What is a WMS and how does it work?

What is a WMS system

A WMS system is a computer program that is responsible for collecting, analyzing and creating reports that allow total control over the items located in a warehouse and the processes that are carried out in the logistics area of a company.

WMS stands for Warehouse Management System. WMS technology can act individually or as part of an organization's ERP software.

In addition to taking care of location and stock, WMS programs analyze and control all the physical movements that take place within a warehouse, from the receipt of any item until it leaves, thus facilitating the organization of workers and helping to create an orderly work environment.

How WMS systems work

WMS systems are computer programs. The information they provide is of great value when it comes to making strategic decisions, but in order for them to offer the greatest profitability, some prior steps must be taken.

The implementation of a WMS software requires a previous identification of all the elements that are part of the warehouse, both the items and the physical spaces in which they will be located.

This is achieved through labeling. WMS systems must be able to identify all items by a unique code. Logisticians are equipped with electronic devices capable of reading the barcodes of each product.

This reading feeds the WMS software with the necessary information for reporting, and these reports enable the project managers to implement the necessary changes to improve the company's internal processes.

Main functions of the WMS system

In order to optimize the internal processes in the logistics area of the company, WMS systems are mainly responsible for 4 tasks: Inputs, location, stock and outputs.

Receipts: Each item that enters the warehouse must be identified by the system so that it can be tracked. This is where the human factor comes into play, taking care of labeling and moving the goods to the spaces suggested by the WMS technology.

Location: One of the advantages of using WMS systems is that they generate maps of the spaces available for storage. Through the data received, WMS programs are responsible for indicating where each item should be located, in order to optimize space and facilitate the agility of its subsequent handling.

Stock: Stock control is another of the main functions of WMS software. The modern company no longer mass-produces items in an attempt to market them. Nowadays, stock is much more carefully managed and is produced to order, or by making calculations that allow to obtain the highest profit without wasting resources. WMS systems perform product rotation calculations that allow department managers to make the right decisions to always have the services demanded by customers.

Outbound: WMS warehouse management systems take care of organizing the outbound shipment of products in the best possible way. WMS technology draws simple itineraries so that workers can gather the items that must leave the warehouse, saving time and effort.

Benefits of implementing a WMS system

WMS software is a fundamental part of a company's strategic plans. The implementation of these systems improves the quality of the organization's internal processes, assists project managers in the control of action plans and has an impact on final customer satisfaction.

A WMS system saves the company time and resources, in addition to generating an orderly and clean work environment. Companies that use WMS systems are more productive, increase their profitability and obtain greater economic benefits, since the information they provide is of great value when making decisions.

Examples of WMS software

There are several types of WMS systems. Being quality management systems, WMS programs can be integrated into the company's ERP or act independently. It all depends on the size of the organization and its needs.

Below, we will see an example of the types of WMS systems available. If you would like to learn more about warehouse management systems, we invite you to read the article in which we analyze the WMS systems most commonly used by successful companies.

Aqua Intelligent Warehouse

This is an example of a WMS system that adapts to the needs of different types of warehouses. Aqua Intelligent is compatible with all digital devices and integrates easily into any organization's ERP.

One of the most appreciated features of this WMS system is space optimization. Aqua Intelligent divides the warehouse by zones and manages both storage and workflows, thus avoiding human errors and reducing the time and cost of each procedure.


In a constantly evolving market, where data interpretation is vital to redirect companies' action plans, WMS systems are a basic assistant that every organization must have if it wants to compete on a level playing field with other organizations in its sector.

With the ultimate goal of achieving customer satisfaction, WMS systems improve the quality of internal processes, generate clean and efficient work environments and eliminate possible human errors, thus optimizing the company's time and resources, which translates into greater productivity and profitability.