | fax +1 781-283-5779
www.westernacher.com
© 2011 Westernacher & Partner Consulting, Inc. | All Rights Reserved
EWM
Special Expertise Partner
SAP® Silver Partner
Please contact us to schedule a free consultation. We would be
happy to help you identify your specific requirements and develop
and implement a customized solution that satisfies your needs.
Your contact:
Christian Wagner
mobile +1 617 669-7075
office +1 781 283-5777 x202