Warehouse Management Systems (WMS)
WMS software helps customers manage warehouse operations, including inbound shipments, inventory, and outbound order processing. Many WMS solutions also provide dashboards to help operators optimize labor plans, inventory levels, and shipping costs. However, most WMS software is designed to just track and report inventory and labor data. These systems operate around pre-planned, static batches of work (also called waves). While this approach is sufficient for full-case activities, such as intake of inventory shipments or processing a limited number of split-cases, such as for store replenishment applications, it breaks down for e-commerce.
Benefits of Using Warehouse Execution Systems (WES) for E-commerce
In a fast-moving e-commerce environment, order profiles are small and dynamic. Customers demand fast shipping and same-day order processing. The number of decisions and the level of coordination required often exceeds the static, built-in order fulfillment capabilities of a WMS. In these environments, a WES can help operators orchestrate processes and resources efficiently to meet the flexibility and speed requirements of e-commerce. A typical WES works by helping operators execute order picking, sortation, consolidation, and packing efficiently. Some may also manage replenishment. Many WES products offer real-time rules execution based on demand and business logic defined by operators. For example, how to allocate labor at the start of an order wave or handle processing of exceptions.
Although many WMS products have built-in WES/fulfillment functionality, it’s typically basic and inflexible due to heavy dependencies on the pre-planned, static batches of work expected by the rest of the WMS stack. Traditional WMS products have a clear separation between planning and execution. Many WMS products divide the day’s work in batches (waves). The WMS products have planning modules that pre-plan and optimize the batches before execution begins. Then, the WMS products have execution modules which focus on keeping the execution going as planned. Deviations from the original plan are called “exceptions.” Execution modules work to “fix” the exceptions and return the operation to the planned execution state. These execution modules normally have weak real-time functionality which prevents efficient handling of unexpected conditions during the execution.
Using a WMS and WES Together to Optimize Fulfillment
A WES offers customers with sophisticated order and shipping requirements a more specialized, optimized solution to orchestrate fulfillment. WES software often works alongside a customer’s enterprise resource planning (ERP) or warehouse management system (WMS). For example, customers can use Fulfillment Engines WES alongside their existing in-house or commercial WMS to orchestrate fulfillment operations. The WMS continues to manage inbound operations, including receiving and put away, and outbound operations such as shipping. Fulfillment Engines takes over and optimizes fulfillment operations, including replenishment, picking, sortation (if applicable), and packing.
