Unlocking efficiency: The Power of Warehouse Management Tech

Warehouse management systems (WMS) are undoubtedly the lifeblood of any well-functioning warehouse, distribution centre or inventory management facility. 

Without them, teams working in retail, manufacturing and beyond would be ill-equipped to deal with today’s fast-paced, deeply unpredictable business environment.

Perhaps the best way to wrap one’s head around the undeniable importance of WMS is to consider the countless individual activities that take place within a warehouse, including the shipping and receiving of goods, returns, storage, picking and packing.

On their own, these tasks require countless devices and handsets, which themselves need managing, updating, securing and even fixing when issues occur.

This can prove complex, costly and time-consuming, especially when it comes to larger organisations operating multiple warehouses and fulfilment centres across several locations.

Warehouse and logistics management systems constantly support these day-to-day functions and enable firms to better run their operations.

“Warehouse management systems can be considered the core operating system for any inventory management, warehouse or distribution centre,” explains Tim Macholz, Director of the Global Technology Group at Houlihan Lokey. “The technology stack is geared to orchestrate and optimise the movement of inventory in order to better enable accuracy and efficiency for all involved. 

“Core functionality includes inventory management with detailed visibility by stock-keeping unit, order processing for rapid and accurate fulfilment, labour management for folks working the warehouse floor and integrations into the core business systems’ technology stack.

“A WMS also tends to sport detailed analytics and reporting capabilities across its core workflows to support dynamic management of the inventory floor through visibility into critical KPIs.”

Ensuring end-to-end visibility

There is seemingly no end to the benefits companies stand to gain from establishing an effective WMS.

From an efficiency perspective, they fight against overstock and stockout situations, optimise picking routes for maximum labour productivity and ensure swift and error-free processing of goods.

Then there’s the ability of these systems to streamline compliance and enable better decision-making through insights into KPIs. 

What’s more, by integrating with other systems, they also ensure data consistency and end-to-end visibility in the supply chain – pivotal to preparing for the kinds of major disruptions that have hit businesses hard in recent years. 

All these plus-sides stand to help organisations reduce costs across the board and, in all likelihood, increase their revenue. 

Tim continues “Ultimately, companies gain improved efficiency, enhanced accuracy, cost reductions, increased customer satisfaction and better decision-making capabilities, leading to overall operational excellence and competitiveness.”

Solving warehouse challenges

One of many technology specialists ensuring companies’ day-to-day warehousing operations run smoothly and without disruption is SOTI.

This global provider of enterprise software solutions works alongside more than 17,000 businesses around the world to secure, manage and support their mobile device fleets, including barcode scanners, label printers, smartphones, rugged handsets and more.

SOTI solves challenges that may present themselves by providing complete visibility and control over mobile device operations within the business, enabling increased efficiencies, business continuity and ultimately improved ROI. 

Faki Saadi, Director of Sales UKI at SOTI, paints a picture illustrating the organisation’s far-reaching influence and impact. 

“Our President and CEO, Carl Rodrigues, was recently asked what would happen if SOTI solutions just stopped working,” says Faki. 

“His response? ‘The world would stop’ – and I think that’s true. So many brands and organisations depend on SOTI for their mobile operations, from DPD and Trek Bicycle Corporation to American Airlines and COOP, to name just a few.

“A holistic IT strategy which incorporates well-functioning warehouse management, as well as device management, is imperative to ensuring operations run smoothly.”

As mentioned, Trek Bicycle Corporation is among those reaping the rewards, utilising SOTI solutions across hundreds of devices in its global backend warehousing and distribution centres to overcome hours of unnecessary downtime caused by technical issues. 

Delivery giant DPD relies on SOTI to achieve greater visibility and control of the many devices across its logistics network.

Warehouses get smart

Set foot inside a warehouse today and it will look substantially different to that of yesteryear. 

In large part this is down to technological advancements, integrated in a bid to enhance efficiency and stay ahead of the competition. But what goes hand-in-hand with this is a change in consumer habits – in other words, a boom in online shopping – which has put increased pressure on retailers and their warehouse teams. 

Recent SOTI research found that, in the UK, two in five shoppers now expect to be able to order an item online and pick it up from a physical store on the very same day.

It means today’s WMS software solutions are advancing towards greater intelligence and efficiency through automation, IoT integration, predictive analytics and, in some cases, augmented reality.

Tim outlines some of the ways warehouses are becoming increasingly smart:

• Automation: Carries out tasks like picking and packing
• IoT: Sensors provide real-time data on inventory and environmental conditions
• Augmented reality: Guides workers, enhancing accuracy and productivity
• Advanced analytics: Provides comprehensive visibility into warehouse processes, enabling proactive decision-making.
• Predictive algorithms: Forecast demand and maintenance needs, optimising operations.

“Overall,” Tim says, “these advancements empower WMS software to intelligently manage warehouses, improving efficiency and responsiveness to dynamic supply chain demands.”

Faki points to the increasing prevalence of robots, drones and AI in warehouses, automating processes and accelerating output.

But he adds: “To fully maximise the benefits of new technologies like this, it’s key that they can also properly integrate with existing devices and infrastructure, and can be managed from a central location, to prevent issues and maintain security.”

Gen AI presents new possibilities 

It comes as little surprise to hear of the growing influence of AI within modern-day warehouses and distribution centres. 

When it comes to Generative AI, tools like ChatGPT and Google Bard are already revolutionising the technology landscape and, unlike previous AI applications, they are far more accessible to the masses.

Tim points to predictions that, within two years, 10% of global data will come from Gen AI and, by 2025, it will contribute to the creation of 90% of company reports. 

Now, the emerging tech is being explored for integration into WMS.

“WMS applications are evolving to include more customer-facing features and, while some already incorporate AI-like functions for decision-making, Gen AI presents new possibilities,” Tim goes on. 

These possibilities, to name a few, include interactive training methods, intuitive user interaction, advanced queries and reporting, enhanced customer interaction, improved workflows and modelling, demand planning, better collaboration and accelerated product development. 

SOTI is itself harnessing the power of AI, collaborating with researchers, scientists and academia to develop self-navigating, situationally aware aerial drones, for use in warehouses to automatically locate people, objects and packages.

“AI-fueled intelligence helps today’s warehouses to predict and prevent device issues from occurring by analysing device data,” explains Faki.

“Gen AI can also automate repetitive tasks and support inventory management and demand forecasting to allow warehouses to be more prepared for changing consumer habits.”

Enthusiastic about the immense potential of this groundbreaking technology, Tim concludes: “As Gen AI continues to advance, it promises exciting new opportunities for WMS and other business applications, with unforeseen possibilities on the horizon.”

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