From planning to go-live: Your essential WMS implementation roadmap

Before we get into the steps required for a smooth implementation, let’s define some key terms.

What do we mean by a WMS implementation?

It’s the steps involved with setting up a WMS for use by your team. As you’ll read in this article, they generally cover:

• Working out why your business needs a WMS and making a business case
• Creating an implementation plan and team
• Integrating third-party platforms and creating a cutover plan
• Launching your system and monitoring its impact.

Why implement a warehouse management system?

The effort required for implementation is more than made up for by the benefits of a WMS. The top four ways an implementation can help your business include:

Enhancing efficiency: Automation can streamline processes like pallet and carton handling, inventory counting and cycling.

Boost visibility: Real-time dashboards and alerts allow you to easily track orders and inventory

Optimise space: Advanced location management allows you to store items and equipment, and position zones, in a way that maximises space utility.

Better control: Workflow management allows you to define how processes are performed and get more control of your inventory.

Key factors to consider before starting your WMS implementation

The first thing you need to do is define what success looks like. This means choosing specific warehouse KPIs (key performance indicators) to track post implementation.

For instance, you may want to track the picking accuracy KPI to see the impact of your new system. Or you could track average order cycle time to see the impact on order fulfilment efficiency.

Creating an implementation plan is crucial. It should outline timelines and objectives, as well as a go-live date. It should also outline key tasks for specific members of your team.

Your choice of WMS depends on what kind of business you operate and its goals. Here, we look at key requirements for different business contexts:

1. 3PL-specific considerations

Third-party logistics (3PL) businesses have additional warehouse implementation requirements.

This is because they manage multiple clients, each with their own product types and fulfilment rules, as well as billing and reporting requirements. 3PL businesses also need their WMS to integrate with their clients’ platforms. 

They therefore need a flexible WMS that offers API (advance programming interface) connectivity with third-party platforms.

2. In-house warehouse operations

Businesses that manage their own order fulfilment will need a WMS that can help them boost efficiency across the entire process. Their solution should have features to automate repetitive processes, optimise space utilisation and gain real-time visibility.

The system also needs to integrate with existing platforms as well as ecommerce and courier apps.

3. Inventory-heavy environments

Businesses that store a large and varied amount of items should look for a WMS with advanced inventory control and space utilisation functionality. 

Leading systems offer multi-location management features to optimise bin, rack and zone layouts within a single or multiple warehouses. They can also automate cycle counting and automatically prompt restocking.

4. Utilising AI-driven warehouse slotting optimisation

This advanced capability can be achieved if a warehouse management system offers automated location management, intelligent putaway logic and mobile scanning.

The system can analyse data like stock levels, order activity and even future demand to suggest optimal storage locations.

5. Embracing a future-ready fulfillment strategy

To future-proof your warehouse, it’s essential you choose a WMS with advanced capabilities that can scale with your business.

Cloud-based solutions offer anytime, anywhere access and can capably handle more users and data as your business grows. They also offer seamless integrations with third-party platforms, and are compatible with next-generation warehouse equipment.

Let’s look at the key mistakes to avoid and how you can maximise your WMS ROI.

Common pitfalls and lessons learned

An implementation isn’t always smooth sailing. Here’s what to avoid:

1. Poor planning

Ensure you have a clear plan for your WMS implementation. Assemble your implementation team, understand deployment timelines and ensure you have the right hardware and support.

2. Poor data quality

Data that’s riddled with errors can seriously impact the efficacy of your new system for warehouse management. Cloud-based warehouse management systems can provide real-time visibility of your operations. But if they’re fed poor data, so too will be your visibility.

3. Not involving your team

Staff may be initially resistant to a new platform if they’ve used another system for some time. That’s why it’s important to get them involved when choosing a new system and select one that solves their pain points.

Getting ROI from your WMS solution

Your team’s uptake of your WMS will be a key determinant of this. Getting everyone involved in the selection processes and ensuring they have everything they need to use it effectively is crucial.

Do they have experience with warehouse management systems? Or will they need training to get the most out of your new one?

Check out the vendor’s website and, for an unbiased view, tech review sites to understand different systems. Contact sales reps to get more details on the features, implementation support and potential warehouse management system costs.

Free trials and demos are a must. If you’re trialling a cloud-based warehouse management system, try it out on a mobile device to see the functionality available.

Vendor/software selection criteria

Keep these essential features and vendor attributes in mind:

Real-time visibility: Ensure your solution offers centralised dashboards and alerts to track operations

Automation:  How does the system reduce manual tasks and boost efficiency?

Integrations: Your platform should connect to online shopping and delivery platforms, as well as third-party software

Cloud-hosted: This ensures your team can use your WMS anywhere, anytime.

Support: Ensure your vendor offers support during and after implementation.

Budget and cost fit

The price of a warehouse management system solution includes more than a monthly subscription fee or annual software licence. There are added initial costs for your warehouse management implementation and onboarding support.

There are also ongoing costs, including for technical support, maintenance, add-ons, integrations and hardware. Ensure your budget is flexible to account for these.

Challenges you may encounter with your warehouse management implementation include:

1. Adoption gaps

Ensure your system is the right fit for your business and team. You don’t want a situation where staff are reluctant to use your warehouse management system because it’s not user-friendly or doesn’t boast key features.

Their acceptance hinges on their involvement in the selection process. Get them involved early – canvassing their thoughts, needs and criticisms of any proposed solution.

2. Data governance and migration

Ensure your data is accurate and complete. Conduct an audit to spot inaccuracies. It’s crucial to back up your data prior to migration and create a data migration plan.

3. Integration with other systems

You don’t want a situation where connecting to systems like an ERP requires a costly custom integration. That’s why it’s crucial to choose a system with API connectivity.

Leading platforms offer native integration with ecommerce and courier apps, while the vendor can support integration with internal systems.

4. Customisation risk and technical debt

Technical debt refers to the long-term costs of using outdated software. It’s a ‘tax’ your business pays via decreased efficiency and financial costs.

It’s important your system offers integration with third-party platforms. Otherwise, you may need to pay for costly custom integrations.

If your system lacks modern capabilities, like automation, or if it’s an on-premise solution requiring server hardware and maintenance, this could cost you both time and money.

How can your business ensure a faster, smoother implementation? Let’s look at the most effective strategies:

1. Right-sized configuration

This refers to the process of optimising your software investment. Specifically, to ensure your software is configured to your business’s needs and workflows, rather than the other way around.

You don’t want to take a ‘one size fits all’ approach to choosing a WMS. For example, if you’re a high-volume ecommerce warehouse, you may have different picking strategies to a manufacturer's parts warehouse.

Ask your vendor what kinds of customisations they can make to accommodate your specific needs.  

2. Creating a change management plan

This helps align your people, processes and technology. It starts with getting your team involved in the WMS selection process and implementation planning.

Set team meetings leading up to implementation to discuss next steps, what specific team members must do and any concerns.

You might also want to designate a team member to act as an advocate of the new system, who can answer questions staff have. 

3. Conducting role-based training

Different people in your team may require training specific to their roles. For instance, if your WMS supports barcode scanners, pickers must be trained on using mobile scanners.

Meanwhile, receiving staff may need training on how the system handles incoming shipments. Think about the different roles in your warehouse and what they need to know.

4. Vendor partnerships

A good WMS vendor will support you beyond the sale to overcome any issues. When selecting a system, vet vendors to ensure they offer implementation and ongoing technical support via a local team. Ask if they have a dedicated manager for implementation.

5. Post-implementation support

There will be times when your team requires technical support. Make sure your vendor provides support via phone, email and online knowledgebases.

Some may only offer online support, or support from staff located overseas, so make sure you check the finer details of what they offer.

Next, we cover step-by-step the 11 critical phases for successful warehouse management system implementation