BY BEN AMES, SENIOR NEWS EDITOR
WAREHOUSE MANAGEMENT SYSTEMS
Technology
TO HELP MANAGE TODAY’S BUSTLING RETAIL FULFILLment operations, most DCs rely on warehouse management
systems (WMS) to track inventory, manage order picking, and
oversee tasks like shipping and replenishment. Like a reliable family car, the typical WMS may not be flashy, but it helps make sure
the goods get from point A to point B.
However, the retail industry is changing fast, and the repercussions are being felt all the way back to the distribution center.
For one thing, the advent of omnichannel commerce has changed
the game where many DC operations are concerned. Facilities
that were set up to handle store replenishment are increasingly
being tasked with processing high volumes of direct-to-consumer
orders. It doesn’t help that online giants like Amazon.com Inc.,
Target Corp., and Walmart Inc. keep raising the service bar, conditioning consumers to expect same-day order processing and
up-to-the-minute order-status information.
A specialized WMS can help meet those rising demands, but the
decision to launch a major software overhaul isn’t one to be taken
lightly. So how can DC managers tell when it’s time to petition their
boss for a brand-new WMS or at least to upgrade their trusty old
software? As is so often the case, there’s no universal answer. The
timing will depend on each operation’s individual circumstances.
A SHIFT IN THE MIX
In the past, some customers have dealt with the issue of competing
fulfillment demands by running two WMS systems in the same
building, says Chris Shaw, director of product marketing and
analyst relations at software developer Manhattan Associates. One
system would handle wholesale orders and store replenishment,
while the other managed direct-to-consumer orders.
Today, there’s no longer a need to go with the dual-system
approach, he says. Some of the newer warehouse
management systems can both build efficient
waves for bulk orders and handle waveless processing for individual items,
he says.
However, users still have to
figure out when the time is right
to upgrade to a WMS that can
In response to pressures
brought on by the omnichannel
revolution, more and more
retail distribution leaders are
questioning whether their legacy
warehousing software can keep
up with the times.
Is it time to
replace your
WMS?
