ProcurementAlert.com » Spend to save? Why it’s time to reassess your WMS

Spend to save? Why it’s time to reassess your WMS

February 10, 2009 by Charlie Walker
Posted in: Procurement costs, Procurement trends, Securing transactions, Special Report, Supply chain technology

money-and-computers Even during the worst of times, there are savvy operators out there who manage to turn it into an opportunity to advance.

That’s why the producers of Warehouse Management Systems are going to the trouble of pointing out silver linings, as a way of helping you prosper through a lean time.

Now’s a great time to upgrade your WMS or even buy a new one, they proclaim.

Figuring out what this means to you is a two-step exercise.

First, you need to determine if your current WMS is starting to hurt inventory operations more than it helps. That’s the first step in making a pitch to spend money in order to save money.

Three questions to ask:

  • Are necessary supports and upgrades becoming increasingly expensive?
  • Is your current WMS vendor up to par? Will it be able to support you over the next five years?
  • Finally, does your existing WMS hamper your supply chain’s ability to remain competitive?

That leads into the second major step in evaluating your WMS.

Too many companies take the approach that a WMS is finished when it’s installed and up and running.

To get the most out of your WMS, it needs to be updated in conjunction with your operational needs.

But there are two critical areas that must keep up with the times. You need to take a step back and determine if you’re getting enough bang for the buck with your current WMS, in these two critical areas:

  • Labor management. In many warehouses, labor is the biggest cost. Are you getting the most out of how workers are deployed, and how they spend their time? A WMS should be able to help improve labor efficiency in your warehouse.
  • Slotting. A solid WMS should help you maximize your use of space, and help determine the most efficient travel routes for workers. Both of these pay off in the long run, by making the best use of space and of labor.
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