WMS for Dummies: All You Need to Know About Warehouse Management Systems

WMS for Dummies: All You Need to Know About Warehouse Management Systems

Are you tired of juggling numerous inventory lists and feeling like an amateur circus performer every time an order pings your system? If so, let us introduce you to the concept of a Warehouse Management System—not gonna lie, likely to become your new best friend. If you’re an eCommerce store owner who is fulfilling their own orders, we’re willing to bet your “storage” situation has spiraled far beyond that single shelf in your garage you started with. No judgment here; it’s a sign of success. But when your precious stock is scattered across every square inch of your house, and you find yourself tripping over boxes of widgets on midnight fridge raids, it might be time to get serious about a WMS!

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What is WMS?

A Warehouse Management System, or WMS, is more than just a fancy acronym. It’s a comprehensive warehouse management solution that streamlines your warehouse operations and manages day-to-day inventory tasks. This software integrates with other key platforms, such as ERP (Enterprise Resource Planning) systems and AIDC (Automatic Identification and Data Capture) hardware, including RFID (Radio-Frequency Identification) technologies. It provides end-to-end visibility of your inventory levels, ensuring you have accurate data at your fingertips. And the WMS systems available range from basic solutions for small businesses to complex platforms for large enterprises.

Benefits of a Warehouse Management System (WMS)

Improved Operational Efficiency

A WMS enhances warehouse processes, transforming workflows to become smoother and faster. It automates tasks, eliminating redundant steps and reducing the chance for error. This automation includes the use of technology tools like wave picking, zone picking, and batch picking for order fulfillment, improving the productivity of your warehouse staff.

Enhanced Inventory Control

Inventory tracking is a breeze with a WMS. It provides real-time data on your stock levels, allowing you to maintain an optimal inventory at all times. This improved visibility over your stock prevents overstocking or understocking, making sure your warehouse space is used most effectively.

Cost Savings

Think of WMS as a financial friend, reducing costs tied to warehouse operations. By streamlining processes and improving inventory control, you’ll be able to make better use of your resources and save money. Plus, with more accurate pricing and cost data, you can make smarter business decisions.

Improved Order Fulfillment

A WMS ensures that the right product reaches the right customer at the right time, every time. By optimizing the picking, packaging, and shipping processes, it enhances the speed and accuracy of order fulfillment, leading to happier customers and repeat business.

Enhanced Visibility and Reporting

Warehouse management software is data-driven, offering a wealth of metrics and analytics to help monitor your business’s performance. You can track KPIs, generate reports, and gain insights into your operations, helping you to identify areas of improvement and make strategic decisions.

Increased Accuracy

From receiving orders to shipping goods, a WMS increases the accuracy of every step in your supply chain. By minimizing manual tasks and employing tools like AIDC, errors are reduced, leading to more precise inventory levels and better vendor relationships.

Scalability

Whether you’re a small business owner or running a large company, a WMS grows with your business. It’s designed to adapt to increasing inventory levels, additional warehouse locations, and more complex supply chains, making it a sustainable, long-term solution for your warehouse management needs.

Better Use of Space

Effective space management is key to efficient warehouse operations. A WMS helps you optimize your warehouse layout, ensuring goods are stored efficiently and your team can navigate the space with ease.

Compliance and Traceability

With a WMS, your business can comply with industry standards and regulations more effectively. It provides detailed tracking and traceability of items, making recall processes easier if necessary, and enhancing your company’s reputation with partners and customers.

Improved Supplier and Customer Relationships

By improving accuracy, compliance, and order fulfillment, a WMS also enhances relationships with vendors and customers. More accurate order and delivery data means fewer disputes and more trust from your suppliers and clients.

Labor Efficiency

When automating tasks and providing workers with clear instructions for picking, packing, and shipping, a WMS improves labor efficiency. This helps your warehouse team be more productive, reduces errors, and improves morale.

Enhanced Security

A WMS enhances the security of your warehouse operations by restricting access to inventory, tracking all movements, and providing comprehensive reporting. This helps protect your valuable stock and ensures only authorized staff handle certain goods or perform specific tasks.

Warehouse Management System Features and Functions

Inventory Tracking

Imagine knowing the exact location of any item, its quantity, and its demand forecast at the touch of a button. With a WMS, you can. Through sophisticated inventory tracking modules, you can maintain optimal stock levels and avoid both under and overstocking issues. This feature is not just a nice-to-have; it’s a must-have in today’s fast-paced industries.

Receiving and Putaway

The efficiency of your warehouse begins at the receiving dock. A good WMS guides your staff through the whole process, from checking the supplier’s delivery against the purchase order, to tracking licenses and units, and finally stowing items away. The software can direct your staff to the optimal shelf or pallet, balancing the need for space and the demand for each product. It ensures that everything finds its place, and no material is left stranded. 

Pick-and-pack

Picking orders and preparing them for shipment is a critical task in warehouse operations. And a good WMS typically has a pick and pack software that helps you optimize picking routes. Depending on your needs, the system might suggest batch picking, zone picking, or another method that makes sense for your particular situation. The system’s goal is to minimize the time your staff spends on the warehouse floor, reduce errors, and streamline the whole process. The result? Happy staff and even happier customers.

Shipping

Once your orders are ready for delivery, the WMS takes the lead again. It can integrate with various shipping carriers to provide real-time transit updates, and even choose the best shipping option based on your requirements. The system can track thousands of shipments at a time, flagging up any issues or delays.

Reporting

And finally, what’s a good system without a way to monitor its effectiveness? This is where reporting comes in. A WMS provides an array of metrics, allowing you to measure the performance of your supply chain management and identify areas for improvement. In addition, it can even offer yard management features, giving you a 360-degree view of your operations!

How Do Warehouse Management Systems Work?

Inventory Control

At its most basic level, a WMS oversees your inventory levels, making sure you have just the right amount of each product. Using advanced automation tools and AIDC (Automatic Identification and Data Capture) technologies, the system can track the movement of materials throughout your warehouse, from the moment they arrive to the moment they leave as part of a customer’s order. This real-time visibility into your inventory is invaluable for managing your stock.

Task Management

A WMS doesn’t just oversee materials; it manages tasks and activities as well. It assigns tasks to warehouse staff based on their roles, expertise, and current workload, ensuring the right person is doing the right job at the right time. This can dramatically improve your warehouse’s efficiency and reduce errors, a key goal for any logistics operation.

Traceability

Every bin, pallet, and product in your warehouse leaves a digital footprint in the WMS. This provides unparalleled traceability, making it easy to find any item at any given time. It also helps with order accuracy, as the system can confirm that the correct items are being packed and shipped to customers.

Labor Tracking

A WMS isn’t just about products and orders; it’s about people too. The system can monitor your warehouse staff’s performance, using KPIs (Key Performance Indicators) to measure productivity, accuracy, and other critical metrics. It provides actionable insights that can help you boost your team’s performance, identify training needs, and even assist in resource planning.

Containerization

In a busy warehouse, every inch of space matters. That’s why WMS systems include containerization functions. They can determine the most efficient way to store and ship products, whether they should be on a pallet, in a bin, or in another type of container. This helps maximize the use of your warehouse space and can reduce shipping costs.

Labeling

Proper labeling is crucial for warehouse operations. It ensures that every item can be easily identified and found when needed. A WMS can generate and print labels that include all necessary information, from product details to barcodes for AIDC.

How to Choose a Warehouse Management System

Identify Your Needs

Every business is unique. The WMS that works wonders for one might not be the best fit for another. So, start by identifying your needs. Evaluate your current workflows, tasks, functions, and areas that need improvement. Do you struggle with inventory management, order fulfillment, or employee productivity? Understanding these requirements will set a solid foundation for your WMS search.

Determine Your Budget

While it’s true that a robust WMS can save you money in the long run, it does come with a cost. Establish your budget, considering not just the price of the software, but also any additional costs like training, support, and future upgrades. Remember, a higher price tag doesn’t necessarily mean a better fit for your business.

Evaluate different types of WMS

WMS solutions come in various shapes and sizes—from simple tools for small businesses to complex systems for large enterprises. Consider the scale of your operations, your growth plans, and the complexity of your processes when evaluating your options. Don’t overlook the benefits of SaaS (Software as a Service) solutions, which offer flexibility and scalability.

Consider the Scalability of the System

Your business isn’t static; it’s a living, breathing entity that grows and changes. The WMS you choose should be able to scale with you. Whether you’re planning to expand your product line, enter new markets, or open more warehouses, your WMS should be able to accommodate these changes without skipping a beat.

Check Vendor Reputation

The reputation of the WMS vendor plays a significant role in your decision. Do some digging. What do other clients say about them? Are they known for their reliable service, excellent customer support, and regular software updates? You want a partner, not just a provider.

Analyze the Level of Support

Speaking of customer service, make sure the vendor offers the level of support your business requires. This could range from online resources and email support to dedicated account managers and 24/7 hotline services. Remember, implementing a WMS is a significant change and having a supportive partner can make the transition smoother.

Request for a Demo

Never buy a WMS without seeing it in action first. Request a demo to get a feel for the system’s functionality, usability, and compatibility with your operations. Use this opportunity to ask questions and see how the system handles your specific tasks and challenges.

Check for Integrations

Your WMS will not work in isolation. It needs to integrate seamlessly with your existing systems—be it your ERP (Enterprise Resource Planning) system, accounting software, or eCommerce platform. Ensure the WMS you choose can play well with others to create a unified, efficient, and transparent operation.

Consider the Implementation Timeline

Implementing a new WMS is not an overnight task. It requires time, planning, and resources. Consider your timeline and how long you can afford to have your operations disrupted. Also, ask potential vendors about their implementation process, timeline, and how they plan to minimize disruption to your business.

Seek Professional Advice if Necessary

If you feel overwhelmed with the choices, don’t hesitate to seek professional advice. Consultants can provide valuable insights and help you choose a system that meets your needs, budget, and goals.

Key Takeaways

The goal of a WMS is to make your life easier, streamline your operations, and ultimately, boost your bottom line. And choosing the right WMS solution isn’t just about features; it’s also about finding a provider that offers the support, integration options, and scalability your business needs to thrive. No more tripping over boxes in your house! Instead get a WMS system to streamline your operations and give you more time back in your day. 

FAQs

What is the Difference Between Warehouse Management and Inventory Management?

Inventory Management is all about maintaining optimal stock levels to meet customer demand without overstocking that could tie up your financial resources. On the other hand, Warehouse Management deals with how things happen in the warehouse, overseeing processes such as receiving, storing, picking, and shipping goods. So, while Inventory Management might tell you what you have and how much, Warehouse Management will tell you where it is, how it gets there, and how to do it all more efficiently.

What are the Different Types of Warehouse Management Systems?

Warehouse Management Systems come in various types, each designed to meet different business needs and budget constraints:

 

  • Standalone WMS
  • Cloud-based or SaaS WMS
  • ERP modules
  • Supply Chain Modules

What Role Does WMS Play in eCommerce Operations?

A WMS is often the backbone of the operations, overseeing everything from receiving products from suppliers, to storing and locating items in the warehouse. With eCommerce, you’re dealing with high volumes of individual orders, often with expectations of rapid delivery. A WMS can help streamline these processes, increasing efficiency and reducing errors. 

Best Warehouse Management System (WMS) for Shopify

Best Warehouse Management System (WMS) for Shopify

The path to Shopify success is paved with efficient inventory management, streamlined order fulfillment, and the power of the perfect Warehouse Management System (WMS). Join us as we explore the vital role of a top-notch WMS in revolutionizing your operations. Because the right WMS can be the game-changer that propels your business to new heights of success.

What is a Warehouse Management System (WMS)?

Efficient inventory management systems are crucial for success. This is where a WMS comes into play. A WMS is a software solution that helps businesses optimize their warehouse operations, improve inventory control, and streamline order fulfillment processes. 

What is Shopify?

Shopify is a leading eCommerce platform that empowers entrepreneurs and businesses of all sizes to set up online stores and sell products to customers worldwide. With its user-friendly interface, robust features, and extensive app ecosystem, Shopify has become the go-to choice for retailers, merchants, and sellers across the globe. 

What Should a Shopify WMS Do?

A Shopify WMS should seamlessly integrate with your Shopify store and provide a wide range of functionalities to enhance your inventory management and order fulfillment processes. It should also offer features such as real-time inventory tracking, accurate order management, efficient replenishment capabilities, and comprehensive reporting and analytics. With a WMS, you can achieve optimal inventory control, streamline operations, and deliver exceptional customer experiences. And without it, your fulfillment might get backlogged or even miss entire orders! 

Criteria for Choosing the Best Shopify WMS

When selecting a Warehouse Management System for your Shopify store, several key factors come into play. Here are some to consider:

Connection

A seamless integration enables real-time data synchronization, ensuring that your inventory levels, order statuses, and customer information are always up to date. With automatic updates flowing between Shopify and your WMS, you can eliminate manual data entry and the risk of data discrepancies. Whether it’s tracking inventory levels, monitoring order statuses, or accessing customer information, a reliable connection is vital for maintaining a cohesive and efficient workflow. This means the integration capabilities of your WMS partner should be robust. 

Features

When evaluating different WMS options, thoroughly assess the features they offer. Each WMS provides different features so you should find the one that most aligns with your specific business needs and goals.

Start by evaluating the inventory tracking capabilities of the WMS. Look for features that enable real-time tracking of inventory levels, allowing you to have a clear view of stock availability and prevent stockouts. 

Next, consider the order management features. A robust Shopify WMS should offer efficient order processing, including features such as order consolidation, batch picking, and order prioritization. The ability to manage multiple sales channels, synchronize orders across platforms, and automate order fulfillment workflows can greatly streamline your operations. 

Barcode scanning capabilities are another important aspect to consider. Barcode scanning functionality enables faster and more accurate inventory management and order processing. 

And lastly, integration with other sales channels is crucial if you sell across multiple platforms. Ensure that the WMS seamlessly integrates with other popular sales channels like Amazon, eBay, or Etsy. This integration enables centralized inventory management and order processing, preventing overselling or discrepancies between platforms.

Cost

Some WMS options may offer subscription-based pricing, where you pay a monthly or annual fee for access to the system. Others may charge transaction fees based on the number of orders processed through the WMS. But while it’s important to consider the cost, it’s equally crucial to assess the potential return on investment (ROI) that the WMS can offer. Calculate the efficiency gains, reduction in errors, and time savings that the WMS can bring to your business. Evaluate how these benefits translate into increased revenue, cost savings, and improved customer satisfaction. By weighing the potential ROI against the cost, you can make a more informed decision and choose a WMS that offers the best value for your investment.

Implementation

Look for a WMS provider that offers user-friendly setup processes and provides clear documentation to guide you through the implementation steps. The availability of reliable customer support is crucial in case you encounter any challenges or have questions during the implementation process. A well-supported and smooth implementation can contribute to a successful transition to the new WMS and ensure minimal disruption to your operations.

The Best WMS for Shopify

After careful consideration of the criteria mentioned above, one Shopify WMS stands out for its exceptional features and seamless integration: ShipHero. ShipHero offers a comprehensive and user-friendly solution for warehouse management, order fulfillment, and inventory control. Its robust feature set sets it apart as one of the best options for Shopify users. In fact, 10% of all Shopify Plus stores globally use ShipHero!

ShipHero provides real-time inventory tracking, allowing you to monitor stock levels and make informed decisions about replenishment. With efficient order management capabilities, you can streamline the entire fulfillment process, from picking and packing to shipping. The platform also offers comprehensive reporting and analytics, empowering you to gain valuable insights into your business performance and make data-driven decisions. Plus, its user-friendly interface is available on both mobile and web platforms! 

To explore how ShipHero can transform your Shopify store, click here

Key Takeaways

When selecting a WMS for your Shopify store, you can find the right WMS by considering these four factors: connection, features, cost, and implementation. These factors will determine the effectiveness and efficiency of your warehouse management and order fulfillment operations. And ShipHero emerges as a top contender in the WMS landscape due to its impressive array of robust features, seamless integration with Shopify, and user-friendly interfaces. With ShipHero’s commitment to excellence, you can confidently take your eCommerce business to new heights.

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Frequently Asked Questions

What are the Advantages of using a WMS for an eCommerce Business?

Using a WMS for an eCommerce business brings numerous advantages, including improved inventory accuracy, enhanced efficiency in order fulfillment, reduced errors and mistakes, better visibility into inventory levels and customer experience, and streamlined reporting and analytics for informed decision-making.

How does WMS Improve the Efficiency of Order Fulfillment?

A WMS enhances order fulfillment efficiency by providing real-time inventory tracking, optimizing warehouse operations, automating tasks such as picking and packing, enabling accurate order management, and providing comprehensive visibility into order status and fulfillment processes.

How to Choose the Right WMS for Your eCommerce Business?

To choose the right WMS for your eCommerce business, consider factors such as seamless integration with your eCommerce platform (such as Shopify), robust inventory management features, scalability, user-friendly interfaces, efficient order management capabilities, and reliable customer support. Additionally, evaluate cost-effectiveness and compatibility with your specific business needs and goals.

Best Warehouse Management Systems (WMS) for eCommerce: All You Need to Know

Best Warehouse Management Systems (WMS) for eCommerce: All You Need to Know

Businesses are only as efficient as the warehouses that store their stock and the software applications that keep track of supply chain logistics operations. Once your eCommerce business gets big enough that you can no longer fit all of the inventory in your garage, you must outsource processes such as warehousing and shipping to a third-party logistics (3PL) company. Successful 3PL enterprises manage their warehouse operations with warehouse management systems (WMS). These tools enable them to keep track of relevant information and control order management.

What is WMS?

WMS stands for warehouse management system. A WMS is software that helps you improve organization, visibility, and efficiency in your warehouse. Through integrations and automation, WMS helps you manage orders, stock levels, and shipments. WMS software with an intuitive user interface can be the solution you need if your current system makes it too time-consuming for employees to scan items and enter data about the locations and inventory levels of certain products. You can choose the features you need for your warehouse, and the WMS platform can integrate easily with the software that you already use for accounting and other business solutions.

What is eCommerce?

eCommerce is a general term for businesses that sell products on the online market. Some eCommerce businesses operate on well-known platforms like Amazon, Shopify, or Etsy, while others simply sell products through their own websites. Most eCommerce ventures start out as small businesses that offer a very limited number of products. In these cases, all of the picking and fulfillment of orders takes place in the business owner’s home or rented office space. If your eCommerce business has more customers than you have square feet of space in your garage, though, you will need to outsource order fulfillment and other warehouse processes.

Importance of Warehouse Management Systems for eCommerce Stores

In an eCommerce business, most of the work is taking place far from your location, perhaps in another state; this is just how the eCommerce industry works. Through your eCommerce platform, you see the customers place orders. When you integrate your eCommerce platforms with WMS, you get to see what is going on at the warehouse. It gives you a bird’s eye view of supply chain management. Just by viewing the analytics reports and watching the barcode scanning update itself in real-time on your dashboard, you get insights into what is going on with the movement of your products. You can follow the order tracking from the distributors all the way to your customers all over the world.

Efficiency and Productivity

The warehouse manager can quickly see how much more efficiently the warehouse operates once the companies have implemented WMS. With only a little bit of training, warehouse employees can use the WMS for all the tasks they need it for. Not every employee needs to be proficient in every functionality of the whole software suite. WMS enables warehouse workers to improve their speed and accuracy. Therefore, it enables warehouses and the eCommerce companies they serve to save on costs.

Inventory Management

Inventory management software, through ShipHero, NetSuite, or another major company, is a great addition to fulfillment centers. You will start to notice the benefits immediately. The software will help your warehouse and all of your employees improve their performance. Because of the reporting capabilities of WMS, you can start charting the improvement of your warehousing operations as soon as you install the software.

Order Accuracy

WMS is effective at reducing human error in all aspects of the warehouse’s operations, from putaway to packing. Mistakes in any area of the warehouse can lead to inaccurate order fulfillment. WMS can enable a 3PL warehouse manager to submit accurate orders to vendors, thus preventing overstocking. Retailers who use business software such as Oracle to manage their online sales marketplaces can also ensure that their customers are receiving the things they ordered with every delivery.

Cost Savings

WMS helps you save on shipping costs. For example, with greater order processing accuracy, you don’t have to do multiple deliveries just to ensure that one customer gets the correct box of products that he or she ordered. The employees’ mobile devices update their to-do lists in real-time. This enables each employee to fulfill more orders in a single shift. The WMS can quickly rearrange the workflow as necessary and communicate it to the employees in an understandable way.

Customer Satisfaction

Customers are loyal to certain brands not just because of the quality of the products but also because of the approach that the company takes to customer service. eCommerce brands with helping customer support, fewer errors in delivery, fewer delays due to stockouts, and more convenient shipping options can attract repeat customers as effectively as those whose products have the most snob appeal or sync with the latest trends. Installation of WMS is the first step to improved customer relationship management (CRM).

Scalability

Even when technology was not nearly as advanced as it is today, it was more cost-effective for businesses to operate on a large scale. WMS solutions make it easier to scale your business, whether your goal is to let the 3PL central team deal with all of the inventory control and supply chain optimization or to expand your operations into Europe, Canada, or anywhere else in the world. WMS offers you transparency about sales orders, workflows, and other steps in the supply chain, no matter how many different warehouse locations store your products.

Best WMS For eCommerce

ShipHero is the best WMS for eCommerce, but some other popular WMS are Edge, ShipBob, WooCommerce, and Magento. ShipHero offers you solutions for many different business processes. It includes multi-warehouse allocation management, inventory/order management, integrations with NetSuite and other major eCommerce partners. ShipHero has an advantage over its competitors when it comes to answering clients’ questions, knowledge of shipping management, and interacting smoothly with all of the devices and barcode scanners in the facility.

Understanding Different Types of Warehouse Management Systems

Not all warehouse managers should choose the same software solutions. Instead, you should consider the various pricing plans and decide which version of the WMS modules will help your warehouse staff complete their daily tasks and will provide important inventory information to help you focus on your business development planning goals and decisions. You should focus on paying only for the services you need and on a user experience that will make labor management easier by not alienating workers.

Standalone WMS

Standalone WMS is best for users who operate relatively small warehouses. It is a good choice if you don’t need one software suite to do everything. For example, maybe you already use QuickBooks for accounting, billing, and payroll, but you need the WMS to check the status of stock levels and replenishment. The size of your business makes a lot of difference regarding whether a standalone WMS is the solution to your inventory tracking problems.

Integrated WMS

Integrated WMS is useful for 3PL providers that manage multiple parts of the supply chain and must constantly keep their eyes on performance metrics. It handles everything from yard management and cross-docking to barcodes, batch counting, cycle counting, shipment tracking, and printing labels. Integrated WMS is useful for any 3PL company that employs complex fulfillment methods and deals with large amounts of stocks. Wholesalers and distribution hub warehouses alike can benefit from integrated WMS and the large number of features it enables you to access.

Cloud-Based WMS

If hardware is the backbone of your warehouse, then perhaps you should switch to cloud-based WMS carriers. Computer hard drives are easy prey for hackers. If hackers can guess one password, then they can breach all the devices on your network, and steal data that is worth more than all the goods in your warehouse. WMS with cloud storage is much better from a cybersecurity perspective.

On-Site WMS

If you have a mortal fear of Internet glitches, or if you just like to keep all the most important details stored on devices that bear your company’s logo, you can opt for on-site WMS. It has the same functions as cloud-based WMS and allows you to keep track of all the details of manufacturing and purchasing, even if it is not the wave of the future like cloud-based WMS.

How to Choose The Best Warehouse Management Software for Your eCommerce Business

Choosing the most appropriate WMS for your eCommerce business requires some research. Reading reviews of WMS platforms and watching promotional videos can only get you so far.

Evaluate Your Current System

Do you use any business software now? How well does it meet your needs? Which tasks are time-consuming to perform with your current WMS? How much do you pay for your current WMS, and how much return on investment do you get for it?

Identify Your Needs

In order to know what you want from a WMS, you have to know who you are as an eCommerce company. Some WMS were designed for warehouses that serve B2B operations and materials resource planning (MRP), while others are places for small businesses to park their lovingly crafted merchandise so that it can quickly reach their small but enthusiastic customer base. Which warehouse processes are you hoping to outsource?

Set Your Budget

One of the biggest mistakes you can make when buying business software is to pay for more features than you need. Don’t buy an iPhone or an Android when all you really need is a flip phone. When you set your budget at the beginning of the search, you cannot get too overwhelmed by the vast number of options. You can automatically eliminate the ones that are beyond your budget and only choose among the options that you know you can afford.

Check for Scalability

If you are still sending each package through UPS or USPS, will your WMS handle the distribution through automated processes? When you identify the needs of your business, you should think not only about your current needs but also your company’s short-term and long-term goals and how your needs will change as you achieve those goals.

Consider Integration Capabilities

How well the WMS integrates with other software applications that your company already uses is an important factor in your choice of WMS. Without seamless integrations, you will have to deal with time-consuming transfers of data and migration of files to the new system. This could consume a lot of time and cause disruptions to the operations of your warehouse.

Prioritize Ease of Use

The smartest WMS that can accurately predict what will happen at every point in the supply chain is useless if you and the employees of your warehouse cannot use it easily. User-friendly functions and an intuitive user interface are among the most important criteria for choosing a WMS.

Research Vendor Reputation

You should not base your entire decision on what you hear through the grapevine, but reading reviews of the WMS can help you decide. Look for reviews from companies that are similar to yours and pay more attention to general trends in the comments than to glowing praise or harshly-worded criticism.

Technical Support

Even the most user-friendly software will sometimes do things you don’t expect it to do, especially when you first get started using it. Technical support may be the second most important criterion after user-friendliness.

Request a Demo or Trial

No matter how many reviews you read, it is hard to know how easily you will get used to the software unless you try it out. If a WMS offers a free demo or trial, this is a mark of good customer service.

Assess Return on Investment (ROI)

Don’t automatically go for the cheapest WMS. Instead, think about how it will help you save on costs and increase your profits.

Key Takeaways

WMS can help your eCommerce business operate more efficiently, save on costs, and scale its operations.

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FAQs

These are some common questions that eCommerce business owners have about WMS software.

What are Warehouse Management Activities?

Warehouse management activities are the tasks your employees must do to play their role in supply chain logistics. Warehouse management activities include cycle counting, putaway, and replenishment of stock levels.

How Much Does Warehouse Management Software Cost?

Most warehouse management software is available on a monthly subscription basis. The price per month varies according to which WMS software package you buy.

What are some Free Warehouse Management Software Options?

Some very simple business software applications are included with Microsoft Office, but these are only suitable for the smallest businesses. If your eCommerce operation is big enough to need warehouse space, you need a WMS subscription.

Contact ShipHero today for a demo.

Understanding WMS for 3PLs

Understanding WMS for 3PLs

Outsourcing some of your operations to other organizations is a necessary part of the growth of eCommerce companies. Engaging the services of third-party logistics (3PL) solutions providers is supposed to help you save time and money, but it has its challenges, especially in the beginning. Fortunately, technology can make the process easier. Your 3PL company should choose a WMS (Warehouse Management System) platform that meets your requirements and those of your team and clients. There are plenty of 3PL WMS systems out there, but they differ in their efficiencies, integrations, and implementations. Choosing the best WMS software platforms can help you achieve success with your current clients and even attract a new, lucrative project.

What is WMS?

A WMS (Warehouse Management System) is a software solution that manages and implements warehouse processes in real-time. It is more comprehensive than just using fulfillment software. Warehouse management systems provide you with many different warehouse operations, such as order fulfillment, storage of goods, the printing of shipping labels, and managing workflows such as FIFO. Choosing the right warehouse management software suite can help warehouses operate more efficiently so that they can serve their customers more effectively.

What are 3PLs?

3PL stands for third-party logistics, and it is a common way of doing business in the eCommerce industry. In a 3PL setup, the company makes and ships the products at a warehouse that the eCommerce retailer company does not own. The company that owns the warehouse (the “third party” in third-party logistics) is in charge of fulfilling the orders and other warehouse functions. All WMS systems collect a lot of data regarding tracking, distribution, and other aspects of the supply chain. They also automate tasks to reduce labor costs and prevent miscommunications among workers. Some of them even have features that enable the software to make planning decisions, such as when to reorder certain products. Warehouses that engage in third-party logistics functionalities need WMS to serve their clients and their client’s customers efficiently so that they can stay competitive in the market.

Why is WMS Important for 3PLs?

WMS is important for 3PLs because a machine can keep track of more information at one time than a human being can, even a human being with a prodigious mind. When a warehouse implements WMS software, the WMS sends the relevant information to each employee’s mobile device. If your task today is order fulfillment in the shoe aisle, then your dashboard only shows you which shoeboxes you are responsible for picking, where to find them, and which truck to put them on so that the appropriate person can pack them. 3PL companies are also often in charge of ordering supplies, shipping orders to customers, and processing customer returns. Therefore, accuracy and traceability are of paramount importance for 3PL WMS.

How to Choose the Right WMS for Your 3PL

Choosing a WMS for your 3PL company is not something that you should do on a whim. You should research several 3PL WMS products from various companies before you make a decision. To do this, first, read some blog posts or a user guide or watch a demo video of the software’s features on the website of the WMS company. Write down the questions that come to your mind after your preliminary search for information about WMS products. Then call some WMS companies and ask your questions to someone in the sales or customer service department. Interacting with the company that makes the WMS is an important step because you want to make sure that the people who will help you set up and troubleshoot the WMS are helpful.

Scalability and Flexibility

WMS helps you be more accurate and efficient in the execution of your warehouse processes, even if you operate multiple 3PL warehouses in different parts of the country. You can use data to ensure that customers are receiving the package in record time. The WMS is always collecting and analyzing data about transportation costs and times so that the packages can reach the customers after the fewest number of steps and with the fewest errors. A WMS can do this as easily for just a few types of products as for a whole warehouse, and it can do it as seamlessly for multiple shipments of varying sizes as it can for a single order. Best of all, when there are glitches in the supply chain, the WMS can offer quick fixes, so you can easily work with the materials you have to meet the demands of the market.


Integration Capability

The best WMS for 3PLs integrates easily with a variety of business software platforms. You don’t have to buy the rights to access multiple new applications just to add WMS to your 3PL operation. If you use different software for invoices, charges, billing, reports, or other aspects of your business, WMS for 3PLs will integrate smoothly with your other software. WMS for 3PL plays well with others. When you implement WMS for 3PL, your warehouse employees will not notice any difference in their work device usage except that they will see the WMS logo on their portals and a longer list of options when they look at their dashboards.


Multi-Client Support

Your mission as a 3PL service provider is to partner with different companies in different areas of the country that use your warehouse location as a piece of their supply chain. Your clients have the goal of providing customer satisfaction and affordable prices for their customers, and your warehouse operations are tools that enable them to achieve that goal. Most 3PL providers store products belonging to a range of different companies in the same warehouse. Therefore, you must meet the needs of multiple clients simultaneously and ensure the timely delivery of all of their products. WMS for 3PL can help you fulfill that mission.


Real-time Visibility

The most significant relief that WMS brings to 3PL providers is that it enables warehouse managers to see what is going on in multiple areas of multiple warehouses all at the same time. WMS for 3PL gives you a bird’s eye view of the entire supply chain. You can see what is going on in different marketplaces, and you can use these insights to make wise decisions that benefit you and your clients. The real-time visibility that you get with WMS and transportation management systems (TMS) for 3PL can help you reduce errors and save on costs.


Automation Capabilities

Warehouse jobs have a reputation for being boring, monotonous, and dangerous, but automating some of your warehouse processes can help keep workers away from safety hazards and reorient their work toward tasks that require human judgment and communication while leaving the truly monotonous tasks to the robots. With WMS for 3PL, workers can enter input on devices, or simply watch the robots do their work as the machines do predictable tasks such as counting and stacking items or kitting products that customers frequently order together.


Advanced Inventory Management

Frequently reevaluating and modifying your warehouse workflows can help your warehouse stay efficient and competitive. For example, you can pick nonperishable products on a first in first out (FIFO) basis, while picking and shipping perishable food items, including those with a fairly long shelf life, on a first-expire-first-out (FEFO) basis. WMS can easily keep track of the complex organization of your warehouse and clearly and efficiently communicate it to workers on their devices.


Reporting and Analytics

Even the simplest WMS suites have robust reporting and analytics features. You can generate reports on demand or at regular intervals, and you can even watch the data update itself in real-time. You can use the reports generated by your WMS to make decisions about warehouse layout, reordering, pricing, and transportation routes, among other matters. You can even authorize the software to make certain decisions on its own based on the data. For example, you can rely on it to reorder a certain item whenever the stock level gets below a certain point.


Customer Portal

The most complete WMS for 3PL has a web portal not only for managers and employees but also for customers. Consumers who order products stored at your warehouse can track their orders in real-time. The customer portal can also help customers navigate the return process and provide necessary feedback.


Ease of Use

Business owners are familiar with the ups and downs of implementing new software or installing new devices at work. With the best WMS for 3PL, getting started working with the new WMS is as easy as downloading a game on your mobile phone and playing it. The user experience of WMS for 3PL is intuitive for employees and customers alike.


Vendor Support and Training

Even though it is easy to get used to the new WMS, many employees find it beneficial to have someone explain to them live how to use the features of the WMS. In addition to online training videos, we offer in-person training to help the employees in your warehouse and your company get used to using the WMS features that they will be using in their work on a regular basis.

WMS for Different Industries in 3PL

Different industries have different warehouse management needs. WMS suites are available that are suited to different industries, such as raw materials, wholesale goods, and retail distribution centers. If your 3PL company is in charge of various parts of the supply chain, then you should choose a WMS that is equipped to manage the processes of various kinds of warehouses.

Best Integration of WMS in 3PL

Most companies that seek to implement WMS are not small startups that have just recently gotten the idea that they want to store and distribute products. Rather, they are established 3PL service providers that have been in the supply chain logistics industry for years. They already use business software that works for them, so they need a WMS that integrates well with it.

Cost of Implementing WMS in 3PL

The days of installing software onto each individual device in your network from a CD-ROM are long gone. Not only is implementing business software, including WMS for 3PL, much faster than it used to be, but it is also less expensive. WMS for 3PL is available for a monthly subscription fee, with different packages available at different price points.

Pros of WMS for 3PLs

WMS can help 3PLs save on labor costs and shipping times because they enable warehouse managers to see what is going on at all parts of the supply chain. They reduce human error and lack of efficiency by tracking the progress of the work in real-time and updating the information on workers’ devices on an ongoing basis.

Cons of WMS for 3PLs

Once you get started with WMS, you will wonder how your warehouses ever managed to operate without it. All new software programs involve a learning curve, but it should not take long before the employees of your warehouse get used to using the new WMS.

Key Takeaways

Automation and analytics are key to operating a warehouse efficiently and ensuring that the supply chain operates in a streamlined manner. WMS can help your warehouse or 3PL operation reduce labor costs and increase the speed and accuracy of work.

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FAQs

These are some common questions that 3PL service providers ask about warehouse management systems.

What is the Difference Between ERP and WMS?

ERP stands for enterprise resource planning. Warehouse management systems (WMS) are only one aspect of ERP.

What is the Pricing for an Extensive 3PL Warehouse Manager?

An extensive 3PL warehouse manager costs a monthly subscription fee that is higher than the subscription fee that you would pay for a simpler one.


Is There a Suitable 3PL Software for Small Businesses?

3PL software packages are available for businesses of all sizes. You can choose a 3PL WMS suite that fits the needs and size of your business.

Contact ShipHero today for a demo.

WMS for NetSuite. An In-Depth Guide

WMS for NetSuite. An In-Depth Guide

The right software applications can provide solutions to many of the challenges that small or medium-sized businesses face. Software as a service is not new; since its first implementation several decades ago, it has become one of the most valuable resources to which businesses have access. Your company should put as much thought into the cloud-based services it engages as into the computer hardware that it buys. If you are operating a third-party logistics operation, then the right warehouse management system can help support the teams in your warehouse as they perform the warehouse processes for which your organizations are responsible.

What Is WMS (Warehouse Management System)?

A warehouse management system (WMS) is a software platform that warehouses use to help them with inventory management and order fulfillment. Its various functions help you with warehouse operations such as putaway, cycle counting, barcode scanning of items, and picking. It can improve inventory accuracy, labor productivity, and customer satisfaction.

The WMS is the operating system of the entire warehouse, but each employee and each piece of equipment interacts with the WMS functions in a different way. An employee in charge of bar code scanning will look at his or her dashboard to find the locations of the bins which are the focus of today’s assignment. As the barcoding employee scans each item to get it ready to pack or stock, the WMS automatically updates as each piece of input that comes in. When the employee finishes one task, the WMS displays new tasks on the employee’s mobile device.

What Is NetSuite?

NetSuite is a leader in business software and software as a service industry. It has been helping companies achieve success since the old days when computers were huge and software had to be installed onto a device from a floppy disk and then launched in multiple steps. NetSuite has evolved with improvements in computer technology, and today it remains a leader in a world where business software operates with much greater efficiency than it did in the days when people used to try to resolve computer issues by blowing on a floppy disk or a computer mouse to remove dust.

NetSuite WMS is only one of the many software products that NetSuite offers. Its other tools include software suites for accounting, payroll, customer relationship management, procurement, human resources management, and eCommerce. Its business software helps small startups meet their growth goals and enables medium-sized businesses to meet customer expectations about costs and value so that these companies can compete with mega-corporations.

The Need for a Specialized WMS Solution for NetSuite Clients

In its many years of developing its products, NetSuite has adapted to meet the needs and requirements of its users so that they can better serve their customers. Different industries have different software needs, though. If you are operating a third-party logistics (3PL) warehouse, then you need a WMS module. The dashboards, spreadsheets, and task management on a software module designed for a hotel or restaurant would not be an adequate substitute. Instead, you need software that compiles and analyzes inventory data efficiently so that you can know how many goods your warehouse has space for. You also need the WMS to optimize inventory visibility, so that it will be easy for the warehouse employees to see the products they are trying to find. WMS implementations are not interchangeable with other business software applications, so your 3PL operation should not use generic business software.

Understanding NetSuite’s Capabilities

If you only use the Microsoft applications that came included on your devices, or if you are constantly searching the web for free online templates of business documents, then you will be amazed at what NetSuite business software can do for your company’s operations, whether you are a small eCommerce business that only sells footwear or a distribution and fulfillment provider that serves multiple clients and operates multiple warehouses. The variety of NetSuite’s business software applications and packages is too large to list here, but the beauty of them is that they all automate the processes that can be done automatically and share relevant information with the appropriate parties across applications within the organization. Every time a customer makes a transaction or the WMS software makes a replenishment order, the employees who need access to this information to complete their tasks find this out immediately. NetSuite software reduces human error and enables people and devices to work more efficiently.

NetSuite is not the only business software out there, but its user-friendly setup sets it apart. It provides an intuitive user experience. It also offers customer support where live people will answer your questions about transactions, data analytics, automation of warehouse processes, and more. Much like Sage Intacct, NetSuite offers cloud-based software solutions. Software platforms that store data on a cloud instead of on your devices offer better protection against computer viruses and data theft.

Explanation of NetSuite’s Functionality in eCommerce

NetSuite products offer many opportunities for eCommerce businesses to streamline their operations and save on costs. It enables eCommerce vendors to partner with warehouses and third-party logistics providers. It can also help eCommerce companies with advertising and billing. For companies that handle their own shipping, NetSuite’s eCommerce software can track your shipments and keep customers up to date on the progress of their orders. It can also produce analytics reports about market trends and customer satisfaction, among other topics.

Role of NetSuite in 3PLs (Third-Party Logistics)

Third-party logistics (3PL) providers can benefit immensely from NetSuite business software applications. Some of NetSuite’s software suites are designed specifically for the 3PL industry. 3PL is where a company uses its warehouse to store and distribute products that belong to other eCommerce companies. All except the smallest eCommerce companies rely on 3PL to help them get their products to consumers. 3PL accounts for a growing share of NetSuite’s business software customers. Check out NetSuite’s blog for updates about what is new in the world of business software for 3PL providers.

Why ShipHero WMS Is the Best Solution for NetSuite Clients

NetSuite offers a vast array of business software products, but ShipHero WMS is the best choice for 3PL providers. It has features specific to all the tasks that 3PL warehouse employees do, and it integrates beautifully with the other NetSuite business software applications that you already use.

Special Features of ShipHero WMS that Make It the Ideal Choice

Analytics is one of the strong points of ShipHero WMS. It collects all the data you could ever want to know about your warehouse and the supply chain. ShipHero WMS compiles retrospective reports and can also engage in predictive analytics.

Benefits of Integrating ShipHero WMS With NetSuite

Automating warehouse processes is another commonly cited goal of clients who use ShipHero WMS. For example, it enables you to automate cycle counting, which would otherwise be a time-consuming process. It also enables you to automate replenishment. You can simply instruct the software to reorder a certain product when the stock level gets below a certain point.

Case Studies or Testimonials Demonstrating the Effectiveness of ShipHero WMS

The ShipHero website includes case studies about clients in the United States and Canada who have implemented ShipHero WMS. These include eCommerce companies that sell everything from clothing to tires to musical instruments.

Key Takeaways

If warehouses play any role in your business activities, even if yours is only a small eCommerce store, then ShipHero WMS is just what you need. It integrates smoothly with other NetSuite software suites, which are a popular choice for small and medium-sized businesses. User-friendliness, analytics, and automation are among the greatest strengths of ShipHero WMS.

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FAQs

Each business that engages the services of ShipHero WMS has unique needs. These are some common questions that 3PL providers and eCommerce businesses have about ShipHero Warehouse Management Software for NetSuite.

How Does a WMS Integrate into an ERP Like NetSuite?

When you install ShipHero WMS, it automatically knows how to interact with NetSuite. The two platforms have been designed to work together. Therefore, you do not have to overhaul all of your business software simply because you have started using ShipHero WMS for NetSuite.

Is NetSuite a Data Warehouse?

NetSuite uses cloud-based data storage and was one of the first software companies in the world to implement this type of data storage. Since NetSuite stores your data on a cloud instead of on the hard drives of your devices, it gives you an extra layer of protection against cyber attacks. Besides cloud storage, NetSuite also has other robust cybersecurity features.

Does Oracle Have a WMS System?

Oracle has a WMS system, namely ShipHero WMS for NetSuite. NetSuite has been a subsidiary of Oracle since 2016.

Contact ShipHero today for a demo.