Importance of Warehouse Management for Growing Companies

Proper warehouse management is a must for any company, regardless of the industry and size. There are many challenges that you will come across as your business grows. You may lose valuable time and money by running on-demand counts and checks, you may send the wrong product to customers, etc.

Importance of Warehouse Management


A good warehouse management system can help you solve all these problems and even add more value to your business. It can help you with many things like increasing the efficiency of business operations, customer care, etc. Here are a few reasons why you need warehouse management for your company.

1] Customer service

Customer is the king (or queen) and your warehouse plays a major role in your customers’ buying experience. Warehouse management helps you to make sure that the products ordered are in stock and that they are shipped and delivered in time. It also makes it easy to organize the products and track the shipments through automation.

This will lead to better accuracy and fewer errors ad thus, fewer customer service calls. By keeping the existing customers satisfied, you will retain them for a very long time and this will, in turn, help you grow your customer base. Warehouse management systems also help you find the best routes to be taken to avoid traffic jams and other problems.

2] Improves warehouse appearance and supplier confidence

When your business grows, you will have more products and your warehouse will get messier and more disorganized. Appearance does matter. A disorganized warehouse will make a poor impression on potential clients and suppliers. A warehouse management system will help you keep your warehouse mess-free and visually appealing.

This might seem like an irrelevant issue but a potential client will always go for a clutter-free space where products are stored carefully than a messy warehouse.

An inventory management system will provide you with ideas and methods to utilize maximum space in your warehouse while keeping it very organized. A well-organized warehouse also makes it easy for you to cater to orders smoothly.

3] Improved inventory visibility

Inventory visibility plays a key role when your business starts to expand. Warehouse management systems will provide you live data on your inventory through serial numbers, RFID tagging, and barcoding.

This will help you keep track of everything that comes into and leaves from your warehouse, its movement inside the warehouse and its status while it is moved from one location to another.

This kind of visibility is important in demand forecasting which will help you determine what the customer is looking for at the moment. This will, in turn, help you decide which products to invest in and which products to stay away from. Increased traceability will also be beneficial in case of a recall.

4] Deciding which to use

Before you finalize a warehouse management system for your company, you have to figure out what is crucial for your company and your clients as well the important business issues that should be resolved by moving to a warehouse management system.

Not all the warehouse management system solve the same problems. Hence, finding out what you need is very important. A few questions to ask yourself regarding this are.

  1. What is your budget?
  2. How fast should the transition to the new warehouse management system be?
  3. Do you operate in different environments (cold store, ambient, racked and bulked storage, small bin) or is your stock split over multiple warehouses?

Final words

Implementing a good warehouse management system will help you prevent some problems that usually occurs when a company is expanding as well as saves you time and cost. By understanding its uses and asking the right questions, you too can find the perfect warehouse management system for your company.

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About the author

Michael Austin

Michael Austin is a Internet Entrepreneur, Blogger, Day Dreamer, Business Guy, Fitness Freak and Digital Marketing Specialist. He also helps companies to grow their online businesses.

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