WMS Systems : Benefits, Justification & Questions
Implementing a modern Warehouse Management System can be an essential step in maintaining a competitive edge in todays ever more competitive marketplace. The difference between you and your competitors can come down to how quickly and efficiently you can fulfil and deliver orders. Its more about service than product these days. So why are companies holding back on investing in an integrated WMS System? The simple answer is that the benefits are not properly understood, or that the systems are perceived to be too complex, inflexible and expensive to implement.In some cases this may be true, without proper the implementation planning and training in place it can be a daunting prospect.
However, with the right partner and the right system the transition from paperwork warehouse to system managed can be revolutionary and bring huge financial rewards to the business by increasing order throughput and improving customer service without increasing headcount and in some cases actually reducing it.
You need to look at the operational aspects of your business, to determine specifically where a WMS system will help and the savings made, you will need to address some of following questions:
Is your labour resource in the warehouse fully utilised?
If the answer is no or don’t know, then it’s a safe bet that some of that resource is wasted. For an efficient and cost effective warehouse operation you must ensure that the labour you pay for is fully utilised.
Are your warehouse tasks and processes streamlined and performed in the most efficient way?
If the answer is no or don’t know, you are wasting money. Warehouse staff are spending more time on activities that could be done more efficiently. They could be performing other more valuable duties or you may be able to operate with less staff.
How many putaway, pick and despatch errors do you currently have?
Errors due to stock, location and pick inaccuracy cost money to rectify in terms of labour, management time, extra handling, transport and related paperwork.
Do you have customer returns and fines for incorrect deliveries?
This costs money. Reduce customer returns and all related costs: reverse transport, fines, restocking costs, labour.
Do you have to shut down warehouse operations to do stocktakes?
Perpetual Inventory (PI) methods mean you stocktake as part of normal day-to-day operations. Reduce labour costs and enjoy increased inventory accuracy all year round.
Do you have additional practices and checks that could be eliminated by introducing a WMS system?
In a typical warehouse operation there will be activities, especially peripheral or supporting tasks like order checking and paperwork that could be eliminated altogether.
Are you holding too much stock with poor stock rotation practices?
It is a fact that improved stock accuracy promotes reduced stock-holding and improved stock rotation. The associated cost of holding stock and stock write-off can be reduced.
Do you have to print customer labels & despatch documentation manually?
Eliminate manual label and documentation printing tasks. The WMS system automates these processes, takes out additional labour processes, and eliminates errors and cost.
Ready to get started? We have a wealth of experience in implementing our barcode driven Dexterity WMS Systems to help clients realise the benefits of a smart Warehouse Management System. Please get in touch for a no obligation and no pressure discussion on how Dexterity WMS could help your business