Slotting in SAP EWM determines optimal storage parameters for placing goods in a warehouse. It uses product, packaging, demand, and other data to determine the storage section, bin type, and putaway strategy for each product. To use slotting, you first configure related objects like condition tables, access sequences, condition types, slotting procedures, and condition records. You then assign the slotting procedure to a warehouse and run the slotting process to update the putaway control indicators and other parameters for products stored in that warehouse.