ERP and WMS

• Should I install an ERP system in my warehouse? Or would a WMS be

better?
• Analyzing the differences between a WMS and an ERP (enterprise
resource planning) system.
ERP system
• Employing an ERP system in a facility is a step towards the digital transformation of logistics
• An ERP system is software designed to streamline information flows between a company’s
processes with the aim of avoiding repetitions, imbalances, and discrepancies between the various
departments.

• ERP system on the market will incorporate a series of modules for each department (logistics,
finance, purchasing, production, etc.).
• For example, with a logistics module, the ERP system has relevant information on the goods (which
products have arrived, which customer orders have been placed and dispatched, etc.).
• ERP system, you can also organise warehouse stock in a rudimentary way, setting alerts for low
stock levels to ensure proper procurement.
• Nevertheless, these functionalities are covered only basically, so to really optimise management,
the ERP system should be complemented by software specialised in warehouses, i.e., a WMS.
• ERP system limit the growth of the warehouse and, thus, of the business
WMS

• WMS will know every stock item received, picked, packed, and shipped. Warehouse
management systems use barcode scanners, mobile computers, wireless LANs, and radio
frequency identification (RFID) technology to accurately track the movement and storage
of products to intermediate storage locations, or to a final customer.
• Optimizes stock put-away based on data gathered in real-time.
• Specialised software: a WMS is a program specifically designed to manage a warehouse,
as opposed to an ERP system, which is generic software much less specific to this area.
• Advanced functionalities: in addition to standard operations, WMS has additional
modules to boost the facility’s efficiency in complex tasks such as order labelling and
packaging (Multi Carrier Shipping Software) and ship from store (Store Fulfillment).
• Modularity and updating: a competitive WMS is usually updated annually with new
warehouse-specific functionalities.
• Communication with the ERP: it’s very common to integrate a WMS with an ERP system
WMS
• Strategies and rules for defining the operation of the facility: a WMS
includes a multitude of options for defining the logic of each warehouse
operation. For example, it incorporates logistics attributes for each product
that allow it to create rules on where to slot the goods more efficiently:
batch, expiration date, best-by date, manufacture date, size, colour, series
number, origin, useful life, version, etc.
• WMS alone won’t be very viable in organisations with multiple
departments that need to seamlessly share information with each other.

• An ERP system does incorporate functionalities for managing the facility.

But to achieve maximum competitiveness, a WMS is your sure-fire tool.
IoT Solutions in Warehouse Management
• IoT in warehouse management includes various types of automation,
like tracking and monitoring processes, optimizing storage and
retrieval systems, improving productivity and safety.
• IoT solutions for warehouse management can transform warehouse
operations such as picking, packing, receiving, dock scheduling and
monitoring.
• E-commerce giants like Amazon, JD, and Alibaba, on the other hand,
have successfully demonstrated the capabilities and business value of
utilizing increased automation through robots and IoT sensors in
warehouse.
Automation
• IoT devices such as robotic units do more than just assemble orders. These devices collect tons of data,
including information on stocks and inventory, the efficiency of the warehouse, and so on,
Assets and Inventory
• With IoT, a warehouse can be aware of each moving part. Connected sensors track each asset across the
premises. Smart shelves in warehouses can broadcast inventory information and warn warehouse managers of
low stock, displaced products, unsuitable temperatures, theft, and so on.
Wearables
Warehouse managers can now monitor each of their workers. Wearable devices can be distributed to all
employees and used to track employee performance, health, and location inside the facility. Besides, the
wearables can also report on collisions and falls thereby improving the safety of the operations.
Transportation
Telematic devices and GPS feed ensure that vehicles follow the recommended optimal route along with the
constant update of ETA. Furthermore, IoT sensors tagged on the goods go beyond vehicle-level tracking by
offering item-level visibility.
Safety
Using IoT sensors, warehouse operations can identify safety hazards before
they cause significant disruption. For example, motion sensors and
ultrasound detectors can be used to alert personnel when a forklift enters an
unsafe or restricted area. This can help prevent accidents and mitigate the
risk of costly downtime or equipment damage.
Maintenance
• IoT sensors can also help keep track of the operating conditions of
equipment and machines. Combination of these operational equipment
data with advanced machine learning algorithms can predict the failures of
forklifts or other critical material handling equipment. IoT solutions in
Warehouse management can empower the managers to keep productivity
at maximum and the cost of repairs and downtime to a minimum.