What is a Warehouse Management System?
A Warehouse Management System, popularly known as WMS, is a software or a service which allows organizations to control and administer warehousing operations from the time products or materials enter a warehouse to the time they move out. A WMS monitors and controls all the operations taking place inside the warehouse, including personnel management, stock management, putaway and dispatch operations. In addition, they also provide services like integration with other services and automation tools.
What is the purpose of a WMS?
Warehouse management systems aim to ensure that the products and materials move through the warehousing network in the most efficient and cost-effective way. They handle a number of functions such as inventory tracking, picking, receiving and putaway. A WMS also has the ability to provide visibility into a company’s inventory from any location at any time.
What is the role of WMS in the supply chain?
The supply chain can operate in a faster, more accurate and efficient way only as long as the warehouse processes permit. When it comes to supply chain management, a WMS plays a key role in managing order fulfilment processes, right from receiving materials to shipping finished products. A WMS is often integrated with other systems or services such as ERP, inventory management systems and transportation management systems (TMS). Here, the focus of WMS is to manage fulfilment, receiving and shipping tasks in the warehouse-like putting received materials away or picking finished products from shelves for shipping.
Its role in inventory is to track the inventory data and to update the inventory management module in the ERP system so as to ensure that it has the latest information. The inventory data that is stored in the ERP system and the WMS is synchronized using an integration link. The transportation management system manages the shipping processes. A TMS is often integrated with WMS for better coordination of both inbound and outbound tasks which take place at the interface of warehouse and freight shippers.
Now, let’s move on to some of the warehouse management system features that a logistics software company provides you with.
- Warehouse design. Companies can customize workflow and ensure that the warehouse is designed for optimized inventory allocation with this feature. It also focuses on maximizing the warehouse storage space.
- Inventory tracking. A WMS makes use of modern tracking and automatic identification and data capture systems such as barcode scanners and radio frequency identification to make sure that the goods can be found easily.
- Receiving and put away. This facilitates inventory putaway and retrieval, with advanced technologies like pick-to-voice or pick-to-light which will help warehouse workers in locating goods.
- Picking and packing products. Workers can make use of zoning and task interleaving functions in order to guide the pick-and-pack tasks efficiently.
- Labour management. Using key performance indicators or KPIs warehouse managers can monitor workers’ performance.
- Dock management. It assists truck drivers in finding the right loading docks.
- Reporting. It helps in analyzing the performance of warehouse operations and in finding areas to improve business.
Integrated logistics software providers like Ramco can help you in implementing a WMS using their industry expertise.