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Warehouse Management Systems: Best-in-Breed vs. ERP


In order to efficiently manage warehouse processes, your company needs software that understands the speed and efficiency of these processes.  Most companies do realize they need a warehouse management system (WMS) to streamline business and manage inventory.  But the longstanding question remains which WMS is best:  Best-in-Breed or Enterprise Resource Planning (ERP) modules?

Taking into consideration the varying systems, the graph below visualizes the advantages and disadvantages of each WMS module: Best-in-Breed vs. ERP.  While ERP offers lower costs, Best-in-Breed WMS offers superior functionality and more flexibility over time.  Below is an easy reference table to see how each system measures up:

ERP Best-in-Breed
Lower upfront integration costs & lower costs over time Comparable integration costs to ERP
Functionality for simpler operations Superior functionality
Less vendor risk for larger companies More advanced total logistics results
Lower total cost of ownership Flexibility over time

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2 Responses to “Warehouse Management Systems: Best-in-Breed vs. ERP”

  1. Great article. We have all heard the proverb “A chain is only as strong as its weakest link.” Applying this concept to business software, we would conclude that a business solution is only as strong as its weakest integration. Usually overlooked and underestimated, integration is one of the most important factors to consider as part of a best of breed vs. integrated ERP solution. The benefit of richer functionality is limited by partial integration. In the next sections, we will discuss all the factors to consider as part of making an informed decision regarding best of breed vs. integrated ERP.

    http://gbeaubouef.wordpress.com/2011/04/30/best-of-breed-vs-integrated-erp/

  2. Voice WMS says:

    Integrating two systems delivers the lowest common denominator. As the previous comment suggests, there is no point in buying superior functionality if it cannot be supported by the integration.
    When considering costs, it is much more important to look at return on investment than raw cost.

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