Setting up a new DC

[Former Member]

Dear GURUS,

I am in the process of establishing a new Distribution Centre for an organisation.  They have outgrown their general warehouse and are relocating finished product to another warehouse - just down the road. 

I am trying to decide on the merits of

1. Setting up a new storage location but linking it to the old warehouse

2.  Setting up a new storage location and a new warehouse

3.  Using the existing storage location and warehouse and just creating some new storage types in the old warehouse to meet the DC requirements.

Does anybody have iany views on the advantages/disadvantages of the respective solutions.

Kind Regards,

Jacque

[former_member182609 · Accepted solution]

I would recommend  go for your second option as you are opening new ware house.So what ever you are keeping production stock to new warehouse.So that you can track entire stock.

  Setting up a new storage location and a new warehouse

Choose which one useful then decide go for option.Check any legal address is required for warehouse for communication any future.Then going for warehouse is best option.

[Former Member · Accepted solution]

What about keeping the same Warehouse and Storage Location and just creating new Bin locations and transfering from old bins to new bins at the new location?  Just curious as I am in the process of trying to figure out the same for my company.   

They would like to keep the same Warehouse number (for Fiance and reporting sake) they don't want to create a new storage location and they want to focus on the bins.   The new Warehouse is much larger and so I would need to create new Bins and map them to the old and then trasfer the product (I've created a LSMW for this).   

I'm not saying this is the right way to do it and I haven't actually tested it all out yet so I'm not sure if it will work yet..... just thought I would throw in my 2 cents....

[Former Member]

Thank you all for your very helpful answers.  I decided to go with just setting up a new storage type since it satisified all business requirements. 

Kind Regards,

Jacqueline

[Former Member]

Hi,

You can define a new storage type in the same warehouse if it satisfies the below reasons,

1. The new location maintains only Finished Goods from the old warehouse.

2. Doesn't have any individual GR and GI. Mostly internal transfers.

3. If the new location doesn't need stock information.

Regards

[former_member588017]

Hi: I always like to think this way: the less quantity of movements in SAP, the better. New storage locations will require additional/unnecesary MM movements I think...My advise without additional information would be a new warehouse linked to the existing storage location....

JFS

[Former Member]

Hi

It can depend on where the control for the new building will be

If the controls (GR GI etc) are in the same place as now I would create a new St Type and create some new strategies to sen the finished goods to that St Type

I would probably do that anyway and there will be no need to change any of the IM config

I hope that this helps

Frenchy