Warehouse Management Systems

So, what is a Warehouse Management System? In summary, WMS is a software application designed to support and optimise warehouse/distribution centre management. WMS systems facilitate management in the daily planning, organizing, staffing, directing, and controlling the utilisation of resources to move and store materials through the warehouse.

The objective of a WMS is to provide a set of computer automated procedures for management and monitoring of warehouse inventory with the goal of minimising cost and fulfilment times, and streamlining warehouses processes.

Implementing a warehouse management system (WMS) is a time of opportunity or great risk, depending on how the design and implementation is conducted.

Take for instance the scenario of establishing a new distribution centre including a new WMS implementation. Past studies have repeatedly shown that while the capital outlay in buildings and materials handling equipment is typically a significant proportion of total project cost for new DC projects, the areas of greatest risk to overall project success are typically in WMS and integration.

We are aware of a large Australian company who did not take the trouble to specify the business requirements for a proposed new WMS, and instead relied on the sales pitch of the bidding suppliers to demonstrate system features. The result was a failed WMS implementation, because the system did not adequately provide all the functionality that was required to successfully run the business.

SCSA supports clients to “de-risk” their WMS implementation projects.

See here for an article by one of SCSA’s consultants relevant to this topic.