Negative Inventory Management Software: What you don't know may make things worse.

Location-level negative balances.The balance sheet is in a negative result is not the right place to transfer in the wrong amounts or transactions in a position to use the transfer transaction. For example, if I have 100 in an "X" in the stored items 50, pick up the pieces of a shipping order, but accidentally published material "Y" is the final result will be another 100 in an "X" and -50 shows the location of the "Y" Although I have a negative balance, rather than the "Y", my project-level 50 (the sum of inventory, location) are library's collection is indeed correct. A similar situation occurs, the inventory from one location to another for a wrong "place" enter, enter an amount greater than the actual surgery. Stored, for example, if I have 100 in an "X" number of objects are moved all 100 A "Z" position, but by mistake in the 1000 volume, the final result in 1000 to force a "X" to position " Z "and -900 show again to correct my level of 100 to book stock still. Despite the level of the balance of these positions will be created storage problems, and planning should not be the cause of the problem.

Item-level negative balancesItem-level negative balances, but can influence the planning of the plant. This error can occur in a variety of transactions. Too much junk, backwash cycle count adjustment errors, information generation and use of excess production capacity overissuing materials, repeat transactions and holdings overissuing ship orders are just some examples of errors that can create project-level deficits.

The deficit correctionThe reason for this is the type of deficit (time and place-level or project level) the difference is important to ensure that its follow-up, the "correct" the deficit will not cause more serious inventory problems. If you create the timing of a negative balance, a survey of the problem, because once the deal goes through is set, it exaggerated its inventory adjustment. The same applies if you want to set up a negative equilibrium level. Where the project level before the exact balance, the current restructuring will result in an overstatement of the item-level inventory.Entry-level deficit has nothing to do with it, they should also carefully before any action is investigated. Generally, you need the negative trade balance, the same procedures are used to enter a transaction to offset the transaction. This is especially true in the manufacturing industry can make mistakes improper operating environment, but also created (with the recoil, such as transactions) and other elements.Despite the seemingly negative book inventory is very complex issues easier to handle. They are easy to identify because all you need is a report that the available number of elements is less than zero shows. Furthermore, it is usually easy to find the cause of the error, because the transaction is generally acceptable, the following measures wandering zero stock of books (if not the most likely created in a very short time before the occurrence of the negative balance).

The negative impact of inventory planning system.Besides the source of the negative stock balances, is also very important for the planning and execution systems to understand. In most planning systems, the negative balance in the project because the demand is positive. Basically, the system will tell you what to do or to buy more to offset the negative balance. Obviously this is a problem occurred when a large negative balance, but a small negative balance under certain conditions, a serious problem. For example, if you are one for the "necessary" item that you do not want any command or a configuration file in the project, says unless the actual demand (orders), the wrong attitude, driver Balance - 5 will lead to purchase five recommendations. As "necessary" is often slow moving or obsolete items in connection with related, you can simply outdated. Use results in the production of MIP, an end to the negative balance of the environment, to all the needs of the physical structure, which could result in hundreds of children of the mission statement unnecessary cascade. This is what happens when the system is generally expected of those responsible for the deficit. Some programs, whether intentionally or due to poor programming style, you can not run when they encounter a negative balance. You can ignore the negative balance of the record or simply "fly" because they were made in its calculation, a negative balance.Although there do not want one executed if found to have a negative balance of reasons for the program, there are potential problems with this logic. In fact, you may need to take action, but remained negative because of the balance calculation, you will not receive the necessary information, to lament. Since the planning, the complexity of the system, especially MRP / DRP, there is no "best" way to deal with the negative balance in the program. Such as warehouse management systems and manufacturing execution system implementation can have a negative balance of system problems. While it may not be willing to modify their systems to handle certain negative balance, you should at least know what your system is doing when they encounter negative balances.Finally, to avoid a negative balance in the first place is the best solution. Since, however, is difficult to achieve perfection, you have a backup plan. Like most of the planning is still in batch mode (night or weekend) operating, you can resolve these programs to eliminate all conflict from a negative balance. With the delivery system, are more likely to work in real time, you do not have that luxury. Fortunately, the effect on system performance in the planning system is usually less than dramatic.For a time, the significance of their actions trying to "fix" the negative balance of the importance of thinking. A "run the report, and make all" attitude will surely lead to problems. Remember, you should not at the relevant time is negative and the adjustment of the balance transfer process must be corrected only with the position of the plane are the positioning, you should try caused by the introduction of a negative trade balance, the other problems using the same procedure Correct Offset.

Warehouse Management Systems (WMS)

The evolution of warehouse management system (WMS) is very similar to many other software solutions. Initial system to control the movement and storage of materials inside the warehouse, the warehouse's role is expanded to include light manufacturing, transportation management, order management, and complete accounting system. The use of his grandfather's business-related software, manufacturing resource planning, as a comparison, material requirements planning (MRP) started as a system of planning requirements, raw material production environment. MRP soon evolved into manufacturing resource planning (MRPII system), in which the basic MRP system and added scheduling and capacity planning logic. MRPII system eventually evolved into enterprise resource planning (ERP), put all the MRPII system, adequate financial and customer and supplier management functions. Now, both the warehouse management system into a storage-centric ERP system is a good thing or not up to debate. Clear that the expansion of overlapping functional warehouse management system, enterprise resource planning, layout planning requirements, traffic and transportation management systems, supply chain planning, advanced planning and scheduling, and manufacturing execution system will only increase the chaos level of companies looking for software solutions business.

Although the warehouses continue to receive additional functionality, the core function of the first warehouse management system has not really changed. The main purpose is to control the flow management system and storage of materials and processes operations related party transactions. For picking, in view of the supplementary and instructed key putaway warehouse. Detailed installation and management system can handle a big difference from a software vendor to another, but the basic logic will use a combination of project, location, quantity, unit of measure, and to information, to determine the shares, in where the selection, and in what order to perform these operations.

Do you really need the WMS?

Not every warehouse needs a warehouse. Of course, any warehouse could benefit from some of the features, but a great benefit as evidenced by the initial and ongoing costs associated with management systems? Warehouse Management System is a large, complex, data-intensive applications. They often require a large amount of the initial installation, many system resources to run, many of the ongoing data management, continue to run. Yes, you need to "manage" your warehouse "management" system. Under normal circumstances, large-scale operations will eventually create a new IS departments the only responsible for the management of the warehouse management system.

Claims:

Warehouse management system will reduce the inventory!

Warehouse management system will reduce labor costs!

Warehouse management system will increase the storage capacity!

Warehouse management system will enhance customer service!

Warehouse management system will increase the accuracy of inventory!

Reality:

Implementation of a warehouse management system and automatic data collection will likely give you increased accuracy, reduced labor costs (provided the labor necessary to maintain the system is less than the labor saved on the warehouse floor), and a greater ability to serve our customers by reducing cycle. Expected to reduce inventory and increase the possibility of a smaller storage capacity. Although the increased accuracy and efficiency in the receiving process may reduce the level of safety stock needs, the impact may be reduced is negligible compared to the overall inventory levels. The most important factor, controlling inventory levels, quantities, delivery time and demand changes. It is impossible to have a major impact on the storage of any factors. And at the same time to provide a warehouse management tools, more organized storage may lead to more storage capacity, which has improved relative rash How do you pre-memory processes.

In addition to labor efficiency in the decisive factors in determining the implementation of a Reye's often more frequently with the need for something to serve your customers, your current system does not support (or do not support, as well as) in the case of FIFO, cross-docking, automatic selection of supplementary , wave picking, and many track and car park management, automatic data acquisition, automatic material handling equipment, etc.