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The 5 Top Benefits of a Warehouse Management System

Benefits of a Warehouse Management System

The days of managing inventory in warehouses with pen and paper have disappeared. In their place, warehouse management systems have risen to make managing inventory easier, and these systems provide tremendous benefits, explains Rick Register of Inbound Logistics. Let’s take a look at the top five benefits of a warehouse management system.

A Warehouse Management System Saves Space

When inventory is managed correctly, warehouse space can be saved. In other words, it enables accurate stocking, slotting and pulling of orders, giving companies the opportunity gain higher-level insights into how much of each item is truly needed. Therefore, they can reduce overstock and minimize understock simultaneously to save space.

It Increases Customer Satisfaction and Service

The benefits of a warehouse management system (WMS) also promotes customer satisfaction and service by reducing errors in the order fulfillment process. Also, the system ensures customers receive undamaged products and promptly. Thus, the number of customer complaints decreases and improves operations.

The WMS Reduces Wear on Equipment

Forklifts, trucks, pallet jacks and carts represent a fraction of the equipment used in warehousing. Unfortunately, this equipment tends to have low life expectancy due to wear and tear from inefficient stocking, picking, and resetting processes. However, a WMS can improve efficiency, reducing redundancies in picking routes and decreasing the per-equipment cost of shipping and managing inventory.

It Boosts Efficiency and Productivity of Workers

Similar to equipment improvements, a WMS can have significant benefits for workers as well. For example, workers that know exactly where products are shelved can reduce extra walking time, reducing the risk of overexertion and ensuring the continued productivity in your warehouse. Moreover, workers can pick more orders in less time, increasing overall profit margins and efficiency in order fulfillment.

The System Reduces Security Vulnerabilities

Security is another feature enhanced by implementing a WMS. Unfortunately, there are people who will try to steal or damage product intentionally. An effective WMS keeps meticulous records of inventory, and since the system relies on user-specific logins, managerial staff can ensure workers are not slipping extra product out the doors. Furthermore, systems that utilize automated data capture, like radio frequency identification (RFID) tags can effectively eliminate all cases of theft by keeping accurate inventory levels around the clock.

In a Nutshell

Increasing demand for faster order fulfillment by consumers requires an effective solution to managing warehouses. Also, the number of competitors in the market is rapidly growing as more companies create omnichannel supply chains capable of filling orders faster than ever before. Rather than muddling through endless paper trails and inefficiencies, you can optimize operations. Think of how these benefits of a warehouse management system can translate into real-world savings and catalysts to your bottom line.

Jason Rosing

Jason Rosing

Co-Founding Partner & WMOS / EOM Subject Matter Expert at Veridian
Founding partner of Veridian; a valued Manhattan Associates partner and technology leader specializing in user-friendly, robust and flexible automated testing and configuration management solutions designed to meet the ever-changing challenges of the omni-channel landscape.
Jason Rosing
Jason Rosing
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