Top 9 Future Trends in Warehouse Management Systems

Introduction

Warehousing has always been an important part of ecommerce logistics. From tracking inventory to timely outbound shipping, warehouse management systems (WMS) ensures that your online store fulfills orders on time. In other words, it maintains high customer satisfaction while enhancing operational efficiency of warehouses.  

Thanks to its rise in adoption, the WMS industry is set to keep rising at a CAGR (compound annual growth rate) of 19.5% till 2030, as per Grand View Research. 

Warehouses are rightfully regarded as the backbone of every supply chain, and warehouse automation is the bedrock of every warehouse management system. WMS is critical in optimizing space usage, reducing operational costs, monitoring equipment, and tracking inventory.  

If you’re eager to know about the future trends in WMS and warehouse automation, we’ve listed nine key trends that we believe all ecommerce brands must know about.  

The Importance of Warehouse Management Systems for Ecommerce Brands

Let’s take a quick detour on why warehousing software is so important for the average ecommerce store. We’ll cover three of its main benefits:  

1. Obtain real-time information on inventory

The biggest advantage of WMS software is that it provides real-time data on your inventory. Once you have accurate data on your goods, you can make strategic reorders and avoid stockouts during peak order seasons. WMS helps in efficient inventory management, including inventory tracking throughout the supply chain. 

Having live inventory data also helps you mitigate instances of goods being reported as stolen or misplaced. Often, this software integrates with ERP tools, allowing you to forecast in advance and minimize losses by identifying products that aren’t in demand. 

2. Quicker picking and packing

WMS tools can also help you generate automated bills of lading and pick lists. This enables warehouse workers to pinpoint all the products that need to be packed for each order. 

With real-time inventory location, they also know where each item is stored, allowing them to pick and pack quickly. This has an enormous impact in inventory control and lowering operational costs. According to Forbes, the annual global picking cost is a staggering $120 billion.  

3. Lower labor costs

Warehouse software is beneficial in cost savings, especially in lowering labor costs since it can automatically delegate daily work to the workers. It helps to optimally allocate manual labor, create schedules, and optimize travel time. 

Some WMS equipped with advanced technologies keep track of every worker’s daily output and delegate tasks between warehouse teams. This helps in revolutionizing warehouse operations and mitigate overtime costs. 

Top 9 Future Trends in Warehouse Management Systems

Here are nine emerging trends in warehousing that all ecommerce companies should keep in mind to stay ahead of competitors. 

1. Increased automation

WMS systems thrive on automation led by machine learning (ML) and artificial intelligence (AI). This trend of warehouse automation is only expected to keep evolving as AI is used in efficient resource allocation, planning, and demand forecasting. The best use of automation has been in employing autonomous mobile robots, automated storage and retrieval systems, and autonomous drones. 

It is expected that eCommerce businesses will start using more automated guided vehicles to transport pellets within a warehouse facility during material handling. According to G2, an estimated 4 million commercial robots are scheduled to be installed in over 50,000 warehouses by the end of the year. 

Similarly, the use of autonomous cars and forklifts eliminates the risk of human error and saves time. Collaborative robots can further help you automate quality control processes and help laborers pack more goods in less time. 

2. Higher adoption of micro-fulfillment centers

A modern fulfillment solution has been the introduction of micro-fulfillment centers. These are smaller than your traditional fulfillment centers and are strategically located to serve customers quickly. With cutting-edge technology, you can smartly place inventory in these centers as per the customer demand. Utilizing predictive analytics and data-driven insights from the WMS is particularly useful in this regard. 

3. Using Smart wearables

Smart wearables aren’t only for tracking how many miles you run everyday or your heart rate, they’re also slowly growing in the logistics sector. Warehouse workers can use tools like smart exoskeletons to aid them in lifting heavy objects. This tool automatically adjusts body movement, allowing laborers to follow more ergonomic practices and work efficiently. 

The warehousing industry is rapidly implementing smart wearables and automatic solutions. Voice guided devices assist with order fulfillment, particularly, order picking, materials handling, and inventory management.

4. Internet of Things

IoT or Internet of things is another smart warehouse automation solution that will only continue to rise in adoption. Using automated systems like smart sensors and shelves, you can connect several areas of your warehouse to one network. 

This lets you gain visibility into how your pellets and items are moving in real-time. You can also use it to check the stock levels of a specific product, allowing you to make quicker and more accurate decisions for procurement. 

Moreover, IoT along with artificial intelligence helps with predictive maintenance, providing real-time monitoring of warehouse assets and fleet management. 

5. Integrating RFID and OCR

RFID or Radio Frequency Identification allows firms in inventory tracking. Unlike traditional barcodes, RFID tags can be scanned in bulk and ultra-high frequency (UFC) tags can even be scanned through objects, such as paper and cardboard. 

However, keep in mind that RFID scanners may not be able to penetrate metals while scanning. Additionally, OCR (Optimal Character Recognition) is useful for digitizing printed documents, eliminating the risk of manual errors when entering data into software. 

RFID, paired when paired with warehouse automation trends like artificial intelligence and cloud solutions, can dramatically improve warehouse operations. They become powerful tools for inventory control and supply chain visibility.  

6. Leveraging immersive technology (VR)

Virtual reality is an emerging trend in logistics that allows businesses to make their warehouse operations more secure. Using VR, you can train employees on various warehouse operations without the risk of them damaging equipment. 

Such a risk-free approach helps workers upskill in using different vehicles and machines while maintaining safety to transform warehouse operations. Additionally, AR technology also provides workers with 3D visuals to navigate warehouses efficiently and find products more quickly. 

7. Smarter cybersecurity

Maintaining secure digital data has become more important than ever for ensuring operational efficiency and safeguarding valuable assets. Hence, modern warehouse management systems leverage robust cybersecurity solutions. Apart from restricting unauthorized access, they can even use endpoint security to detect breaches/malware before they affect key warehouse operations. 

8. Optimizing vertical spacing

Vertical spacing is an interesting practice among emerging trends that more and more online stores are bound to follow. By making the most out of vertical shelves and placing pellets effectively, you can reduce the number of aisles and expedite product search times. This method will also help you save money on costly warehouse upgrades or space expansion constructions. 

9. Eco-friendly warehousing

Modern-day consumers have become increasingly eco-conscious about where they make their purchases from. To ensure a good brand reputation and conserve the environment, ecommerce stores can introduce green warehousing practices.

These include solar power for lighting and energy-efficient storage and retrieval systems that reduce carbon footprint. Some carriers may also help you in this initiative by delivering packages via battery-powered vehicles. 

How Using ClickPost Along With Efficient Warehousing Guarantees On-Time Fulfillment

Following the latest trends in WMS and warehouse automation is just the first step towards timely deliveries and supply chain management. You must ensure that your courier partners provide reliable shipping and last-mile services. In other words, you would need an effective fleet management system.

The best way to guarantee that your customers receive packages on time is using ClickPost—a logistics intelligence platform. By connecting with trusted carriers, you can easily keep track of all shipments and handle failed deliveries under one roof. 

The Bottomline

It's important for every online store owner to stay aware of the key trends in warehouse management systems (WMS) and implement them in their logistics. The trends listed above can help ecommerce brands improve their delivery speed and lower overall shipping costs. 

You can also consider using a trusted platform like ClickPost to ensure that all your packages reach customers on time. Feel free to schedule a demo by clicking here.