Warehouse Management Systems are becoming popular as supply chain logistics become ever more complicated along with increasing customer demands. With an escalating volume of inventory movement, many organizations are turning to technology to streamline operations and meet these challenges.
Advanced technology through Warehouse Management Systems (WMS) allow companies to respond to evolving market pressures and deliver on ever-shrinking time to delivery windows. These systems efficiently capture every scan, every movement of inventory and are designed to make both accuracy along with cost reduction a top priority. The following article can give you some insight into methods, obtained through warehouse technology, for achieving better warehouse management that are key to modern business supply chain logistics in addition to reaching your organization’s goals.
Warehouse Management Systems are designed with savings in mind to manage your inventory in the most efficient manner possible. However, additional benefits can be recognized in other areas, such as cost saving associated with reduced labor and administrative costs, plus also an increase in customer service levels.
Reducing or allocating labor is an important driver for exploring warehouse management solutions and recognizing a return on investment (ROI). A properly implemented WMS system can reduce your labor needs, help you reallocate staff and or keep you from needing to bring on more staff to meet growing sales or seasonal fluctuations. Additional workers add to an already complex and hectic warehouse. There is a long list of labor areas that are strongly impacted by the implementation and use of best practices while deploying a WMS.
From the moment product hits your receiving dock until the invoice is sent for the shipped out items people are involved. By using a WMS, you increase the efficiency and accuracy of the work they do while eliminating the mistakes they will make. A best of breed WMS should provide useful labor reports that can help you determine who your best people are and who needs help. When the WMS is integrated tightly to ERP/Accounting/Business Management System you can eliminate the costly clerical work. This allows the people doing this manual data entry to be re-positioned into areas that will help the company make money not just spend it. Another plus here is the accuracy factor a WMS provides. You can also speed up the invoices process which gets you paid in a more timely manner.
Areas of labor management improvement with WMS technology include;
- Lines picked per shift are improved.
- Fill rates increase.
- Inventory accuracy is dramatically improved.
- Reduced staff and increased work volume.
- Higher pick/pack rates.
- Reduced shipping department needs.
- Shift elimination and or hour reductions.
- Transportation cost are optimized.
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Posted by iCepts Technology Group, Inc a HighJump WMS Partner in Pennsylvania