S/4 HANA Demo Series: 10 – Automated Freight Order Planning with Requirement Grouping in SAP TM
In SAP TM, freight order creation can be planned through multiple approaches. Planners may build FOs manually in the Transportation Cockpit or rely on optimizer-based planning, which automatically creates FOs using lane definitions and means of transport. To simplify automation for cases with clear, simple rules, SAP has also delivered the Requirement Grouping Profile—a lightweight mechanism for generating FOs without relying on the full planning engine
Requirement Grouping in SAP TM is a simplified planning mechanism that groups compatible freight units (or other demand documents) based on predefined rules—such as origin, destination, dates, or product attributes—and then creates a (Freight Order or other planning documents) for each group. The grouping profile can also include quantitative criteria, such as a pallet or weight threshold, enabling the system to create multiple Freight Orders or planning documents (e.g., one FO per 28 pallets). It bypasses the complexity of the optimizer, making it ideal for scenarios with straightforward planning logic. This approach enables quick, rule‑based FO creation with minimal configuration effort
Demo:
The demo showcases an end‑to‑end transportation execution flow beginning with multiple sales orders created from a Texas shipping point to the customer, followed by automatic Freight Unit creation in SAP TM. Planning is demonstrated in two variants:
- Automated Freight Order creation via the batch job (/SCMTMS/PLN_REQ_STAGE_GROUP)
- Manual FO creation using the ‘Create Road FO Based on Groups’ function Cockpit.
The process continues with manual carrier selection and automatic charge calculation, after which an S/4HANA delivery is created directly from the TM Freight Order. The demo then walks through the pick, pack, and PGI steps in the IM‑managed S/4 delivery, leading to TM freight settlement document creation and accrual posting. Finally, the flow concludes with the automatic creation of the Service PO and Service Entry Sheet, completing the integrated logistics and financial execution cycle.
Business Benefits:
- Smart capacity optimization through rule-driven grouping of similar Freight Units into Freight Orders (or other documents such as Freight Bookings, Consignment Order etc.. )
- Streamlined planning with automated decision-making that reduces manual effort and errors
- Minimal master data dependency (no TM lanes required), enabling consistent and standardized planning
- Improved cost efficiency by maximizing FTL truck utilization and overall load capacity.
Process Flow:
