Multiple storage capability
If warehouse management software is multi-warehouse capable, the same item can be stored at different warehouse locations in parallel and managed centrally. For example, an identical item could be stored and retrieved in a warehouse in Hamburg and in Munich. Multi-warehouse capability is usually controlled via a centralised system.
Multiple storage capability and inventory management
If the same item is stored at different locations, then to a certain extent split stock management is also necessary. Each warehouse has its own inventory management system that can be accessed. The order information for incoming goods is then posted per warehouse.
If a certain quantity of an item is required, but the item quantity in one warehouse is not sufficient, the stock in another warehouse can be checked. This means that a check is carried out when an order is received,
- whether items are available,
- where the required goods are stored and
- whether the goods are available in the required quantity.
For this purpose, an additional module is required in the order processing software used. This module could be labelled “Multi-warehouse”. In the software, it should then be possible to obtain information about the item in the “Multi-warehouse” module. This includes
- Stock level
- Storage location
- Price
- Number of units currently reserved
- Number of units reordered at the current status
This results in the advantages of multiple storage capability. Several locations can be clearly managed and storage activities can be carried out at the various locations as required.
By synchronising inventory management between the commercial IT system and the logistics system as far as possible, it should be ensured that orders are only loaded when the required goods are fully available.
The inventory can then be carried out individually for each warehouse. Here you can choose between
You can find more information under Inventory optimisation strategies.
Image licence: CC BY-SA 3.0, Author: Axisadman
