Warehouse Management System Definition

The term warehouse management system (WMS) refers to a software application designed to support and optimize the day-to-day operations of a warehouse. A typical WMS will include modules for managing inbound and outbound shipments, inventory, and labor. Some WMS applications also offer advanced features such as transportation management, order picking, and yard management.

While there is no one-size-fits-all definition of a WMS, the functionality of most systems can be divided into three main categories:

Inventory management: This module tracks inventory levels in real time and helps managers make decisions about when to replenish stock. It may also include features for managing stock locations, lot tracking, and expiration dates.

Order management: This module handles the receiving, processing, and shipping of orders. It may include features for creating pick tickets, packing orders, and generating shipping labels.

Labor management: This module helps managers optimize labor utilization and track employee productivity. It may include features for timekeeping, task assignment, and performance reporting.