Feature Guides

Warehouse Management System Features: A Buyer's Checklist

Receiving, putaway, picking, packing, dispatch, bins and handheld scanning. A warehouse management system checklist for 3PLs, distributors and e-commerce.

Purushottam Kumar Suman
Purushottam Kumar Suman
Founder & CEO, Drema AI
8 min read
Warehouse with stacked pallets and a forklift

Inventory software tells you how much you have. A warehouse management system tells you exactly where it is and directs the person walking to fetch it. If your team spends time searching for stock, you have outgrown inventory software.

01

Receiving and putaway

Errors at the dock follow goods all the way to the customer. Receive against an advance shipment notice and scan everything.

Advance shipment noticesExpected goods known before the truck arrives
Dock schedulingSlots for inbound and outbound vehicles
Scan-based receivingQuantity, batch, expiry and damage captured on a handheld
Quality holdStock quarantined until inspected
Directed putawaySystem suggests the bin by size, weight and velocity
02

Location and stock control

A bin-level map of the warehouse is the core of a WMS. Without it, none of the optimisation features work.

Zone, aisle, rack and binEvery location labelled and scannable
Pallet and carton IDsHandling units tracked as they move
FIFO and FEFOFirst in or first expiry out enforced at picking
ReplenishmentPick faces topped up from bulk storage
Cycle countingBy bin, without stopping operations
03

Picking, packing and dispatch

Picking is the largest labour cost in most warehouses. The right method depends on order profile: many small orders need batching, a few large orders do not.

Every scan removes a place where a person had to remember something.

Pick methodsSingle order, batch, zone and wave picking
Optimised pick pathsShortest walk through the warehouse
Pack stationsScan to verify, weigh and print labels
Courier and transporter allocationLabels and manifests generated automatically
Loading confirmationScan onto the vehicle, with e-way bill details
04

Returns and value-added work

E-commerce returns can be a fifth of volume or more in some categories. Returns need their own flow: inspect, grade and return to stock, refurbish or scrap.

Returns inspectionGradingKitting and bundlingLabellingRepackingCross-docking
05

For 3PL operators

A third-party logistics provider runs many clients in one building and bills each differently. This needs to be in the data model from the start.

Multi-client stockSegregated by client within shared space
Client portalStock, orders and reports for each client
Activity-based billingStorage, handling and value-added charges per client
SLA trackingDock-to-stock and order-to-dispatch times
06

Integrations and hardware

A WMS sits between the ERP or order system and the transport system. Plan integrations with ERP, marketplaces, couriers and, where used, conveyors and robots. Handhelds should work offline for short periods because warehouse Wi-Fi has dead spots.

Bin-level
Location accuracy is the foundation
Picking
The largest share of warehouse labour
Offline
Handhelds must tolerate Wi-Fi gaps
Purushottam Kumar Suman
Written by
Purushottam Kumar Suman
Founder & CEO, Drema AI

Founder and CEO of Drema AI. Builds AI systems, SaaS platforms and industry software — and writes about what actually survives production.

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