Frequently Asked Questions
SAP Transportation Management: Frequently Asked Questions
Everything you need to know about SAP Transportation Management engagements with MYGO Consulting.
How does SAP TM integrate with SAP EWM?
SAP TM and EWM integrate through shipping and receiving process flows. TM handles transportation planning, carrier selection, and freight management while EWM manages warehouse execution including loading and unloading. Integration points include delivery creation, dock scheduling, yard management, and shipment status updates. When both are deployed, you get end-to-end visibility from warehouse pick to final delivery.
Can SAP TM handle both inbound and outbound transportation?
Yes. SAP TM supports inbound procurement logistics and outbound distribution transportation. For inbound, TM manages purchase order-based transportation planning, supplier pickup scheduling, and inbound freight cost allocation. For outbound, it covers sales order fulfillment, route optimization, carrier tendering, and customer delivery tracking. Most organizations start with outbound and add inbound in a subsequent phase.
What is the typical freight cost reduction from implementing SAP TM?
Organizations implementing SAP TM typically achieve 8-15% freight cost reduction through shipment consolidation (3-5%), optimized carrier selection (2-4%), route optimization (2-3%), and automated freight audit recovery (1-3%). Actual results depend on your current maturity level, shipping volumes, and carrier market dynamics.
Does SAP TM support ocean and air freight?
Yes. SAP TM supports multi-modal transportation planning including road (FTL, LTL, parcel), rail, ocean (FCL, LCL), and air freight. The system handles mode-specific requirements like container management for ocean, flight scheduling for air, and multi-leg routing for intermodal shipments.
How do you integrate SAP TM with our carriers?
We support carrier integration through EDI (X12 204/214/210), API (REST/JSON), carrier portal aggregators (project44, FourKites), and flat file exchange. The integration architecture depends on your carrier base and their technical capabilities. We design the approach carrier by carrier during the assessment phase.
How long does a SAP TM implementation typically take?
A core SAP TM implementation covering outbound transportation planning, carrier tendering, and freight settlement typically takes 5-7 months. Adding real-time tracking, inbound management, or advanced optimization extends the timeline to 8-10 months. Multi-region rollouts follow a template approach with 3-4 months per subsequent region.
Still Have Questions?
Talk to our SAP experts and get answers to your specific questions directly.