What is SAP Warehouse Management System (WMS)?
Benefits and Insights
Key differentiators & advantages of SAP Warehouse Management System (WMS)
- Storage Bin Management
You map your entire storage facilities in the Warehouse Management system . In doing so, you can set up various storage facilities such as automatic warehouse, high rack storage areas, bulk storage or fixed storage bins in various storage types , according to your needs.
- Goods Movements
You process all goods movements that affect your warehouse via the WMS. This includes goods receipts, goods issues, stock transfers, material staging for production, automatic replenishment, managing hazardous materials, and processing stock differences in your warehouse. The WMS optimizes warehouse capacities and material flows using putaway and stock removal strategies, which you can adjust to suit your individual needs, or by using storage units.
- Planning and Monitoring
The WMS offers you an overview of all goods issues and warehouse stocks. The system supports you in planning, monitoring, and optimizing work processes. For example, it gives you a foresighted view of the workload in the coming days or allows you to intervene in good time during critical warehouse processes, so that you can execute warehouse movements on time. Via the RF monitor, you get an up-to-date picture of all of the activities in the warehouse, which means that you can control the actual work in the warehouse using the RF monitor.
- Radio Frequency Connection
In order to structure the work in the warehouse efficiently and cost-effectively, you control the warehouse workers’ work steps clearly and simply via mobile radio-frequency terminals. Radio frequency connection (RF connection) to mobile date entry achieves quick and flawless data transfer. The RF machines receive data directly from the SAP system and transfer data back to the system. Using barcodes, you can record information to be recorded and verify it. This means that you ensure a high standard of quality in your warehouse.
- Decentralized WMS
You can run the WMS as a standalone decentralized warehouse management system, independent of a central enterprise resource planning system (ERP system). For more information, see Decentralized Warehouse Management.
- Warehouse Control
WMS also has an interface to external systems (warehouse control units), so that you can integrate automatic putaway, stock removal systems or fork lift control systems into the warehouse management system for all warehouse movements with the help of this ALE interface.
Typical cost structure for SAP WMS:
|License/Subscription Cost||Subscription-based pricing model – per month per user|
|Customization Cost||Cost will vary depending on the functional requirements added, based on the organization’s requirements|
|Data Migration Cost/Change Management/Upfront Switching Cost||Cost will vary depending on the amount and type of data to be migrated from the legacy system, availability of migration tools, data profiling, data cleansing to eliminate errors and audit trail of the migration process for accountability|
|Recurring/Renewal Costs||Cost is equivalent to the subscription cost paid monthly or annually based on the number of users, customization cost, and training cost|
|Pricing of SAP WMS||What is the cost of the software?||Pricing information is available on request only|
|Deployment Options||What options are available for product deployment?||Cloud based/SaaS|
|Pricing Model||What is the pricing model?||Subscription-based|
|Minimum Commitment||Is there a minimum monthly or yearly commitment required for purchase?||No minimum commitment is required|
|Custom Quote||Can you get a custom quote?||Yes|
|Free Trial||Does the vendor provide a free trial option?||No|
Some of the product limitations include:
- Does not support Billing Management functionality. However, the solution can be integrated with SAP Hybris Billing tool
- Limited BI functionality and does not support BI tools, activity dashboards, and reporting functionalities. However, the solution can be integrated with SAP Business Objects BI platform
- Does not provide Labor Management functionality
- SAP WMS does not support Payment Processing functionality
- Does not support integration with tools such as QuickBooks and Xero
Oracle WMS: Starting at $10 per month per 1,000 warehouse transactions
Fishbowl: Starts at $4,395/license (one-time fee)
JDA WMS: Starting at $1,200 per month per site for unlimited number of users
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