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How Will My WMS REALLY Save Me Money?

Written by Michael Badwi
Created: 04 September 2020

WMS Savings

By drastically reducing the amount of labour your team does, eliminating processing errors, and consolidating processing steps in your process, you can change the way your whole business operates.  But how does that actually look?

 

Warehouse management software optimises processes and increases efficiency, justifying its initial cost and implementation by saving your company time and money, and massively improving customer satisfaction - and we all know a happy customer is a repeat customer! 

WMS SAVES MONEY: On Labour Costs

Labour Savings

With the Manhattan WMS supplied by Supply Chain Junction, staff members will be automatically directed through each step of their work day, reducing human error and optimising their time. Your fastest picking route is automatically calculated, as well as which products are first in line for FIFO.  All of the information they need is readily available, reducing administration time and allowing them to move quickly from one task to the next without down time. 


Our system uses real-time analytics to find the fastest possible solution to every problem, tracking and reducing the travel range of each individual on the warehouse floor.  Human capital is maximised, so output is greater, and fewer staff are required for tasks especially over peak seasons, where you would ordinarily have to train new labour up and in quickly.

 

WMS SAVES MONEY: On Precision Timing

Shipping Savings from a WMS

Our Manhattan WMS is in charge of your shipping information and scheduling, you can use it to ensure that packages go out on time; by prioritising orders based on projected shipping windows from intuitive data as opposed to guess work, you can ensure that a package never goes out late. 

 

Shipments that don't make it on today's truck cost businesses time and space, as well as create problems for customers who have to wait an extra day for their products. 

 

WMS SAVES MONEY: On Process Optimisation 

Process Optimisation Savings

With the Manhattan WMS, warehouses find that it provides enough direction that they can eliminate extra steps in their processes, which literally costs less to run and increases product turnover and customer fulfilment times.

 

Multiple orders can be fulfilled simultaneously, saving on shipping costs, and the actual warehouse can be optimised to keep fast-moving versus slow-moving stock in the correct places, avoiding excessive movement within the warehouse, as well as reducing accident risks and making stock taking easier to conduct, reducing shrinkage risk.

 

WMS SAVES MONEY: On Recovering Errors

Error Reduction Savings

Every error that occurs in your warehouse requires correction at a later point in time, whether it is a seemingly simple order error (which could cost you a customer, and every knock-on customer, not to mention the actual stock in some cases) or a massive systemic inefficiency that sees you losing hours on a daily basis.


Re-working the same orders costs companies enormously over a financial year, and when an error makes its way out to a customer, it can also cost you an account.  The internal checks and balances of the Manhattan WMS helps you to reduce your risk of errors in the first place, and to automatically identify errors so that they can be fixed promptly and accurately.  The less duplicate work that has to be done, the more time you save to better direct, and the more money you save to keep in the business.

TIME IS MONEY.
Benjamin Franklin,
And every business and customer ever.

When your WMS starts to make you realise the link between efficiency and cost savings, not merely time savings, you’ll realise you are doing more for less. 

 

Once you see major changes in the productivity of your team and the speed with which orders move out your doors, your ROI on this investment will make you wonder why you didn’t make the jump to this technology sooner.

 

Find out more about calculating the full ROI on a WMS implementation in our comprehensive guide to building a WMS implementation business case: ROI Calculation WMS

 

 


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