SAP TM in S4 HANA (Basic and Advanced) Vs LE-TRA

Embedded TM in S/4HANA vs.
LE-TRA
SAP
Public
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© 2022 SAP SE or an SAP affiliate company. All rights reserved. | Public 2

How to use this presentation
Objective:
• Initial comparison of LE-TRA and basic Transportation Management in S/4HANA
• Suggestion how you could use main features of LE-TRA with basic Transportation Management
in S/4HANA
Target Customers:
• LE-TRA customers which want to move to S/4HANA

Preview
• Which LE-TRA capabilities are available in basic Transportation Management and at which
time?
• Comparing processes of LE-TRA and basic Transportation Management
• Upselling chance:
What is the value of full-blown S/4HANA TM compared to LE-TRA?
• Business value of S/4HANA TM compared to LE-TRA
• Further Information on SAP Transportation Management

Transportation Management @ SAP (on premise solutions)
SAP Business Suite:
SAP Business Suite
SAP Business Suite * End of Mainstream

Maintenance 2027 * Mainstream Maintenance depends on the SAP Netweaver components
https://support.sap.com/en/release-upgrade-maintenance/maintenance-information/maintenance-strategy.html
SCM SAP Transportation Management - SAP Transportation Management (last Release SAP TM 9.6)
ERP LE-TRA
- SAP ERP with Logistics Execution - Transportation
S/4HANA Supply Chain for SAP S/4HANA:

Products
Transportation Management
SAP S/4HANA OP
- Supply Chain for Transportation Management

Completely use of all TM features – requires Advanced TM license
Digital Core
- Transportation Management
LE-TRA
** Compatibitily Scope Main features released for basic use of Transportation Management
with no additional engine License
- Logistics Execution – Transportation

** Compatibility Scope planned for 2030
2269324 - Compatibility Scope Matrix for SAP S/4HANA on-premise

Transportation Management in SAP S/4HANA (on premise)
S/4HANA Enterprise Management S/4HANA Enterprise Management S/4HANA Enterprise Management

License View
Basic Transportation Advanced Advanced

Transportation
Basic Shipping Shipping Management Transportation Transportation
Management**
Management Management**
Technical View
SAP S/4HANA Supply Chain for transportation management

S/4HANA code line S/4HANA code line

LE-TRA LE-TRA
Compatibility Scope Compatibility Scope S/4HANA code line
Prior to September 2017 Today Planned long term
**Requires engine license
This is the current state of planning and may be changed by SAP at any time.
Basic Shipping and Transportation Management within SAP S/4HANA (OP)
• Defined collection of business processes relevant for shipping within
SAP S/4HANA Enterprise Management
• The processes can be implemented with SAP S/4HANA Release 1511 with LE-TRA
Product S/4HANA Supply Chain for
and used until end of life of the compatibility scope (Solution Capability: Basic
Shipping) 2269324 - Compatibility Scope Matrix for SAP S/4HANA on-premise
Digital Core Transportation Management

• The main functions of LE-TRA will be eventually replaced with the Transportation
Management functions within SAP S/4HANA Enterprise Management. Due to the
development of the freight processes in Transportation Management, the functions
LE-TRA
might have been realized differently than they did in LE-TRA.
Compatibility Scope It is planned that the processes can be implemented with selected functions of
SAP S/4HANA TM* -> (Solution Capability: Transportation Management).
• Both technical applications are independent of each other and can then be used
next to each other on the same S/4HANA database instance. They have no data
Enterprise Management exchange / integration within the shipping process
• Long term the collection of basic shipping processes will only be realized by using
selected functions of SAP S/4 HANA TM* -> (Solution Capability: Transportation
Management).
• As of the 2020 release Basic Shipping is the name for the LE-TRA compatibility
scope. Basic transportation functionality included in the S/4 HANA license is
*SAP S/4HANA Supply Chain for Transportation Management

Planned
Advanced Transportation Management in SAP S/4HANA innovations
S/4HANA Enterprise Management S/4HANA Enterprise Management S/4HANA Enterprise Management

License View
Basic Advanced Advanced

Transportation Transportation
Basic Shipping Shipping Management Transportation Transportation
Management** Management Management**
Technical View

SAP S/4HANA Supply Chain
for transportation management
S/4HANA code line S/4HANA code line
LE-TRA LE-TRA
Compatibility Scope Compatibility Scope S/4HANA code line
Prior to September 2017 Today Planned long term
**Requires engine license
© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 7

Basic Transportation Management Vs Advanced Transportation
Management
SAP S/4HANA SUPPLY CHAIN Advanced Transportation Management

• Holistic End-to-End Transportation Management
• Order management (delivery integration, order based freight management)
• Planning (e.g. optimized planning, transportation cockpit, automatic carrier selection, order based
planning, driver management)
• Freight execution and monitoring (discrepancies, delivery updates (e.g. GR/GI postings), advanced
dangerous goods exception, new S/4 based output management (planned))
Suite • Freight cost and settlement (e.g. advanced charge calculation, automatic change management process,
group logistics management, dispute management, internal settlement)
Products S/4HANA Supply Chain for • Analytics and reporting via CDS
Digital Core
Enterprise Management
Note: New developed features in S/4HANA Transportation Management may be part of Advanced Transportation Management This is the current state of planning and may be changed by SAP at any time.

Management Advanced Transportation Management
• Shipping and freight-forwarding industries
• Holistic End-to-End Transportation Management
• Early planning based on orders
SAP S/4HANA SUPPLY CHAIN
• Plan combined inbound and outbound deliveries/orders
• Optimized transportation planning
• Peer-to-peer / broadcast tendering
Suite • Advanced charge calculation and freight settlement
• Dispute management
• Support real-time, data driven decision making with CDS-based analytics
Products S/4HANA Supply Chain for
Transportation Management • Strategic freight management
Digital Core
• Shipping industries only
• Delivery-based planning
Enterprise Management • Create freight orders with grouped inbound or outbound deliveries
• Manual and rule-based planning
• Monitor freight orders without Event Management
• Basic charge calculation and freight settlement
Note: New developed features in S/4HANA Transportation Management may be part of Advanced Transportation Management

Management basic
Capabilities LE-TRA basic
Advanced Capabilities LE-TRA Advanced
Transportation Transportation
Management TM Management TM
Delivery based Transportation Management Automated Carrier Selection
Combine Inbound and outbound deliveries Scheduling
Order based Transportation Management Dangerous Goods Management
Manual Planning Charge Calculation
Automatic Planning with Transportation Planning Cost distribution

Cockpit
(incl. VSR Optimizer, Gantt charts, map based planning, Freight Cost Settlement
package building, load planning, scheduling, etc.)
Customer billing for Shipper scenario
Driver Management
Mode specific capabilities for air, ocean, rail planning Self Billing / Credit Memo
Strategic Freight Management (Procurement/Selling) Incoming invoice verification
Group Logistics Management (Future TM) Analytics
Event Management Integration Data Aging
GTS Integration Forwarding Order Management
Tendering Forwarding Settlement
LBN Integration Internal Settlement (Future TM)
ASR – direct integration TM-EWM Interfaces

Which LE-TRA capabilities are available in S/4HANA basic
Transportation
Management and at which time?
LE-TRA capabilities at a glance (1/2)
Available in basic LE-TRA functional

Overall Process LE-TRA Capability Transportation realization in basic
Management Transportation Management
Creating Shipment
Order Management 1709 Equivalent
(combine outbound or inbound deliveries)
Order Management Delivery based shipment creation 1709 Equivalent
Planning Manual Planning with selection criteria 1709 Different
Planning Manual Planning with planning proposals Earliest 2019 Different
Planning Planning with Collective Processing Earliest 2019 Different
Planning Scheduling 1709 Different
Different
*We already use the route
determined from sales order
Planning Routing 2020 based on plant and consignee.
What is not yet done is the
harmonization of SD route and
TM network
Planning External Planning 1809, FSP1 Equivalent

LE-TRA capabilities at a glance (2/2)
Available in basic
LE-TRA process/ functional
Overall Process LE-TRA Capability Transportation
realization in embedded TM
Management
Freight Execution & Monitoring Subcontracting, Direct tendering 1709 Equivalent
Freight Execution & Monitoring Maintaining Deadlines/Events 1709 Equivalent
Freight Execution & Monitoring Status Info 1709 Equivalent
Freight Execution & Monitoring Delivery Split Earliest 1809, FSP1 Different
Freight Execution & Monitoring Dangerous Goods Management 1709 Equivalent
Freight Execution & Monitoring Output Management 1709 Different
Charge Calculation Charge Calculation, Cost distribution 1709 Equivalent
Freight Settlement Credit Memo / Self Billing 1709 Equivalent
Freight Settlement Incoming invoice verification for freight invoices 1709 Equivalent

Comparing processes of LE-TRA and basic Transportation
Management
How do LE-TRA processes work now in basic Transportation Management?
Legend
• LE-TRA stands for the transportation component in Logistic Execution module
• basic Transportation Management stands for the basic functionalities within SAP S/4HANA
Transportation Management module
• The words in yellow means planning only - subject to change.
• The words in blue means that basic Transportation Management has the advantages over
LE-TRA.

Overview of the processes
❑ Basic Settings
❑ Transportation Planning
❑ Shipment Execution
❑ Monitoring Shipments
❑ Shipment Cost Processing
❑ Interfaces
❑ Miscellaneous

Basic Settings
Enterprise Structure
LE-TRA basic Transportation Management

Client
Company Code
Sales Purchase Plant

Organization Organization (Storage Location)
Purchase Warehouse
Distribution Group Number
Division
Channel
Shipping Point
Sales Area
Transportation
Planning Point
Sales Office Sales Group
• In S/4 TM, the organizational structure can be based on the structure of a
connected S/4 ERP system:
• A Company Code is a legal entity & independent accounting unit. – Corporate Organization
– Company Organization
• Sales Organization distributes goods & services. – Sales Organization, Office and Group
• Purchase Organization is responsible for external procurement. – Purchase Organization and Group
– Planning and Execution Organization and Group
• Warehouse Number, Shipping Point and Transportation Planning Point are
organizational units in Logistics Execution. • S/4 TM maps its own Org. Units with S/4 ERP Org. Units through the field
“BSG Org. Unit.”
© 2022 SAP SE or an SAP affiliate company. All rights reserved. | Public • Plant and Shipping Point are created as Locations in S/4 TM 16
Transportation Planning Point
• Planning and Execution Organization is responsible for

• The transportation planning point is an organizational unit, transportation planning.
which consists of a group of employees responsible for
organizing transportation activities. • Purchasing Organization is responsible for procuring the
necessary services from the carriers.
• Derived from Purchasing Organization, Company Code is
enabled on Freight Documents relevant for subcontracting (in
© 2022 SAP SE or an SAP affiliate company. All rights reserved. | Public release 2020). 17
Transportation Relevance
• Shipments do not need to be planned for all deliveries. • Activation of S/4 TM integration for deliveries is
controlled by the combination of Shipping Point,
• The delivery type, the delivery item category, and the
Delivery type and Shipping Condition.
route in the delivery uses transportation relevance to
control whether a shipment can be created or not.

Non-stock Material
• Delivery with non-stock material can be planned • Freight Unit will not be created for the non-stock
in the LE-TRA Shipment. material in the standard system.
• Use BAdI /SCMTMS/BADI_LOGINT_CHG_TTRQ

to change the standard logic and set transportation
relevance for non-stock items.

Information Relevant for Transportation
• Mode of Transport • Transportation Mode (TM specific)
• Shipping Type • Transportation Mode Category
• Location
• Transportation Connection Point
• Shipping Conditions
• Shipping Conditions
• Transportation Groups
• Transportation Groups
• TM Default Route / Transportation Lane
• Route and Route Determination by Transportation Note: LE-TRA route and corresponding objects are removed
Zone / Shipping Condition / Transportation Group / from compatibility scope that allowed the customers to use
Weight Group existing functionalities outside of LE-TRA transportation
functionality.
• Route Schedule
• Road Carrier Schedule
• Material Freight Groups • Material freight groups / Product Freight Groups(SCM Basis)
• Freight Code Sets and Freight Codes • Freight Code Sets and Freight Codes (SCM Basis)

LE-TRA: Route (latest change can be seen on next slide)
• A route is the journey to be covered between a departure point and a

destination point. A route can be defined in great detail and consists of
individual stages, but it can also be a quite general description or even
simple a destination area.
• A route can contain many pieces of information that are important for the
shipment, such as distance, transportation lead time, travel duration,
shipping type, service agent, and so on.
Route Information
• Route determination:
– The system determines the route for each order item.
– The route can be adopted from the order item or redetermined in the
outbound delivery.
– In the shipment, a different route can be entered. This route does not
have to be identical to one of the routes in the deliveries. It is also
possible to transfer the route from the deliveries to the shipment (if it is
the same for all deliveries).
Route Determination

Compatibility Scope for LE-TRA - What is changing?
• LE-TRA Route and corresponding objects are removed from the compatibility scope.
In other words: The customers can use those objects after 2030 in SAP S/4HANA without
Product S/4HANA Supply Chain for
additional license costs.
• That allows the customer to use these objects for existing funcionality in other
applications e.g. scheduling in sales order / stock transport order / delivery, etc.
Digital Core Transportation Management
• Important: All other objects from LE-TRA which are used for the Transportation
functionality will remain in the Compatibility Scope. And cannot be used after 2030.
LE-TRA Route LE-TRA -Transportation
Compatibility Scope This would primarily be the shipment document + shipment cost document and all
corresponding objects / customizing / master data / interfaces.
• The LE-TRA Route in SAP S/4HANA is no strategic object:

SAP does not plan further innovations for those objects. As well no integration into new
Enterprise Management innovations e.g. Product Compliance.
In particular no integration into SAP S/4HANA Supply Chain for Transportation
Management is available or planned.
• The strategic GO-TO solution for an integrated, TM based scheduling for sales order /
deliveries is on the SAP S/4HANA Roadmap:
The new Sales Order Scheduling which allows to plan via the TM Freight Unit.
*SAP S/4HANA Supply Chain for Transportation Management

basic Transportation Management: Default Route
• A default route defines a location sequence for a given

source and destination, which can be locations or zones.
• For a transport from a source to a destination, the default
route serves as a template guiding the transportation
through the network. For example, for the intermodal
transports, default routes can predefine the sequence of
transhipment locations.
Default Route defined in S/4 TM
• In the default route, you can specify the transportation
mode, carrier, and so on, for each transportation stage.
• During freight unit building, freight unit stages can be
automatically generated based on a default route. Then the
freight unit stages are created according to the default
route’s location sequence.
Default Route applied in the Freight Unit

basic Transportation Management: Transportation Lanes
Distribution
Center Transportation Lanes
• Transportation lanes describe the reachability of locations within the

transportation network. A valid transportation lane indicates that the
destination can be directly reached from the source with certain
means of transport and certain carriers. Location Customer
• A transportation lane can be maintained between:

– Two locations Supplier
– A location and a transportation zone

– Two transportation zones Transportation
Zone
– A transportation zone itself

• Information assigned to a transportation Lane:
– Start location and destination location
– Means of transport
– Carrier per means of transport

Transportation Lane defined in S/4 TM
Partner Determination
• To define the rules that should be used to perform • To enable the system to automatically determine the
automatic partner determination. business partners in different business document types.

Transportation Planning
LE-TRA: Creating Shipments
• Shipments are collections of inbound or outbound deliveries that are

shipped together, according to different grouping criteria.
• Transportation-relevant information is stored for each order item, as
agreements made with the customer regarding the shipment. The same
data can be defined in the header of the delivery document.
• The transportation-relevant information is copied from the order to the
outbound delivery header, and thus provides the split criteria for outbound
deliveries. Copying Transportation-Relevant Information
• The transportation-relevant information can be used as selection criteria

when creating shipments. The information can also be copied from the
outbound deliveries to the shipment, if it is unique.
• System contains different options for creating shipments:
– Manual creation using the “create shipment” function (TA: VT01N)
– Use a collective processing run to create shipments automatically
– If the shipments are created and optimized by an external
transportation planning system, you can link this to the ERP system
with an interface.
Options for Creating Shipments

LE-TRA: Manual Planning
• Create shipments by combining outbound or

inbound deliveries
• Manually plan deliveries that are chosen using

different selection criteria. Define selection variants
to simplify the selection procedure
• Selected delivery documents are listed in the

shipment screen. Manually assign shipments.
LE-TRA shipment screen
• Manual shipment creation with planning proposal:

– Select deliveries due for transportation manually
– Combine selected deliveries in shipments
– Change or edit the created shipments manually before
saving

basic Transportation Management: Freight Order Creation
• Plan a Freight Order by

assigning Freight Units.
Freight Unit can either be
derived from outbound or
inbound deliveries. (No
combined inbound and
outbound delivery.)
• Manually plan via personal

worklists (POWL).
• System default Freight

Order type will be applied.
• Choose selection criteria

via query

basic Transportation Management: Planning
• Pre-defined Layout (Minimized Working Interface) of Freight Unit and Freight Order view only

Insert additional Capacity Document into Planning Screen
• Insert additional shipment into shipment delivery • In a Minimized Working Interface

planning screen – ‘Insert’ button can add additional Freight Orders /
Freight Bookings
– Button ‘Shipments’ (Ctrl+F7) can select and add
– ‘New’ button can create new Freight Orders / Freight
further shipments into the screen Bookings. Freight Order type is defaulted as the
– Button ‘New Shipment’ can create a new shipment definition in the Planning Profile and can be manually
document overwritten.

Move DeIiveries
• Move deliveries from one shipment to another via: • Freight units can be moved from one freight order to
another in a Minimized Working Interface via:
– Drag and drop
– Drag Freight Units to another Freight Order
– Using functions in TA VT01 / VT02
– Drag Freight Order to another Freight Order
– Re-sort functionality
– Select Freight Units and Freight Order, then choose
‘Reassign’ button

Remove DeIiveries from a Shipment
• To remove a delivery from a shipment: • Delete the Freight Units from the Freight Order
– Drag and drop
– Use button ‘Remove delivery from shipment’

Subsequent Delivery Split in Shipments
• The split can be carried out in outbound deliveries • The delivery split can be done in S/4 ERP and trigger the
required changes in S/4 TM
• The delivery split could also take place during loading • The delivery split and update can also be triggered by S/4
or transportation planning. The system automatically TM based on planning changes. Partial quantities of the
generates further outbound deliveries for the split Freight Unit items can be manually split to create new
quantities when saving the shipment Freight Unit. If Freight Units of a delivery are planned on
different Freight Orders with respect to their first or last
stage, an automatic delivery split will be triggered in S/4
ERP after relevance check.
Creating Shipment Documents for Individual Deliveries
• To create one shipment document for each delivery • Set up the freight building rule to ensure 1 v.s. 1
relationship between delivery and Freight Unit
• Create multiple Freight Orders for the selected Freight
Units

LE-TRA: Planning with collective processing
• From shipment screen select deliveries and create

desired shipments based on specific rules
• Specify rules determine:

– type of shipments
– selection of deliveries
– creation of the shipments: grouping deliveries, data and
options etc.
• Determine sort order of the deliveries within the

shipments and consequently the itinerary (sort order
through leg determination)
• Within collective processing, you can also define a

transportation chain consisting of multiple shipments to
be created. For example, all selected deliveries are
grouped together into main leg, preliminary and
subsequent leg shipments.
LE-TRA: Manual Shipment Creation with Planning Proposal
• The process is that first select the deliveries manually, then

choose the planning proposal, which engages the system
to automatically combine the selected deliveries in the
shipment and complete them with data.
• Unlike Collective Processing, you can change or edit the

created shipments manually before saving.
• The planning proposal arises from a planning profile saved

in Customizing.
• The profile variants is shared for planning profile and

collective processing, as the planning profile is regarded in
technical terms as a variant of Collective Processing for
creating shipments.

basic Transportation Management: Automatic Planning
• To create the report to adopt standard methods for the creation of Freight Orders/Freight
Bookings after defining the rules how deliveries (Freight Units) are to be grouped together
(either in the foreground or background). Need two options: save directly after the report run,
and have an intermediate result display so that user can edit and save manually.

Automatic Leg Determination according to the Itinerary
Leg Determination Category 1
• The goods are sequentially picked up at the shipping • Sequence of Freight order stages is “Defined and Linear”
points and sequentially delivered to the ship-to parties. – By default, stop sequence are automatically determined
– The itinerary is derived from the sort sequence of the according to the shortest route (via heuristic ABAP
deliveries in the shipment document program).
– The sequence can be changed in a dialog box
– No intelligent route determination with geographic
optimization
Automatic Leg Determination for preliminary and subsequent leg
Leg Determination Category 2 & 3
• Non-linear stage FO cannot be created via planning

(manual and automatic)
• Leg determination 2 & 3: Preliminary leg per loading

point, subsequent leg per ship-to party.
• When there are several points of departure, a
preliminary leg is created for each point of departure,
which links the point of departure to the beginning of
the main leg.
• Similarly when there are several destination points
Transportation Chain in a single shipment
Leg Determination Category 2, 3, 4
• Leg determination categories 2,3,4 can form a Different objects of Freight Orders / Freight Bookings for
transportation chain to be illustrated in a single shipment. varied transportation mode, e.g. road, rail, air and ocean.
• Limitation that the outputs (also the shipping units, texts, We have different modelling concept: need to create a set
dates, etc.) must be defined for the whole shipment. of FOs / FBs to represent the transportation chain, that’s
how S/4 TM model the multi-modal transportation.
• Recommend to use several shipments of the separate
legs to form a transportation chain. For automatic creation of the set of documents, please
refer to slide 35.
Create Transportation Stages manually
• Entering stages manually in the shipment document • Freight Order stages can be maintained manually
– Leg – Insert new stages
– Load transfer point – Merge the existing stages
– Border crossing point – Remove stages

Assignment of DeIiveries to Stages
• The deliveries in a shipment may only to be assigned • The assignment is automatically determined in the
to a few rather than all stages of the shipment stage details of the Freight Order.
– The system analyzes the point of departure and
destination for each delivery, one after the other.
– The system then looks for the legs that connect
these two locations.

Scheduling
• The system determines the LE-TRA Route • The Freight Unit contains the start location
for each order item (sales order / stock derived from plant and destination location
transport order).* derived form consignee
• The LE-TRA Route can be re-determined in • The Freight Unit contains delivery date
the outbound delivery. The shipment can
• During scheduling, the system considers a set
adopt the route from the delivery or a route
of constraints, to adjust the departure and
can be manually entered. *
arrival dates/times in the Freight Order and
• System can propose planned deadlines for determines the loading/unloading dates/times
for the related Freight Units
individual shipment activities. They are
copied from the outbound deliveries • ABAP scheduler can be used for Freight
belonging to the shipment via copy routine Order scheduling in basic Transportation
*Note: LE-TRA route and corresponding objects are removed from compatibility Management(release version 2020 onwards)
scope that allowed the customers to use existing functionalities outside of LE-
TRA transportation functionality.
Assigning Service Agents in the Shipment Document
• Service Agents can be maintained in the shipment: • Carrier can only be maintained at the header level of
– At header level the Freight Order.
– At stage level • Different Executing Carriers can be maintained at the
stage level in rail Freight Order, but not possible in
other types of Freight Orders. It is not a gap due to
© 2022 SAP SE or an SAP affiliate company. All rights reserved. | Public different modelling concept in S/4 TM. 55
Tendering for Service Agents
• A created shipment can be subcontracted and offered • To use direct tendering process to send a road Freight
to a service agent. Order directly to a specific carrier without creating a
freight RFQ.
• Shippers and service agents communicate for the
shipments acceptance, rejection and further
information if necessary.
Automatic Assignment of the Service Agent
• Route can be transferred from the deliveries to the • Via the default route, the carrier can be determined to the Freight
Unit stage, and taken over to the Freight Order after Freight Units
shipment (if it is the same for all deliveries). When the
assignment in the freight order.
status is set to “planned” in the shipment document,
the route and some other information, e.g. service • S/4 TM randomly chooses one if there are multiple applicable
default routes. Implicit enhancement can be done in the method
agent, are copied. VSR_ROUTE_DEF_POST of class /SCMTMS/CL_SCH_PLN to
© 2022 SAP SE or an SAP affiliate company. All rights reserved. | Public include decision parameters such as zones, shipping condition
57,
transportation group and weight.
Mass changes
• Mass changes enables to change the data in several • Select multiple Freight Orders from the POWL and
shipment documents at once apply Mass Change
• Select the shipments required according to certain
criteria and make the changes at header level

Packing in the Shipment Document
• The packing hierarchy, which is setup in the delivery, is • S/4 handling units can be integrated to create the packaging
continued in the shipment document. information in S/4 TM (as package items).
• Delivery items packed into crates and loaded on pallets can be • Further package items can be created in Freight Unit, Freight
packed into containers and loaded on trucks in the shipment Order.
document. • Cross delivery package items can be supported manually.
• Cross delivery handling units is supported.
Delivery Item Generation in the Shipment
• Packaging material are mostly cost items and are • If an ASN is received with the packaging material, it
managed as stock. For goods receipt from supplier is possible to automatically create the packaging
and goods issue to customers, it is important to material in the freight unit and in the corresponding
generate delivery items for the packaging materials LE inbound delivery (when the customizing is
so that these can be seen in the delivery note,
posted in stock, and then invoiced as required. done).
• System can automatically generate separate

delivery items for packaging materials that are only
yet in planning for the shipment.
• Some information:
– Delivery items generated from packaging materials are not updated if
there is a change to the handling unit(plant, weight , and son on).
– Generated delivery items are deleted only if the handling unit is deleted
– The generation of packing materials in deliveries already posted for
goods issue is not possible.
– Any change in the HU content does not affect the generated item, even
if the new contents do not have any reference to this delivery.
– For technical reasons, the delivery update can only be called up during
the update of the shipment. Issuing a log is no longer possible at this
point.

Maintaining Texts in the Shipment Document
• Texts are maintained manually at header level in the • Texts are maintained on the Notes tab page in the
shipment document. Freight Order.

Output Control
• The Logistics Execution application uses output • S/4 TM uses output management to print, fax, email
control for printing and interfaces. documents and sending information via EDI.

Dangerous Goods Check
• The dangerous goods check applied is part of the • The system checks dangerous goods in different ways
standard dangerous goods management package in and at different process steps to ensure safety
the SAP System. precautions are observed.
• The check happens automatically or can be initialed • The system also prints the required dangerous goods
manually. information if required settings is made.
Completing Transportation Planning
• The status ‘Ready for Transportation Execution’ can be

• You can set the Planned status in the shipment header manually set in the Freight Order.
after completing all the necessary planning activities. • The system runs condition check of readiness for
• The shipment document is then ready for shipment starting transportation execution.
completion.

Shipment Execution
Activity Profiles
• With the activity profile, when you set the • Status ‘Ready for Execution’ can be checked
via condition.
status of a shipment document, the system
executes activities and check for certain • Goods movement (GI / GR) of deliveries can
data automatically. be automatically triggered when a
customizable expected event is set in the
• Possible activities include: Freight Order.
– Add to the data in the dialog box for completion
• Automatic charge calculation can be enabled
– Post goods issue for the deliveries when saving the Freight Order.
– Calculate the shipping costs
• Print documents via PPF output profile with
– Create invoices for the deliveries in the condition check.
shipment
– Print certain outputs • Might be technical feasible to check fields
completion, billing creation with PPF methods.

Setting a Status
• When transportation activities such as planning, • When transportation activities such as planning,
checking in, and loading are finished, you can set a departure/arrival, and loading/unloading are finished,
status you can set a status

Tracking Events
• Recording planned and actual deadlines for planning, • Events and actual event dates are executed manually
checking, loading, shipment start, shipment end at in the Freight Order Execution tab.
header level of shipment
• When Freight Order Execution Status is set, the
• Planned data taken from deliveries related event will also be derived automatically.
• Actual dates are executed manually or coming from
Eventhandler

Posting Goods Issues for Shipments
• The system can automatically selects all the deliveries • Trigger goods movement (GI / GR) of deliveries when
belong to the shipment and then posts goods issue for expected event is set in the Freight Order.
them.

Monitoring Shipments
Shipment Information in List Form
• Different list types for shipment processing: • Query, filtering and personalizing the Freight Orders
– Transportation planning list Worklist
– Utilization list
• Tendering Worklist
– Free capacity list
– Tendering status list • Freight Orders can be queried via administration data of
– Check-in list ‘Changed By’ and ‘Changed On’.
– Shipment completion list
– Change list
Graphical Shipment Information
• The information of the itinerary or the transportation • Predecessor and successor documents are displayed in
network for the shipment can be displayed graphically the tab ‘Transportation Dependencies’ of the Freight Order.
or in the list form. • The list of stops for a Freight Order is displayed in the tab
• Further details can be shown for selected objects. ‘Overview’.
• This information can be called up from within the • ‘Cross-Document Time Conflicts’ can be checked in the
order, the delivery or the shipment. Freight Order.
Transport Execution Monitor
• To monitor the processing status of shipment • Personalization settings in the Freight Orders Worklist
documents for a specified time span.
• To provides an overview of how much potential work is
required based on the number of shipment documents.

Shipment Tendering Status Monitor
• To monitor the tendering status of shipment • Personalization settings in the Tendering Worklist
documents for one or more transportation planning
points.

Transportation Information System (TIS)
• Various analysis and statistics on shipments

– General shipment characteristics
– Shipment routes • Personalization settings in the Freight Orders Worklist
– Means of transport
– Transportation shipping data
– Stages of shipment
– Transportation Material
Displaying Transportation Change Documents
• If an existing shipment is changed, a change • All changes made to a Freight Order can be viewed on
document is created when those changes are save. the tab page “Change Documents”

Shipment Cost Processing
Shipment Cost Document
• Shipment Cost Document • Freight Settlement Document

– Create individually from front end – Create individually from Freight Order
– Collective processing online – Create from Freight Order worklist (multi-selection)
– Collective processing in Background – Create Freight Settlement documents via background
processing
Shipment Cost Type and Item Category
• Shipment Cost Type • Freight Settlement Document Type

– Number ranges – Number ranges
– Status requirements of the shipment document – Multiple FSDs can be created for one FO to
for creating a shipment cost document split the charges.
• Shipment cost items • Charge calculation level

– Refer to shipment header – Calculation at header level
– Refer to shipment stage – Calculation at stage level

Shipment Cost Calculation
• Pricing procedure determination • Freight Agreement determination
• Pricing procedure • Calculation Sheet (TCCS)
• Condition type • Charge Type
• Condition tables and condition records • Rate table
• Scale • Scale
• Calculation base • Calculation base & resolution base
• Multidimensional shipment rates (max. 3 scales) • Rate table with up to 3 scales

Consistency Check for Freight Costs
• Check certain settings in the price determination • Consistency check during charge master data
control for consistency. A warning message will maintenance.
be issued if an inconsistency found:
• Consistency check and veto for freight agreement
– Check for all condition types: Do the access
release.
sequences and calculation base match?
(Condition tables stored in the access
sequence must not contain any fields that are
not known for the calculation based used.)
– Check for all pricing procedures: Is at least one
condition type entered whose calculation base
is not ‘’? (Otherwise, no shipment costs
subitems can be created.)

Additional Functions in Shipment Cost Calculation (
82)
• Shipment Comparisons • Line item selection of “Compare High/Low Value”
• Break Weight • Break-Weight calculation method
• Representing Geographical Aspects • Different calculation bases

– Distances – Actual Distance, Aerial Distance
– Location and Zones (address data & tariff – Source/Destination Location, City, Region,
zone) Country, Postal Code, Transportation Zone, etc.
• Pricing date & Settlement Dates • Calculation date & Settlement date
• Tax Countries • S/4 TM enables tax code determination and

calculation in S/4 ERP via condition types for tax

Additional Functions in Shipment Cost Calculation (
83)
• Bulky Goods and Minimum Weights for shipping • Calculation rule with volume and minimum value,
units or with condition
• Bulkiness Factor • Dimensional weight profile and chargeable weight
• Freight Codes and Freight Classes • Product freight group; Commodity code

Freight Cost Estimate
• The transportation planner can execute a freight cost • Charges are calculated in the Freight Order and
estimate during shipment processing. displayed on the tab ‘Charges’

Shipment Cost Document List: Calculation and Settlement
• Calculation list: shipment cost documents which have • Freight Settlement worklist
not yet been completely calculated or if you still have
questions regarding calculation.
• Settlement list: shipment cost documents which have
note yet been completely transferred.
Scales List
• Gain an overview of which scales already exist for • Scales worklist

master data, in case these are needed.

Shipment Cost Settlement with Service Agent (
87)
• Freight settlement integration with standard SAP

• Account Assignment
S/4HANA Financial Accounting via objects mapping:
– G/L account determination in Financial – Assign freight settlement document information to
Accounting purchasing information in MM, in order to create
– Assignment for Cost Accounting purchase order in purchasing
– Assign charge type information to a service master
record and an account assignment category used
for posting in Financial Accounting
• Mapping for Cost Distribution:

– Activate freight cost distribution to the order/delivery
item
– Assign charge types to condition types
– Posting to SAP S/4HANA ERP using Settlement
Management (earlier version Agency Business
Document)

Shipment Cost Settlement with Service Agent (
88)
• Transfer to Financial Accounting • Posting freight settlement document to S/4 ERP,

– Purchase order determination freight settlement document is with status
‘Accruals Posted’ after S/4 ERP successfully
– Creation of the service entry sheet
created the PO and SES.
– Accrual establishment
• Standard invoice creation in S/4 ERP
– Self-billing (ERS procedure)
• Invoice creation
– Manual Invoice verification
– Credit memo procedure (ERS procedure)
– Manual Invoice verification

Shipment Cost as delivery cost
• Delivery costs can be considered for both • Perform cost distribution at the level of ERP item in
standard purchase orders and stock transfer the freight settlement document.
orders.
• In case of inbound transportation, use S/4 ERP
• The determined shipment costs are not directly customizing settings to specify the type of posting
transferred to the accounting department, but are as material valuation for the distributed cost.
included in the MM goods receipt document and
added to the respective material. • The distributed freight cost will flow back to your
material level for the purpose of material valuation.

Transferring Shipment Costs to Accounting
• Select the Transfer indicator and save the shipment • Posting to S/4 ERP from freight settlement document.
cost document. • Posting from freight settlement worklist.
• Transfer freight settlement documents via background
processing.

Billing Shipment Costs to the Customer
• To bill the customer for the actual shipment costs • Create the Freight Settlement document out of the
based on effective shipment cost calculation. The Freight Order with active cost distribution to the
freight costs appear as additional entry in the delivery items.
customer billing document.
• If the SD billing process is enabled for the delivery
• Shipment costs that are calculated from the items, the system takes the distributed cost from
delivery items in the shipment cost document are S/4 TM into account when it creates the billing
assigned directly to their corresponding billing document for the deliveries in SD.
document items. Costs that are based on other
factors, for example, the shipment cost items, • Transportation costs are now part of the billing
are distributed among the billing document items document and can be invoiced to the customer.
according to the proportional weight of the
delivery items.

Shipment Costs in the Sales Process
• To have a rough idea of the shipment costs when

the sales order is created, in order to give
customers relevant information or to compare
different transportation options.
• As in normal situations no deliveries, shipments

or shipment cost documents exist at this point,
simulated version of them can be “created” in the
background to enable to calculate shipment
costs based on these documents.

Interfaces
1. External Transportation Planning Systems
2. Transportation Planning in Cooperation with Forwarding Agents
3. Shipping Notification
4. Using Express Delivery Companies
5. Communication via Internet
External Transportation Planning Systems
• Interface from LE-TRA to TPS • Architecture decision not to support IDoc any longer.
– Transmission of location master data (IDoc
• S/4 TM Web Service for the Freight Units and
TPSLOC01 or TPSDLS01)
Freight Orders
– Transfer of deliveries (IDoc TPSDLS01)
– Exchange Transportation Demand (Freight Unit
– Transfer of status values for planned shipments Out)
(IDoc TPSSHT01)
– Receive Consolidated Load (Freight Order In)
• Interface from TPS to LE-TRA – The entire communication is based on the
– Transfer of planned shipments (IDoc TPSSHT01) technical web service
TransportationOrderGenericRequest_Out/_In.
– An exchange of error status (IDoc SYSTAT01)
• For the master data transmission, Web Service
planned for Internal ID / External ID mapping, and
Standard ID registration.

Transportation Planning in Cooperation with Forwarding Agents
• Forwarding agent can principally work like an external • Architecture decision not to support IDoc any longer.
TPS. The shipper transfer the deliveries to the
forwarding agent; the forwarding agent groups these
• S/4 TM Web Service for the Freight Units and
deliveries in his own system and then transfer the
planned shipments to the shipper’s system. Freight Orders
– Exchange Transportation Demand (Freight Unit
• Shipper sends deliveries to the forwarding agent: Out)
– Plan/change/deallocate deliveries (IDoc TPSDLS01)
– Receive Consolidated Load (Freight Order In)
– Add/change location master data (IDoc TPSLOC01)
– The communication is based on the web service
– Set transportation planning status (IDoc TPSSHT01)
TransportationOrderGenericRequest_Out/_In.
– Status information about errors (IDoc SYSTAT01)
• For the master data transmission, Web Service
• Forwarding agent transmits the planned/rejected
shipments and changes back to the shipper: planned for Internal ID / External ID mapping, and
Standard ID registration.
– Create/change/delete shipment (IDoc TPSSHT01)
– Status information about errors (IDoc SYSTAT01)

Shipping Notification
• Notification by the vendor to the recipient regarding • Architecture decision not to support IDoc any longer.
the pending arrival of goods shipped or about to be
shipped. It contains the anticipated delivery date, • Advanced Shipping Notification interface
quantities, and details of the material (or service).
• The communication is based on the web service
• A shipping notification can be sent in the form of an TransportationOrderGenericRequest_Out/_In.
EDI message.

Using Express Delivery Companies Overview
• Modelling the special requirements of express • Enable the carrier to transport parcels from a
deliveries using express delivery companies, shipping point to several consignees.
includes: – Create parcel shipments in SAP TM based on
– Information specific to the service agent deliveries from an ERP system.
recorded in the delivery, refers to the entire – Select a direct shipment option for
delivery or to the individual parcels. the parcel shipment. (The direct shipment
– Printing out special labels with the required option involves selecting a carrier with the
information. relevant transportation services while taking
– Creating the manifest / delivery list (EDI using into account the applicable charges.)
standard IDocs and day-end closing) – Creating the manifest for each shipping
– Parcel and status tracking (access information location, carrier and service product with the
directly from the express delivery company via parcels (Freight Units) assigned.
the Internet) – Plan, execute and track the transportation of
shipments to the consignees.
Process of outbound delivery using Express Delivery in LE-TRA
▪ If an express delivery company is specified in the

outbound delivery, the system automatically loads the
information from the data stored for that company,
includes the tracking number, routing information, and
the service code and product codes.
▪ The shipper informs the ship-to party of the tracking

number and any other information relevant to the
express delivery.
▪ The shipper also has the option of creating a shipment

document containing all the deliveries for a particular
express company (manifest).
▪ Both the shipper and ship-to party can monitor the

tracking status at any time using the tracking number
and Parcel Tracking.
▪ The data for the express delivery companies are

maintained in the Express Delivery (XSI) Cockpit.

Parcel Process in basic Transportation Management
▪ When the outbound delivery is saved with Handling Units
(one Handling Unit representing one parcel), the basic
TM system automatically creates one Freight Unit
mapping to one Handling Unit (parcel).
▪ Meanwhile, the system will rank the carriers using Direct

Shipment Options process (the detailed steps for DSO
are in the slide notes). The carrier can be selected
automatically or manually according to the configuration.
▪ A new manifest is then created for each shipping

location, carrier and service product with the parcels
(Freight Units) assigned. Technically, the manifest is a
freight order with a special type. In the real business
world, it‘s a document recording the parcel handover to
the express companies.
▪ The Tracking Numbers are assigned to each shipment

and parcels in the manifest.
▪ From TM 9.1, output templates are delivered for labels

and a Parcel Manifest.
▪ For Parcel Freight Orders, the Shipment is used for

calculating charges, if in the profile the calculation level is
defined as ‚item‘.
Communication via Internet
• Tendering shipments for service agents The following features will be available in basic
Transportation Managementif they’re used via Logistics
• Tracking information monitor Business Network (subscription license) :
– A simple tracking for monitoring the shipment status
between the shipper and the forwarding agent • Shipment Tendering - Direct Tendering
• Transportation planning by the forwarding agents • Carrier Response to spot bids via LBN Integration
through the Internet
– Shipper offers deliveries to the forwarding agent • Carrier Invoice submission and Dispute Management
through a Web interface via Integration with LBN
– Forwarding agent receives a list of deliveries
– Forwarding agent sets up shipments and transmit • Integration to Global Track & trace
the planned shipments to shipper
• TM Supported Invoice Verification Transactions
– Shipper decides whether to accept the planned
shipments or to offer the deliveries to another
forwarding agent
Miscellaneous
Multi-level goods receipt (IS-A-GR)
• Goods receipt is usually based on the inbound • In Advanced Shipping and Receiving (delivery
delivery or inbound shipment in the automotive based FU only), you post goods movement at the
industry, when the goods are not procured using warehouse unloading stop level in freight order.
the JIT process. The system triggers goods receipt by the
warehouse. After the warehouse has successfully
• The first step in the multi-level goods receipt processed the request, the system updates
goods receipt process is to compare the shipping the goods movement status in freight order
documents with the data received by EDI and to Completely Processed. If the posting
make any corrections or additions. The second of goods movement by the warehouse is not
step involves the comparison of the packages successful, the system displays
and quantities received with the delivery notes, the goods movement processing
making any corrections, and then posting goods status Posting/Cancellation Failed.
receipt.
LE-TRA integration with EWM
• LE-TRA can be integrated with SAP EWM: • Currently under investigation:

– IDoc communication between SAP ERP and It is planned to get an exception for EWM for the
EWM, sending and receiving SHPMNT05 and usage of SHPMNT05 for that specific IDOC
TPSSHT01 communication.
– Mapping between ERP shipment number and ECC System SAP S/4HANA EWM embedded
EWM external TU or vehicle number LE-TRA

Shipment
object
LE-TRA SHPMNT SHPMNT EWM-
Shipment IDOC IDOC Transportation
object Outbound Unit
Inbound
SHPMNT SHPMNT
IDOC EWM-
IDOC Transportation
Inbound Outbound Unit
NO LE-TRA Customizing
needed EWM has an own
customizing for this
integration
System Modifications and Business Add-Ins
• Business Add-Ins in Transportation: • There are around 219 BADIs in different areas of
– BADI for saving shipments S/4 TM version 1909:
‒ BADI for checks when creating a shipment cost ‒ Master Data
document ‒ Basic Functions
‒ BADI for creating a shipment cost document ‒ Freight Order Management
‒ BADI for shipment cost account assignment ‒ Planning
‒ BADI for checks during shipment cost ‒ Settlement
processing ‒ Integration
‒ BADI for transferring shipment cost items
‒ BADI for saving shipment cost documents
‒ BADI for the purchase order item determination
Business value of S/4HANA TM compared to LE-TRA
S/4HANA Supply Chain for Transportation Management – Value
▪ Cut down manual processes in planning

(fully automated planning, carrier selection, tendering), freight capacity
procurement, freight status monitoring and freight invoice verification
▪ Optimized transportation planning ensuring cost and resource optimization
meeting service levels and all transportation constraints – including load plan,
Reduced Freight spend and freight consolidation and package building
improved service levels ▪ Optimized carrier selection ensures optimized carrier capacity utilization and
lower costs
▪ Optimal freight cost negotiation and freight contracts with simulation and what-
if analysis
▪ Reduction of expedites and overheads through real-time transportation status
monitoring
▪ Real-time shipment and order status visibility through integrated freight

E2E transportation visibility execution tracking and event reporting, map-based tracking
and quicker data insights
▪ Freight cost and order visibility through extensive real-time analytics
S/4HANA Supply Chain for Transportation Management – Value
▪ Through real-time status visibility and alerting

Better respond to changes ▪ Dynamic re-planning capabilities
▪ Realtime integration with warehouse enabling faster processing of orders
Improved Usability and Lower ▪ Improved user experience, administration, and advanced planning tools
TCO (using map based planning, Gantt chart, load planning)
Thank you.
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Embedded TM in S/4HANA vs.

© 2022 SAP SE or an SAP affiliate company. All rights reserved. | Public 2

• Initial comparison of LE-TRA and basic Transportation Management in S/4HANA

• LE-TRA customers which want to move to S/4HANA

© 2022 SAP SE or an SAP affiliate company. All rights reserved. | Public 3

• Comparing processes of LE-TRA and basic Transportation Management

• Business value of S/4HANA TM compared to LE-TRA

• Further Information on SAP Transportation Management

© 2022 SAP SE or an SAP affiliate company. All rights reserved. | Public 4

SAP Business Suite * End of Mainstream

S/4HANA Supply Chain for SAP S/4HANA:

- Supply Chain for Transportation Management

- Logistics Execution – Transportation

© 2022 SAP SE or an SAP affiliate company. All rights reserved. | Public 5

S/4HANA Enterprise Management S/4HANA Enterprise Management S/4HANA Enterprise Management

Basic Transportation Advanced Advanced

SAP S/4HANA Supply Chain for transportation management

S/4HANA code line S/4HANA code line

Compatibility Scope Compatibility Scope S/4HANA code line

Prior to September 2017 Today Planned long term

**Requires engine license

Digital Core Transportation Management

*SAP S/4HANA Supply Chain for Transportation Management

Advanced Transportation Management in SAP S/4HANA innovations

S/4HANA Enterprise Management S/4HANA Enterprise Management S/4HANA Enterprise Management

Basic Advanced Advanced

SAP S/4HANA Supply Chain for transportation management

Compatibility Scope Compatibility Scope S/4HANA code line

Prior to September 2017 Today Planned long term

**Requires engine license

© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 7

SAP S/4HANA SUPPLY CHAIN Advanced Transportation Management

© 2022 SAP SE or an SAP affiliate company. All rights reserved. | Public 8

© 2022 SAP SE or an SAP affiliate company. All rights reserved. | Public 9

Delivery based Transportation Management Automated Carrier Selection

Combine Inbound and outbound deliveries Scheduling

Order based Transportation Management Dangerous Goods Management

Manual Planning Charge Calculation

Automatic Planning with Transportation Planning Cost distribution

Strategic Freight Management (Procurement/Selling) Incoming invoice verification

Group Logistics Management (Future TM) Analytics

Event Management Integration Data Aging

GTS Integration Forwarding Order Management

Tendering Forwarding Settlement

LBN Integration Internal Settlement (Future TM)

ASR – direct integration TM-EWM Interfaces

Available in basic LE-TRA functional

Order Management Delivery based shipment creation 1709 Equivalent

Planning Manual Planning with selection criteria 1709 Different

Planning Manual Planning with planning proposals Earliest 2019 Different

Planning Planning with Collective Processing Earliest 2019 Different

Planning Scheduling 1709 Different

Planning External Planning 1809, FSP1 Equivalent

© 2022 SAP SE or an SAP affiliate company. All rights reserved. | Public 10

Freight Execution & Monitoring Subcontracting, Direct tendering 1709 Equivalent

Freight Execution & Monitoring Maintaining Deadlines/Events 1709 Equivalent

Freight Execution & Monitoring Status Info 1709 Equivalent

Freight Execution & Monitoring Dangerous Goods Management 1709 Equivalent

Freight Execution & Monitoring Output Management 1709 Different