Accordingly, many organisations have selected to apply a warehouse management system (WMS). The complete function of a WMS is simple: to optimize all warehousing functions and procedures.
Receiving – the part encompassing the physical receipt of material, the inspection with the shipment for conformance with the purchase order , the identification and delivery to destination, as well as the preparation of receiving reports
Put-away – this means detaching the material in the dock (or other location of receipt), transporting the material to some storage space, placing that material in the staging area after which moving it to a specific location, and recording the movement and identification of the location in which the material has become placed
Order picking – selecting or "picking" the required level of specific products for movement to a packaging area (usually as a result of more than one shipping orders) and documenting that the material was moved from destination for a shipping
Staging and consolidated shipping -physically moving material from your packing location to a staging area, according to a prescribed group of instructions in connection with a selected outbound vehicle or delivery route, often for shipment consolidation purposes
Inventory cycle counting – a listing accuracy audit technique where inventory is relied on a cyclic schedule instead of once a year. A cycle inventory count is normally taken on a consistent, defined basis (often more often for high-value or fast-moving items and much less frequently for low-value or slow-moving items). Most reliable cycle counting systems require the counting of a certain quantity of items every workday each and every item counted in a prescribed frequency. The key intent behind cycle counting is usually to identify products in error, thus triggering research, identification, and elimination of the main cause of the errors.
If you’re planning to implement a WMS initially, or alter your current WMS system, a good starting point is as simple as creating a warehouse management improvement strategy. Consider this as business process re-engineering. By looking at your company practices from the clean-slate perspective, you’ll be in a better position to ascertain tips on how to best construct-or reconstruct-your business and warehouse processes.
Step one inside your warehouse management improvement strategy ought to be to examine the exterior factors which may be causing your warehouse woes, as outlined above. The next phase should be to have a look at any inefficiencies inside enterprise or supply chain that could be adding to poor warehouse performance. To be able to have a better understanding of these inefficiencies, analyze your present business processes.
A good way to do this is to use performance metrics, or key performance indicators (KPIs). KPIs are generally used to help measure key parts of a business’s operations, and they also will help you determine the standards that may-or may not-be affecting your business performance. In manufacturing, some KPIs are customer care, delivery performance, and production efficiency. The toughest point about this exercise is determining those indicators, but once you might have identified two or three of the target (or problem) areas, you will start to get yourself a clearer check out the big picture.
The very last part of your warehouse management improvement strategy is always to glance at the information systems you’ve got available. Ensure that all related departments within your organization, along with across your supply chain, have comfortable access to data repositories. Without accurate and up-to-date data, it will be impossible to determine where production issues or delays have occurred.
By understanding every one of the factors (both internal and external) affecting your warehouse performance, you could start to develop a thorough strategy that will help determine the best warehouse keeper solution for the needs-one that can address and improve on those areas.
What are the benefits you could expect from a WMS? There are a large number of, and here are several of the biggest.
• improved inventory visibility
• better warehouse space usage
• increased inventory and asset turns
• improved service and support quality
• a reduction in errors (because of the capacity to identify, track, and solve problems between manufacturers and suppliers)
• improved delivery and order fulfillment performance
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