DC Velocity - April 2011

rial handling equipment to carry out the task. “Let the WCS do everything that needs to be done and then send word back to the WMS that the actions have been [completed],” he says.

SAFE AND SECURE

Another issue that inevitably comes up with cloud computing is data security. It’s not uncommon for companies to have trepidations about allowing their critical inventory information and financial records to be stored on a computer many miles away, outside the company’s IT domain.

“It becomes a major concern for the
customer where the data exists and how
they access it,” notes Jerry Koch, director
of corporate marketing and product
management at Intelligrated, a manufac-
turer of automated material handling
equipment. “There needs to be a security
scheme in place to provide for [protect-
ing] the information going back and forth
[between the WMS and WCS].”
That’s why it’s so critical to pick the
right hosting vendor for the job. Camean
advises companies to ask the vendor
detailed questions about its data protec-
tion procedures, including its processes
for data backup and recovery in the case
of disaster. He adds that companies
should be aware that some hosting servic-
es charge extra for data recovery.

IT’S ALL ABOUT THE MONEY

Because of their complexity, these types of projects will require extensive testing and debugging before going live, the experts say. In fact, when it comes time for the pilot, they recommend bringing in all of the vendors involved—the suppliers of the WMS, the WCS, and the material handling equipment as well as the software hosting company—in addition to the warehouse’s operations and IT personnel.

“Many folks need to be involved …,”
says Camean. “It’s not as simple as con-
necting the WMS to the WCS.”
Given all the complexities, it seems fair
to ask why any company would consider
using a cloud-based WMS to manage a
highly automated facility. According to
the experts, the decision to go with a
cloud solution would likely be based on

IT-related factors, not by warehousing or distribution considerations. In other words, companies would take this route to avoid having to invest in hardware and software, and more importantly perhaps, to avoid having to maintain an in-house IT support staff.

“The software provider is managing the technology on your behalf so you don’t have to develop this IT expertise,” says Collins of HighJump. “Limited IT resources would be the driver [for adopting a cloud WMS],” adds Camean. “You could save a ton on labor and maintenance.” ;

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