supply chain disruption: why warehouse management is essential

Home / Blog / Supply chain disruption: why warehouse management is essential

Willem ten Asbroek · Published · 03:55

Is your supply chain struggling to keep up with what customers expect? Even with careful planning, businesses keep running into late deliveries, empty shelves and orders that cannot be shipped. Most of these problems start somewhere else: at a supplier, at a port, with a sudden rush of orders. But they reach the customer through one place, and that place is the warehouse.

Whether the customer notices depends on what the warehouse knows at that moment.

How a disruption reaches the customer

A disruption in the supply chain usually takes one of three forms. Goods arrive late. Goods arrive short, with fewer units than ordered. Or goods arrive early or all at once, and the warehouse has to absorb more than it planned for. Demand can do the same thing from the other side: a promotion, a cold week or a competitor running out can bring in far more orders than expected.

None of these is a disaster on its own. A late delivery becomes a problem when the webshop keeps selling stock that is not there. A short delivery becomes a problem when nobody knows which orders can still be shipped in full. An early delivery becomes a problem when the pallets stand in the aisle for two days because nobody knows where to put them.

In each case the disruption is the same. What decides the outcome is whether the people in the warehouse, and the systems around it, know what is actually on the shelf.

Why manual processes fail first

In a warehouse that runs on paper lists, spreadsheets and memory, the figures always lag behind the floor. Goods are received, and the stock figure is updated later, when someone has time to type it in. An item is moved to make room, and the new location lives in one person's head. A picker finds an empty location and works around it, and the system still believes the stock is there.

On a quiet day, these gaps are small and people fill them with experience. Under pressure, they grow. Everyone is busy, the typing falls behind, and the stock figure that sales relies on becomes a guess. That is the moment customers start receiving promises the warehouse cannot keep.

Disconnected systems make it worse. When the webshop, the accounting system and the warehouse each hold their own stock figure for the same item, every disruption has to be corrected three times. Usually one of the three is forgotten.

What a warehouse management system changes

A warehouse management system is software that records every movement of goods in the warehouse at the moment it happens, and directs the people who make those movements. The difference with a spreadsheet is not the screen; it is the scan.

Receiving. Every delivery is scanned on arrival, so the system knows exactly what came in, not what was ordered. A short delivery is visible straight away, not at the next stock count.

Putaway. The system tells the person where to put each pallet or box and checks the scan at the location. That is called directed putaway. An early delivery still gets a known place.

Picking. The scanner leads the picker to the right location, tells them what to pick and how many, and checks each item at the shelf. That is called guided picking. Mistakes are caught before the box is closed.

Replenishment. When a pick location runs low, the system creates a task to refill it from the reserve stock. That is called a replenishment trigger. Pickers do not have to discover empty locations themselves.

Because each step is scanned, the stock figure in the system matches the shelf, and it is up to date when the decision has to be made. That is what real-time visibility means in practice. Every movement is also recorded with who did it and when, which is called an audit trail, so you can trace what happened after the fact.

Making decisions on facts

Reliable figures turn a disruption from a scramble into a decision.

When a delivery comes in short, you can see which orders can still be shipped in full and choose which customers to serve first. When stock is scarce, you can decide how much each sales channel may sell, rather than letting the fastest webshop take everything. A buffer you keep back for important customers or channels is called safety stock. Our page on multichannel inventory management explains how stock availability per sales channel works.

For goods with batch numbers or expiry dates, the system can make sure the oldest stock leaves first and that you know which customer received which batch. That matters most when a supplier problem turns into a recall. Read more about batch numbers and expiry dates.

If you run more than one warehouse of your own, BizBloqs shows the stock across them and can replenish one from another, and it can allocate orders to the site that can ship them. Those functions are available from SME+.

Peaks without the stress

Peaks are a predictable kind of disruption, and they expose the same weaknesses. More orders arrive, temporary staff join, and the people who know the warehouse spend their day answering questions instead of picking.

With guided work, the scanner answers those questions. A new colleague follows the instructions on the screen, in their own language if needed: BizBloqs scanner screens come in Dutch, German, English, French, Spanish and Chinese. New staff can be productive on the same day. See peak season for how to prepare the warehouse before the rush.

One stock figure for every system

A WMS only helps if the other systems believe it. BizBloqs exchanges data with ERP and accounting systems, webshops, point-of-sale systems and carriers, so orders flow in and stock figures flow out from one source. The integrations page lists what connects.

Is it time to look at your warehouse?

The signs are usually familiar: stock figures that do not match the shelf, orders promised and then cancelled, overtime every peak, and one or two people the whole warehouse depends on. When those signs appear, the problem is rarely the team. It is the way information moves, or fails to move, through the warehouse.

This applies whether you work in retail, distribution, manufacturing or fast-moving consumer goods, and whether you have one site or several. Our warehouse management software page shows what BizBloqs covers. For one site with standard connections, go-live takes 4 to 12 weeks.

If you need the business case before the conversation, the ROI calculator builds one from your order volume and error rate. Or book a demo and we will walk through your own warehouse flow.

Frequently asked questions

Why does a supply chain disruption hit the warehouse so hard?

Because the warehouse is where a late, short or early delivery meets real orders. If the stock figures do not match the shelf, nobody can decide quickly which orders to ship, which to hold and what to tell customers.

How does a WMS help when deliveries are late or short?

Every receipt is scanned, so the system knows exactly what arrived and where it was put. You see straight away which orders can still be shipped in full, and you can share the remaining stock between sales channels on purpose instead of by accident.

Do we need a WMS if we use an ERP system?

An ERP system knows what you own; a WMS knows where it is, down to the location, and directs the people who move it. Many ERP systems record a stock quantity per warehouse, not per shelf. When the pressure is on, that difference matters.

Can temporary staff work with a WMS during peaks?

Yes. The scanner tells them where to go, what to pick and how many, and checks each scan. BizBloqs scanner screens come in six languages: Dutch, German, English, French, Spanish and Chinese.

How long does it take to get a WMS running?

For BizBloqs, go-live for one site with standard connections takes 4 to 12 weeks. Several sites and EDI take longer.

Share this
Follow BizBloqs on LinkedIn

Warehouse and order management in practice: customer results, release notes and short field lessons from live operations.

Follow our page

Related Posts

Not sure which solution fits you?

Work through the 18-point WMS Requirements Checklist and your answers point to SME, SME+ or Enterprise.

Get the checklist

Ready to see BizBloqs on your own process?

Book a demo and we will walk your warehouse and order flow end to end — inbound, storage, picking, shipping, returns — and tell you honestly what BizBloqs would change.

Two questions about your own operation

Book a demo