The best warehouse management systems for scaling operations

If you’re not scarred by a drawn-out implementation of an ERP that rhymes with “jet fleet,” you might be curious what software other teams use to keep their supply chains running. We definitely were — that’s why we conducted a survey to ask operators across industries and verticals, from budding ecommerce brands to billion-dollar companies, what tools grease the gears (and keep their customers happy).

From returns management to order fraud protection, it can be overwhelming to evaluate tools, and you might find yourself wondering: Are these even necessary? Across the board, we found that companies are DIY-ing many of these tools — either building in-house, or circumventing them entirely. But one function is so important that more than 4 in 5 brands use software for it: warehouse management.

Warehouse management is a critical component of any successful ecommerce or logistics operation. Choosing the right warehouse management software (WMS) can make the difference between streamlined, efficient inventory management and fulfillment processes and ones plagued by bottlenecks and costly mistakes.

In this comprehensive guide, we'll explore the most cited warehouse management software solutions from our survey, analyzing their features, benefits, and suitability for businesses of different sizes and industries. Whether you're a small startup or a large enterprise, you'll find the information you need to make an informed decision and optimize your warehouse operations.

Ready to automate inventory workflows? Give Parabola a try.

Why does a WMS matter?

Effective warehouse management is essential for businesses that store, process, and ship physical goods. A robust WMS can provide a range of benefits, including improved inventory control and visibility; reduced labor and storage costs; and greater customer loyalty, stemming from accurate, timely order fulfillment.

With the right WMS in place, businesses can unlock significant cost savings, improve their competitive edge, and better serve their customers.

Key features to look for in your warehouse management system

As with many business management tools, WMS software offers lots of bells and whistles. To ensure you choose the right WMS for your business, keep an eye out for the following features:

• Inventory management: Accurate real-time tracking of stock levels, item locations, and product movements.
• Order fulfillment: Streamlined workflows for receiving, picking, packing, and shipping orders.
• Warehouse optimization: Tools for maximizing space utilization, optimizing workflows, and reducing labor costs.
• Reporting and analytics: Comprehensive data insights to support informed decision-making and continuous improvement.
• Integrations: Seamless connectivity with your existing ecommerce platforms, shipping carriers, and other business systems.

By prioritizing these features, you can make sure you’re signing up with a WMS that can tell you how you’re doing, and help you get better.

Top warehouse management software solutions

When it comes to warehouse management software, there is no one-size-fits-all solution. The best system for your business will depend on a variety of factors, including your industry, the size and complexity of your operations, and your specific needs and goals.

Here are some of the most popular WMS platforms according to our survey, ordered roughly by ideal client size or level of service offered:

ShipBob

Overview: ShipBob provides a fully integrated WMS with fulfillment-as-a-service, making it a great choice for direct-to-consumer (DTC) brands that want to outsource their warehousing and shipping. With ShipBob, businesses can store inventory in multiple fulfillment centers across the U.S. and abroad, improving delivery speed and efficiency.

• Strengths: ShipBob offers quick setup and easy-to-use technology, without the need to manage in-house warehouses. The system is especially suited for DTC brands looking to scale their fulfillment operations quickly without substantial upfront investment in infrastructure.
• Weaknesses: While ShipBob offers convenience, businesses may have less control over fulfillment processes and customer experience, especially in terms of inventory management and order accuracy.
• Best for: Small-to-medium DTC brands that want to offload fulfillment responsibilities while maintaining control over inventory and shipping.

ShipHero

Overview: ShipHero offers a cloud-based WMS designed specifically for e-commerce and direct-to-consumer (DTC) brands. It provides real-time inventory tracking, order automation, and warehouse optimization, making it ideal for growing businesses looking to streamline fulfillment.

• Strengths: ShipHero is easy to use, integrates seamlessly with e-commerce platforms like Shopify and Amazon, and provides robust automation for order picking and shipping.
• Weaknesses: While it excels in e-commerce fulfillment, larger enterprise businesses may find its features limited compared to full-scale ERP-integrated WMS solutions.
• Best for: Mid-sized e-commerce brands looking for a fast, efficient, and affordable WMS that integrates seamlessly with online sales platforms.

Extensiv

Overview: Extensiv WMS is a cloud-based warehouse management system designed for 3PLs and growing e-commerce businesses. It provides real-time inventory tracking, order automation, and warehouse optimization, making it ideal for businesses looking to scale fulfillment operations efficiently.

• Strengths: Extensiv WMS offers robust multi-client management, seamless integration with major e-commerce platforms and ERPs, and powerful automation tools for inventory and order processing.
• Weaknesses: While highly capable for 3PLs and mid-sized businesses, larger enterprises with complex supply chains may require additional customization compared to full-scale ERP-integrated WMS solutions.
• Best for: 3PLs and mid-sized e-commerce brands seeking an efficient, scalable, and automation-driven WMS that integrates seamlessly with multiple sales and fulfillment channels.

Manhattan Associates

Overview: Manhattan WMS is a comprehensive, enterprise-level solution for large-scale warehouse operations. It offers advanced features such as AI-driven automation, dynamic slotting, and labor management tools that optimize productivity across warehouses. With real-time analytics and predictive intelligence, it can help businesses maintain the highest efficiency in their operations.

• Strengths: Manhattan WMS provides powerful automation for labor management, warehouse operations, and inventory flow. Its AI-driven insights are designed to minimize human error and ensure faster order fulfillment.
• Weaknesses: Due to its advanced features, Manhattan WMS can be costly and requires significant implementation time. Smaller businesses may find its complexity overwhelming, as it’s tailored for large enterprises.
• Best for: Large retailers and enterprises that handle high-volume operations and need robust automation to drive efficiency.

Bonus: Parabola

Like ShipStation, Parabola is not technically a WMS, but it could just be the missing piece in your supply chain function. Even if you Goldilocks your way to the perfect WMS, you might find you have trouble making that platform talk to your other business management tools. Most brands and 3PLs end up needing a solution that’s as unique as their business — that’s why Parabola was the most popular workflow automation tool in our survey.

The key to a WMS match: right-sizing

Choosing the right warehouse management software is a big decision that can have a significant impact on your business's efficiency, profitability, and customer satisfaction. Even understanding the difference between an enterprise-level WMS like Manhattan Associates and a more affordable tool like ShipHero has you well on your way to finding the right match for your business.

Whether you're a small ecommerce startup or a large-scale logistics operation, there's a warehouse management system out there that can help you streamline your processes, reduce costs, and deliver an exceptional customer experience. Carefully evaluate your options — we’re here to help.

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