Managing the warehouse: Size doesn’t matter
August 19, 2008 by Charlie WalkerPosted in: In this week's e-Newsletter, Latest News & Views, Procurement costs, Procurement trends, Supply chain efficiency, Supply chain technology
Just because you’re a small business doesn’t mean you can’t benefit from a strategic warehouse management system (WMS). In fact, it could possibly have an even bigger positive impact than seen in larger inventory operations.
But you usually need to make a strong case for spending money on a WMS — and be prepared with strategies that’ll convert skeptics into believers.
Five common myths, and how to dispel them:
It’ll take a year before a new WMS is up and running — and even longer before it starts paying off. For smaller businesses, a WMS can be up and running in about 45 business days. It does take longer for larger companies.
We’ll quickly outgrow it. Work with your vendor to make sure you install a system that can be adapted or customized in response to growth needs.
The software costs too much. Not always the case, especially when you weigh the benefits. Some vendors even offer pricing plans that break up the payments and help keep you up to date.
If I buy a WMS, that vendor will go out of business and leave me high and dry. Sure, this can happen. But spend time researching the WMS provider — looking for indications it’s in for the long haul.
Sure, a WMS sounds like a good idea — but we’re too small to benefit from such a “big company” concept. Even the smallest companies should see the difference in a number of areas: save on labor, more accurate shipments, better use of space, and even improved customer satisfaction.
In addition, your employees will benefit immediately when they spend less time being paper-pushers and more time working hands on with inventory.

