Should I Implement Multi-Bin or Warehouse Management System (WMS) in Elliott?
Version: 8.5 & Up
Q - I'm curious to know how difficult it would be to switch from a single-bin environment to a multi-bin environment. We are running Elliott 8.2. Is there an alternate solution while staying in the single-bin environment? We are looking to use some additional locations for the parts that already have a predetermined bin location.
A - Elliott does support multi-bin operations. This will require more data to be collected in the warehouse and production areas. Every warehouse activity, including receiving, issuing, and movement between bins needs to be recorded -- for example, receiving to what bin, issuing from what bin, and moving from what bin.
To lessen the burden of collecting bin-level data, you will need to barcode every single item and have full wifi coverage in the warehouse and production areas. This will allow inventory movement to be scanned in the warehouse on a portable computer. This is what we call Warehouse Management System (WMS). In most other ERP systems, the WMS is a third-party add-on. Elliott has WMS built-in, which will make the implementation easier, but I would not take this kind of task lightly. To implement WMS in your company is a major undertaking.
Typically, we do not recommend implementing WMS if your warehouse or production area is less than 50,000 square feet. Before you jump into WMS, there are techniques that you can use in a single-bin environment. One customer uses the following technique:
- Item will be stored in a fixed bin. If a fixed bin is not enough, they will use the adjacent bin to store overflow when there are too many of an item to store in a single bin.
- They will look at scheduling reports to see the incoming receiving and make sure there is enough bin space to store that item. If there is not enough space, then the warehouse needs to plan ahead by cleaning up the bin space to prepare for the incoming receiving.
- During the cleanup process, various items may need to moved to different bins. There is a function in I/M, Processing, and Change Bin No/Picking Seq to help with the reorganization of bins.
Another scenario is when you have overflow inventory that's stored in a remote area or a high bin (i.e., a bin that is difficult to access and requires special equipment to reach). A common technique is to create a second warehouse location and house overflow inventory in this second warehouse. Typically, you will need to monitor the inventory in your primary location. When it gets low, you will issue orders to move inventory between the two locations. I/M, Processing, and Inventory Transfer Management can help manage the inventory transfer.
EMK