Custom WMS: Optimize Picking and Eliminate Inventory Errors

Custom WMS system

In the operation of a Distribution Center (DC), the most costly error is not dropping a box; it is the “Crossed Order.”

Imagine your client in Veracruz ordered 50 boxes of “Product A” (Premium), but your warehouse worker, tired and rushed, loaded 50 boxes of “Product B” (Standard) because the boxes look alike.

The error isn’t detected until the truck arrives at the customer.

Consequences:

1. Merchandise rejection.
2. Return freight cost (Reverse Logistics).
3. Cost of reshipping the correct product.
4. Loss of customer trust.

If you sum these costs annually, you could buy a new fleet.

The root problem is often a deficient or non-existent Warehouse Management System (WMS). Many companies try to use the inventory module of their accounting ERP, which is not designed for fast physical operations, or hire “monsters” like SAP EWM that are too complex and expensive for their reality.

The solution is a custom WMS system. A “lightweight” and agile software that understands YOUR layout, YOUR stacking rules, and YOUR picking priorities (FIFO/LIFO), eliminating dependence on warehouse workers’ memory.

Digitization of the Warehouse Floor (Handhelds)

The golden rule in warehouse engineering is: “If it isn’t scanned, it doesn’t exist.”

Eliminating paper is the first step to efficiency.

At Koud, we develop applications for portable terminals (Zebra/Honeywell Handhelds) or rugged phones that guide the operator step by step:

1. Optimal Route: The system calculates the shortest route to pick the 10 products of the order, preventing the picker from walking in zigzags throughout the warehouse (30% savings in travel time).
2. Forced Validation: Upon arriving at the location, the operator MUST scan the location and product barcode or QR.
3. Zero Errors: If they scan the wrong product, the Handheld emits an error sound and vibrates, blocking the operation until the correct one is scanned.

This guarantees a Picking Accuracy superior to 99.9%.

Koud Solution: Connecting WMS with Sales

Speed is the name of the game. The moment a sale drops on your B2B website or is captured in your ERP, the order must appear on the warehouse worker’s gun in seconds.

Real-Time Integration:

Koud connects your custom WMS with your commercial system.

• Automatic Assignment: The system decides who picks the order based on who is closest to the products or who has the least workload.
• Committed Inventory: As soon as picking starts, the stock is deducted from “Available for Sale,” preventing two salespeople from selling the same batch.

Koud vs. Excel/Paper Comparison:

Paper is static. If an order is canceled while the warehouse worker is picking it, they don’t know until they return to the control desk. With Koud, they receive an alert on their screen to stop picking and return the products, saving man-hours.

Cycle Counting vs. Annual Counting

Every Logistics Manager’s nightmare is the “Annual Inventory.” Closing the warehouse for 3 days, stopping sales, and putting everyone to count by hand, only to discover million-dollar discrepancies that can no longer be explained.

With a Custom WMS, we implement Smart Cycle Counting:

• The system asks you to count only 20 locations each day, utilizing downtime.
• It prioritizes “Class A” products (the most expensive and highest turnover).
• Tangible Benefit: By the end of the year, you have counted the entire warehouse 4 times without stopping operations for a single day, maintaining a constant inventory accuracy of 99.5%, aligned with warehousing management best practices.

Frequently Asked Questions

Does the custom WMS connect with my current ERP (Microsip/Intelisis/SAP)?

Yes. It is our specialty. The WMS manages the physical operation (locations, boxes, pallets) and sends the final movements (adjustments, shipments) to your ERP so that accounting is always balanced.

Do I need to buy expensive Handhelds?

Not necessarily. Although industrial Handhelds are ideal for their long-range laser scanners, our software also works on rugged Android phones with cameras, which significantly reduces the initial hardware investment.

Does the system handle batches and expiration dates?

Absolutely. For food or pharmaceutical industries, we configure strict FEFO (First Expired, First Out) rules. The system will force the picker to take the batch that expires first, reducing waste due to expiration.

Conclusion

A warehouse is not just a place to store things; it is the engine of your delivery promise. If your warehouse is slow and prone to errors, your customer service will be too.

Stop relying on your warehouse workers’ memory. Digitize your floor with Koud.

Do you need engineers who understand the difference between “Picking” and “Cross-docking”?

At Koud, we optimize every square meter of your operation. Quote your Custom WMS today