It can be both exciting and frightening for your small or medium business to experience growth spurts. However, if you fail to stock enough products to meet the ever-rising demand, you may lose your customers and damage your reputation in the process. If you find yourself struggling to meet your customers’ demands, it may be time to invest in a Warehouse Management System (WMS). If you’re still wondering whether your business needs a WMS, consider the following warning signs:
Increasing Error Rates
The more complex your distribution center becomes, the more likely that mistakes will occur. Some common errors include shipping the wrong items, incorrect packing or packing damaged goods, and incorrect paperwork, among others. Such errors may cause returns and chargebacks.
High Fulfillment Costs
As your business continues to grow, your total fulfillment costs should drop. However, the task of fast shipping and inefficient utilization of your warehouse space and labor can negatively affect the profitability of your business. Fortunately, a warehouse management system can help keep your business profitable.
If you’re picking sequences, making poor slotting decisions, and spending more time looking for items, it may be time to get a WMS. Having a WMS that is configured for enhanced slotting will speed up the picking pace and ensure that it’s done efficiently. Your WMS will also help issue your invoices on time.
Increased Employee Theft
The growth of your business will lead to increased employee theft. According to CNBC, warehouse-related thefts cost companies approximately $50 billion every year. This can be a significant problem if you deal with easy-to-sell products of high value. A WMS will help you isolate what has gone missing and alert you that employee theft may be happening.
A Disorganized Warehouse
A disorganized warehouse will make a bad impression on your customers and suppliers. With a WMS, your warehouse will always remain organized, and you will have peace of mind that suppliers will be more likely to work with you. Suppliers want to partner with businesses that they can trust to represent their products well.
Get a Warehouse Management System
It can be easy to run a small business with an improvised manual warehouse management system. However, if your business is growing at a rapid rate, you need a process that can account for all inventory management processes. To get started, visit Inventory Mirror today and get a warehouse management system with all the tools you need to handle all processes in your business.