A warehouse management system (WMS) is a proven solution for reducing operational expenses. However, a traditional WMS requires expensive hardware updates and maintenance contracts, which quickly add up to the costs. Therefore, with a whopping 94% of enterprises using the cloud, the cloud-based WMS is becoming the top choice. After all, a cloud-based solution costs significantly less and further adheres to a pay-as-you-go model.
First Thing First – What Is Cloud-Based WMS?
A cloud-based WMS is a software solution that integrates all aspects of the supply chain into one interface. It helps manage the inventory and optimize the picking, packing, and shipping processes.
The WMS is installed in the cloud and accessed through a browser or mobile app by concerned personnel. The cloud allows the software to be accessed anywhere at any time, which means the team can work from anywhere they want as long as they have an internet connection. This flexibility allows for scaling up or down without purchasing additional hardware or software licenses.
A cloud-based warehouse management system allows easy integration with other business systems, including accounting software, customer relationship management (CRM) software, and more.
How Does a Cloud-Based WMS Work?
A cloud-based warehouse management system follows the cloud computing principle of ubiquitous, convenient, on-demand access to a shared pool of configurable computing resources and rapid provisioning with minimal management effort or service provider interaction.
To that end, it’s noteworthy that material master data management is a key element of WMS. Material master data can be divided into two categories: basic material information and advanced material information. Basic material information includes such things as product name, description, UPC code, and weight or volume measurements. Advanced material information includes data such as order quantity limits, batch numbers, or group codes which may be used for tracking purposes.
As such, cloud-based material master management involves creating and maintaining all the information about products to be stocked. This includes their description, classification, and characteristics, as well as each product’s availability status and price. The information you enter into your WMS helps track the movement of goods through your warehouse and manage and control inventory levels at all times. Read more about complexities in warehouse management on Skubiq.
Also, as elucidated above, a cloud-based warehouse management system can be integrated with other programs, so it can work with the accounting or CRM systems to streamline data flow and make it easier to use this information.
Benefits of a Cloud-Based WMS
Unlimited Scalability
SMBs are well aware of the fact that technology needs to change as their business grows. It makes no sense to spend time and money upgrading legacy software when it can’t accommodate scalability. That’s why cloud-based WMS is critical, for it is designed to scale with the operations, thus, guaranteeing high adaptability.
Multi-Warehouse Management
The cloud-based warehouse management system allows for managing multiple warehouses across different locations. This eliminates the need for software investments, reduces business fragmentation, and reduces maintenance-related headaches.
Real-Time Monitoring
With real-time monitoring, businesses can rest assured that the warehouse is always in good shape. It allows them to keep an eye on all operations in their warehouse, from receiving goods to shipping them out. They can see what’s happening with each item at any time, so they’ll never have to worry about missing anything or being unprepared for the next step.
Also, they won’t have to worry about inventory levels or whether products are being stored at, let’s say the correct temperatures. By setting up alerts, they’ll be aware of when something needs attention.
Rapid Implementation & Processing
When a business chooses to implement a WMS, they want to get it up and running as quickly as possible. Favorably, with a cloud-based system, they won’t have to wait long to see the benefits. That’s because it’s easy to integrate the WMS with other business systems, and it would be available to use immediately.
In general, cloud-based warehouse management systems are easy to set up and customize. You can even integrate them with other systems like ERP or POS without doing additional work—the software does all the heavy lifting!
Easy Maintenance
Cloud-based warehouse management systems are easy to update and maintain, so SMBs don’t have to spend hours figuring out how the system works. Furthermore, they won’t lose their data when they have to upgrade the system or implement new updates.
Cost-Effective Solution
The subscription per month/per user model makes a cloud-based warehouse management system a favorable option. It reduces the overall cost of ownership (TCO) and makes constant upgrades possible, keeping the business up to date.
Conclusion
The benefits of utilizing a warehouse management system have been reiterated repeatedly, but they remain as relevant as ever: increased efficiency translates into reduced costs, reduced hassle, and higher productivity. Undoubtedly, these advantages will be realized in any SMB that chooses to step away from its overworked manual processes and move towards cloud-based WMS software.
SKUBIQ can be swiftly implemented and fully integrated into the business as a cloud-based solution. Our team evaluates the needs, integrates the data sources, and customizes the system to fit business-specific workflow.
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