Warehouse Management System
Warehouse Management System
Warehouse Management System
Definition
⚫Manage inventory, space, material handling
equipment, labor, and transportation resources in
real time to assure timely, error-free fulfillment,
delivery, and visibility of order status throughout the
supply chain
⚫Matching material and information flow
Warehouse management system
⚫Definition 2
⚫Manages warehouse inventory, space, equipment,
and labor resources to direct the flow of materials
and information from receiving and putaway to light
assembly, order picking, value-added processing
and shipment
Warehouse management system
⚫Fulfillment
⚫Delivery
⚫Visibility
⚫Responsiveness
Fulfillment and Delivery
LABOR
WMS TMS
MANAGEMENT
YARD
MANAGEMENT
⚫Receiving
-Manual or automatic receiving
-Comparison with the invoice
-Difference from the invoiced quantity
⚫ Put away
⚪ Dedicated put away system to monitor the received goods
⚪ Location Selection: System or Operator
⚪ Put Confirmation
⚫Batch Picking
⚫Batch picking can also be referred to as consolidated
or multi-order picking. With this method, a single
picker grabs items with the same SKU for multiple
orders at the same time.
Zone Picking
Zone Picking
⚫Zone picking is typically more expensive than batch.
⚫With zone picking, SKUs are divided into separate
areas, or zones. Each picker is assigned to pick from
a single zone per shift.
⚫If an order requires items from multiple zones, an
order box moves down (often using a conveyor) to
next zone. This is also called “pick and pass” or
“sequential zone picking.”
⚫Zone picking often reduces picker congestion in
high volume environments.
Wave picking
⚫ Product Files
⚪ Descriptions
⚪ Dimensions
⚪ Units of Measure
⚪ Bills of Material
⚪ Substitutions
⚫ Location Files
⚪ Numbering / Sequencing
⚪ Dimensions / Capacity
⚫ Equipment Files
⚫ Employee Files
Workload Management
⚫ With tables based upon the profiles and user-configurable
rules based upon business priorities, the WMS facilitates
workload planning and task assignment on the basis of
anticipated receipts and shipments
⚫ Equipment Profiles
⚫ Material Profiles
⚫ Location Profiles
⚫ Operator / Equipment Matrices
⚫ Operator / Task Priorities
⚫ Labor Standards
Material Handling Interfaces
⚫ Conveyor
⚫ Sortation
⚫ Palletizer
⚫ AGVs
⚫ Pick (Pack)-To-Light
⚫ AS/RS
Systems Interfaces
⚫ Purchasing
⚫ Order Management
⚫ MRP
⚫ Labor Standards / LMS
⚫ Load Planning
⚫ Freight Rating / TMS
⚫ Slotting
Receiving
⚫ Location Selection
⚫ Override
⚫ Location Confirmation
⚫ Crossdocking
⚫ Relocation
⚫ Consolidation
Inventory Management
⚫ Lot, Date Code, and Serial Number Tracking
⚫ Shelf-Life Monitoring and Rotation
⚫ Routine and Exception Cycle Counting
⚫ Full Physicals
⚫ Additionally, some WMS permit lot and serial number tracking and
allocation to orders and monitor shelf life to eliminate or reduce
obsolescence.
⚫Order Fulfillment
⚫Inventory Management
⚫Warehouse Productivity
⚫Transportation Performance
Order Fulfillment Measures
⚫On-time Delivery
⚫Order Fill Rate
⚫Order Accuracy
⚫Line Accuracy
⚫Order Cycle Time
⚫Perfect Order Completion Percentage
Inventory Management Measures
⚫Inventory Accuracy
⚫Damaged Inventory
⚫Days On Hand
⚫Storage Utilization
⚫Dock to Stock Time
⚫Inventory Visibility
Warehouse Productivity Measures
⚫Orders per Hour
⚫Lines per Hour
⚫Items per Hour
⚫Cost per Order
⚫Cost as % of Sales
Transportation Performance Measures
⚫On-time Deliveries
⚫Damage
⚫Demurrage Cost Percentage
⚫Assessorials Cost Percentage
⚫Missed Appointments Percentage
⚫Freight Bill Accuracy
⚫Cost per Order
⚫Cost as % of Sales
Creating a Responsive WMS
⚫ Use contemporary technology and systems to assure
⚪ Accurate execution of receiving, storage, and move tasks
⚪ Error-free picking, replenishment, and shipping
⚪ Traceability
⚫ Provide seamless interfaces to other corporate systems to assure
⚪ Real-time visibility of inventory availability
⯍ by SKU, quantity, lot number, serial number and shelf life by location
⚪ Real-time order confirmation and status for customers
⚪ Event-driven exception handling
⚫ Facilitate a quick match of available resources to current and expected
inbound, replenishment, and outbound workload
⚪ Select the best operators and equipment for tasks based upon proximity, skill
sets and priority
⚪ Task operators to immediately store or cross-dock receipts
Creating a Responsive WMS
⚫ Support returns processing and reverse logistics
⚫ Use task interleaving to minimize deadheading
⚫ Improve order consolidation, wave planning, inventory allocation, and pick
sequencing
⚫ Identify consolidation opportunities to free space and reduce outside storage
requirements
⚫ Support bill of material, work order, and value-added processing
⚫ Update inventory records as events occur
⚫ Provide accuracy that allows replacement of full physicals with scheduled
cycle counts
⚫ Time stamp each transaction and identify the operator who performed it
⚫ Provide feedback to the workforce and support performance measurement
⚫ Measure supplier and carrier performance
WMS Trends