15 September 2021

6 Tips for Choosing the Best WMS System for Your Warehouse

15 September 2021

Discover the secrets that ensure the right partnership and the best results

Decades ago, relying on technology was exclusive to large companies that received substantial investments. Today, this reality is quite different. Technology has transitioned from being a rare element to becoming part of the reality of every business, being more available and accessible to everyone. 

This scenario also extends to logistics companies, which today rely on specific tools that greatly assist in complex operations within a DC. One example is WMS, warehouse management software, already used by the major leaders in the Supply Chain segment, and not only that: many medium-sized companies have realized that it is worth investing in the system to increase profits and achieve desired growth. But then, a question remains: if relying on technology is no longer a differentiator, what really makes the difference? The answer lies in choosing the right provider.

We often say that a good relationship between a company and its suppliers is a fundamental part of leveraging the business. However, “healthy contact” is not enough. It is necessary to have full confidence in both the supplier and the solution they are offering. And the secret to obtaining this reliability is to evaluate important aspects related to the technology company. 

Asking questions, comparing, and seeking as much information as possible is essential. Do not let doubts remain before concluding a contract: if this happens, it could be proof that the choice was not the right one.

How to choose the best WMS provider for your warehouse?

Today, there is no shortage of technology options and solutions available in the market. Certainly, you receive a series of weekly calls and emails from companies offering their products and services, claiming they will solve all your problems. 

But will improvements come like magic? Unfortunately, no. For results to actually appear, you need to choose your provider wisely. To assist you in this task, we provide some valuable tips below:

# Tip 1: Discover what your company needs

You will be able to evaluate the options of providers and their products/services only if you know very well what your company needs at that precise moment. For example, if you are in the e-commerce segment and have already noticed that deliveries are slow, first try to find out why this is happening before acquiring a technology.

Assuming you have discovered the picking, you will be able to look for systems and automation that can help you in this process, evaluating their functionality, the diversity of picking offered, and whether the models meet the specifications of your operation, the infrastructure, and the necessary requirements for distribution, among other details. You can also consult cases aimed exclusively at improving the separation process and even schedule visits to the suppliers’ clients to see how everything works up close.

# Tip 2: Evaluate the company’s experience in the area in which it operates

Analyzing the supplier’s expertise is an important point to consider. Try to learn about the company’s history, its references, the number of projects carried out, and success stories. 

Look for information on the time of operation in the market, recognitions and certifications, clients served, and the results they have achieved. 

If possible, talk to the company’s managers to learn about their values and assess if they are consistent with your business values. Also, understand if the WMS provider identified has a broad perception of the specifics of its segment and also its logistics operation.

# Tip 3: Analyze the identified supplier’s clients

The main business card of any company is its clients. If those who have been or are served by them have achieved the expected results, whether quantitative or qualitative, it is a good sign. 

Ideally, go beyond these cases, trying to speak with some of these clients to learn about their warehouse distribution and the support offered experience.

# Tip 4: Do not focus exclusively on prices: evaluate the ROI

A commonly evaluated point when purchasing a new WMS system is the cost. However, it is not enough to measure how much your company will have to invest, but rather what your return on investment (ROI) is.

For example, if you invest in a solution and in a few months this technology provides you with a significant increase in sales, boosting your revenues, this means you have had an excellent ROI. 

It may also happen that your company has great savings in personnel expenses, generating gains in the same way. Therefore, you should focus on the real benefits that the WMS solution offers, including evaluating the numbers obtained by the supplier’s clients.

# Tip 5: Ask for concrete information and KPIs

When selling a WMS system, the supplier may say something like “your business will improve“. In some cases, there is uncertainty about what your company will actually gain. Therefore, in the initial conversations, it is important to ask: “Is it possible to measure the results effectively?”.

For example, when purchasing a WMS, you will have promises of performance improvements. But how will it be measured? Will the system allow the generation of KPIs on employee productivity, reduction of movements, and order preparation times? 

Will you be able to follow it in real-time to make the necessary changes? All of this must be considered.

# Tip 6: Evaluate post-sale support

In the vast majority of cases, the relationship with the supplier does not end with the initial purchase of the WMS for your warehouse. After its implementation, you should rely on all technical support to avoid failures or losses. 

And this support must be quick and decisive, especially when it comes to a logistics operation that cannot stop. Therefore, evaluate the commitment the supplier will have towards your company, the quality of the service provided, and the promised return time.

Knowing well the work of the company providing the WMS solution is as important as or more important than analyzing the product they offer you. 

The success of the technology implementation depends on other factors that go beyond the tool itself. Therefore, examine all the options you have and choose a company that combines experience, flexibility, transparency, results, and a good relationship with its clients.


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