Benefits of Cloud-Based Warehouse Management Software

Cloud Based Warehouse Management Software

A cloud-based warehouse management software (WMS) is a type of management software that is deployed through the web rather than through local servers. Traditionally, WMS systems were locally run, requiring expensive equipment, on-site staff, costly maintenance, and robust upgrades as time went by. With new WMS systems moving to the cloud, these areas became increasingly more accessible. In most cloud systems, all they require is a good Wifi connection, simple computers, Bluetooth scanners, and barcodes.

Although the warehousing and logistics market has been slow to adopt this approach, the advancements in eCommerce during the Covid pandemic encouraged WMS companies, including WarehouseOS, to consider moving to the cloud. The demand for better and more cost-effective solutions was too vast to stay in the traditional setting. In addition, cloud software was easier to deploy and more cost-effective as a whole.

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So what are the main benefits of a cloud system? Let’s dive into each area.

• Real-time data
• Robust security
• Scalability
• Easy integration
• Cost-effective

Real-time Data

When it comes to focusing on areas of your business that need improvements, getting the proper key performance indicators (KPI) is crucial. That is why cloud management software solutions have become the flagship route for WMS systems.

Because everything is shared through the cloud, each warehouse worker’s productivity is tracked and displayed to see their efficiencies and inefficiencies. This information alone has proven to boost an operation’s overall throughput and health. Easily cross-analyze between your workers to know where the missing links are. Or even reward employees for exceptional work.

Cloud software also allows you to access your data from anywhere and at any time. If needs be, time-sensitive changes can be implemented within minutes. If picking routes get congested, it’s simple to reroute your workers and change their picking sequences. The system can automatically notify you when inventory is running low. Also, quickly determine which items are selling faster and which things need to be moved away from hot selling areas.‍

Robust Security

There’s no need to worry about data breaches or lost information. Storing information in the cloud has proven to be highly reliable, especially when it comes to storing historical data. Information is tracked and backed up either within seconds, minutes or on the hour. If you experience outages at your facility, everything is saved so you can pick up where you left off.

With particular cloud technology like WarehouseOS™, you may not even recognize any outages. If you are running on a cloud server and that server gets overloaded to the point of failure, your usage will automatically jump to the next available server. This technology is compelling, especially during peak seasons when online shopping is at its highest.

Scalability

Depending on your needs, cloud systems are easy to expand or retract. Because cloud-based WMS systems are essentially built as a SaaS model, adding or removing user licenses takes seconds to change. This is especially helpful for companies dealing with annual sales fluctuations depending on the time of year. If you need to hire temporary workers during the holiday season, simply add another licensed user for that month, pay for their time, and remove it when the rush calms down.

Easy Integration

Cloud inventory has never been easier to integrate. With custom APIs, developers can easily reuse their integrations depending on the customer’s eCommerce platform. For example, if custom code has been written for a cloud-based WMS to Shopify, this can easily be used for other clients with that exact scenario. The upfront work to create the integration takes some time, but once it’s complete, this can be used over and over again within minutes.

There are always unique cases. It is always recommended to use a technical professional to make sure your integrations are correct. You don’t want to fall short when it comes to custom code that runs your online store and the two-way communication between it and your inventory control.‍

Cost Effectiveness

Because of the above-mentioned points, cloud-based inventory software solutions are much cheaper. Traditional WMS solutions can reach over 1 Million dollars. Cloud solutions can be as little as $25,000 if your operation is small and nimble.

The ongoing maintenance cost can also save you money down the road. Because maintenance can be taken care of remotely, this substantially cuts on-site staffing costs—no need to have a large permanent IT staff. Instead, simply contact technical support and submit a ticket to get something fixed.

Overall Benefits

Many companies have already made the transition to cloud technology because of its many benefits. Gaining more by spending less is always a good idea, especially when looking at the cost-per-package-shipped. Integrating into a cloud system is extremely easy and can be done within weeks.

Our team of experts here at WarehouseOS™ is ready to help you understand all the benefits of the cloud and why it is right for you.