23 December 2022 Discover the particularities of WMS, WCS, and WES systems, their practical applications, and integrations Is your warehouse ready to keep up with changes in consumption patterns, dealing with an increasingly demanding consumer? Many managers tend to say yes, thinking only about optimizing the last mile. However, it is essential to look at the operation as a whole, as we are talking about a continuous flow, meaning if one phase does not go well, it can affect all the others. Therefore, an important step is to invest in management software to have an organized, efficient operation with reliable data. To provide you with an in-depth understanding of existing technologies, in this article, we present the main differences between WMS, WCS, and WES systems, their functions, and integration possibilities. The challenges of the current scenario The demand and sales evolution of companies are directly determined by the consumer. With the change in purchasing behaviors, reflecting multichannel consumption, managers must constantly adapt to meet consumer needs, who every day have more preferences and seek quality service and speed in the delivery of their orders. This scenario has allowed the opening of new sales channels and the expansion of stocks, in some cases changing the speed, team size, machinery, and logistical complexity of warehouse flows. To make processes smooth and increasingly integrated, investing in new technologies is the fastest and most effective way to generate good results, increase market competitiveness, save resources, and meet demand efficiently. Knowing your needs and choosing an appropriate system for your warehouse’s operation is essential for good management of your distribution center. In this context, a frequent question is: which solution to use? In which situations is one or the other more suitable? In the following topics, you will learn about WMS, WCS, and WES systems, understand their differences, discover the advantages for your company’s logistics, and in which type of operation they are most suitable. Look: WMS WMS (Warehouse Management System) is a management software focused on inventory management, operational control, and process automation, aiming to increase efficiency and ensure the best use of a distribution center’s resources (people, equipment, and area). One of its main functions is the real-time exchange of information with the company’s general system, ensuring control, data reliability, and warehouse resource management. Imagine the following scenario: an e-commerce specialized in office supplies, just before the pandemic, started online sales with a limited number of products in stock. With the new consumption scenario, people in social isolation, and remote work, this company needed to increase the quantity of assets and also the variety of products to meet the new demand that emerged in the market. During this process, its team, infrastructures, and machines increased exponentially, forcing its organization and logistical planning to discover ways to optimize time and financial resources to continue growing during the period. The previous example is a reality in many companies. Due to the new consumption format, it was necessary to discover ways to improve the management of the distribution centers. One of the most sought-after tools by the logistics sector to improve management and automate warehouse processes has been WMS. Among its functions and advantages are: Operational control, which allows visualizing, based on a historical information record, the movement of each product and also each employee. Inventory security and traceability. Real-time monitoring allows managers to view the entire warehouse flow, so if a problem occurs, the system can identify the failure, as well as in which phase of the process it occurred. Better use of space, recommending the ideal placement for each product in the warehouse, organizing addresses, lots, identification, weight, size, color, among other specific product characteristics, allowing easy location, process optimization, and consequently improving the picking flow. Reduction of employee and machine movements. The system tracks the best routes for the flow, saving time and adapting the routes for the operation’s work management, from the dock to shipping. High level of inventory accuracy. The WMS system standardizes information, eliminating the need for manual and paper annotations and records, elements that hinder the flow, causing inventory losses and damages. The different functionalities offered by WMS ensure a significant increase in productivity, combined with a reduction in errors and rework. Moreover, as mentioned earlier, with the system, companies can increase accuracy and have full control of flows according to warehouse criteria and rules. It is important to remember that before the implementation of WMS, a functional analysis is carried out with logistics to parameterize the system according to each phase of the distribution center process. WCS While WMS allows the automation of warehouse processes, on the other hand, we have WCS (Warehouse Control System), an integrated real-time control solution that manages the flow of items, boxes, and pallets in transit through various types of automated equipment, such as conveyors, sorters, picking systems, etc. In other terms, we can say that WCS is designed to control any automation used in the warehouse. WCS creates a bridge, synchronizing information between the WMS system, which would be the “heart of the operation,” and the automations, providing an additional level of controls and functionalities. Due to its specific characteristics, WCS, working in an integrated manner with WMS, is conceived as a fundamental tool in warehouses equipped with any type of automation. It is therefore worth highlighting that the decision to implement WCS depends on a previous choice, which refers to the use of automation in the warehouse. If an operation will use an automatic system, it will necessarily need a WCS. Regarding the advantages offered, we emphasize that automation, in itself, is responsible for significantly increasing productivity and process accuracy in a warehouse. And WCS determines the most efficient flow and transmits commands to equipment controllers to achieve the desired result. Additionally, since WCS provides real-time data from all connected automations, in case of problems, the software immediately reports it, offering the user the command to correct the deviation. WES WES (Warehouse Execution System), in turn, can be considered the next generation of WCS. The software provides the same machine control functionalities as WCS, adding job management and order management functionalities. This provides a more holistic approach to the operation. Large companies, leaders in online sales, today operate with WES (Warehouse Execution System) in their distribution and fulfillment centers. Since they use highly modern and robust automation and move a large volume of products and orders daily, it is necessary to have specialized and more sophisticated software like WES, replacing WCS. WES, therefore, provides important support in executing more efficient automatic processes, ensuring delivery speed, dynamic execution, and order fulfillment, within customer demand levels. WMS x WCS According to the previous explanation, it is possible to notice substantial differences between WMS and WCS. The missions of WMS are inventory management, movement traceability, task administration, address organization, among other characteristics that aim to ensure speed and assertiveness in processes and accurate operation supervision. WCS works exclusively on automation control. It is also important to highlight that WCS interfaces with WMS, and these, in turn, integrate with ERPs. And when we talk about inventory stock, task generation, storage space management, labor management, and load and shipping management, we refer to functions performed only by WMS. WES x WCS Although WES is intended to integrate WMS, it is intended to replace WCS. This is because WES simply performs the work of WCS better by adding labor management and order management functionalities. Is it possible to use only WES without WMS? We usually say that WES is a lightweight version of a WMS with control functionalities. It is recommended to use WES only to start an operation with automation until the implementation of WMS or for very specific sites, which only manage automation, without other processes besides fulfillment and that do not require all the additional resources that WMS has. This is because, in addition to offering a wider range of functionalities, WMS guarantees greater freedom when it comes to integration with different automation suppliers. Many WCS and WES from general automation manufacturers can only be integrated into their manufacturers’ equipment. It is worth remembering that a WES does not include more refined WMS functionalities such as supply chain integration, ERP integration (most do not integrate*), management reports, transport management, reverse storage, task generation, and monitoring of their real-time execution, multivariate standard labor management, and slotting. Prepare for new logistical challenges Keeping up with the market’s growth pace, as well as new consumption habits, depends on good logistical planning. Managing large warehouses that work with high demand, understanding stock complexity, controlling losses and damages, managing human, spatial, and equipment resources, and maintaining satisfactory productivity are the main challenges faced by companies’ distribution centers. Therefore, understanding the technologies available on the market, such as WMS, WCS, and WES software, allows finding new opportunities, expanding your market, and becoming a reference in your segment. What is the difference between WMS, WCS, and WES, and which is ideal for your warehouse? Deagor WMS per ecommerce può aiutarti!