Optimizing Inventory Management with NetSuite WMS

Introduction:

??????????????The industry-leading NetSuite Warehouse Management System (WMS) uses techniques including mobile RF barcode scanning, put away and picking methods, task management, return authorization receipts, and cycle count plans to enhance daily warehouse operations. If you're depending on spreadsheets, or worse, pen and paper, warehouse management may quickly devolve into a laborious, disorganized, and inefficient operation with hundreds or even thousands of SKUs to handle, frequently across numerous locations. By doing away with manual procedures, NetSuite WMS enables you to reduce handling expenses, manage your warehouses more effectively, and continuously satisfy customer expectations.

Why Does it Matter:

???????NetSuite Warehouse Management System (WMS) plays a crucial role in optimizing inventory operations, enhancing operational efficiency, and improving overall warehouse management processes.

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• Visibility of Inventory: Transparency in transactions and inventory is ensured for the whole company as soon as an item is scanned, thanks to the WMS mobile application, which instantly updates or creates the relevant transaction and inventory data in NetSuite.

• Mobile Processing: Utilizing a mobile device for warehouse operations increases inventory accuracy and decreases the amount of time spent finding and managing things. Users are assisted in completing critical tasks as efficiently as possible, from receiving and storing things to selecting and delivering them.

Inbound Method:

??????????????????In NetSuite's Warehouse Management System (WMS), the inbound method refers to the process of receiving and managing incoming inventory items into the warehouse.?

• Getting price quotes, managing suppliers, negotiating with them, and identifying and assessing possible suppliers are all part of sourcing and procurement.?
• Ordering/purchasing: Purchasing the supplies and products required by the business to ensure that the appropriate amount is delivered on schedule. Choosing a mode of transportation, such as a train, truck, or aircraft, to transfer products. In addition, choosing the speed at which incoming supplies are delivered, negotiating with outside carriers, and coordinating pricing and scheduling with vendors are all part of this task.?
• Receiving: Taking care of fresh material deliveries, emptying trucks, and verifying that everything is in order.?
• Material handling: Staging the received products for later use and moving them small distances within the facility.?
• Moving products from the receiving dock to storage is known as putaway. Everything is stored by staff members in designated areas.
• Managing the materials prior to their use in manufacturing or customer fulfillment is known as warehousing and storing. This division is in charge of ensuring that the proper storage conditions are satisfied and that the items are arranged logically for fulfillment.?
• Choosing the kind, quantity, and location of raw materials and commodities to keep is known as inventory management.?
• Managing the timetable and status of supplies as they arrive at your business is known as expediting.?
• Distribution: Delivering supplies to the appropriate location inside the company.?
• Tracking: Monitoring information about incoming orders, including location and supporting documentation like receipts.

Outbound Method:

• Client Request: A consumer uses one of the channels by which a business offers its products to make an order.?
• Order Entry: The business verifies the order, procures the desired quantity and goods from stock, and generates the necessary paperwork.?
• Replenishment:?The acquired product is replaced in primary storage by reserve inventory. In order to maintain appropriate inventory levels, this process could lead to the manufacturing of additional goods or the ordering of raw materials from suppliers.
• Picking: In order to complete the order, warehouse employees select merchandise from storage.
• ?Packaging, Organizing, and Filling Employees label, package, and record the order in accordance with corporate and client requirements. Orders are sorted by workers based on delivery speed, destination, or manner of shipment. The group loads the orders into trucks that are leaving.

• Transport and Recording Orders are shipped out of the warehouse to partners or distribution facilities. The system used by the business logs shipments and provides tracking information to customers.?
• Final Mile Transport: The customer receives the order from the distribution center. This may be the most costly as well as the most crucial step.

Cycle Count :

????????????????Cycle counting in a Warehouse Management System (WMS), such as NetSuite WMS, is a methodical approach to inventory auditing and stock counting that involves regularly counting a portion of the inventory within the warehouse. Unlike traditional physical inventory counts, which typically occur once or twice a year and require shutting down operations, cycle counting is an ongoing process that allows businesses to maintain accurate inventory records without disrupting daily operations. Here's how cycle counting works in NetSuite WMS:

• Stratification of Inventory: Inventory is classified according to variables like value, velocity, and criticality prior to cycle counting. Items with high value or high velocity might be tallied more often than those with low value or low velocity.?
• Plans for Cycle Counts: Plans for cycle counts are made to specify how often and how to count inventory items. Businesses can create cycle count plans using NetSuite WMS depending on variables like item location, item category, ABC classification, or historical accuracy.?
• Procedure for Counting: Cycle counting tasks are assigned to warehouse staff according to the established cycle count plans. Warehouse operators conduct physical counts of specific inventory items inside designated zones using portable equipment or mobile scanners. Guidance on which goods to count, where to find them in the warehouse, and how many to count is provided by NetSuite WMS.?
• Confirmation and Modification: Warehouse employees use handheld devices to enter the counted quantities into NetSuite WMS after finishing the physical count. Any disparities are detected by NetSuite WMS by comparing the counted quantities with the system data. Upon approval of the count results, warehouse supervisors check and validate inventory quantity modifications.?
• Reporting and Analysis: Reports and analytics are produced by NetSuite WMS to monitor cycle count accuracy, spot patterns, and assess performance. Warehouse managers can identify areas of inventory shrinkage, inefficiencies in processes, or stock discrepancies by analyzing cycle count data.

Spot Count:

??????Spot counting is the process of performing ad hoc or on-the-spot inventory counts for particular items or places within the warehouse using a warehouse management system (WMS), like NetSuite WMS. Spot counting enables firms to handle any anomalies or difficulties with inventory in real time, as opposed to cycle counting, which counts inventory items in a methodical and scheduled manner over time.

In a Warehouse Management System (WMS) like NetSuite WMS, bin transfers and bin-related operations play a critical role in managing inventory within the warehouse.?

??????A bin is a specific location within the warehouse where inventory items are stored. Bins can be physical locations, such as shelves, racks, or bins, or logical locations defined within the system.

In NetSuite WMS, bins are typically organized hierarchically within zones, aisles, shelves, and slots, allowing for efficient storage and retrieval of inventory items.

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Bin Transfers:? Bin transfers involve moving inventory items from one bin location to another within the warehouse. Reasons for bin transfers may include replenishing picking locations, consolidating inventory, optimizing storage space, or relocating items based on demand or seasonality.

?In NetSuite WMS, warehouse staff initiate bin transfers through the system interface or handheld devices. They specify the source bin, destination bin, and quantities to be transferred.?

Bin Replenishment: Bin replenishment is the process of restocking picking locations or primary bins from reserve or overflow storage areas. NetSuite WMS supports automated bin replenishment based on predefined rules, such as minimum stock levels, reorder points, or demand forecasts.?

Warehouse staff may also manually initiate bin replenishment tasks when inventory levels in picking locations are low.?

Bin Putaway: Bin put away refers to the process of assigning newly received inventory items to storage bins within the warehouse. NetSuite WMS optimizes bin putaway by directing warehouse staff to the most suitable storage locations based on factors such as item characteristics, storage capacity, and demand patterns. Various putaway methods, including random putaway, fixed putaway, or zone-directed putaway, may be employed based on warehouse layout and operational requirements.

FAQ:

1.What is NetSuite WMS, and how does it optimize inventory management??

?A, NetSuite WMS is a Warehouse Management System designed to streamline warehouse operations and optimize inventory management processes. It provides real-time visibility into inventory levels, automates order fulfillment, and enhances inventory accuracy.

2.How does NetSuite WMS help with inventory tracking and traceability???

A, NetSuite WMS provides granular inventory tracking and traceability, allowing businesses to monitor stock movements from receipt to shipment. Serialized inventory tracking enables individual item traceability, facilitating compliance and product recalls.

3.What are the benefits of using NetSuite WMS for inventory management???

A, Benefits of using NetSuite WMS include improved inventory accuracy, minimized disruptions, enhanced operational efficiency, better decision-making, real-time visibility, streamlined workflows, and scalability.

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