Author: Shamika | Read Time: 3 minutes
Overview
Warehouse management is a crucial aspect of any business, particularly those involved in manufacturing, distribution, or retail. With the advancement of technology, warehouse management systems (WMS) have become essential tools for optimizing inventory control.
Three Core Functions
1. Documenting Incoming Inventory
WMS systems record items with quantity, description, and relevant data using barcode scanners, RFID tags, or manual entry. This enables tracking of discrepancies between ordered and received stock, catching issues at the receiving dock.
2. Real-time Inventory Information
Automatic updates occur across multiple warehouse locations, identifying overstocking (excess inventory tying up capital) and understocking (resulting in lost sales). This real-time visibility supports informed decisions about inventory movement and restocking.
3. Efficient Storage
Location codes direct personnel to correct retrieval spots. Algorithms optimize routes for multiple-item pickups. Products are categorized by characteristics (size, weight, fragility) to determine optimal storage placement, reducing retrieval time and errors.
The Impact
By implementing these three core functions, WMS systems help businesses optimize their inventory management processes, reduce costs, and improve customer satisfaction. With expectations of increasing sophistication in supply chain operations, WMS has become indispensable for competitive businesses.
Ready to improve your inventory control? Contact us to discuss how a WMS can benefit your operations.