Bulk storage in SAP EWM

Bulk Storage Put-away Rules

In this blog states the bulk storage put-away rules in SAP S/4HANA Extended Warehouse Management     

What is bulk storage?

Bulk storage refers to the method of storing large quantities of the same product (SKU) together in a designated warehouse area. Instead of breaking down goods into smaller bins or shelves, products are kept in their shipping units (like pallets, drums, or containers) in open floor areas, block stacks, or pallet racks.

It is usually used for high-volume, low-SKU variety items that don’t need fine-grained picking at the storage level.

Key Features of Bulk Storage

1.       Large Quantities Together

• One SKU occupies a large block of space.

• Example: 100 pallets of bottled water stacked in rows in a bulk zone.

  
  

2.       Storage Methods

• Floor stacking/block stacking → pallets placed on top of each other.

• Pallet racks (drive-in/drive-through) → pallets stored in depth, multiple units of the same item.

3.       Economical

• Reduces handling compared to storing in multiple small bins.

• Efficient use of space for uniform items.

4.       Access Rules

• Often managed by FIFO (First In, First Out) or LIFO (Last In, First Out).

• Chosen based on product type (perishable vs. non-perishable).

Bulk storage put-away rules

Bulk storage put-away rules are the guidelines or strategies a warehouse management system (WMS) or warehouse team follows when deciding where to store large quantities of the same SKU (Stock Keeping Unit) in bulk storage areas.

In warehouses, bulk storage areas are typically floor locations, racks, or block-stacking zones where items are stored in pallets, cases, or large lots (not in picking bins). The put-away rules ensure space is used efficiently, items are accessible, and inventory control is maintained.

Here are the common principles of bulk storage put-away rules:

1. Fixed vs. Random Location

Fixed Location: Each SKU has a preassigned bulk storage area. Easy to manage, but may waste space if stock levels fluctuate.

Random (Chaotic) Location: The system dynamically assigns the best available space based on capacity, size, and accessibility. Optimizes space usage.

2. Space Utilization

Pallets are stored in locations that can fully accommodate them (height, width, depth).

Rule: "Small pallet to small space, big pallet to big space" to avoid wasted capacity.

3. FIFO / LIFO Rules

FIFO (First-In, First-Out): Older stock is stored so it can be retrieved first (common in perishable or regulated industries).

LIFO (Last-In, First-Out): New stock goes in front/top, older stock behind/below (used in non-perishable environments where stacking works better).

4. Product Compatibility

Hazardous or sensitive items are stored separately.

Place heavy items on lower levels and light items on higher levels.

5. Consolidation

New pallets of the same SKU should be stored next to or in the same block as existing pallets to reduce scattering and speed up retrieval.

6. Accessibility & Picking Strategy

Frequently picked SKUs (fast-movers) are placed near dispatch zones.

Slow-movers go further back or higher up.

7. Safety & Stability

Stacking rules: pallets must be stackable and stable.

Weight and height limits must be respected.

Conclusion

Bulk storage put-away rules decide how and where pallets are placed in bulk storage locations to maximize space, ensure safety, and streamline picking operations. 

Credit

Writing this blog was inspired by Mr. Naidu's EWM trainer live session recorded videos.

Rajesh Sharma

SAP WM/EWM Functional Consultant

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