Before answering the question of what is Warehouse Management, it is necessary to answer the question of what it is not. Warehouse management is not inventory management. Warehouse Management is a process that includes all of the different operational processes such as product acceptance processes, efficient placement in the warehouse, order collection and route optimization, shipment and shipping, and return management.
Content
Warehouse Management System - WMS is the name given to integrated software solutions that allow you to manage all operational processes from purchasing to storage, from managing warehouse operations to order collection and from shipment to return management. Warehouse management systems perform stock levels and control, while also allowing you to effectively manage your supply chain.
Warehouse Management software should aim to use resources that are extremely valuable for businesses efficiently. Thus, it allows businesses to maximize their income from investments (ROI) by using their workforce, storage space and other resources more effectively. Basically, WMS is a system that supports all supply chain needs; including distribution, production, services and assets.
Healthy tracking of orders is essential for traditional or online commerce. Therefore, being able to monitor every stage of the order process step by step is essential for warehouse and stock management.
A warehouse where product quantities cannot be seen simultaneously, inventory management is incomplete or defective, and stock numbers appear differently in each report cannot be managed correctly. Therefore, first of all, stock quantities in a warehouse should be measured correctly in every channel and at all times.
Especially medium and large-scale businesses use very different software together. The ability of all these systems to communicate quickly with each other is essential for effective process management. An advanced Warehouse Management System should be able to talk to all sales channels, including e-commerce, accounting and cargo, and all other systems.
Today, AI and robotic systems enable operations where human intervention and therefore errors are minimized. Operations where resource usage is reduced and speed is increased are only possible with warehouse automation. The compatibility of system infrastructures with current technologies is very important in this respect.
A warehouse software must be able to effectively monitor complex processes, especially route optimization and order picking. Otherwise, as an ordinary software, you can only do general tasks and not stand out.
While doing business today has become more complex and difficult in some ways, technological developments and infrastructure opportunities provide important outputs to solve this complexity. Globalizing trade requires order fulfillment and management skills in different locations from the center.
Providing orders from different sales channels from different warehouses and delivering them to the customer in the shortest time is not an easy task. Correctly analyzing order data, grouping them, determining picking priorities and doing all of this by taking location information into account increases the unknowns in the equation. As we all know, the solution becomes more difficult as the number of unknowns increases.
Today, warehouse management systems can be designed to make this process much easier. An advanced warehouse management software can optimize the order picking order. By analyzing order data and grouping orders according to their proximity in the warehouse, the system can suggest the most efficient picking order. After the products are picked, the system organizes the cargo process with advanced integrations, eliminating manual data entry and reducing the possibility of errors. This not only increases the speed and accuracy of order processing by optimizing the order fulfillment process, but also improves the customer experience. Customers achieve higher levels of satisfaction by receiving their orders quickly, accurately and as expected. This increases their likelihood of repeat purchases.
In today's world, customers have the ability to shop quickly from computers, tablets and cell phones in any situation. In addition, the ability to order online not only reduces the time spent shopping, but also costs less than shopping in physical stores. This leads to the continuous growth of online shopping systems. The ever-increasing number of online orders makes warehouse management key to customer satisfaction and operational efficiency.
Today, the importance of warehouse management is increasing day by day as people want to get things faster and fast delivery options increase competition.
Accelerating delivery processes requires not only a system change but also a different perspective. Warehouse management systems need to focus not only on stock management or inventory tracking, but also on the efficiency of all warehouse operations.
In fact, every stage from goods acceptance to in-warehouse placement of products, from order collection to shipment, needs to be analyzed in detail and planned according to these analyses. Order cancellations and product returns, which are an undeniable fact of e-commerce, must also be managed by warehouse management software without the need for manual intervention.
If you're setting up a new warehouse or preparing your existing warehouse for e-commerce, you'll find that your old management style is ineffective and slowing you down when you start selling online. Traditional warehouse management processes are insufficient to meet the agile processes demanded by online channels.
When you decide to manage your warehouse for online sales, you'll face many challenges specific to these channels. Some of these challenges include:
When designing your existing or new warehouse, you should consider rapid picking and packing processes. In large operations, warehouse planning and physical conditions should be revised according to expert recommendations to reduce the time spent by warehouse clerks accessing the items to be picked.
With warehouse addressing, your warehouse becomes more systemic and independent of individuals. The system knows which products are located where and directs pickers to the shortest path. Without such a structure, you're likely to encounter confusion.
Picking route optimization is crucial for e-commerce warehouses; your daily order fulfillment capacity depends entirely on warehouse optimization.
Most of the businesses want to increase sales. When your order volume increases, you need to ensure your warehouse can handle this load. If your infrastructure isn't sufficient, this will increase the error rate of your warehouse staff.
Real-time updating of product inventory information as your products enter and exit the warehouse/shelf is crucial. Instantly and accurately providing sellable inventory information in your online and offline channels will reduce the risk of short selling, boosting customer satisfaction and your store rating.
In conclusion, the key to success in e-commerce requires meeting customer expectations in terms of both product and operational processes. Failure to deliver a good product on time can lead to significant customer losses. In other words, the success of online sales channels depends on efficient and swift warehouse management.
One of the key differences between Warehouse Management Systems is how they manage the order picking process. The better the design of this process, the quicker orders can be picked. Generally, route optimization aims to increase the efficiency of the delivery process and ensure optimal order picking times. An advanced warehouse management system utilizes the best route optimization algorithms to determine delivery routes that are both time-saving and cost-effective. A route optimization algorithm considers factors such as: Delivery type: Same-day delivery, standard delivery, Courier company, Current inventory status, The order's promised delivery date, Vehicle capacities. An efficient inventory management algorithm allows warehouse employees to complete more deliveries in less time, resulting in higher quality service for customers.
Furthermore, a good route optimization algorithm helps minimize order picking costs, fuel costs, and operational costs.
Do you want to shorten your delivery process and reduce costs by minimizing your order picking time?
Try Hamurlabs WMS, which cuts order picking time by nearly half with its advanced picking algorithm. Request a demo now!
You can read our article with more detailed information on Route Management and Optimization at this link.
Hamurlabs WMS is an advanced warehouse management system developed using all the latest technology. Hamurlabs WMS allows you to manage all your online and offline operational processes from a single channel.
Hamurlabs WMS has no user or integration restrictions. This means employees at every level of your business can easily use Hamurlabs. It also seamlessly integrates with your entire software infrastructure, reducing errors and streamlining your work.
Take a look at Hamurlabs to reduce errors in your warehouse process management! Hamurlabs WMS automatically routes the right product to the right package. The entire process is run via barcodes, and personnel and product movements are tracked in detail. Hamurlabs screens provide employees with the most accurate and clear information they need to minimize employee-related errors.
Hamurlabs Warehouse Management System will also help your staff process and ship orders error-free and efficiently during efficient picking and packaging processes.
Because Hamurlabs' development is based on customer requests and suggestions, we increase your efficiency without disrupting your processes. At Hamurlabs, we analyze every scenario, from product entry into the warehouse to customer delivery and, if necessary, returns, providing effective and efficient warehouse management.
What are the differences between Warehouse Management and Inventory Management?
Warehouse management is a process management system that addresses all operations and tasks within a warehouse, including inventory management. Inventory management, on the other hand, deals more specifically with the management of inventory within a warehouse. Consequently, warehouse management describes a more comprehensive process, while inventory management represents a sub-stage of the warehouse management process.
Are all inventory management systems suitable for warehouse management?
No, warehouse management is an integrated process management system where all operational processes are analyzed, planned, and executed in detail. Most inventory management systems focus solely on inventory inflows and outflows.
What steps does warehouse management involve?
Warehouse operations generally include the following steps:
Keep in mind that different businesses may define different steps.
