Cycle counting in the Warehouse Management (WM) application component makes it possible for you to separate materials into classes (such as A, B, C...) and take inventory for each class separately several times throughout the year.
Before implementing cycle counting, you must make the following changes to your system:
When using cycle counting, the system only suggests materials within a storage type that are marked with a cycle counting indicator. In order to take inventory for the rest of the materials (that is, the materials that do not have a CC indicator) for a storage type, the “ Inventory method” data field must be changed temporarily to “ PZ”. Afterwards, you can perform standard continuous inventory in IM. (See step 3 above).
To implement cycle counting in WM, you need to carry out the following steps in the order shown:
The system proposes a series of storage bins for physical inventory. All bins where inventory can be performed are selected. If one of the quants in a bin is blocked, the storage bin is displayed with the remark “blocked” but is not selected for the inventory. If you have mixed storage, all quants are checked and proposed whenever only one of them has a valid cycle counting indicator. Also, the remark “several quants” appears. If desired, you can sort the proposed bins by date. You can also display one of the storage bins by choosing Environment → Display storage bin.
To plan the inventory count for the suggested bins, choose List → Create documents. To activate the inventory documents immediately, choose Activate documents.
This report searches for all materials in a storage type that are marked for cycle counting within a given date interval, and it creates a list of storage bins for which inventory is to be taken.
Cycle Counting at Quant Level
It is possible to execute cycle-counting inventory at the quant level. With this inventory procedure, you perform physical inventory for materials at regular intervals within a fiscal year.
The time intervals depend on the cycle-counting indicator set for the material. Materials can be divided up into certain categories that are inventoried independently of one another several times during the year. With the cycle-counting method, for example, you can have common materials inventoried more often than materials that are not so common. Particularly with valuable materials, it is important to perform inventory in short intervals. Up to now, if you used the cycle counting procedure, inventory was basically performed on a bin basis. The system determined automatically on which storage bins the materials to be counted were stored and included these bins in a physical inventory document.
The cycle-counting procedure at quant level is based on the existing cycle-counting functions available.
In addition to the settings required for the cycle-counting procedure, you must also assign a number range interval (an existing one or a new one) to the quant inventory in the Implementation Guide under the path Maintain Number Ranges (Logistics Execution → Warehouse Management → Activities → Physical Inventory → Maintain Number Ranges).
It is possible to execute cycle-counting inventory at the quant level. In this case, only the quants of the respective material are blocked for the period of the actual inventory counting. This is particular appropriate for storage bins with mixed storage:
The inventory data in this procedure is stored at the quant level. To create physical inventory documents for using the cycle-counting procedure quant by quant and to execute an evaluation, there are two new reports at your disposal: “Evaluation of Quant Inventory” (Logistics Execution→ Internal Whse Processes → Information System → Warehouse → Physical Inventory → Evaluation of Quant Inventory) and „Execution of Physical Inventory Using the Cycle-Counting Procedure Quant by Quant (Logistics Execution → Internal Warehouse Processes → Physical Inventory → In Warehouse Management → Physical Inventory Document → Create → Cycle Counting → Cycle Counting per Quant).
For cycle counting at quant level, you can create a new number range interval. Note that, when you move a quant from one bin to another, the quant in the source bin is deleted and a new quant is created in the destination bin. In this case, the information on the quant inventory is lost since this is stored at quant level, not at bin level.
When you create physical inventory documents, these are created as active during the cyclecounting procedure at quant level. There is no intermediate step as for the inventory procedure at bin level. It is therefore not possible to create documents and then to activate these, for example, only a week later. The quants are blocked immediately since inventory is performed on a bin basis, not on a quant basis. If there were a time delay, the quants could already be stored in another bin and this would then give false results.
When you print out physical inventory documents, you can define in the Implementation Guide whether the storage bin and material numbers should be displayed or not by choosing the activity Define Default Values (Logistics Execution → Warehouse Management → Activities → Physical Inventory → Define Default Values). The cycle-counting procedure ignores these inputs since they are required for inventory. It is not possible to find a different material on the same bin since the search is performed at quant level
SAP WM Related Interview Questions
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Sap Wm Tutorial
Warehouse Management Guide
Warehouse Structure In The Warehouse Management System
Planning And Monitoring
Basic Stock Management
Hazardous Materials Management
Wm Interface To Quality Management
Stock Transfers And Replenishment
Posting Changes In Wm
Putaway And Picking Strategies
Storage Unit Management
Interfaces To External Systems
Mobile Data Entry
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