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Who owns the stock?

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This question is one that many sites looking to implement a warehouse system forget to ask. It is a subtle question and can make the difference between a successful joined up system and two silos of information with users looking at different versions of the truth.

The answer to where should the stock information be held will be different depending on the size of the business, yet in most cases we would argue that the Sage ERP X3 system should own the stock and must be the master record.

The logic behind this is that for a business or the ERP system, stock in the warehouse is only one facet and whilst important to the warehouse user, someone in the accounts office would be more interested in the value of the stock as opposed to being aware of its location. However, both want to accurately know how many products are in the business.

An accurate stock holding and where that stock is held will be used to guide others to define what should be manufactured; what should be purchased; and what should be moved between regions to meet the business demands.
In Datalinx’s experience, many suppliers of warehouse systems do not consider the business as a whole but concentrate only the warehouse and how to get the physical stock in through and out of the business.

This question of stock ownership is often forgotten or not appreciated, and we have seen many sites six months into implementing a warehouse solution find that the stock records that the warehouse has, and the stock level that the rest of the business thinks it has, are very different and that no-one trusts the figures in either system.

The result of this is that the business is only a small step on from where they hoped to be when the warehouse project was conceived. Therefore getting the two systems reliably interfaced is often larger than the implementation of the warehouse system.

So who is at fault here? For the company making the choice of systems and ultimately the one who has the most to lose in this discussion, as the famous quote from Donald Rumsfeld said, “this is one of the Unknown Unknowns,” as it is one of the items that a business does not know it does not know.

But should the supplier of the system not highlight this? Why should they? After all their warehouse system, in a closed environment, will show the right stock holding; therefore their system will not be at fault. It just shows a different stock holding to the rest of the business.

If you are considering a warehouse system, add this to your list of questions, it may just make the difference between a project success and a project failure.

The Datalinx Warehouse Manager X3 application is a warehouse management system embedded within the business processes of Sage ERP X3, allowing operatives in the warehouse to be wirelessly connected to Sage ERP X3 via our dedicated Warehouse Manager screens and utilise the latest mobile devices within the warehouse environment.

The Datalinx Warehouse Manager X3 application provides the Sage ERP X3 user with the latest in warehouse management systems and is designed and developed to deliver the key warehousing functionality that today’s business require, yet achieve this without compromising or taking control from the Sage ERP X3 system at the core of the business.

Datalinx have been providing the Sage market with embedded warehouse solutions for over 25 years and have in excess of 400 Sage sites, all utilising our Warehouse Manager applications. In line with other Datalinx systems, we analysed the functionality within the core Sage ERP X3 package against the values and requirements of the Sage ERP X3 user to enable Datalinx to deliver a system which is warehouse centric and fully Sage ERP X3 aware.

The result of this is a warehouse management system embedded within the business processes of Sage ERP X3. This allows the operatives in the warehouse to be wirelessly connected to Sage ERP X3 via our dedicated Warehouse Manager screens and utilise the latest mobile devices within the warehouse environment.

“With the growing demands within the supply chain for quick turnaround times, shorter delivery lead times and better management of returns policies; efficiency is key to success. The beauty of the Datalinx ethos for Warehouse Management Systems embedded within Sage is that an organisation achieves one place of truth that everybody works to and where more informed decisions are made, which ultimately delivers a stronger more efficient business,” says Melvin Fletcher, director of Sales and Marketing.