Unlocking Operational Efficiency: Benefits of Integration Between WMS and TMS

  • Aug 3, 2023
  • 8 Min Read

‘Nothing works in isolation; for best results, collaboration and integration are important!’

Globally, content of eCommerce conferences has shifted to API integration and interoperability, especially since offline and online mode of operations are behaving as symbiotic twins. Post pandemic, retailing and merchandising business has witnessed a tremendous change propelled by customer behavior. The scene is a retailer’s business mushrooms if their supply chain solutions have intelligent demand management, supports multi-channel sales and order fulfillment without adding extra cost to last mile delivery options and can let customers enjoy and explore both online retailing as well as brick & mortar shopping experience.

Success of a business is never dependant on the work of a singular unit, it needs a robust management system wherein there is a seamless coordination between various departments for instant mapping of order for SKUs generated via multiple sales channels. Recent studies have shown, the congruency with which different operations of business is being integrated, it is opening scope for research, increase in product line and better management of profile.

In this article, let’s explore how and why merely by integrating WMS with TMS, can unlock operational efficiency and solidify supply chain management.

What is Warehouse Management System (WMS)?

Warehouse Management System essentially provides an operation system via which tracking of inventories is simplified. It reduces labor involvement, brings down cost, avoids over stocking of products, provides information for order fulfillment generated from multiple sales channels, helps in locating closest warehouse from the final destination and many such small but significant units of backend work required in the successful completion of a sales order. The automated WMS gives real-time visibility and aids swift tracking of inventories the moment a sales order comes.

What is Transport Management System (TMS)?

TMS software is a part of logistics in the supply chain management, it is an API, used for streamlining and tracing the movement of consignment till it reaches the destination. The automated service updates data and provides real-time visibility. This helps the backend support system in planning about freight movement, even at the last minute. Addition of stops and route optimization could be achieved in micro-mini seconds, which can save money and avoid delays.

Benefits of Integration Between WMS Systems and TMS Systems

Both WMS and TMS systems are part of bigger supply chain solutions. Together they smooth-out the complete process of order fulfillment. From the management of reverse order to last mile connectivity to tracking of inventories for faster delivery of products. A well-coordinated system avoids possibility of errors and strengthens customer loyalty. To complete profile of this integration, let us take an example.

Suppose there is a retailer A, who gets alerts on multiple orders generated from varied sales points. With warehouse management software, there is an immediate tracking of availability of desired SKUs and the nearest location. A communication is established between the warehouse and the vendor from where the sale is being generated. The customer is instantly informed about the availability. Sometimes, while the customer is browsing or considering various options, the product gets sold, within a second this information is also conveyed to the customer. Source of sales order might be different but delivery location could be very near to one another, if not all then maybe of two or three. This is where TMS software comes in aid, depending upon the choice of delivery—store pick-up or home delivery or delivery to third party, automated routing of each order is done. This cuts down cost, time and builds customer loyalty.

1. Visibility: The two APIs ensure there is real-time visibility and movement of the consignment from warehouse to destination is tracked and both retailer and the customer are informed.

2. Communication: Since TMS & WMS of supply chain systems are connected, the moment goods are out from the warehouse for the nearest location, a tracking ID is created and shared with the customer. With continuous updates, customer is aware about the time and date when the order will reach its destination.

3. Reverse Order: With regular tracking of orders, reverse order can be taken to the next location from where would have been generated or where there is a possibility, this cuts down transportation cost and warehouse is well-stocked for any upcoming orders.

4. Saves From Duplication of Data: For order fulfillment, data is created both at WMS and TMS centres. Integrations between the two, can save from data duplication and save labor cost.

5. Improves Operation: The two work together in improving operation, increases efficiency of supply chain and there is more accuracy.

By leveraging benefits of WMS and TMS, it can be ensured retailers can experience better warehouse inventory management systems and 3PLs for their growth. A seamless integration brings success and keeps a merchant ahead of the competition. For being a market leader, with the uniqueness of product, it is the supply chain management which plays a differentiator.

Unleashing Business Potential with Advatix CloudSuite™

Advatix CloudSuite™ offers businesses a comprehensive suite of leading-edge, cloud-based tools to modernize and optimize their supply chain operations. From precision in anticipating customer needs with the Advanced Forecasting tool to strategic procurement, it ensures efficient sourcing and cost-effective operations. The suite’s Real-Time Inventory Management system helps maintain optimal inventory levels, preventing stockouts and overstock situations.

Orders across multiple channels are seamlessly managed with the Order Management System (OMS), improving customer satisfaction. With its Warehouse Management System (WMS), businesses gain control over all warehouse operations, ensuring swift and accurate order fulfillment. The included Transportation Management System (TMS) helps streamline shipping operations for timely and cost-effective deliveries. Post-purchase customer experiences are also enhanced with the Returns Management System (RMS), fostering customer loyalty and repeat business.

Customizable, scalable, and modular, the Advatix CloudSuite™ meets unique business needs and grows with them. The robust Analytics Suite delivers actionable insights, facilitating data-driven decisions to propel business growth.

With Advatix CloudSuite™, businesses experience increased efficiency, reduced costs, and accelerated growth.