1. SAP Glossary
  2. Extended Warehouse Management
  3. indirect labor


What is indirect labor in SAP SCM-EWM - Extended Warehouse Management?


SAP Term: indirect labor


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  • Key Concepts: 
    Indirect labor is a type of labor cost that is not directly related to the production of goods or services. It includes costs such as administrative staff, maintenance staff, and other personnel who are not directly involved in the production process. In SAP Extended Warehouse Management (SCM-EWM), indirect labor is used to refer to the labor costs associated with warehouse operations, such as receiving, storing, and shipping goods. 
    
    How to use it: 
    In SAP EWM, indirect labor costs are tracked and managed through the Warehouse Management System (WMS). The WMS allows users to track and manage labor costs associated with warehouse operations, such as receiving, storing, and shipping goods. The WMS also provides users with the ability to monitor and analyze labor costs in order to optimize warehouse operations. 
    
    Tips & Tricks: 
    When tracking and managing indirect labor costs in SAP EWM, it is important to ensure that all labor costs are accurately recorded and tracked. This includes tracking the number of hours worked by each employee, as well as any overtime or other additional costs associated with warehouse operations. Additionally, it is important to ensure that all labor costs are properly allocated across different departments or activities in order to accurately reflect the true cost of warehouse operations. 
    
    Related Information: 
    In addition to tracking and managing indirect labor costs in SAP EWM, users can also use the WMS to track and manage other types of warehouse-related costs, such as inventory costs, transportation costs, and other overhead expenses. Additionally, users can use the WMS to monitor and analyze warehouse performance in order to identify areas for improvement.
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