11i Oracle Warehouse

Management Fundamentals
Ed 2
Student Guide

D16446GC20
Edition 2.0
November 2005
D22740

Copyright Oracle Corporation, 2005. All rights reserved.

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Author
Tyra Crockett
Technical Contributors and Reviewers
Lokesh Verma, Jennifer Sherman, Jack Moses Paul Taylor, Madhu Punuganti, Sharma Manda
This book was published using:

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Table of Contents
11i Oracle Warehouse Management Overview.............................................................................................1-1
11i Oracle Warehouse Management Overview .............................................................................................1-2
Objectives ......................................................................................................................................................1-3
Agenda...........................................................................................................................................................1-4
What is a Warehouse? ...................................................................................................................................1-6
Processes of a Warehouse..............................................................................................................................1-7
Additional Product Requirements..................................................................................................................1-8
Warehouse Management Application Hierarchy...........................................................................................1-9
Inventory, Warehouse Management and MSCA ...........................................................................................1-11
Radio Frequency Devices ..............................................................................................................................1-12
Agenda...........................................................................................................................................................1-13
Overview of Inbound Logistics .....................................................................................................................1-14
Reverse Logistics...........................................................................................................................................1-16
Agenda...........................................................................................................................................................1-17
Overview of Outbound Logistics...................................................................................................................1-18
Agenda...........................................................................................................................................................1-20
Value Added Services ...................................................................................................................................1-21
Agenda...........................................................................................................................................................1-23
Storage and Facility Management .................................................................................................................1-24
Agenda...........................................................................................................................................................1-26
Oracle Mobile Applications Architecture......................................................................................................1-27
License Plate Numbers (LPNs) .....................................................................................................................1-28
Nesting LPNs.................................................................................................................................................1-30
Generating LPNs ...........................................................................................................................................1-31
LPN Context..................................................................................................................................................1-32
Material Status...............................................................................................................................................1-37
Subinventory and Locator Material Status ....................................................................................................1-39
Lot and Serial Attributes................................................................................................................................1-40
Cost Groups ...................................................................................................................................................1-41
Cost Group Assignment.................................................................................................................................1-43
Task Assignment ...........................................................................................................................................1-44
Rules and the Rules Engine ...........................................................................................................................1-46
Rules Engine Uses .........................................................................................................................................1-48
Material Allocation Example.........................................................................................................................1-50
Allocation Decision Tree...............................................................................................................................1-51
Rules Setup....................................................................................................................................................1-52
Defining Rules: Restrictions..........................................................................................................................1-53
Defining Rules: Sort Criteria .........................................................................................................................1-54
Defining Rules: Default.................................................................................................................................1-55
Strategies .......................................................................................................................................................1-56
Task Type, Label Format, and Operation Plan Selection Rules ....................................................................1-57
Consistency Requirements ............................................................................................................................1-58
Rules Simulation ...........................................................................................................................................1-59
RFID Technology ..........................................................................................................................................1-60
Labeling.........................................................................................................................................................1-61
Label Types ...................................................................................................................................................1-63
Label Formats ................................................................................................................................................1-65
Assigning Label Types to Business Flows ....................................................................................................1-66
Agenda...........................................................................................................................................................1-67
Summary........................................................................................................................................................1-68
11i Receiving Material with Warehouse Management.................................................................................2-1
11i Receiving Material with Warehouse Management..................................................................................2-2
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Objectives ......................................................................................................................................................2-3
Agenda...........................................................................................................................................................2-4
Overview of Inbound Logistics .....................................................................................................................2-6
Receiving Flows or Routings.........................................................................................................................2-8
Subinventories ...............................................................................................................................................2-9
Locator Types................................................................................................................................................2-11
Receiving Locators ........................................................................................................................................2-12
Document Based Receiving...........................................................................................................................2-14
Item Based Receiving....................................................................................................................................2-16
Agenda...........................................................................................................................................................2-17
Receiving Methods ........................................................................................................................................2-18
Standard Routing Flow..................................................................................................................................2-19
Inspection Routing Receipt............................................................................................................................2-20
Direct Receipt Flow.......................................................................................................................................2-21
Express Receipt Flow ....................................................................................................................................2-22
Express Receipts............................................................................................................................................2-23
Mixed Receipt Routing..................................................................................................................................2-24
Desktop vs. Mobile Receiving.......................................................................................................................2-25
Mobile Receiving Options.............................................................................................................................2-26
Unavailable Mobile Receiving Options.........................................................................................................2-27
LPN Receipts.................................................................................................................................................2-28
Lot and Serial Receiving ...............................................................................................................................2-29
Automated Matching of Received Material...................................................................................................2-30
Automated Matching of Material Received...................................................................................................2-31
Receiving - GTINs.........................................................................................................................................2-32
GTIN Setup ...................................................................................................................................................2-33
Receiving Open Interface ..............................................................................................................................2-34
Quality Vs. Purchasing Inspection.................................................................................................................2-35
Standard Inspection .......................................................................................................................................2-37
Quality Inspection..........................................................................................................................................2-38
Inspection Storage Requirements ..................................................................................................................2-39
Returns...........................................................................................................................................................2-40
Practice - Receiving Material ....................................................................................................................2-41
Solution Receiving Material ...................................................................................................................2-43
Agenda...........................................................................................................................................................2-48
Cost Groups ...................................................................................................................................................2-49
System Assigned Cost Groups.......................................................................................................................2-51
Cost Groups Setup .........................................................................................................................................2-52
Commingling.................................................................................................................................................2-53
Agenda...........................................................................................................................................................2-55
Put Away Rules .............................................................................................................................................2-56
Restrictions and Sort Criteria for Put Away Rules ........................................................................................2-58
Setting Up Put Away Rules ...........................................................................................................................2-59
Setting Up Put Away Rules: Define Rules ....................................................................................................2-60
Setting Up Put Away Rules: Define Strategies..............................................................................................2-62
Setting Up Put Away Rules: Assign Strategies to Business Objects .............................................................2-63
Practice - Creating a Put Away Rule .........................................................................................................2-64
Solution Creating a Put Away Rule ........................................................................................................2-65
Put Away .......................................................................................................................................................2-69
Put Away Load ..............................................................................................................................................2-71
Put Away Drop ..............................................................................................................................................2-72
Put Away Drop - Nested LPN .......................................................................................................................2-74
Item Based Put Away ....................................................................................................................................2-75
Cross Docking Put Away ..............................................................................................................................2-77
Practice - Put Away ...................................................................................................................................2-78
Solution Put Away..................................................................................................................................2-79
Cross Docking to Outbound Staging Flow ....................................................................................................2-84
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Cross Docking to WIP Staging Flow.............................................................................................................2-85

Cross Docking to WIP Issue Flow.................................................................................................................2-86
Agenda...........................................................................................................................................................2-87
Advanced Task Framework (ATF)................................................................................................................2-88
ATF Capabilities ...........................................................................................................................................2-89
ATF Concepts................................................................................................................................................2-90
ATF Example ................................................................................................................................................2-97
ATF Setup .....................................................................................................................................................2-98
ATF Zones : Setup......................................................................................................................................2-99
ATF Operation Plan Setup.............................................................................................................................2-100
Practice - Using Advanced Task Framework ............................................................................................2-101
Solution Using Advanced Task Framework ...........................................................................................2-102
Agenda...........................................................................................................................................................2-109
Implementation Considerations .....................................................................................................................2-110
Agenda...........................................................................................................................................................2-116
Summary........................................................................................................................................................2-117
11i Warehouse Features ..................................................................................................................................3-1
11i Warehousing Features .............................................................................................................................3-2
Objectives ......................................................................................................................................................3-3
Agenda...........................................................................................................................................................3-4
Compliance Labeling.....................................................................................................................................3-6
Warehouse Management versus Partner Label Printing Responsibilities......................................................3-8
Label Printing Components ...........................................................................................................................3-9
Label Formats ................................................................................................................................................3-10
Label Types ...................................................................................................................................................3-11
Setup..............................................................................................................................................................3-13
Registering Label Formats.............................................................................................................................3-14
Assigning Label Types to Business Flows ....................................................................................................3-15
Label Format Assignment Rules ...................................................................................................................3-16
Defining and Assigning Printers....................................................................................................................3-17
Printing Modes ..............................................................................................................................................3-18
Asynchronous Mode......................................................................................................................................3-19
Synchronous Mode - Generic ........................................................................................................................3-20
Synchronous Mode TCP / IP .........................................................................................................................3-21
Practice - Compliance Labeling.................................................................................................................3-22
Solution Compliance Labeling ...............................................................................................................3-23
Viewing Label Requests ................................................................................................................................3-27
Agenda...........................................................................................................................................................3-28
Task Management..........................................................................................................................................3-29
Task Types.....................................................................................................................................................3-30
Setting Up Task Type Rules ..........................................................................................................................3-32
Task Dispatch Engine....................................................................................................................................3-33
Resource Skills ..............................................................................................................................................3-35
Available Equipment and Resources .............................................................................................................3-36
WMS Control Board......................................................................................................................................3-37
Task Status.....................................................................................................................................................3-38
WMS Control Board......................................................................................................................................3-40
Exception Management .................................................................................................................................3-41
Task Setup Steps............................................................................................................................................3-42
Practice - Task Setup .................................................................................................................................3-43
Solution Task Setup................................................................................................................................3-44
Agenda...........................................................................................................................................................3-51
Label Printing Implementation Considerations .............................................................................................3-52
Task Type Implementation Considerations ...................................................................................................3-54
Agenda...........................................................................................................................................................3-56
Summary........................................................................................................................................................3-57
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11i Outbound Logistics ...................................................................................................................................4-1

11i Outbound Logistics .................................................................................................................................4-2
Objectives ......................................................................................................................................................4-3
Agenda...........................................................................................................................................................4-5
Overview of Outbound Logistics...................................................................................................................4-7
Overview of Picking......................................................................................................................................4-9
Sales Order Picking .......................................................................................................................................4-11
Replenishment Picking ..................................................................................................................................4-12
WIP Picking...................................................................................................................................................4-13
Pick Release Process .....................................................................................................................................4-14
Components of Pick Release .........................................................................................................................4-15
Overview of Picking Rules............................................................................................................................4-16
Release Sequence Rules ................................................................................................................................4-17
Pick Slip Grouping Rules ..............................................................................................................................4-19
Release Rules.................................................................................................................................................4-20
Cross Docking ...............................................................................................................................................4-21
Direct Ship.....................................................................................................................................................4-24
Agenda...........................................................................................................................................................4-25
Pick Methodologies .......................................................................................................................................4-26
Picking Rules Order Allocation.....................................................................................................................4-28
Rules Engine Framework ..............................................................................................................................4-29
Rules Definition Directed Picking..............................................................................................................4-30
Allocation Modes ..........................................................................................................................................4-31
Allocation Modes: No LPN Allocation .........................................................................................................4-34
Allocation Modes: No LPN Allocation, Prioritize Pick UOM ......................................................................4-35
Allocation Modes: Allocate LPN and Loose .................................................................................................4-36
Allocation Modes: Allocate Entire LPN Only...............................................................................................4-37
Practice - Creating a Picking Rule .............................................................................................................4-39
Solution - Creating a Picking Rule ............................................................................................................4-40
Practice - Pick Release...............................................................................................................................4-44
Solution Pick Release .............................................................................................................................4-46
Agenda...........................................................................................................................................................4-53
Automated Task Dispatch, Allocation and Assignment ................................................................................4-54
Practice - Picking Execution......................................................................................................................4-55
Solution Picking Execution ....................................................................................................................4-56
WMS Control Board......................................................................................................................................4-62
Agenda...........................................................................................................................................................4-65
Advance Pick Load........................................................................................................................................4-66
Advanced Pick Load Setup............................................................................................................................4-67
Advanced Pick Load Page Setup...................................................................................................................4-68
Advanced Pick Load Use ..............................................................................................................................4-71
Advanced Pick Load Task Setup ................................................................................................................4-72
Advanced Pick Load Menu Setup .................................................................................................................4-73
Advanced Pick Load Exceptions ...................................................................................................................4-74
Advanced Pick Load - Execution ..................................................................................................................4-75
Agenda...........................................................................................................................................................4-76
Catch Weight Description .............................................................................................................................4-77
Catch Weight Benefits...................................................................................................................................4-78
Catch Weight Item Setup...............................................................................................................................4-79
Catch Weight Setup .......................................................................................................................................4-81
Catch Weight Use..........................................................................................................................................4-82
Agenda...........................................................................................................................................................4-83
Consolidation.................................................................................................................................................4-84
Consolidation Setup.......................................................................................................................................4-86
Consolidation Inquiry ....................................................................................................................................4-87
Cartonization .................................................................................................................................................4-89
Packing ..........................................................................................................................................................4-92
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Packing Workbench Flow..............................................................................................................................4-93

Eligible Material ............................................................................................................................................4-94
Mobile Packing..............................................................................................................................................4-95
Packing Workbench and Outbound Logistics................................................................................................4-96
Packing Workbench and Inbound Logistics ..................................................................................................4-97
Packing Initialization.....................................................................................................................................4-98
LPN Pack.......................................................................................................................................................4-99
LPN Unpack ..................................................................................................................................................4-100
LPN Split .......................................................................................................................................................4-101
LPN Reconfiguration.....................................................................................................................................4-102
LPN close ......................................................................................................................................................4-103
Practice - Packing Workbench...................................................................................................................4-104
Solution Packing Workbench .................................................................................................................4-105
DFI and the Packing Workbench...................................................................................................................4-107
Agenda...........................................................................................................................................................4-108
Overview of Shipping....................................................................................................................................4-109
Staging Lanes ................................................................................................................................................4-110
Setting Up Staging Lanes ..............................................................................................................................4-111
Dock Doors....................................................................................................................................................4-112
Setting Up Dock Doors..................................................................................................................................4-113
Staging Lane to Dock Door Relationship ......................................................................................................4-114
Setting Up Staging Lane to Dock Door Relationships ..................................................................................4-115
Staging and Consolidation.............................................................................................................................4-116
Loading and Shipping....................................................................................................................................4-117
Trips and Trip Stops ......................................................................................................................................4-118
Ship Confirmation .........................................................................................................................................4-119
Direct Shipping..............................................................................................................................................4-120
Dock Door Ship .............................................................................................................................................4-121
LPN Ship .......................................................................................................................................................4-122
Quick Ship .....................................................................................................................................................4-123
Shipment Planning.........................................................................................................................................4-124
Dock Door Appointments..............................................................................................................................4-125
Practice - LPN Ship ...................................................................................................................................4-126
Solution LPN Ship..................................................................................................................................4-128
Agenda...........................................................................................................................................................4-129
Implementation Considerations .....................................................................................................................4-130
Agenda...........................................................................................................................................................4-132
Summary........................................................................................................................................................4-133
11i Warehouse Management Case Study ......................................................................................................5-1
11i Warehouse Management Case Study ......................................................................................................5-2
Objectives ......................................................................................................................................................5-3
Beanz n' Leavz Overview ..............................................................................................................................5-4
B&L Financials .............................................................................................................................................5-5
Application Landscape ..................................................................................................................................5-6
Challenges .....................................................................................................................................................5-7
Product Profile...............................................................................................................................................5-9
Customer Profile............................................................................................................................................5-13
Vendor Profile ...............................................................................................................................................5-16
Inbound Process.............................................................................................................................................5-17
Outbound Process ..........................................................................................................................................5-19
Outbound Process ..........................................................................................................................................5-27
Replenishment ...............................................................................................................................................5-28
Accuracy and Counting .................................................................................................................................5-29

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