Operating a warehouse management system without efficient business automation software can be challenging. An organisation that is running a transport/freight business needs to perform its operations effectively in order to achieve profitability, gain operational efficiency, and enhance productivity to its maximum. Logistic management is the foundation for a successful supply chain company. And one way you can better it is by integrating ERP software.
So what is ERP software? ERP stands for Enterprise Resource Planning, and this is software that companies use to manage day-to-day operations and activities. Operations such as project management, accounting, compliance, procurement, risk management, and supply chain operations. All of which can be extremely beneficial to an operator of a warehouse management system.
With the ERP software, you can manage the overall business operations by tying together dozens of business processes and share data between them without breaking a sweat. An effective ERP software in the warehouse management system can integrate various organisational elements, from order intakes and manufacturing management to sales, distribution, and customer service.
ERP software is used by all kinds of businesses of all sizes and all industries. Below, we are going to list the benefits of having ERP software and how it can improve logistics.
How ERP Software Can Improve the Warehouse Management System
Improved Inventory Management and Control
The ERP software can significantly improve inventory management and cut costs in several ways. Furthermore, it can facilitate a quick response model, and help you make better decisions with accurate inventory data.
With ERP software providing one centralised system for all operations, all information for the warehouse management system can be stored in one place. This data about all orders, deliveries, inbound and outbound sales allows you immediate notifications about any potential problems with deliveries or orders as they occur.
Apart from this, underproduction and overproduction can cause chaos when it comes to inventory management. ERP allows you to have a clear picture of the right quantity of inventory in hand.
Visibility & Cost Savings
The ERP software makes it easy to view vital information in real-time and get a better insight into your business’ health. With the real-time data that the ERP software provides, you can make quick, and accurate decisions. Therefore, you can share this information with outside parties like suppliers and distributors and cut down on costs.
With an ERP software, many simple and repetitive tasks can be minimised, and the need for additional employees reduced. Organising multiple inventory processes and having better inventory planning can save you a lot of money, but also lead to more customer satisfaction.
For every warehouse management system, the shipping and distribution process is vital. In order to ensure that every customer gets the right product at the right time, the ERP software provides solutions for receiving, packaging, picking, and shipping orders.
You can easily manage the flow by gathering all the necessary information in one place. Also, the ERP software allows for live communication between coordinators, suppliers, and drivers. You can send updates, and customer addresses to your drivers, and vice versa, the drivers can send emergency information, in case of transportation issues.
Better Staff Management
Distributors manage warehouses and distribution centers full of people, often in numbers of thousands. Staying on top of staff responsibilities can be tricky and difficult. But the ERP system helps make staff management a lot easier. The proper ERP software can help a manager of a warehouse management system efficiently monitor, recruit, train, and track each employee’s performance on a daily basis.
A warehouse manager can use the ERP software in the following ways:
- Track working hours, lunch breaks, rest periods.
- Track staff on the open road when making deliveries.
- Employee paperwork, information, payroll, and bonuses.
- Sick days and paid leave days.
- Backup staff members in case of emergency.
Enhanced Customer Satisfaction
At the end of the day, keeping the customer satisfied is the main goal of a distributor. Without accurate planning, scheduling, and enhanced control over a warehouse management system, the distribution channels and timely delivery of products will fail, leaving the customer empty-handed.
The ERP software provides detailed information and analysis for each customer.
This includes a record of all their information and previous purchases, reducing the risk of mistakes, and strengthening the relationship between the company and the customer at the same time. Moreover, the ERP provides beneficial insights on suppliers, service providers, and shipping carriers resulting in more convenient information exchange.
When it comes to planning, coordination, and distribution, the integration of ERP is immensely beneficial to any distribution business. ERP can improve communication, synchronise orders with inventory, evaluate vendor performance, and make sure the information is always up to date.
Integrating reliable ERP software can also lower manual labor and cut operating costs. With it, the warehouse management system can manage its resources more effectively and increase efficiency, and customer satisfaction across all of its operations.