Business Applications

Warehouse Management monitors the progress of products through the warehouse. It involves the physical warehouse infrastructure, tracking systems, and communication between product stations. The objective of warehouse management is to ensure an optimal cost of timely order fulfillment by managing the resources economically.

Warehouse management deals with receipt, storage and movement of goods or partially finished goods, and moved to intermediate storage locations or straight to the final customer. In the multi-level model for distribution, there are various levels of warehouses, starting with the Central Warehouse(s), regional warehouses services by the central warehouses and retail warehouses at the third level services by the regional warehouses and so on.

This article explains what a warehouse management system (WMS) is, how a WMS works, the different parts of a WMS, and the benefits to a distributor of implementing a WMS.

There are tremendous benefits to the warehouse management process when a there is an efficient Warehouse Management System (WMS) to manage the work flow and distribution process within a warehouse. A warehouse management system is a group of computer programs designed to help a distributor perform warehouse operations quickly and consistently, minimizing errors.

Warehouse management systems can range in complexity from very basic tools to assist warehouse employees in performing daily operations to highly sophisticated systems that replace the warehouse workers entirely.

Workflow management is a system of overseeing the process of passing information, documents, and tasks from one employee to another and/or to machine or computer system within a business. Through proper workflow management, each employee, machine or computer will pass the work on as predetermined by the “work-flow” procedure. As technology advances, workflow management has become increasingly automated and looks to technical innovation and specialized software in order to make the process more efficient and cost-effective.

Supply chain management (SCM) is a process used by companies to ensure chain of supply chain is efficient and profitable. A supply chain is the order of steps that a company takes to transform unfinished components into the final product. Typically, supply chain management is comprised of five stages: planning, development, manufacture, delivery, and returns.

The first stage in supply chain management is referred to as the Planning stage. A plan or strategy must be developed to address how to meet the service or productions goals for the company’s customers. A majority of the focus goes into the planning stage to ensure profitability.

The Development stage is the next phase of the process in supply chain management. It involves building a strong relationship with suppliers of the raw material needed in making the product the company delivers and the materials needed to package the product to ensure its delivery. This phase involves distinguishing reputable suppliers and planning the process for shipping, delivery, and payment fees.

The third stage is the Manufacturing stage of the product. The product is tested, packaged, and scheduled for delivery. This is the phase where customer orders are received and delivery of the goods is arranged.

The fourth stage of supply chain management phase is of course, entitled, the Delivery stage. This could be arranged by a third party logistics vendor or the logistics division of the company.

The fifth and final stage of supply chain management is called the Returns stage. This is the phase where customers return defective product via shipping directly to the facility or by returning it to the retail location. It is at this phase a company will also address customer questions and/or complaints.

Customer relationship management (CRM) involves various methods, policies, and procedures a company utilizes in order to provide a high level of customer care to existing customers and to assist orienting new customers to their products and services offered by the business to encourage and support customer retention. Customer relationship management is discussed in company training manuals, hotel training, and customer service education seminars targeted at helping companies develop strong and healthy relationships with their client base.

Generally, skilled customer relationship management involves providing customer support on many levels. These levels are primarily classified into three main categories: operational, collaborative, and analytical. Companies of all sizes incorporate elements of each component into their business strategy, helping to ensure an ongoing rapport with its customer base.