Warehouse management system

from Wikipedia, the free encyclopedia

Warehouse management systems ( WMS ; English warehouse management system , WMS ) are software-based systems for the entrepreneurial management of warehouses and distribution centers .

With warehouse management software, logistics software, intralogistics software or warehouse management systems, the entire internal material flow can be mapped. All goods movements carried out in a company are referred to as internal material flow. This includes processes of goods receipt, storage, relocation, retrieval and shipping. A distinction is made between the flow of materials and the flow of information. The material flow is about the physical receipt of the material in the warehouse. The warehouse processes are accompanied by the flow of information. This ensures data security and inventory transparency during transport.

Definition of terms

A warehouse management system (WMS) is understood in the narrower sense to be a software system for the management of storage quantities and storage locations as well as their relationship to one another. According to VDI guideline 3601, a warehouse management system (WMS) includes additional functions for the control and optimization of system states. In contrast to pure inventory management, a WMS is used to manage and optimize internal warehouse systems. In practice, the terms LVS and WMS are mostly used synonymously.

Functions

A warehouse management system represents the central unit in the software structure for managing a warehouse. The WMS accepts orders from the higher-level host system, an ERP or merchandise management system , manages them in a database and, after appropriate optimization, passes them on to the connected one for control purposes Conveyor technology continues.

Modern warehouse management systems have a modular structure. The core functions include:

  • Warehouse structure
  • Master data management
  • Inventory management
  • Transport management
  • Internal warehouse processes (relocation, replenishment, transfer posting , control center)
  • Incoming goods (notification, receipt, deconsolidation, quality inspection, storage)
  • Outgoing goods (order management, picking, consolidation, packaging, shipping)

In a WMS, not only the storage position of articles in high-bay warehouses , small container warehouses or manual warehouses is managed, but also the incoming and outgoing goods with the picking of goods to items ready for dispatch. A WCS ( Warehouse Control System ) is part of a WMS to ensure the movement of goods within a warehouse . A WCS ensures that the desired goods arrive at the position that the WMS has determined for the goods via internal conveyor systems (storage space in a high-bay warehouse, workstation of a picker, dispatch chute in the outgoing goods area).

In addition to the core functions, additional functions (such as serial number management or dock / yard functionality) or expansion modules (e.g. pick-by-voice or RFID subsystems) can be part of the WMS.

Advantages of an LVS

Using a WMS has several advantages for companies:

  • Cost savings: By minimizing the inventory, the capital tied up in the warehouse can be reduced. At the same time, the WMS should ensure that there are no delivery bottlenecks due to insufficient stocks.
  • Increased efficiency: A WMS enables the automation of processes for data acquisition, the creation of data records or the calculation of key figures.
  • Warehouse organization: The data from the WMS can accelerate order picking by often grouping products that are bought together or sorting them according to turnover rate. Automation of operational processes and equipping staff with digital devices are the largest areas of action here.
  • Current data: Real-time data and interfaces allow direct access to warehouse data by managers and provide data as a basis for decisions.
  • Data security: With granular user rights, employees can be granted more information access without endangering data security. This enables faster processes and relieves superiors.
  • Trend analysis: Forecast calculations enable proactive reactions to trends. In addition to seasonal fluctuations, warehouse and sales data at the location level can also be included.

Disadvantages of a LVS

The main disadvantages of software-based warehouse management are the costs and the complexity of the programs.

  • Costs: In addition to the costs of the software and the effort involved in the implementation, additional costs may arise for the required hardware such as hand scanners.
  • Complexity: The complexity of the underlying processes leads to extensive software packages. This increases the demands on employees and entails considerable training costs.

Introduction of a LVS

The selection and introduction of a WMS for warehouse management is a demanding and extensive project. Since the functionality of the system must meet the individual requirements of a warehouse, careful analysis and selection of a suitable software system is essential. The WMS market report by the Fraunhofer Institute for Material Flow and Logistics offers a comprehensive overview of the WMS market . The WMS market is examined for current trends and developments and the functionalities of common WMS are presented. It turned out that the structure of the WMS providers can be roughly divided into three types: the pure WMS provider, the suite provider who offers his system as part of a software suite (e.g. ERP system ), and the warehouse technology provider. The institute's WMS database, which offers a neutral overview of around 90 percent of all relevant providers of warehouse management systems, can provide assistance in selecting a suitable WMS.

Web links

credentials

  1. http://www.mhia.org/learning/glossary/w
  2. Definition of WMS / LVS: What is a WMS or LVS? Fraunhofer Institute for Material Flow and Logistics IML, accessed on March 14, 2017 .
  3. The warehouse management - everything you need to know. June 14, 2016, accessed April 28, 2018 .
  4. Definition of warehouse management system and warehouse management system. Retrieved March 14, 2017 .
  5. Recent study shows that 66% of warehouses plan to expand technology investments by 2018. TradeGecko Blog, accessed on March 14, 2017 .
  6. How Real-Time Inventory Management Is Changing Business. BizTech Magazine, accessed March 14, 2017 .
  7. Challenges in Inventory Management: Omni-Channel Replenishment. NTS Retail, accessed March 14, 2017 .
  8. WMS database of the Fraunhofer Institute

literature

  • Michael ten Hompel, Detlef Spee, Tim Geissen, Martin Rudel: WMS Market Report 2010: Developments and trends in the market for warehouse management systems. Verlag Praxiswissen, Dortmund 2010, ISBN 978-3-86975-037-8 .