Why do you need a WMS in your warehouse?
Warehouse Management Systems (WMS) have been proven to deliver efficiencies, reduce fulfilment times, and improve customer service levels, all while saving costs. Across every industry sector, these are the main goals of warehouse and logistics managers. All WMS offerings have common features, many cover the full range of functions from receiving and put-away, inventory management, analytics, and reporting through to invoicing, despatch and returns management.
Trends in WMS solutions
WMS solutions are designed to work with and alongside your growing range of automation tools and other technologies. These include robotics, wearables, RFID tags and mobile handsets. Internet of Things (IoT) i.e., sensors are used to track inventory and equipment while improving safety.
Sustainability will be a big issue in 2024, minimising your environmental impact will be important, especially to your customers. Tracking your carbon footprint, reducing your energy consumption and using less packaging will be important. A WMS can help with that.
The importance of selecting the right WMS
Selecting the ideal Warehouse Management System (WMS) for long-term business needs is challenging, given the multitude of vendors. Gartner’s Magic Quadrant™ and Capterra provide valuable insights, but with hundreds of vendors in the market, the decision is vast. A key success factor is clearly defining business requirements upfront, including documenting operational challenges, workflows, and unique processes.
The WMS sourcing and selection process
There are 7 key steps to follow in sourcing and selection:
1. Research potential WMS vendors based on reputation, industry experience, and customer feedback. Issue an RFI before sending RFPs to shortlisted vendors, detailing your scope and requirements.
2. Evaluate WMS functions against selection criteria, considering integration capabilities and support for current and future automation tools.
3. Assess pricing with a focus on ROI and TCO, considering subscription models or direct purchases. Look beyond upfront costs to licensing, implementation, and ongoing expenses.
4. Shortlist 3-5 vendors that can upscale with your business and adapt to future needs and trends.
5. Ensure shortlisted vendors offer comprehensive training and ongoing support during implementation and usage.
6. Request demonstrations and proof-of-concept, observing the system in action at a satisfied client’s site.
7. Rank shortlisted vendors based on criteria and proceed to final negotiations with the best-suited choice.
The keys to success
Following these 7 key steps means that your chances of success in sourcing and implementing the right WMS are high. Poor definition of requirements, misalignment of expectations and lack of expertise are all factors that can lead to a disappointing conclusion and expensive mistake.
Our recommendations for a successful outcome:
•Understand your organisation’s unique needs and objectives.
•Know the difference between a stand-alone WMS, an ERP-integrated WMS, a cloud-based solution, and industry-specific WMS.
•Have a dedicated team of qualified and experienced people, including a project manager, to manage the sourcing, vendor evaluation and implementation process.
•Be realistic about the time needed to invest in the project.
This is a good time to introduce WMS to your business. The selection process can be time-consuming and implementation risky if the project is not well thought through. Use experts like SCCG to select the right solution for you. We have extensive experience in running RFPs and negotiating with WMS vendors. If you’re in the progress of starting a WMS project selection or need help in implementing the right software, contact us at +44(0)1926 430 883 or send your enquiry to info@sccgltd.com.
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