Warehouse Management System 

The warehouse management system (WMS) is the most recognizable and diverse of the e-commerce supply chains’ system lineup. The warehouse management system serves as the system of record for all in-warehouse and distribution center activities. The WMS connects to supplier systems and reseller POS platforms. It can include labor management functions and could even offer opportunities for improvement through automated order processing and routing.  

Warehouse Control System 

The use of a warehouse control system goes a long way in building efficiency in the supply chain. As defined by TechTarget: 

“A warehouse control system (WCS) is a software application for orchestrating activity flow within a warehouse or distribution center. The WCS coordinates material handling sub-systems such as conveyor belts, carousels, scales and sorters. At each decision point, the WCS determines the most efficient product flow and transmits directives to the equipment controllers to achieve the desired result. Facilities with automated material-handling hardware often have a warehouse control system (WCS) that integrates with a warehouse management system (WMS) to provide management with a comprehensive view of the warehouse.” 

As a result, companies continue to benefit more from the integration between these systems, enabling the use of automated robotics throughout the enterprise.  

Warehouse Execution System 

A warehouse execution system (WES) is a newer solution, allowing companies to tap the value of a WMS without making the full leap into a WMS. WES functions include supply chain controls to improve performance, including light task management, wave management, limited inventory management, and some picking.  

Yard Management System 

The yard management system (YMS) is a useful tool for managing trailers, drivers, and stored inventory in the yard. Supply chain leaders can amplify the value of the YMS by adding gate management to ensure drivers do not arrive early and to validate all inbound deliveries. This reduces the risk of fraud and theft by enhancing  visibility to the freight in the yard, which in turn provides additional integrity into the supply chain.  

Dock Scheduling System 

The dock scheduling system (DSS) is responsible for both managing inbound and outbound logistics at the facility. This includes the dock schedule for trucks arriving, the movement of trucks from the yard to the dock, staff for manning the dock, and more. Without an effective dock scheduling system, the flow of goods will bottleneck and result in major inefficiencies. More importantly, the dock scheduling software goes a long way in ensuring the timely arrival of goods and keeping drivers’ claims for detention pay at bay. In other words, the dock scheduling software acts as the system of record for when goods move into or out of the physical warehouse doors.  

Transportation Management System 

The transportation management system (TMS) handles the logistics of moving freight from suppliers to your facility and when freight leaves your site headed for the customer’s destination. While this step may be subject to carrier availability and systems used, the application of a TMS is a critical step in automating and leveraging real-time freight rates and keeping freight spend under control. The TMS further improves supply chain visibility by keeping everyone informed of freight status, including potential delays or other areas of concern, such as damage and more.  

Integrated E-Commerce Shopping Carts 

Integrated e-commerce shopping cart systems are another critical component of modern, omnichannel supply chain management. Multiple shopping cart providers exist, and without integration, these carts are meaningless payment processors. Through integration, integrated shopping carts aid in efficient inventory management and continuous improvement of e-commerce supply chains.  

Third-Party E-Commerce Marketplace Systems 

More companies are turning to third-party systems to stay competitive in the age of e-commerce. For instance, working with a third-party logistics provider (3PL) may alleviate constraints with finding available capacity, sourcing products, sourcing logistics, and more. According to Berman: 

“Due to rapid growth and rising customer expectations, the report observed that companies often struggle with developing a supply chain that not only meets expectations but also can scale rapidly to provide the same or a better level of service as their business grows. 

And it added that this can lead them to partner with a 3PL to boost their in-house capabilities and resources and be able to scale up quickly and effectively in order to capitalize on ecommerce opportunities.” 

All E-Commerce Supply Chains Require a Robust Set of Integrated Systems to Succeed 

Efficient e-commerce supply chains depend on the sharing of data and collaboration. Without collaboration, omnichannel supply chains would cease to exist, returning to their stale, siloed management styles. With a robust set of systems in place, supply chain leaders can gain end-to-end visibility, promote their brands through better customer experiences, lower inventory carrying costs, improve order fill rates, and leverage the latest technologies. Improve your e-commerce supply chains by requesting a consultation with Veridian, a supply chain systems expert, now. 

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While it is still early in the game to pass judgment on the totality of the 2019 peak shopping season, the initial numbers are clear. Consumers are spending more, looking for their products online, and even taking advantage of buy online pick up in-store (BOPIS) fulfillment.

Taylor Schreiner of Adobe Digital Insights stated to TechCrunch, “With Christmas now rapidly approaching, consumers increasingly jumped on their phones rather than standing in line. Small Business Saturday will accelerate sales for those retailers who can offer unique products or services that the retail giants can’t provide.”

To stay successful, supply chain leaders need to understand a few things about preparing omnichannel retail supply chain processes to succeed in peak season.

Challenges in Omnichannel Retail Peak Season

The challenges associated with the peak season for the supply chain are debated in great detail in many supply chain and retail publications. Everyone wants to do more, offer faster service, move more orders, reduce costs, avoid all delays, give customers something extra, surpass last year’s expectations, generate better reports, keep customers happy, improve employee satisfaction rates, and many other goals. Unfortunately, pleasing everyone all the time is impossible, and problems will occur.

When left unchecked, problems contribute to upset customers, missed deliveries, and other consequences. As reiterated by Material Handling & Logistics in 2006, which still holds true for fundamental supply chain prep during any peak season, “Peak season is not the time to do things a second time or make extra work due to insufficient communication. Make sure that everyone understands that the increased level of activity requires an increased commitment to prompt and accurate communication at all levels.”

Without communication and reliable, standardized processes, the pursuit of an omnichannel retail supply chain will ultimately fail.

Omnichannel Retail Supply Chain Processes Depend on Integration and Data

Take a moment to think about what goes into omnichannel retail supply chain processes. All channels must communicate to ensure orders can be fulfilled between channels and presented with accurate details to consumers at their preferred channel of choice. The supply chain processes in this pursuit may include shipping items between warehouses, using brick-and-mortar stores as distribution and fulfillment centers, giving customers third-party shipping options for ship-to-home orders, and more. As a result, omnichannel retail supply chain processes depend on the integration and the meaningful use of data. With outdated data, it is impossible to collaborate, and poor collaboration will lead to disappointing outcomes.

Tips for Improving Peak Season Omnichannel Operations

Supply chain leaders can improve peak season omnichannel operations by revisiting their comprehensive strategies, as well as following these essential tips.

• Rethink your picking processes and strategy. Avoid the hassle associated with traditional, batched order picking practices.
• Redefine facility and yard boundaries and space utilization. Take advantage of available capacity and storage space within the yard and vertical space, as well.
• Deploy analytics and artificial intelligence. Analytics implemented within the last five years are likely already out of date, especially if they do not use cloud-based technology. Consider deploying a newer, smarter analytics platform and using artificial intelligence to make sense of the data.
• Leverage staff augmentation, turning high-quality staff into long-term workers simultaneously. “Whether you use one temporary staffing firm or many, don’t assume they will provide all the personnel you need when you need them. Confirm your anticipated requirements and iron out the particulars of your working arrangement in advance,” says Deborah Catalano Ruriani of Inbound Logistics.
• Take full advantage of available labor resources. As explained by Total Retail, “Picking operations should be the next focus. All staff should be trained on how to properly use equipment — whether that be paper, RF, or tablet — to pull items and prepare them for shipping. Process adherence stabilizes performance, regardless of the size of the labor pool. If all staff is on the same page concerning picking and packing procedures, process adherence can offer predictive indicators (from history and experience) of bottlenecks and challenges.”
• Start planning for the next season now. The next peak season is around the corner, and depending on the type of retailer, peak season may arrive as soon as the Super Bowl.
• Maintain a backup plan for your backup plan, including additional carriers and more. While warehouse managers are traditionally focused on managing the warehouse, they should also be mindful of how other supply chain processes and partners interact, such as the need to build a new mix of backup carriers and logistics service providers to fulfill orders and ensure timely deliveries.

Meet Peak Demand With a Robust Omnichannel Strategy Now

Meeting peak season demand with a robust omnichannel strategy can push small and midsize businesses to new heights. Unfortunately, the issues are prevalent, and they are challenging to overcome. However, a solution does exist. Implement more modern, more effective omnichannel retail supply chain processes by choosing the right supply chain systems integrator, like Veridian. Request a consultation from Veridian to learn more today.

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Lack of Data Contributes to E-Commerce Peak Season Challenges

Take a moment to think about the primary challenges associated with e-commerce peak season. More customers are ordering products, and they expect fast, free shipping. More importantly, all orders sent during peak season are time-sensitive so that any delay could contribute to a terrible customer experience. With that in mind, the ideal solution lies in understanding more about what customers will want and need. Remember, a supply chain is only as effective as its weakest link, and if replenishment processes fall short, order fulfillment and throughput in the warehouse will falter. Therefore, supply chain leaders need a way to look beyond the current operations and understand what is happening, what may happen, what needs to happen, and how minor changes contribute to the overall success.

Warehouse Analytics Enable Better Planning

Supply chain leaders must focus on getting orders correct and accurate before getting them delivered on time. This is a simple logic principle, but inaccurate orders and delays only snowball into larger issues. Corporations spend vast sums of money attempting to correct erroneous shipments and orders. The opportunities for losses are great, so understanding exactly what customers want and what they will order before the order is ever placed is crucial. Supply chain leaders are not clairvoyant, but warehouse analytics is the next best thing to the gift of foresight.

Advanced warehouse analytics support all functions from replenishment through facility management. Tracking purchase patterns over time enables better inventory management. Combined analytics that considers existing equipment and carrying costs can further drive overhead expenses down for an organization. Therefore, profitability increases, and gains in profitability trickle down to benefits for consumers.

Tips for Using Warehouse Analytics

Using warehouse analytics can be a tricky process. With the rise of cloud computing technology, numerous software vendors have entered the market, and it can be difficult to distinguish the best vendors from those that offer subpar service. Instead of choosing a vendor out of immediate necessity or without thorough research, supply chain leaders should approach each vendor as a critical business partner. New software and systems that contain analytics should require connected platforms, enable the sharing of data, and provide remote accessibility. These underlying factors can be the difference between the success of warehouse analytics and their failure.

Peer Into Your Customers’ E-Commerce Peak Season Plans With Connected, Intuitive Systems

E-commerce peak season plans depend on the ability of supply chain leaders to order enough product, move product fast enough, and provide superior customer service. Instead of risking everything, supply chain leaders need to take action and be prepared with advanced warehouse analytics. Of course, working with a supply chain systems consultant can help small and inexperienced retailers identify the best systems and put them to use. Learn more about demand planning and how to prepare for e-commerce peak season by contacting Veridian online today.

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Driving Forces of the Nightmare Before Christmas E-Commerce Shipping

The driving forces of the real nightmare before Christmas e-commerce shipping arise from the need to ship more products, guarantee order accuracy, and stay competitive with Amazon and others. Amazon is the 800-pound gorilla in the operations of every company today, and those that do not work to tackle the beast will face considerable uncertainty. This problem is exacerbated among those using outdated, antiquated warehouse management systems (WMS) and other supply chain technology. Even systems that were implemented within the past five years are on the verge of becoming obsolete, and lackluster integration between systems inevitably contributes to delays in order fulfillment. Pair this with the heightened demand for peak season planning and performance, and supply chain executives can see the risk for an explosion. 

Advanced Warehouse Controls Enable Better Management

Advanced warehouse controls, including the introduction of a warehouse execution system, artificial intelligence, automation, big data, machine learning, and analytics, can mitigate the risks of peak season demand. Unlike systems of the past, modern platforms provide real end-to-end visibility and automate many of the back-office processes associated with warehouse management. As a result, managers and staff can focus on filling orders, not handling outdated and labor-exhaustive systems.

Best Practices for E-Commerce Peak Season Fulfillment

There is no one-size-fits-all approach to managing e-commerce peak season fulfillment. However, a few best practices can help all warehouses function more effectively during the season. These include:

1. Review weaknesses within your existing WMS and associated supply chain management systems.
2. Use analytics to understand more about what customers will expect and want from the peak season, explains Logistics Middle East.
3. Diversify your carrier base, and consider sourcing more local, smaller drivers for transportation.
4. Provide a better customer experience than big-box retailers and Amazon through tailored, personalized service.
5. Guarantee order accuracy and delivery, but remember to set realistic expectations for customer service.

Augment Your Christmas E-Commerce Shipping Strategy With the Right Supply Chain Systems Partner

In today’s world, the Christmas e-commerce shipping strategy is ever-changing and evolving. Supply chain leaders need to start thinking about peak season as a year-long process, not a change in plans that begins mid-summer. At the same time, an evaluation of additional WMS vendors may be prudent in the coming year, with the realization that it is far too late to implement a new system by Christmas 2019. Take the steps toward a happy Christmas morning and choose Veridian to help you sort through your WMS options. Request a consultation with Veridian online now.  

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Total Square Feet in All E-Commerce and Warehousing Spaces

The first e-commerce and warehousing consideration to look at for supply chain leaders is managing the total square footage of all e-commerce and warehousing spaces, which includes warehouses, fulfillment centers, and even brick-and-mortar locations. More insight and visibility into your total square footage will allow for better planning of inventory and picking optimization.

Dock Doors

The choice of dock doors employed by your organization plays a crucial role in facilitating seamless e-commerce and warehousing processes. It is essential to consider how different dock door types can impose physical constraints on freight handling, impact the work of dock personnel, and address the protection of shipments from external elements in the realm of Ecommerce Development.

Equipment for Dock Loading, Unloading, Moving Trailers

The type of equipment used for dock loading, unloading, and moving trailers is another critical consideration for supply chain leaders. In addition to purchasing equipment, warehouses must also consider maintenance needs, resulting in downtime for assets and lowering the overall fill rate when maintenance does occur.

The Shape of the Building

The shape of the building will also affect fill rates. A poorly shaped warehouse that is not suited for your omnichannel success needs may lead to inefficiencies. Of course, it is not always possible to pre-design the shape of your building, but companies that do add on to existing facilities should consider the shape of the building in making planning decisions to streamline e-commerce and warehousing.

Condition of the Floors, Racking, and Roof

The condition of floors, racking, and the roof of your building plays a role in the adequate flow of products throughout your facilities. Maintain regular inspections of these assets, optimize slots, and ensure floors are free from debris or other potential risks, such as cracks or damage.

Employee Amenities

Amenities play a vital role in satisfaction among your workforce, as well as those that visit your facility. Amenities may serve multiple functions, especially for workers on-break or truckers waiting for unloading/ loading to complete. Amenities may also have technological aspects too, including WI-Fi, charging stations and even showers. While you do not want your facility to become a truck stop, it can go a long way in providing the same restful and refreshing services to drivers and employees. Happier workers translate into more efficiency, productivity and even may increase eligibility for shipper-of-choice status.

Future Expansion

Future expansion should always be another consideration when making any decision relating to the future of e-commerce and warehousing in your organization. Furthermore, companies should deploy data to understand future expansion needs and move facilities closer to consumers to reduce shipping costs and delays in product delivery windows.

Know How to Improve E-Commerce and Warehousing With the Right Partner

E-commerce and warehousing are affecting every shipper and retailer on the planet. Even FedEx is making improvements by deploying robotics in new systems to streamline operations, and supply chain leaders need to take note as the use of advanced technologies will be a leading way to successfully navigate the growing demands of e-commerce and warehousing. Find out more about what is and is not working to improve e-commerce and warehousing in your organization by scheduling your Veridian consultation online today.

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E-Commerce Growth Creates Major Challenges in Warehouse Management

E-commerce puts a significant burden of retailers and warehouses trying to meet demand, and the most significant issue involves labor and system capacity to handle more orders. The labor crunch is already underway, reports Thomasnet.com. In a recent survey of supply chain leaders and warehouse personnel, the labor shortage ranked as the top concern for 2019 among 55 percent of warehouse survey participants. Meanwhile, traditional means of handling orders are being replaced by waveless picking strategies, reducing the peak and lull nature of the operation.

Trends Affecting WMS and LMS in 2019

Several of the trends affecting WMS and LMS capability in the coming year include:

1. Increased competition among warehouses will attract talent, and keeping track of labor costs will be a crucial issue in the following year. 
2. E-commerce will surge ahead, reports DC Velocity, and as SKU proliferation continues, the risk of errors will increase. This will put the focus squarely on warehouse and labor management.
3. Autonomous mobile robots will influence warehouse operations.
4. Retail-to-warehouse conversions will continue, providing benefits to urban areas left with a “hole” from retailers that have closed and left workers without jobs.

How to Leverage Your WMS and LMS for Better Efficiency & Productivity

The potential benefits of a well-run warehouse and labor schedule are clear. Modern WMS use can reduce delays and increase order accuracy. Meanwhile, a well-run warehouse or distribution center may have a reduced labor turnover rate that’s lower than others reporting turnover rates of 35 percent or more, says Gary Forger of Modern Materials Handling. Supply chain leaders that want to get there need to follow these steps:

1. Understand your consumer needs.
2. Connect with employees, and provide feedback.
3. Track employee performance, and reward employees appropriately.
4. Manage inbound product flow.
5. Leverage analytics to predict demand and plan accordingly, says Jim Gehr and Joe Mikes via Inbound Logistics.
6. Integrate or bring your WMS and LMS under a single roof.
7. Automate repetitive processes.
8. Don’t overlook transportation management systems as an extension of both systems, notes Mindy Long of FleetOwner.

Take Advantage of WMS and LMS Advancements Now

The increased capabilities within WMS and LMS functions through cloud based technology, and integrated services will help supply chain leaders position their organizations for success. As e-commerce growth continues, managers and personnel will need to turn to WMS and LMS applications to augment productivity, increase efficiency, and ensure all operations run smoothly. Make sure your WMS and LMS are optimal and ready for the growth of e-commerce. Talk to the experts at Veridian to learn more about how a WMS implementation or modification may improve your warehouse and labor management practices.

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WMS Challenges That Decrease ROI From E-Commerce

Challenges of implementing a WMS, including employee resistance, can harm new system ROI. In addition, these challenges can lead to a hostile work environment, higher employee turnover and higher costs of fulfilling orders. Some of the top challenges of using a WMS for e-commerce, explains Roberth Karlsson via LinkedIn, include:

• Scalability.
• Single-item purchases.
• Cybersecurity.
• Changing state of logistics.
• Poor employee performance.
• Labor-intense receiving and put away processes.
• Lack of visibility in data and inventory.
• The proliferation of SKUs.
• Limited labor resources.

Why a WMS Is Key to E-Commerce ROI

The use of an integrated WMS is the best way to overcome the challenges in implementation. As the system impacts the operation, workers will understand its value. Modern WMS platforms allow for full scalability, and cloud-based security alleviates many cybersecurity concerns. Meanwhile, the changing state of logistics will require more integration with new systems, including those created by third-party logistics providers (3PLS). Instead of trying to handle each challenge with antiquated, legacy systems, supply-chain leaders should seriously consider implementing a new WMS and letting its benefits do the proverbial talking. Of course, following a few best practices to better leverage a WMS will always help.

Best Practices to Maximize WMS Value for E-Commerce

As explained by Bridget McCrea via Supply Chain 24/7, some of the best practices for leveraging a WMS for e-commerce include:

1. Rethink how you pick orders. Traditional methods of picking a single order to time are obsolete in the age of e-commerce.
2. Integrate facilities. Integrating your facilities with your WMS ensures minimal disruption for planned maintenance and other needs.
3. Design the warehouse with an omnichannel mindset. Omnichannel requires an entirely different mindset, knowing products may be fulfilled at and sent to an infinite number of locations.
4. Automate WMS processes. Automating data entry and tracking processes can reduce the opportunity for error and ensure accuracy and all data insights.
5. Know the data behind your operation. Understanding the data behind the action, including employee performance, cycle times, metrics, and other key performance indicators will enhance ROI.
6. Take advantage of existing retail space to fulfill e-commerce orders. Vacant retail space abandoned by other retailers is an opportunity to move order fulfillment closer to consumers, especially in urban centers.
7. Connect your WMS to customer service portals. As explained by Erhan Musaoglu via DC Velocity, automatically tracking consumer behaviors helps you connect and understand their needs/values.

Get the Most From Your WMS With the Right Supply Chain Systems Partner

Finding the best way to maximize return on investment for your WMS can be difficult, but it is possible. To truly augment the capability of your WMS and achieve the most significant ROI, you must integrate systems and understand how to use and apply data. Veridian can help you with this process. Reach out to Veridian supply chain system experts today.

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Challenges of Handling E-Commerce With Traditional Systems

Using a legacy WMS exacerbates the difficulties of managing e-commerce growth in the warehouse. Traditional systems were built on the principles of business-to-business order fulfillment, and while shipping direct-to-consumer has been around for decades, it is nothing compared to the onus of managing e-commerce demand. Consider these top challenges presented in handling e-commerce with legacy systems.

• Traditional WMS solutions lack scalability, says John Dillon of Supply Chain 24/7. The inability to scale warehouse operations means supply chains are limited in their ability to augment productivity during peak shopping seasons. History reveals growth patterns accelerate after each peak season, so it is impractical to stay competitive with the major e-commerce players without a scalable solution.
• Legacy WMS applications do not integrate well with other platforms. Older platforms were also designed as standalone systems, and even if they were integrated with other supply chain systems, integration took months, if not years, to complete and implement. Unfortunately, the evolution of warehouse management requires changes to software use and application at a rate faster than manual upgrades.
• Older systems rely on linear supply chains. Linear supply chains are outdated, and today’s supply chain bends in on itself to fulfill an endless array of orders from all possible channels and locations, not to mention the complexities of managing returns.
• Systems may lack the capacity to provide insight into activities. A principal disadvantage of using legacy systems also involves a lack of insight. Insight is the ability to understand how actions in the warehouse affect profitability, and in the age of e-commerce, gaining insight commands data analytics.

Steps To Maximize Your E-Commerce WMS Success Now 

A WMS by itself does not lead to improvements in the warehouse operation. Even the best systems have limitations, and they rely on data to generate insights. Unfortunately, small and mid-sized businesses (SMBs) often lack the internal structure necessary to leverage a WMS to its fullest potential, says Brian Barry of Multichannel Merchant. However, companies that follow these steps can prepare their organizations to implement the full functionality of an e-commerce-driven WMS:

1. Map aisles and use barcodes. Aisle mapping and labeling of bins or slots are crucial to leveraging automated technologies, especially robotics. More importantly, this information is vital to understand put-away and picking processes, which are the basis for using a WMS.
2. Label products. This is not your typical barcode; labels can be generated in 2D barcodes, allowing for easier scanning, and storing more information than traditional barcodes.
3. Leverage AIDC and wireless technologies. Another factor in using a modern WMS goes back to automated identification and data capture, as well as the use of wireless technology to enable flexibility and constant interaction between system components and workers.
4. Use barcode-based processes. The most significant benefit of a modern WMS lies in its accuracy, and with the level of available technology, why would a warehouse continue using manual processes for data entry? The answer is simple; it may be easier than trying to implement a new system. Applying a new way of entering data will naturally yield better results, as well as lay the groundwork for a modern WMS.

Fast-Track Your Implementation by Choosing the Right Supply Chain Systems Partner

There is no one-size-fits-all approach to e-commerce WMS implementation. However, it is crucial for your warehouses and supply chain networks to have the technologies and foundation in place to facilitate the full scope of modern WMS functions. If you are unsure where to begin, choose Veridian to help you navigate the process.

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The Growth of E-Commerce and Omnichannel Are Top Driving Factors in Warehouse Management System Adoption 

The growth of e-commerce and omnichannel stand out among the drivers of modern-day warehouse management system adoption. E-commerce and omnichannel sales have continuously broken records for demand and volume. The 2018 holiday shopping season saw more customers shop for online-only purchases through Amazon, as well as a record number of shoppers in traditional brick-and-mortar stores. In addition, Whttps://veridian.info/warehouse-automation-technology/almart saw a significant increase in the number of purchases made online and picked up in store. The days of using legacy systems and manual processes are inefficient and ineffective at handling the strong demand placed upon the industry by the growth of e-commerce and omnichannel.

Worsening of the Talent Shortage

The talent shortage of supply chain management is continuing to grow worse. More than 50,000 baby boomers retire each day, and the industry is struggling with attracting members of the newer generations, including millennials and Gen Zers. As the talent shortage worsens, supply chain executives will be forced to adopt a new warehouse management system capable of managing scarce labor resources and deploying automation in warehouses, distribution centers, and logistics networks alike.

Technological Obsolescence of Existing Systems

The technological obsolescence of existing systems is another factor driving more companies to warehouse management system adoption. SKU proliferation exceeded the limits of most homegrown WMS solutions and even those that have managed to keep up still struggle with updates and improvements necessary to meet the demands of e-commerce and omnichannel. Therefore, the costs of maintaining an in-house or homegrown WMS may be higher than adopting a new system that leverages the latest technologies and functionalities.

Automation in Warehouses, Distribution Centers, and Logistics Networks

Automation in warehouses, distribution centers, and logistics networks is essential as companies have moved away from regional networks and toward globalization. Today, consumers may shop from anywhere in the world, so the increase from e-commerce and omnichannel is much more significant than it appears. Automated technologies, including virtual reality, automated storage and retrieval systems, RFID, AIDC, pick to light and put to light, automated conveyors and even order streaming systems, require advanced integration with WMS platforms. In addition, the variety of platforms and systems in use necessitate an open architecture that exists in modern, cloud-based WMS. In other words, open architecture allows systems to integrate more readily and with fewer coding changes if any.

Inventory Visibility and Optimization, Including Reslotting and Order Streaming

Staying competitive with Amazon, Walmart, Target and other Big Box retailers requires an unmitigated level of inventory visibility and optimization. Seasonal and sudden changes in product demand and variety mean warehouses must continuously reslot items to reduce pick times and ship products faster. These demands can be met with modern-day warehouse management system adoption.

Start the Search for the Right, Modern-Day WMS for Your Supply Chain Now

Implementing a warehouse management system is one of the most effective and essential steps in maintaining a competitive advantage and meeting the demands on today’s supply chains. Instead of risking it all to keep your existing system running, start looking for a new system immediately, and if you are uncertain where to start, Veridian can help.

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The High Costs of Returns in E-Commerce 

More than $400 billion worth of merchandise will be returned following the 2018 holiday shopping season, notes Retail Dive, and that figure will swell to more than $550 billion by 2020. In addition, returns from online purchases have a notoriously high rate, often cited at 30 percent. However, e-commerce return rates around the holidays soar to 50 percent, if not more. Unfortunately, failure to understand the problem contributes to its worsening. For instance, even 100-percent accurate orders will still be subject to some returns.

The Key to Reduce Returns’ Frequency in E-Commerce Turns on Accuracy in Fulfillment

E-commerce returns are the result of customer and retailer actions. When a customer purchases a product with the intent to return one or more items, such as the case for ordering variations of product sizes or colors, retailers need to find a way to prevent this from happening. For this example, providing more details about fitting and product specifications can help.

Although colloquialisms have been coined for shoppers with routine returns’ practices, such as the “Try It On” Consumer, the “Wardrober,” and the “Fitting Roomer,” it is important to continue offering a hassle-free returns’ policy. However, tracking information about customers’ returns can help identify these instances so that they may be managed proactively.

For example, notifying consumers of past purchases that were similar, as an attempt to discourage the purchase of an item that will be returned.

Also, another factor can be derived from reviewing the reasons why consumers return merchandise. Up to 22 percent report receiving inaccurate orders, so optimizing order fulfillment to reduce this aspect of returns is essential.

Best Practices to Reduce E-Commerce Returns

Some of the best ways to reduce returns’ frequency in e-commerce, explains Peter Sobotta of Return Logic, include:

1. Offer Hassle-Free, Incentivized Returns.
2. Use Data to Refine Product Selection.
3. Make Customers See and Feel Online Purchases.
4. Make Customer Reviews Visible.

Exert Control Over E-Commerce Returns at Last

E-commerce returns do not have to be an expensive cost of doing business, and retailers can take steps to reduce returns’ frequency in e-commerce. However, such reductions require retailers connect with customers on a personal level, provide more detail and information about products, leverage data to understand returns’ causes and frequency, and encourage consumers to keep what they order. Ultimately, it all depends on visibility into the entire supply chain and marketing strategy. If retailers can help consumers pick and receive the right product from an online purchase, returns’ rates will decrease. Therefore, retailers must upgrade their systems, connect them, and work to increase communication and collaboration throughout the supply chain.

Veridian, a Manhattan Associates, HighJump, and JDA warehouse management system implementation company, can help you realize your supply chain success. Fill out the contact information below in order to schedule a consultation call with one of our supply chain professionals.

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