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TRADE SECRETS REVEALED:
PLANNING A SUCCESSFUL WMS IMPLEMENTATION
Supply Chain Expertise. Intelligence. Delivered.
Make Plan Buy Move Sell
Trade Secrets Revealed: Planning a Successful WMS Implementation
Welcome
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Make Plan Buy Move Sell
Presenters
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Joshila Makan Opera)ons Director
WCS
Pa-y Stafford Senior Business Consultant
WCS
Haydn Cos6n Project Manager
WCS
Joseph Ludorf Managing Director
Cipla Medpro
Make Plan Buy Move Sell
About WCS
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Leading provider of Supply Chain Exper6se, Products and Technology, with a heritage of over 40 years in WMS SoBware and Services.
Our in-‐depth knowledge and understanding of our customers’ opera)ons allows us to add sustainable value to their business.
Focus on delivering innova)ve solu)ons that fundamentally improve the performance and profitability of your supply chain.
Proven successful methodology and opera)ng model, tested on 100’s of implementa)ons.
Based in UK, US, SA and through partners in LatAm
WCS builds strong, long term relationships with both Customers and Partners
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Make Plan Buy Move Sell
Pre-implementation - Why
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Business Challenges
• Not yet using WMS: • Lack of visibility – KPIs, inventory, ac)vity • Inefficient manual processes • ERP WMS module doesn’t offer func)onality required • Inability to achieve higher service levels and exceed customer expecta)ons • High cost of rec)fying delivery mistakes • Poor inventory accuracy leads to high “safety stock” • All the above pu]ng pressure on profitability
• Exis)ng WMS not delivering • Outdated technology becoming expensive to maintain • Support becoming difficult • High cost of developments to meet business growth • Onerous upgrade path • Reliance on limited number of in house staff
Make Plan Buy Move Sell
Pre-implementation - What
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Opera6ons Strategy
• Examine your supply chain network and overall technology needs: • Include DCs, manufacturing, 3PL & vendor/customers • Understand how each works together
• Skipping this step causes the applica)on to be implemented improperly
• Important to recognise technology gaps alongside the corporate IT strategy and direc)on
• What technology components do you plan to implement? • just WMS or with transporta)on management? • considering automa)on, conveyors, voice picking, pick to light, etc.
• Essen)al to consider these elements early in the process
Make Plan Buy Move Sell
Pre-implementation - What
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Budget Analysis
• Be clear about what the business can afford to invest
• Invest the )me and effort into a business case and ROI
• Consider whole-‐life benefits and business growth plans
• License fee versus SaaS?
Project Strategy
• Define the objec)ves of the project
• How will we know if the project has been a success?
• Build a project team • Right mix of skills and experience
• Consider adding to skill set
Make Plan Buy Move Sell
Pre-implementation - How
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Choosing a trusted Vendor
• Iden)fy long list – not too long
• Generate Request for Proposal – detail
• Use a clear scoring system on key requirements
• Demo is not just about the func)onality – does the vendor have the experience?
• Collec)ve decision by the whole team – led by users
Project Ownership / Commitment
• Project must be business-‐led, not IT-‐led
• Ensure project team freed from “the day job”
• Need a fully commieed sponsor
Make Plan Buy Move Sell
Pre-implementation - How
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SePng clear expecta6ons up front
• Draw up project brief / charter document
• Kick Off session with all par)es
• Make clear the project objec)ves, scope and )mescale
• All par)es to: • Understand their responsibili)es • Agree to the approach
Make Plan Buy Move Sell
Pre-implementation: Poll
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How in prac6ce do you think a WMS implementa6on project would be led in your organisa6on?
• By the opera)onal business team as it is
• By the opera)onal business team but with addi)on of new, skilled talent
• By the opera)onal business team with an external consultant
• By the IS / IT team
Make Plan Buy Move Sell
Implementation – 5 Steps to Success
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• A good WMS vendor is one that asks you if you are taking these steps and if not, why not?
• Methodology must be proven in reference able sites and with the skill of the vendors’ team
Understand the requirement
• Big )me commitment to design process
• Involve the opera)onal team from the start
• Get to the heart of any exis)ng system
• Interac)ve approach to sign off of specifica)on
Make Plan Buy Move Sell
Implementation – 5 Steps to Success
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Minimise risk
• In selec)on – choose best of breed func)onality, out of the box
• Avoid significant customisa)on during design
• Choose smaller, simpler site or warehouse to start
• Sign off the design internally and avoid further change
Focus on development / configura6on
• Ask for visibility of develop / configura)on progress
• Don’t overlook data setup tasks
Make Plan Buy Move Sell
Implementation – 5 Steps to Success
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Tes6ng / User Acceptance
• The opera)onal team should: • Take part in wri)ng test scripts • Conduct the tes)ng itself
• Draw up test plan to focus resources
• Issue management – keep it simple
• ABer user acceptance, comes integra)on and end-‐to-‐end tes)ng
• Mock Go Live / Dress Rehearsal test
• Shop floor “helpdesk” – triage for issues
• Daily “war room” mee)ng
Make Plan Buy Move Sell
Implementation – 5 Steps to Success
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Training
• Training for opera)ves by their peers
• Don’t overlook the at-‐seat users
• Avoid holiday )me go-‐lives – everyone needs exposure
Make Plan Buy Move Sell
Implementation – Poll
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Which of the five steps discussed do you believe will be the biggest challenge for your organiza6on during a WMS implementa6on?
• Understand the Requirements
• Minimizing Risk
• Development / Configura)on
• Tes)ng / User Acceptance
• Training
Make Plan Buy Move Sell
Post Implementation – Stay ahead
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Support
• Get the balance right for on-‐site go live support
• Establish the support procedures right from the start
• Regular reviews with the vendor are vital to iden)fy and resolve issues on both sides
• Maintain issue logs from go-‐live phase into transi)on to normal support
Maintain
• Keep pace with enhancements and upgrades
• Regularly revisit the business case and objec)ves • Delivered on ROI?
• Validate that the procedures agreed in the design phase are being followed
Make Plan Buy Move Sell
Post Implementation – Stay ahead
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Growth
• Engage in dialogue with vendor about new developments and features
• Par)cipate in user group / “blue sky” events
• Empower your organisa)on to respond to business growth, by allowing your WMS to evolve
Make Plan Buy Move Sell
Post Implementation – Poll
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How would you regard the success of your recent warehouse management implementa6on?
• Exceeded expecta)ons
• Met the minimum requirements
• Fell short of expecta)ons
• Very disappoin)ng
Make Plan Buy Move Sell
Successful implementation in practice: Cipla Medpro
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Introducing Joseph Ludorf, Managing Director, Distribu6on Centre. Cipla implemented cQuen6al WMS on 12/04/2010 at DC1 and 4 months later at DC2
• Successful CQ implementa)on
• Evalua&on of exis&ng procedures • Unrealis&c expecta&ons • Never automate broken processes / procedures
• Project Management internal and external • Hardware and network planning • Con&ngency plan
• Data conversion planning • Poor data
• Tes&ng • Never point fingers (or at least try not to)
• Training of end users
• Measure progress and performance
• Dedicate enough )me and resources, be prepared for the implementa)on “Remorse Cycle”
Make Plan Buy Move Sell
Thankyou
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UK, Europe & Asia Steve Peirce [email protected] Tel: +44 7831 161574
United States & LATAM Roberto Rigal-‐Chao roberto.rigal-‐[email protected] Tel: +1 305 877 2718
South Africa Craig Butler craigb@cquen)al.com Tel: +27 861 733786
For more informa)on please visit www.wwchainstores.com or Contact your local WCS Office: