Overview:
As manufacturers and distributors come under rising pressure for faster fulfillment of productorders and outstanding customer service, they increasingly ask the question, "Would a warehouse management system (WMS) help us better manage and automate our warehouse and fulfillment operations?" Often, they are finding that a WMS would, indeed, provide the benefits they seek. Your company may be coming to the same conclusion.

As you begin to examine the various WMS offerings, you encounter the dilemma of whether a stand-alone WMS simply integrated with an ERP solution or a WMS module that is part of a broader ERP suite would be your best choice. According to the AMR Research Alert, Major ERP Vendors Eying the WMS Market, March 7, 2003, "For ERP users, the decision to automate the warehouse will become increasingly complex as the capabilities of the ERP WMS gradually begin to come on par with what WMS-based vendors have to offer."

Not long ago, the embedded versus stand-alone WMS decision was made easier because standalone systems generally provided broader WMS functionality than what was found in ERP systems. Fortunately, this is no longer the case. Some leading ERP vendors have closed the gap with stand-alone systems. In addition to closing the functionality gap, these embedded WMS solutions provide benefits beyond what stand-alone or best-of-breed (BOB) solutions can in terms of integration, the ability to have one vendor relationship versus multiple, an overall lower cost of ownership, and more.

Regardless of what strategy you choose to pursue -- stand-alone or embedded -- your chosen solution must accomplish the goals established for it with a minimum of disruption for implementation and integration. Achievable WMS goals often include greater customer satisfaction through shorter cycle times and 100% accurate deliveries, as well as better utilization of warehouse resources, inventory reduction and increased productivity.

Selecting the right WMS solution is so important that all pertinent considerations should be examined. This paper can help you identify and examine the vital points to consider as you seek the best WMS solution to accomplish your goals and move your company into a more competitive position.