4 Key Types Of Warehouse Management System (WMS)


A warehouse management system is an application that aids in the monitoring and management of a warehouse’s day-to-day operations. Companies use WMS systems to regulate and monitor the logistics and warehousing processes. A WMS can help a company save money by reducing labour and space waste. A good warehouse management system monitors inventory and tracks products with serial numbers, barcodes, and RFID tags. These tools assist in organising inventory and can help in optimising both internal and external inventory transportation.

A warehouse management system avoids shipping errors, allows businesses to fulfil orders instantly, and tracks ordered products throughout the warehouse. It promotes a paperless work environment while instructing staff on warehouse management best practices. A warehousing system can take several forms. A WMS is frequently connected with an inventory or transportation management system.

Types Of WMS

The implementation of a Warehouse Management System is required by every organisation which deals with physical goods that must be transported according to clients’ demands. Time is money, and if your employees don’t have an effective system to handle warehouse operations, you could be losing money. Determine which warehouse management system is appropriate for your company, so you don’t fall behind on inventory control, picking, and shipping orders.

To best meet your business objectives, you can choose from various warehouse management solutions. The most common categories utilized by logistics companies are the following

1. Standalone WMS

A standalone WMS is a type of on-premises system with standard software placed on the company’s local hardware and network. Many WMS programmes are third-party packages that must be integrated with the rest of the company’s management software (such as the ERP system). It’s perfect for small firms with low software budgets.

2. Supply chain modules

Supply chain management system development technology is much broader in scope and can help customers manage numerous aspects of supply chain visibility. The fundamental goal of supply chain management is to automate the monitoring of inventory replenishment, inventory cycles, material acquisition, and other everyday tasks. Risk analysis, current market activities, and vendor partnerships can be accommodated. It is perfect for businesses that are small to medium-sized and corporations with numerous supply chains.

3. Integrated ERP systems

ERP or Enterprise Resource Planning is software that tracks all of a company’s or organization’s resources. In addition to core applications like human resources software systems, sales and marketing, finance and accounting, and CRM solutions, some ERP programme innovations include a WMS software or SCM module incorporated into their ERP system. It is a good fit for businesses of all sizes and with a wide range of client requirements.

4. Cloud-based WMS

Cloud-based WMS is a web-based, centralized-computing approach that uses cloud technology. Cloud-based system development is also known for its scalability and deployment speed. It can provide the same benefits as a traditional WMS while allowing for faster chain execution and cheaper inventory expenses. Because they are web-based, the cloud-based warehousing application does not require installation or synchronization with native hardware or networks. It is the perfect pick for businesses of all sizes and many locations.

Things To Consider Before Choosing WMS

  • Maximum Efficiency: Efficiency is a fundamental principle, and it is also one of the most important. Good WMS software will optimize what you and your company can do while reducing the amount of effort required. You want the WMS to help you streamline your business processes and track data that would otherwise be difficult to follow.

  • Effortless Usage: The easier a WMS is to use, the less time employees will spend in training. A well-designed WMS will reduce the time it takes staff to set up and monitor operations, giving them more time to respond to a changing workflow. 

  • Total Transaction Management: From receiving to shipping, you should manage everything on a warehouse management system. Every step of the journey, you want to have detailed information on everything. That includes products, personnel, and warehouse processes. Because your WMS captures everything that happens in the warehouse (people, transportation, items, and so on), you can perform specific analysis on your warehouse operations. 
  • Flexibility: A sustainable WMS solution must adapt to the needs of a developing business and scale up to meet future demands. If the WMS is scalable, one factor to look for is whether it integrates with most ERPs. This is because your company may change ERP systems as it grows, and you don’t want to have to replace your WMS every time your company shifts to new technology. 
  • Verifiable Track Record: Use customer references to gain first-hand feedback on the warehouse management system. You can get a list from the seller and meet with the customers alone, without salespeople. You need the customer’s whole story to assess the system’s performance. The more consumers you speak with, the clearer your picture of the WMS becomes. In an ideal world, you’d be able to observe the WMS in operation and see how it operates in various scenarios. Keep in mind, though, that your company’s requirements may differ from those of the customer reference you’re looking at.


There is a lot to think about before deciding which warehouse management solutions will benefit your organization the most. Take your time, weigh your options, and get a hands-on different WMS, which will help you better understand them, their importance in your business, and, as a result, which type of WMS  will best suit your needs, so you don’t fall behind on inventory management, shipment completion, and order delivery.

Your End-to-End Supply Chain Partner

Stockarea offers end-to-end supply chain services such as Warehousing, Freight Forwarding, Customs Clearance, and Transportation, acting as your logistics backbone. Let us take care of your complex supply chain so that you can focus on your core business.