Is Your Warehouse Delivering an Edge?

There is little doubt that the warehouse management system (WMS) is now essential to business efficiency in many areas of logistics, retail distribution and manufacturing. Specialised standalone products and dedicated modules within another application, such as ERP, can both perform this role. But despite the availability of good, highly developed products, many WMS still fail to deliver what businesses really need.

Many companies simply require a warehouse system which is sufficiently competent and flexible to meet routine customer service needs in a constant business environment. Others, though, need a solution which meets everyday challenges but can also respond to changing customer or market expectations. For these the system must reach new heights each time the bar is raised and provide a path to support all future business development and growth. This kind of solution delivers a true edge to a business.

The first objective for any WMS is to support accurate and efficient stock handling and management. There are many reasons why systems may fail to achieve this apparently simple objective. Some businesses use older or unsuitable solutions which may be impractical or too expensive to enhance. Others use ERP-based solutions, or bolt-on modules from an ERP supplier, which may have a place but generally do not include the advanced features of the best standalone WMS from the specialist vendors.

There are many reasons why WMS fail to make the grade and these include:

• Lack of flexibility to meet the needs of modern warehouses which need highly configurable solutions to deal with changing scenarios.
• LUse of ageing or unsuitable technology platforms that prevent users from adopting the latest advances such as RFID or voice-directed solutions.
• LInability to interface with other IT infrastructure (a key requirement in today's supply chain) or having an architecture which makes interfacing cost-prohibitive.
• LLimited capability to work with, or take advantage of, new technology and deliver benefit to the overall operation. An example of this would be supporting RF emulation but without proper task management.
• LApplications based on older ( legacy ) technology which are not development friendly are difficult to adapt to new business requirements.
• LApplications which are no longer part of a vendor s active portfolio will often suffer a decline in customer service and support quality. This results is loss of confidence and reluctance to use the product beyond a limited role.

The net result of a WMS that fails to deliver as expected is that the business will suffer. The impact varies but it can mean that the warehouse is inefficient or unproductive, costs are too high, customer service or reputation are affected, or simply that users lack confidence in the system. Equally though, some modern WMS systems are not sufficiently well designed to guarantee that the changing needs of a business will be met in the longer term. Individual operational needs might only be met through costly bespoke development or by waiting for the next vendor-initiated system releases. These, when delivered, do not always deliver as expected! Either way, without an appropriate solution the business will fail to maximise the return on resources and investment and its ability to maintain an edge over its competitors will suffer.

The problem may be relatively easy to identify but the solution will clearly depend on the nature of the business, its unique problems and the level of importance of the warehouse to the operation. When an ageing or inflexible solution is installed the user should contact the vendor to see whether, and at what cost, it can be brought up to date. In this context up to date means that everything - in terms of technology and integration - is possible using the new solution. Similarly, if a system s flexibility or the benefits gained from new technology are unsatisfactory then the user should initially find out whether the vendor can deliver an improvement. If the system is no longer a key product to the supplier then, sadly, it may be time to make a major change. It takes a brave manager to accept the placatory noises of the vendor when hearing the words "assuring you of our continued support..."

In the end it may be necessary to buy a new system. Any decent logistics director or warehouse manager will understand the need to select something which demonstrably possesses the features and technology advantages that will guarantee and protect the investment for the future. This is true whether the decision is to deploy a specialist product or something from an ERP vendor.

Following accepted wisdom on system selection and purchase is obviously a must. This means ensuring the supplier is solid and reliable, has good experience, offers a product that is proven in the marketplace, and can introduce genuine reference sites.

Beyond that, the best advice is to find a WMS supplier that can provide more than the norm. Someone that has provided its clients with a unique edge or something more than their competition. A company that has demonstrated a long term commitment to adapting its customers solutions to change and can support its ability to do this with a superior product architecture and underlying technology.

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