How to Configure Putaway Strategies in SAP EWM?

In SAP EWM, putaway strategies are the core of the rule engine that determines which location incoming goods are placed in the warehouse. Incorrectly configured putaway strategies cause space inefficiency, stock confusion, and real-time inventory visibility problems. In this guide, we cover Fixed Bin, Open Storage, and Addition to Existing Stock strategies together with SPRO steps, Warehouse Product Master settings, and test scenarios.

The Logic of EWM Putaway Strategy: How Does It Work?

SAP EWM uses the following tiered decision tree when placing goods in the warehouse:

1. Warehouse Product Master (WPM): First checks the material-specific putaway strategy group
2. Storage Type Search Sequence: Tries target storage types in priority order
3. Storage Section Indicator: Determines which section within the storage type to search
4. Storage Bin Search: Finds the appropriate bin based on the strategy rule (fixed, empty, partially full, etc.)
5. Warehouse Task Generation: Once a suitable bin is found, a warehouse task is created

Correctly configuring each of these tiers enables the full use of the flexibility SAP EWM provides compared to WM.

Strategy 1: Fixed Bin

When to Use It?

The Fixed Bin strategy is used when each material needs to be placed in a predetermined, fixed location in the warehouse. It is ideal for warehouses holding serial or slow-moving items, slow-moving materials, and perishable products.

SPRO Configuration Steps

Step 1: Storage Type Definition
SPRO path: SCM Extended Warehouse Management → Extended Warehouse Management → Goods Receipt Process → Strategies → Putaway Strategies → Define Storage Type Search Sequence

In storage type properties, select Putaway Strategy = F (Fixed Bin). This setting instructs the system to look at the fixed bin records in the material’s WPM when creating warehouse tasks.

Step 2: Fixed Bin Assignment in Warehouse Product Master
Transaction: /SCWM/MAT1 (Warehouse Product Master)

Select the relevant material and warehouse number. On the “Putaway Control” tab, assign the Putaway Strategy Group; this group should point to the Fixed Bin strategy defined in SPRO. Then enter the target bin number in the Fixed Bin field.

Step 3: Storage Bin Master Check
Transaction: /SCWM/LS01N

Verify that the assigned bin’s Bin Type and Max Weight/Volume values are compatible with the physical characteristics of the material.

Common Error

A fixed bin is assigned in WPM, but that bin is already occupied by another material. The system throws an error when creating the warehouse task. Preventive measure: Before fixed bin assignment, verify that the target bin is empty or compatible.

Strategy 2: Open Storage (Empty Bin)

When to Use It?

The Open Storage strategy is preferred in dynamic warehouse scenarios where materials can be placed in any empty bin. It is widely used for high-rotation items with frequently changing material entries and in pallet storage areas.

SPRO Configuration Steps

Step 1: Storage Type Putaway Strategy Definition
The SPRO path is the same. In storage type properties, select Putaway Strategy = P (Empty Bin / Open Storage).

Step 2: Bin Type and Capacity Settings
Transaction: /SCWM/LS01N

Bin types (standard pallet, heavy load, etc.) are defined, and maximum weight and volume limits are entered for each bin. The system automatically checks these constraints during warehouse task generation.

Step 3: Sort Sequence Definition
In the open storage strategy, the system scans empty bins in a specific order. Priority can be defined as the nearest empty bin, the lowest-numbered empty bin, or an empty bin in a specific area. This is a critical parameter for optimizing picking distances.

Common Error

Maximum weight/volume parameters are left empty. The system selects any bin and shelf load capacity is exceeded. Preventive measure: Always enter physical capacity values for all bin types.

Strategy 3: Addition to Existing Stock

When to Use It?

This strategy ensures that newly arriving materials are added to a bin where the same material already has stock. It is preferred for efficient use of warehouse space, preventing fragmentation, and stock consolidation.

SPRO Configuration Steps

Step 1: Storage Type Putaway Strategy Definition
In storage type properties, select Putaway Strategy = I (Addition to Existing Stock).

Step 2: Mixed Storage Permission
If different materials are not allowed to coexist in the same bin, set Mixed Storage = No on the storage bin type. If only different lots or batches of the same material are allowed in the same bin, apply Mixed Storage = No + Batch Split = Yes configuration.

Step 3: Capacity Check
When adding to existing stock, EWM automatically checks whether bin capacity is exceeded. If an overrun is detected, the system searches for an alternative bin or throws an error.

Warehouse Product Master (WPM): The Heart of the Strategy

For the putaway strategy to work correctly, the Warehouse Product Master (WPM) must be fully populated. EWM cannot create warehouse tasks for materials without WPM.

Critical fields in WPM:

• Putaway Control Indicator: Which putaway strategy group the material belongs to
• Putaway Strategy Group: Reference to the strategy group defined in SPRO
• Fixed Bin (Fixed Storage Bin): Only populated for the Fixed Bin strategy
• Max. Quantity per Storage Bin: Maximum quantity that can be held in one bin
• Handling Unit Type: Whether the material is transported as pallet, carton, or bulk

During the migration from WM to EWM, preparing WPM records for all active materials is one of the most time-consuming and critical phases.

Test Scenarios

Test 1: Fixed Bin Putaway Test

1. Verify that fixed bin assignment is made for the material in WPM
2. Create an Inbound Delivery Order
3. Initiate the Goods Receipt process
4. Check the warehouse task generated by the system: the target bin must match the fixed bin in WPM
5. Confirm the warehouse task; stock should appear in the fixed bin

Test 2: Open Storage Putaway Test

1. Ensure there are multiple empty bins in the target storage type
2. Perform 2 consecutive inbound transactions for the same material
3. The system should select a different empty bin each time (not addition to existing stock)
4. Verify that bin selection makes logical sense according to the search sequence priority

Test 3: Addition to Existing Stock Test

1. Verify that there is existing stock of a specific material in a bin
2. Perform a new inbound transaction for the same material
3. The system should select the bin with existing stock rather than scanning all bins
4. Also test the bin capacity overrun scenario: the system should find an alternative or throw an error

Combined Use of Strategies: Storage Type Search Sequence

In real warehouse scenarios, a single strategy is not sufficient. EWM allows different storage types to be searched with different strategies in priority order through the Storage Type Search Sequence. For example:

1. First search for an available fixed bin (Fixed Bin)
2. If the fixed bin is full, add to a bin with existing stock (Addition to Existing Stock)
3. If no suitable location is available, place in an open bin (Open Storage)

In advanced goods receipt processes, this multi-layered strategy use maximizes warehouse efficiency and stock accuracy.

Frequently Asked Questions (FAQ)

Can the putaway strategy be differentiated by warehouse process type?

Yes. In EWM, the putaway strategy can be differentiated both at the storage type level and the warehouse process type level. This allows, for example, normal goods receipt and production returns to be managed with different strategies.

Does batch/lot information affect the strategy during putaway?

Yes, especially in the Addition to Existing Stock strategy. Whether different batches are held in the same bin is controlled by Mixed Storage and Batch Split settings. These settings are critically important for businesses with FEFO/FIFO requirements.

What happens if the putaway strategy fails?

If no suitable bin can be found, the system cannot create a warehouse task and the inbound process remains blocked. In this case, the error log can be examined through Warehouse Management Monitor (/SCWM/MON) and a manual bin assignment can be made, or strategy parameters can be reviewed.

Conclusion: Configuration Quality Determines Warehouse Efficiency

Putaway strategies in SAP EWM, when correctly configured, optimize warehouse space, shorten workforce travel distances, and minimize stock errors. A multi-layered structure combining Fixed Bin, Open Storage, and Addition to Existing Stock strategies with the Storage Type Search Sequence meets the needs of most warehouse operations.

MDP Group’s EWM consultants are ready to help you optimize these strategies according to your warehouse’s unique characteristics.

References

SAP Help Portal – Extended Warehouse Management for S/4HANA
MDP Group – SAP WM or EWM? Choosing the Right Warehouse Solution
MDP Group – Migrating from SAP WM to Embedded EWM

Ali Eren Öztürk

SAP EWM/TM Consultant
As a consultant specializing in SAP logistics modules, I provide end-to-end solutions in warehouse operations, shipment planning, and freight cost management processes. I actively participate in system design and integration projects that increase operational efficiency and optimize costs, primarily focusing on SAP EWM and TM.