Transportation in sap
- 2. About TransportationInbound and outbound logisticsVendor to manufacturer through warehouse and manufacturer to distributor to end customer through warehouseFulfills demand and replenishment requirement of supply chainBasic functions are Transportation planningShipment creationShipment cost calculationShipment cost settlementFreight handling Shipment trackingInformation sharing (advanced shipping notification, shipment confirmation, shipping manifest etc.)
- 3. Transportation Planning ConceptsOrg unit -transportation planning pointGroup of employees responsible for transportation planning activities, when to ship, what to ship and how to shipAssigned to company code Shipment cost calculation and settlementShipment Document as the record of transportation planning, status tracking and completionNo. range, whether shipment is inbound or outbound, leg determination, type of shipment, mode of transportation, leg indicatorIndividual ,Collective shipments, transportation chainNumber of deliveries, no. of departure points, no. of destination points, no. of modes of transportMultiple shipment documents (for each leg) is possibleEach mode of transport may require its own shipping papersDifferent commercial terms on freight and insuranceOnce a shipment document is created it is in planned statusMaintain transportation relevance for delivery types, delivery item types and routesLTL and FTL – for planning truck load capacity utilization
- 4. Shipment Document Type ControlType of shipment – outbound or inbound, loaded or unloadedShipping type in a specific leg (e.g. truck)Service level of cargo to be handled Process control i.e. type of shipment – individual, collective and transportation chain (unimodal or multimodal)Type of leg for the shipment documentHow to adopt routes from deliveryHow to determine different legs in shipmentWhether shipment is relevant for GROutput determinationText determinationControl w.r.t. picking (shipment only after picking is complete)
- 5. Shipment DocumentCombine deliveries into one shipmentSpecify shipment stages – legs, border crossing, load transferAssign goods to handling units, assign service agent (CFR agents, customs agents)Specify planned transportation deadlines and record actual transportation deadlinesTime required for organizing and planning various transportation activities are storedGenerate output (shipping manifest, shipping notification, bill of lading)Specify texts, specify any additional data, mention the external ids (shipper’s number)Handling units appear as means of transportPacked deliveries can be repacked for shipment in new handling units, e.g. containersTare weight and volume and weight and volume of packed unitOnce a planning status is reached deliveries cannot be added or modified. A traffic light icon signifies the overall status (red for planning complete)Tendering status – status of the shipment w.r.t. negotiations with vendorRoute and forwarding agent may be copied from deliveries if same all through and if status is plannedInformation Flow
- 6. Other Master DataFreight Codes are used as a means to classify the goods by the freight forwardersSpecified on transportation papersUsed to identify the class of goods being handledGrouped together in freight code setsAre industry standardsFreight classes are made up of one or more freight codesUsed in shipment costingFreight code determinationCountry of origin, shipping type and forwarding agent, routeFreight code set, material freight groupConfig required – defining material freight group and putting them in material master, defining forwarding agents (vendor master), freight code set and freight code determinationShipment StagesGeographical locations including legs, load transfer points and border crossing points, transportation connection points, shipping point, plant, warehouse no., dock doorStages can be created manually in the shipment document, entered into shipment header as part of the route which already contains stages, or can be determined as part of automatic leg determination
- 7. Transportation Planning ProcessFunctionsAcquire Service AgentOrganize Means of TransportSpecifying RouteDefining Stages and legs for the routeDetermine which deliveries should be partRoute (all deliveries must have same route)Route can be different in shipment from the accompanying deliveriesShipment planning status of the delivery indicates current processing status of the deliveryNot TR relevant, TR relevant not processed, partially processed, completely processedAdditional shipment documents can be created for capacity reasons Edit->Automatic Planning->Shipment Per DeliveryMoving deliveries to and from delivery is only possible till status is PlannedSubsequent Delivery Split in ShipmentSplit a delivery into two or more shipments (may not fit in the same truck). No goods movement has happened for the deliverySplit results and split remainder. May or may not remain in shipment based on “before planning” or “after planning”)Split results determine which delivery items are grouped together in the same delivery. All others are split remainders
- 8. Leg DeterminationCreates legs using simple rules that determine point of departure and destination as well as some leg data (service agent, shipping type, preliminary/subsequent leg, leg indicator, and shipment cost relevance for the leg)Leg determination cannot be carried out, for example, if the leg determination type is set to ‘_’ (blank), if there are no deliveries in the shipment, or if the shipping types have not been filled inPlaces (departure points and destinations of deliveries or of a leg, etc.) are given a unique identification number during leg determination; this number is then used in further processingThe system checks to see if this shipment is part of a transportation chain. This information can be determined from the leg indicator in the shipment header. Leg indicator 4 indicates direct leg – whole shipment appears in one shipment document. Leg indicators 1, 2,3 indicates that shipment is part of a transportation chainBorder crossing point and load transfer point are inserted between legsAutomatic assignment of deliveries to the stagesDeliveries can appear in some stages, not in all (loading/unloading at various stages)Point of departure and destination of deliveries is used for this purposeCustom leg determination using exit V56SLDET
- 9. Leg Determination CategoriesLeg determination blank – System does not perform leg determinationLeg determination 0 – System does not perform leg determination but assignment of deliveries to stages is determined through automatic delivery assignmentLeg determination 1 – Legs are determined according to itinerary (order of deliveries) in the shipment document, used for collective shipmentsLeg determination 2- Preliminary leg is created for each starting point and subsequent leg is created for each destination pointThis type of leg determination is used for transporting deliveries that are to be sent by sea in a group, but originate from different shipping points or are to be transported to different ship-to partiesLeg determination 3 – Preliminary leg and a subsequent leg is created for each deliveryThis leg determination type is used for transporting extensive amounts of goods that must be distributed among multiple deliveries because one delivery would not offer enough capacityLeg determination 4 is similar to leg determination 1 except that shipping types for preliminary and subsequent legs are taken into consideration
- 10. Leg Determination ProcessSet the Planned status on the screen Overview Shipment in the shipment document. Choose Leg determination on tab stagesThe system calculates the shipment legs based on the leg determination indicator for the shipment document type. It takes into account the shipping points and ship-to parties in the deliveries, as well as the shipping type, the leg indicator, and the route and transportation chainDenote a transportation chain using multiple shipment documentsCategory 1Category 2Category 3
- 11. Other FunctionsPacking hierarchy set up in delivery can be continued in shipment documentCrates and pallets can be put inside containers and loaded onto trucksWe can use the handling units created in the delivery or create new handling unitsHandling units created in delivery cannot be unpacked in shipment documentDelivery item can be generated for returnable/to be sold packaging materialDelivery supplied information to transportation header – routes (if configured as such), service agents (forwarding agents – if all equal)Service agents can be copied from header to individual stagesNo automatic text determination in shipment documentsTexts need to be maintained manually in Text tab at the header levelDifferent Statuses -> copy routines can be used to transfer dates from deliveryPlanned ->Shipment’s planning is completeCheck In – Vehicle arrives in the plantStart Load – vehicle is loaded/unloadedEnd load – loading unloading completeShipment Completion – documents are createdPossible activities on shipment completionGoods Issue Posting, Billing, output generation This can be controlled through Activity Profile.
- 12. Other FunctionsActivity ProfilesDefines activities that are to be carried out in a shipment document when a certain status is set for shipmentA certain profile can be defined for each statusPost goods issue for deliveries in the shipment, calculate shipping costs, print certain outputs, create invoicesA variant in customizing is maintained per shipment type for the status. Define in this variant the activity to be carried outDifferent reports are available to monitor shipmentShipment cost processingCalculating and settling shipment costsCarried out using condition techniquePricing Procedure determination is based on transportation Planning Point, Service Agent, Shipping Type and Shipment Cost Item (item category)Calculation base can be delivery, delivery item, shipment cost item, handling units, distance, location and tariff zones (postal code area)Pricing and settlement date can be proposed based on deadlinesConditions can be combined into group and the values can be compared to get most favorable. This uses condition exclusion groups and exclusion procedure.Pricing and settlement date types are assigned to shipment cost item categories
- 13. Shipment Cost ProcessingShipment Cost Document TypeShipment Cost HeaderGeneral status, control and administration infoShipment Cost ItemShipment header or a shipment stage, items include service agents, pricing date and settlement date, tax amount, company code, plant, purchasing orgShipment cost Sub itemsCalculation of shipment costs carried out at this levelCan include single delivery items, deliveries, handling units etc.PreconditionsShipment document is relevant for shipment costingAt header, leg, load X, border XShipment must have a transportation status of atleast plannedShipment must have a service agent (vendor)Condition records to be maintainedAfter determination of freight cost we can simulate the transportation costs (Freight Cost Estimate)Example: Shipment cost calculation base – shipment cost item
- 14. Shipment Cost SettlementThe settlement of shipment costs with the service agents is carried out per shipment cost itemSettlement includes assignment and forwarding of shipment costs to FI and CO for creating accruals and posting payablesAutomatic settlement using self billing or manual settlementThe functions used during settlement are –Account AssignmentRelevant G/L account determination for every individual shipment cost itemAssignments for cost accountingRelevant transfer to financial accountingPurchase order is created for the service agent and the service entry sheet createdAfter accepting services accrual entries are createdInvoicingAutomatic using Self Billing or Evaluated Receipt Settlement (ERS)Manual Invoicing
- 15. EDI in transportationExternal transportation planning system or own TPSWarehouse (third party), warehouse (own)Entities involvedVendor (inbound), warehouse, freight forwarder, customerInformation involvedDeliveries (e.g. shipper to warehouse), Shipment Notification (inbound), Shipment notification (outbound), shipment document (e.g warehouse to shipper/freight forwarder), shipment notification (to customer)Config – Set freight planning for forwarding agent ->assign vendor and partner numberIdoc typeTPSSHT01 ->creating changing or deleting shipment documents. Action code is used for type of action (create/change/delete)E2TPSHH contains header info including TKNUM, CARRID – service agent (vendor), SRVID1 (external identification)E1TPSHI – containing deliveries in shipmentSeveral customer functions are available to update custom tables or set status in shipment documentSHPMNT05_>idoc type for creating advanced shipment notification depending on message type SHPADV or SHPMNT (EDI 856)DLVRY03 idoc type with message type SHPCON for shipping confirmation (EDI 945), DLVRY03 with SHPORD for shipping order (EDI 940)Tables usedVTTK – shipment header and VTTP – Shipment Item, VTTS – Stages and VTFA – Shipment document flowParcel Tracking in Delivery and Shipment – Separate Discussion Topic