Wednesday, 22 January 2014

What is the difference between Warehouse Management System and Inventory Management System

Over the years, I have been explaining to clients the difference between Warehouse Management and Inventory Management. 
I found the following article from Fishbowl Inventory Blog explains it very well.
The content of the following is extracted from Warehouse Management vs. Inventory Management
Similarities
Both warehouse management and inventory management involve:
  • Monitoring product quantities.
  • Cycle counting (checking the quantities of some products, but not all, at one time).
  • Often using barcodes to track parts and products.
  • Picking, packing, and shipping items.
  • Managing multiple locations.
  • Receiving orders into inventory.
Differences
  • Warehouse management divides warehouses into many compartments and bins while inventory management takes a broader approach to tracking inventory by location.
  • Warehouse management allows you to find specific items in a warehouse while inventory management simply informs you that they are somewhere in that warehouse.
  • Warehouse management is often connected to inventory management software, but it’s not a standalone service because of its supportive nature.

No comments: