In the world of logistics, managing transportation and warehouses can quickly become overwhelming. Fortunately, SAP offers two essential modules to streamline these processes: SAP TM (Transportation Management) to handle transportation and SAP EWM (Extended Warehouse Management) to manage warehouses. Integrating these two modules ensures better coordination of logistics operations. This article explains how this integration works in simple terms, with concrete examples and technical details.

What is SAP TM and SAP EWM?

• SAP TM: This module manages the transportation of goods. It plans, organizes, and tracks the movement of products from the warehouse to their final destination, whether by truck, train, ship, or plane. In short, SAP TM handles how and when products are transported.

• SAP EWM: This module optimizes the management of the warehouse, determining where and how goods are stored, and also handles picking, packaging, and shipping.

Why is the integration of SAP TM and SAP EWM crucial?

When transportation and warehouse management are handled separately, communication errors or delays can occur. The integration of SAP TM and SAP EWM links these two functions, ensuring better synchronization. For example, when transportation is planned in SAP TM, SAP EWM is automatically notified to prepare the goods for shipping, speeding up and securing the logistics process.

Concrete Steps of SAP TM and SAP EWM Integration with Examples

1. Creating the Order in SAP ERP

It all starts with the creation of a customer order in SAP ERP (whether SAP ECC or S/4HANA). Once the order is validated, it is transmitted to SAP TM for transportation planning.

• Example: A company receives an order for 1,000 units of a product to be delivered in three days. SAP TM takes care of organizing the transport.

2. Transportation Planning in SAP TM

SAP TM analyzes the order information to plan the transport, considering constraints such as weight, volume, vehicle availability, and routes.

• Example: SAP TM selects a truck capable of carrying 500 pallets, with delivery planned in two days. The carrier is chosen based on costs and deadlines.

3. Notification to SAP EWM to Prepare the Goods

Once transportation is planned, SAP TM sends a notification to SAP EWM.

• Example: SAP TM informs SAP EWM that a truck will arrive to pick up 500 pallets. The warehouse starts preparing the goods for shipment.

4. Picking and Packing in SAP EWM

SAP EWM manages the preparation of goods. Products are picked from storage locations, packed, and moved to the loading area.

• Example: SAP EWM ensures that the correct products are ready to be loaded onto the truck.

5. Loading and Confirmation in SAP TM

When the truck arrives, the goods are loaded. SAP EWM confirms the operation, and a message is sent to SAP TM to indicate that the loading is complete.

• Example: The transport status changes from “pending” to “loaded” in SAP TM, and the truck can depart.

6. Tracking the Transport and Confirming Delivery

SAP TM tracks the truck during its journey to the final destination. Once the customer receives the goods, the delivery is confirmed in SAP TM, and the information is updated in SAP EWM.

• Example: The delivery status is updated to “completed” in SAP TM, confirming that the goods have arrived at their destination.

A Simple Analogy to Understand Better

Imagine SAP TM as the trip planner, and SAP EWM as the baggage handler at an airport.

• SAP TM (trip planner): It organizes the flights (transports), selects the plane, plans the layovers, and ensures the flight departs on time.

• SAP EWM (baggage handler): It ensures that the suitcases are properly labeled, picked up, and ready to be loaded onto the plane at the right time. It also verifies that the baggage is loaded on time for the flight.

The integration between these two systems ensures that everything runs smoothly, avoiding situations like flights without baggage or baggage getting lost. Transportation and warehouse management are thus perfectly synchronized.

Conclusion

The integration between SAP TM and SAP EWM plays a central role in optimizing logistics operations. It ensures that goods are ready for transport on time and that every step of the process is well-coordinated.  SAP relies on proven technologies like IDocs, XML messages, and SAP PI/PO to ensure smooth communication between these two modules.

Whether you’re a large distribution company or an SME, understanding and using this integration will help improve operational efficiency, reduce errors, and increase customer satisfaction. By applying these principles, businesses can better control their logistics processes, reduce costs, and optimize overall performance.

For more detailed information on IDocs, XML messages, and other integration methods, you can read the following article: [Link to the article].