Home | Ask Experts  | What is the difference between ERP and WMS?

What is the difference between ERP and WMS?

It is important to understand the difference between Warehouse Management System (WMS) and Enterprise Resource Planning (ERP) system.

Though many of today's ERP systems have tightly integrated WMS systems, the earlier version ERP systems had a limited participation for WMS. This may be the reason why many companies installed a WMS software separately to manage their warehouse activities.

An advanced system takes into account the data of the product, status, lot, dates, dimensions, location, area, region, owner and inventory details. For this function, WMS determines which would be the best location to store the recently received product. Some of the ERP package is not supported to determine the proper location. The selection of an ERP system with all these functions must be evaluated thoroughly before implementing it.

An effective ERP package gives the possibility to assign tasks automatically to the staff using rules and parameters previously defined. An intelligently integrated WMS module in an ERP system can give directions to the workers in an organized way.