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Fix Your Serial Numbers Issues

Fix Your Serial Numbers Issues

Product Serial Number

Why Serial Numbers?

Great efficiencies and improvements can be gained for folks that use serial numbers. Here are some typical issues and common requirements across industries.

What are problems with Serial Numbers:

1. Cradle to Grave

Each serial number has its own life-cycle, comes to life in either manufacturing or procurement or conversion. Most people benefit greatly from knowing about their serial numbers:

  • Where serialized parts are located
    • Warehouse
    • En-route during shipping
    • At a customer site
    • In repair
  • S/N history, that as sales and service events, material movements, what has been done to that s/n in the past?
  • Warranty and Service contract coverage and entitlements

2. Warranty and extended warranty contracts

When a customer calls the service hot-line identifying their part s/n, SAP reveals whether that s/n is under warranty or not and what type of service is covered for that part and customer. Is it under warranty or contract? What service product is covered and what can be offered as an up-charge? I.e. “Repair” is covered and customer can pay up for other added services, for example 24 hour spare part delivery versus the usual 3 days. Or they can buy an extended warranty contract during the call.

3. Allow RMA returns, seamless and easy to execute

Easier said than done. Whether the issue occurred after order taking, while the unit is being picked and packed, during shipping,  immediately after receipt, DOA, issues with the material, or at a later time: Make the customer whole again and happy. Think Amazon Returns. Industry trend: service contracts allow for better RMA services.

4. Equipment Records, really?

In SAP, the serial number record is expanded to an equipment record.

That is where a lot of the additional serial specific data and history lives. The equipment record has a system-wide unique ID, the Equipment Number, tied to the material and serial number. A great concept to leverage within your company. Many times the serial number is unique and sufficient to identify a part. In case same serial numbers exist under two or more materials,  the part and serial number combination will yield the unique record. In addition to that, the equipment number which can be thought of as a company internal record locator ID is surprisingly useful:

The equipment number is that one ID that immediately finds the record. 100% match. Folks take advantage of that, by printing the equipment number on the equipment tag. Or, load the equipment number to the RFID tag, or 3-D bar code. Technicians embrace the equipment number in short order, utilizing it during their work. Rather than the serial number,- which may not yield an immediate hit.

The equipment record then is the home of all things serialized. 
May sound trivial, however untapped improvements can be realized in Serialization. This is huge!

5. Serial Number Itself

S/N width and template itself is an important discussion: how wide are your serial numbers? Up to 18 chars? How do existing serial numbers look like, what are your current naming rules? Current and future naming standards are important, is it a speaking serial number? What are the recommendations in SAP? Up for a conversation.

6. Integrating with other functions

Often times, for example in Aerospace and Defense, part and serial numbers are controlled via engineering orders (USAF calls it TCTO or Time Compliance Technical Order) which requires that we do something to the item in question. Which in turn, makes it a new part or serial number.

And your rules around s/n may differ between organizations, business rules can be set up that way in SAP.

Serial number management integration areas that come to mind:

  • Engineering Change Management
  • Document Management
  • Inventory Management, Supply Chain
  • MDM
  • Procurement, PO, Receiving – goods-receiving of serials
    • if s/n recording at time of GR is not an option (may be buried on a palette or too many) there are other ways to create s/n
  • Sales, and, Service
If you’d like to read more about serial number management in SAP, click the button below to download the free SAP Serial Number PDF presentation document.

About the Author: Soren Detering

Soren is a SAP Senior Solution Architect , Founder and Owner at Detering Consulting, a niche SAP consulting firm focusing on SAP Sales, Service, and Warranty Management Solutions

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