For whom WMS systems are necessary

Whether it is necessary to your WMS company?

The typical user of a WMS system is the distribution center of retail network, 3PL an operator, a warehouse by production from which distribution is performed, Dmitry Kunyashev, coordinator of the projects of the Logistics direction Corus Consulting says. It is visually confirmed also by statistics of TAdviser according to which the greatest number of WMS projects is implemented in trade, production, logistics and distribution.

Typical users of warehouse management systems make two big groups: these are consumers of logistics services and providers of logistics services. The companies which core business consists in trade (distribution) or production and also large retail networks which have own warehouse treat consumers. The logistics performs the function providing here, such warehouses are called corporate.

The second group is professional operators of logistics services which business includes services in safe custody and warehouse processing of goods. Warehouses which are managed by such companies are called public.

At the same time both designated groups, obviously, need professional solutions on management of a warehouse, the first – in process of growth of a warehouse, and the second - a priori. Specialists recommend to make a transfer of a warehouse from paper turnover on automated on reaching as at most two following indicators of a warehouse:

• quantity of nomenclature positions more than 300,
• the area of storage is more than 2000 sq.m., with
• goods turnover scabs on a warehouse more than 30 days.

Usually serve as a push to information searches about WMS:

• Problems in the current warehouse which cannot be eliminated with administrative measures or the current accounting system Moving on a new high ceilings warehouse where it is not possible to keep account on paper any more
• Recommendations of the warehouse supervisor, logistics specialist or Chief information officer
• Evident acquaintance of top managers to successfully automated warehouses
• Obtaining information on implementation of WMS in the well-known company
• Accidentally seen advertizing or the press release about start of a WMS system in a new warehouse of the known company
  

Scopes of WMS

However appointment of WMS can be defined more widely. "The typical user" of the WMS system are the one who understands that today logistics services – the concept is considerable more capacious, than just storage. A modern system allows to manage business processes in real time, to optimum use resources of the company, to manage effectively personnel", - Igor Sidorenko, the commercial director Buhta noted.

In more detail the main scopes of a WMS system can be described as follows:

• trade automation: wholesale, wholesale and retail, retail, including retail chain stores with remote warehouses; automation of trade from a warehouse in the presence of all types of traveling trade;
• automation of a warehouse, warehouse complexes, networks of warehouses;
• automation of the enterprises making food products including refrigerating plants;
• automation of the enterprises making mass market products and industrial goods;
• automation of warehouses of safe custody, billing system;
• archive storage; all types of activity connected with acceptance of large volumes of storage, their movement and safety.

Why to implement WMS

A standard WMS system can provide implementation of the following tasks:

• Operational informing on a warehouse and management of warehouse spaces of structure (for example what squares are free what are busy and what always stand idle and that can be rented what place of a warehouse most is suitable for placement of goods by the set criteria);
• Automation and optimization of the procedure of acceptance, placement, storage, processing and shipment of goods in warehouses with the help of special devices;
• Storage of history of the movement of goods and materials in a warehouse.
• Automatic tracking of discrepancies between the stated and actual quantity and the range of goods at any its movements, including of remote warehouses and offices;
• Operational remote control personnel and a warehouse, is performed using radio terminals and mobile computers.

Effects of implementation of WMS

Advantages which are got as a result by this or that warehouse complex as a result of system implementation of management of a warehouse often differ for warehouses of different types. But also there are also general indicators of improvement of efficiency of warehouse logistics.

System implementation of management of a warehouse allows to arrange and optimize technology processes of work with material flows. Thanks to the principle of address storage up to 99.9% the accuracy of data on quantity and placement of goods in a warehouse increases, full control over merchandising is provided.

For the account of turnover and setup of rules of selection taking into account access rate to these or those goods warehouse performance increases. The goods turnover accelerates and increases. Defining the most right strategy of placement of loads, procedures of consolidation and use of cells with the different height of WMS optimizes uses of warehouse spaces (capacity increases from 5 to 25%).

The WMS system allows to reduce runtime of all warehouse transactions, on average to increase labor productivity by 20-30%, to stop unforeseen situations.

The warehouse management system gives the chance to reduce operating costs thanks to rational use of the loading equipment, optimization of use of the equipment. But also, transport costs due to economy of fuel and the electric power decrease, maintenance expenses and increase in life of the loading equipment decrease.