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WMS Vs ERP: Make a better choice

WMS Vs ERP: Make a better choice


For the effective functioning of a warehouse, it is important to have the right tools, technologies and management systems. However, finding the best management system that will help you run your warehouse seamlessly can be a bit tough. There are basically two management systems that you can choose from – Warehouse Management Systems (WMS) and Enterprise Resource Planning (ERP). Despite having varied functionalities, both can be effectively leveraged in warehouse management.

The Warehouse Management System helps the management or owner to efficiently handle the storage as well as the movement of the inventory. The system makes it extremely easy to check the progress of every product. It provides transparency as you can easily get an idea about the core processes including packing, receiving, picking etc. of the product. The Enterprise Resource Planning is another effective tool. It enables the warehouse management to automate the data and streamline it into one solution. Thus, every department of the warehouse like customer relationship, accounts, inventory management etc. can be amalgamated into one centralized system.

WMS is for businesses that witnesses priority changes

The focus of the Warehouse Management System is on real-time operations. Therefore, you should opt for a warehouse management system in case your warehouse witnesses a regular change in its priorities. Meanwhile, the Enterprise Resource Planning is the perfect process for those warehouses that have limited exceptions or linear environments. This is because the Enterprise Resource Planning is established on transaction logic.

Both systems have their own advantages. But if you own a warehouse in Coimbatore or any other part of India, you need to take into consideration the below-mentioned attributes when making a choice between the two.

Value Addition

You need to choose a system that will add more value to your warehouse. The Enterprise Resource Planning offers short-term value because it can streamline all the data of the warehouse into one solution. However, as your business continues to grow, so does your requirements for advanced processes. Unlike the WMS, the ERP system lacks the cost-saving role. As compared to ERP, a WMS will enable you to reduce storage space which will ultimately result in cost-effectiveness.


An ERP is not meant for complex systems as it is not suitable for in-depth tracking and also does not have the speciality that is needed to accomplish them. Thus, if your warehouse has a complex system you should go in for a Warehouse Management System which has in-depth functions and real-time operations.

API Compliance

An application programming interface or API is an interface that lay ground rules suggesting its most optimal usage by other components and systems for a smoother workflow. In other words, API is one such important factor that facilitates data sharing across various modules. While ERP doesn’t provide API flexibility, WMS does it prominently.

Both WMS and ERP are effective tools and can help your business grow. However, it is important for the business and modern logistics parks to determine their requirements before they invest in WMS or ERP. Moreover, when selecting the best system you should look out for certain aspects like seamless integration with other programs, its adaptability and value-addition prospects. With the implementation of the right system, more productivity and cost-effectiveness is ensured.

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