Warehouse Management System (WMS)

Overview of warehouse

Logistic market has evolved from traditional transport companies to a full-fledged logistics service provider which offer various supply chain services such as transportation, warehousing & other value additions. Traditionally they existed only pure transport or warehousing service providers of the in-house nature. The trend changed towards providing customized services & started being outsourced to specialized players in the industry. Thus emerged the concept of third party warehousing (3PL) where companies provide outsourced or third party logistics services to companies for part or sometimes all of their supply chain management functions. Third party logistics provider typically specialized in integrated operations, Warehousing, Transportation services that can be customized based on market conditions & the demands & delivery Service requirements for their products & Materials.

Types of warehouse
  • Public Warehouse.
  • Private warehouse.
  • Bonded Warehouse.
  • Government warehouse.
  • Cooperative warehouse.
  • Cold Storages.
Growth Drivers
  • GDP.
  • Improving manufacturing activities & Merchandise trade.
  • Investment in Infrastructure – Rail, Road, Ports.
Key Challenges in Warehouse

Strategic Challenges
  • Infrastructure.
  • Land availability.
  • Lack of standardization.
  • High cost of Credit.
  • Fragmented with un-organized players.
  • Power Outage.
  • High cost due to long transit time.
  • Complex Tax regime.
Operational Challenges
  • Lack of integration with complete Supply Chain Solutions.
  • Lack of Trained manpower.
  • Lack of IT Penetration.
  • Lack of expertize in Warehouse Technology.
  • Process in-efficiencies.
Compitetative warehouse creation

Following major KPI applicable for Warehouse Industries

  • Cost Statistics.
  • Staff Statistics.
  • System Statistics.
  • Warehouse efficiency & Effectiveness.
  • Warehouse Space Utilization.
Skills & Talent development
Sr. No Qualification Experience Designation Skill Gap Skills Required
1 Graduates 5-7 years Experience Manager
  • Limited Knowledge of latest & innovative WH Tech/formats.
  • Inadequate exposure/knowleewdge of WH IT systems.
  • Inadequate Knowledge on safety & Security Measures.
  • Inadequare Knowledge of stocking & holding Practices.
  • Excellent sopken & Written language Skills, Proper Documentation.
  • Knowldege of Local language.
  • Team skills to achieve operational efficiency.
  • Knowledge of Inventory & Order Management.
  • Awareness of new technologies & maintain specific standards.
2 Diploma/Graduates 4-5 years Experience Supervisor
  • Inadequate ability to maintain appropriate Inventory levels.
  • Inadequate verbal & Written communication skills.
  • Inadequate team Management Skills.
  • Inadequate knowledge of Global best practices.
  • Ability to maintain daily warehouse operations.
  • Ability to maintain records of incoming & outgoing Materials.
  • Ability to maintain Scrap & damage records.
  • Ability to undertake Invoicing & order Processing.
3 10th/12th Pass With/Without Experience Operators
  • Inadequate knowldege of material handling Equipments.
  • Inadequate formal training leading to on job learning.
  • Inadequate ability to maintain service standards leading to damages.
  • Knowledge of stocking, Packing, Loading, Unloading & handling Practices.
  • Ability to place goods in appropriate Racks.
  • Ability to maintain Mark, Pack goods as required.
  • Basic reading skills & visual communication about SOP.
  • Ability to undertake value added services such as MRP tagging, Repacking, Quality Checks, Kanban cards, etc.
IT Intervention

Advantages
  • Reduced labor cost.
  • Improved Space efficiency.
  • Improved ergonomics & Safety.
  • Flexibility to different order profiles.
  • Higher customer Satisfaction.
  • Quick response & access to information.
  • Track & Traces.
  • Standardized processes.
Technology advantage
  • Warehouse Management System & Software as a service( WMS & Saas).
  • Application of ERP.
  • RFID & Bar codes.
  • GPS usage.
  • SMS based on RFID barcodes.
  • Cloud computing.
Barriers
  • Absence of affordable solutions.
  • Cost.
  • IT Budget.
  • Network infrastructure Issues.
  • Awareness of IT benefits.
  • Training Issues.
Govt Initiatives
  • Announcing free trade warehousing zone ( FTWZ).
  • Creation of new dedicated logistics park.
  • Amendment in warehouse (Development & Regulation) act..
  • Introduction of New tax Policies to reduce overall supply chain cost.
Investment opportunities
  • Investment requirements.
  • Source of Funding.
  • Better land utilization.
  • Increasing the attraction for potential Investors.