The Cost of Downtime: Why Investing in a Reliable WMS is Essential for Business Continuity

The Covid-19 pandemic was disastrous for many logistics and distribution companies. Many supply chains worldwide saw major disruptions, some of which fell completely and are still struggling to recover.

For any warehouse, it’s crucial to plan for unforeseen circumstances. A warehouse management software (WMS) is essential here as it digitises all functions in a warehouse. With this tool, you can plan and forecast business decisions and create a more resilient supply chain.

Read on to learn about all the different ways a WMS can help your business maintain continuity and help you create a stronger supply chain.

The Challenges to Warehouse Resilience

The landscape of warehousing has wholly changed. More than ever, warehouses leverage technology and other tools to bolster their supply chain.

If you find yourself in a similar situation but are unsure where to begin, we break down the 3 common challenges facing warehouses and how they affect your business continuity.

1. Not Enough Stock On Hand

stock

For most warehouses, the general trend was to adopt a Just in Time (JIT) practice to keep costs low.

In JIT, you only order the number of items you need at a given time, maintaining a steady rotation in your inventory. With this method, the volume of your inventory more or less matches the number of orders fulfilled.

However, this falls short in the face of unplanned disruptions to the supply chain. Such problems can create costly hiccups, compromise product quality, and decrease customer satisfaction.

Instead, warehouses should focus on keeping safety stock that will help them maintain their supply chain. Safety stock is extra inventory that businesses set aside for emergencies. These include sudden demand surges or delays in manufacturers’ supplies.

With safety stock on hand, you’ll ensure your inventory stays optimal. But you need to get the number right to avoid any hiccups. You need to measure several variables to have the right amount on hand. If you try to do this manually, you might have some margin or error, but a WMS can automate this process.

With a WMS, you can access historical data to accurately predict how much safety stock to keep. You can also examine past demands and make informed decisions for the future.

2. Lack of Visibility

Suppose your warehouse records inventory manually. You might have a specific figure written down, but when you check the stock, it’s below what you’ve recorded.

This problem can cause significant issues in your supply chain, leading to business downtime. If you factor in a natural disaster, things could quickly get worse. The biggest problem in this scenario is the need for more visibility.

Warehouses often deal with large volumes of stock, and it’s hard to track everything manually. With more online orders and customers demanding faster delivery, you need a tool that gives you a birds-eye view of your inventory.

A warehouse management system gives you a 360° view of your inventory and all warehouse functions. This feature allows you to track product movement at all times and set automatic reorder points to replenish inventory in record time.

3. Slower Delivery Times

delivery times

Nowadays, more people are shopping online than in-store. To keep up with this demand and stay ahead of the competition, many businesses are offering faster delivery.

Unfortunately, a vulnerable supply chain can create delays and increase lead times. The best way to avoid such issues is by investing in a WMS. With a WMS, you can digitise the picking and packing process, reducing lead times and ensuring faster delivery.

6 Benefits of Using a Warehouse Management System

A warehouse management system is crucial for any company looking to improve its supply chain. This tool lets you control all functions on one central hub and create a streamlined operation. Moreover, you can also prepare your supply chain to handle downtime.

Are you looking to digitise your business? Here are 6 great benefits of a WMS that’ll help you maintain business continuity.

1. Better Visibility

One of the biggest benefits of using a WMS is better visibility. With so many products to manage, you need a system that logs all information accurately and provides complete visibility. This way, you’ll know the exact quantity of your stock and its movement.

Modern WMS systems like Canary7 provide real-time data and record accurate details of all your stock, regardless of the quantity. You’ll get a bird’ s-eye view of your products and have all the necessary information to make data-driven decisions.

Such WMS systems use barcodes, RFID tags, and other tracking sensors to control stock and provide critical insights. You can use this information to prepare stock units, set reorder points and avoid long lead times.

2. Real-Time Inventory Tracking Feature

tracking

Real-time tracking is one of the most innovative and helpful tools modern warehouses can use. With real-time tracking, you’ll stay updated on your stock levels, so you never have to deal with overstocking or understocking.

In real-time inventory management, your system records every transaction instantly instead of updating the data regularly. This way, you’ll have accurate information and know what steps to take for a more efficient supply chain.

Real-time inventory data also reacts quickly to disruptions or sudden changes that could affect your workflow. This incredibly helpful feature allows business owners to take proactive steps to maintain their supply chain and prevent problems from popping up.

3. Quick Order Fulfilment

Modern businesses often use multichannel integrations that outdated warehouses would need help keeping up with.

Without the proper software and infrastructure to handle such fulfilment, you could create bottlenecks in your supply. In addition, you’ll have higher lead times, leading to poor customer satisfaction.

A modern warehouse should automate its order processing to keep up with multi-selling modes. A robust WMS can be a great help here as it will be a central hub for all your order fulfilment needs.

If you’re looking for an innovative solution to your order fulfilment problems, choose Canary7’s WMS. Our warehouse management system has an easy-to-use interface that allows integrations with some of the most popular eCommerce stores and shipping options.

4. Optimised Warehouse Space

The warehouse management software you choose should offer flexibility and scalability. These features will optimise the warehouse workflow and make the best use of available floor space.

Your WMS software will conduct an analysis to tell you the best techniques for keeping stock and minimising waste. These techniques can help you create designated spots for product categories and accessible pathways for picking.

Ultimately, you’ll have quicker placement and retrieval, making a smooth workflow environment. All these features will help you reduce operating expenses so you can allocate funds where they matter.

Canary7’s WMS offers agile inventory management that works well for businesses of any size. We understand that no business stays the same during its lifespan, so we aim to provide clients with a highly scalable WMS model with optimised picking and packing strategies. With these tools, Canary7 is the one-stop shop solution for creating an optimised workflow.

5. Keep Your Stock Safe

If your business deals with high stock volumes, you are at a higher risk of inventory shrinkage. Inventory shrinkage refers to the loss of stock or inventory due to damage, theft, vendor fraud, faulty records, cashier error, etc.

The term shrinkage specifically refers to the recorded inventory versus the actual stock. Having a robust WMS means that all your recorded information is accurate.

Without the right technology, you’ll have less inventory visibility, which could lead to profit loss and low customer satisfaction. With an integrated WMS, you will always have up-to-date information and maintain complete visibility of your product’s movements.

6. A Mobile System

A warehouse working environment is dynamic, meaning you’re always on the move. Online inventory management lets you keep track of your stock from anywhere. With a mobile warehouse management system, you don’t have to be in the office to manage your warehouse.

Such WMS often operate on a cloud-based system where all your data is stored online. If you’re worried about security, many cloud-based WMS provide encrypted data and multiple safety measures to protect your data from third parties.

The great thing about mobile management is that anyone can access data from a compatible device. Workers across multiple stations can check on inventory records to ensure accurate picking. Such systems also provide real-time data for an improved workflow.

Beat Downtime Costs With Canary7’s WMS

Warehouse management systems are crucial resources for any business looking to optimise its workflow. They will help you stay prepared to face any disruption and maintain business continuity. If you want a trustworthy solution that improves supply chain resiliency, choose Canary7.

With accurate forecasting, scalable design, and a fully responsive interface, Canary7 is an ideal solution for your warehouse worries. Our WMS is designed to upgrade every part of your workspace to help you streamline your fulfilment process.

So get in touch today to level up your warehouse with Canary7!

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