Logistics & Warehouse Management
To define warehouse logistics, we must first understand the meaning of logistics itself. In the simplest possible terms, logistics may be defined as the detailed planning, organization, management, and implementation of complex operations. In many industries, including warehousing, logistics also extends to the flow of both physical goods and information. Warehouse logistics, therefore, encompasses all the varied, complex factors – organization, movements, and management – involved in warehousing. This includes the flow (shipping and receiving) of physical inventory, as well as that of more abstract goods, including information and time. Warehouse logistics may also extend to anything from warehouse pest control to damaged goods handling, to safety policies, to human resources management, to customer returns. In other words, warehouse logistics involves all the policies, procedures, and organizational tools necessary to keep your warehouse operations running smoothly.
The benefit of controlled warehouse logistics is simple – increased revenue.
Think of it this way: When your warehouse operations run smoothly, inventory is properly accounted for, the right item is sent at the right time, stock is replenished when needed, fewer picking errors occur, and all the people, processes, and systems fall into place as they should, your warehouse operates more efficiently. There are fewer errors and fewer problems, and that means maximized revenue.
- When you implement a solid (Warehouse management System) WMS to control your warehouse logistics, you:
- Ensure accurate, real-time inventory counts: Know how much inventory you have – and its specific location within your warehouse.
- Decrease returns: An accurate look at your inventory means sending the right item, the first time.
- Auto-replenish stock: Don't wait until you're out (or nearly out) of stock to order more; let your WMS auto-replenish inventory when stock levels get low.
- Maximize warehouse space: Some WMS automate warehouse routines (ex. stock rotation and picking), which means you'll need less floor space for workers, which in turn means maximizing your warehouse space to store more inventory.
Other WMS benefits extend to better demand planning, improved visibility and transparency, stock traceability, fewer picking errors, optimized processes, efficient labour allocation, and improved customer services – factors that boil down to reduced operational expenses and more revenue.