The optimised warehouse
Effective inventory management calls for a more technologically advanced WMS, because warehouses that know how to inspect receipts, move them to the best location and use the data at their disposal have the ability to speed up this crucial process and achieve optimum accuracy.
The rapid advance of WMS software in the last few years has allowed logistics and e-commerce managers to rethink their operations from the ground up, particularly when it comes to put-away. A best-of-breed WMS, paired with hand held devices that tell your staff exactly what to do and where to go, provides complete certainty on how every item should be handled and stored – plus all-important instant visibility of your inventory.
Smarter warehouses recognise that inventory management is continuous, rather than a process that ends the minute a shipment is received and put-away. Human error and manual/paper processes can both lead to inventory mishaps at multiple points, from goods-in to packing and shipping.
Without a keen focus on accuracy, inventory management mistakes result in lost productivity and reduced revenue – your customer receives the wrong item, generating unexpected returns, or you may not have the correct item in your warehouse to begin with, causing order processing delays.
The majority of inventory errors occur at two crucial checkpoints: receiving and put-away. Warehouses face many potential pitfalls while receiving goods, but a world class WMS will allow your labour to scan cases for failsafe identification and validation and also supports default units of measure for receiving. As an added benefit, tying receipts back to purchase orders will allow processes to be completed around over/under/ partial receiving.
Put-away errors can be even more of a headache, as they’re difficult to identify quickly, however barcode or RF scanner-driven WMS provides proper processes and much greater visibility and validation to assist in locating inventory. It allows you to investigate what was put-away before and whether the inventory went to the same location of a previously put-away line.
Because your business needs to know what capital it has tied up in inventory, a top tier warehouse management system also includes cycle counting functionality which will automatically generate the inventory counting tasks to be performed concurrently with other warehousing tasks – ensuring any auditing process takes place with maximum efficiency and minimum disruption to your operation.
As buying trends shift, the ability to alter inventory locations on the fly is critical for productivity too, while your WMS productivity data will give you a better idea of how to address labour and tracking inefficiencies. When you put away inventory without a verification scan, you’re more likely to make an error in data recording – which then must be rectified during the picking process.
Market leading WMS software additionally drives best practices for replenishment, because an optimised system saves on costs and ultimately cuts down on the errors that can cause the entire inventory workflow to break down.
Whether it’s demand based, routine or top off, all three of these replenishment methods could be in use at the same time in the same warehouse – e.g. supplying a grocery store chain dealing with seasonal products, staple foods and meals that require special preparation and packing – so without a robust method for planning, tracking and executing these strategies, there’s no telling how much productivity could be wasted.
The best solution is a well-implemented WMS with system-directed and scan-confirmed picking. This allows data on inventory levels and item destinations to be recorded in real time, and eliminates confusion when it comes to picking and packing for shipment. Using this reliable methodology, replenishment processes also become more efficient as workers can more easily shift between lines to pick up slack if needed.
Tony Dobson, SnapFulfil MD for UK & Europe
