Supply Chain Guide
Oct 20, 2026 18 min read

Warehouse Management System (WMS): Software, Benefits and Implementation in the Netherlands

A practical guide to warehouse management system software: what it does, which features matter, how different solutions compare, and what to consider before implementing one in a Dutch warehouse operation.

Large retail warehouse filled with tall racks of cardboard boxes and packages on pallets, illustrating warehouse management system software, storage operations and order fulfilment

Your warehouse is growing. Is your current system keeping up?

An order comes in. Someone checks the spreadsheet, walks to the storage area, asks a colleague where the stock was moved, and updates the inventory after picking the order.

It works. Until it doesn't.

As order volumes increase, product ranges expand and customers expect faster fulfilment, the small inefficiencies in a warehouse can become bigger operational problems. Staff spend more time searching for products. Inventory records become harder to trust. Orders need correcting, and managers struggle to understand where delays are happening.

The obvious solution might be to invest in more software. But which software do you actually need?

A warehouse management system (WMS) can help businesses organise inventory, coordinate warehouse activities and improve visibility over stock movements. However, not every business needs a full-scale WMS, and not every WMS is suitable for every operation.

The right choice depends on how your warehouse works today, where the problems occur and what your business needs to handle next.

This guide explains what warehouse management system software does, which features matter, how different solutions compare and what to consider before implementing one in the Netherlands.

What is a warehouse management system (WMS)?

A warehouse management system is software that helps businesses manage and control warehouse operations, from receiving incoming goods to storing, picking, packing and dispatching orders.

It provides a structured way to record inventory movements and coordinate the activities taking place inside a warehouse.

Depending on the solution, a WMS may support:

  • Goods receiving: recording incoming deliveries and checking them against expected quantities.
  • Storage and location management: tracking where products are stored within the warehouse.
  • Inventory visibility: monitoring stock levels, movements and availability.
  • Order picking: guiding warehouse staff towards the correct products and quantities.
  • Packing and dispatch: helping teams prepare orders for shipment.
  • Stock counting: supporting cycle counts and inventory reconciliation.
  • Reporting: helping managers identify discrepancies, bottlenecks and operational trends.

More advanced systems may also support barcode scanning, batch and serial number tracking, replenishment rules, multiple warehouses and integration with transport or enterprise systems.

The exact functionality depends on the software selected and how it is configured. SAP's guide to warehouse management systems provides further background on how WMS software supports warehouse operations.

WMS vs. inventory management software vs. ERP: what's the difference?

These terms are often used interchangeably, but they don't always refer to the same thing.

System Main purpose When it may be suitable
Inventory management software Tracks stock quantities, availability and movements. Businesses that mainly need better stock visibility and control.
Warehouse management system (WMS) Coordinates warehouse activities, storage locations and order fulfilment. Businesses with more complex picking, storage, receiving or dispatch requirements.
Enterprise resource planning (ERP) Connects business functions such as purchasing, finance, sales and inventory. Businesses that need an integrated view of wider operations.

An ERP may already include warehouse management capabilities. Some businesses can manage their warehouse effectively with those existing features, while others need a dedicated WMS for more detailed control over warehouse workflows.

The goal isn't to have the most systems. It's to have the right capabilities without introducing unnecessary complexity.

How can WMS software improve warehouse efficiency?

A warehouse management system can improve efficiency by making routine activities more structured, reducing avoidable errors and giving teams better access to operational information.

The impact depends on the quality of the implementation and whether the system addresses real problems in the warehouse.

1

Improve inventory accuracy

When stock movements are recorded inconsistently, the quantity shown in the system can differ from the physical stock on the shelves.

A WMS can support more consistent stock recording through defined workflows, location tracking and barcode scanning where supported.

For example, when goods arrive, staff can record the received quantity and storage location. When an item is picked, the movement can be recorded against the relevant order.

This helps businesses identify discrepancies earlier and make replenishment decisions using more reliable information.

2

Reduce time spent searching for products

Knowing that an item is in stock is useful. Knowing exactly where it is stored is even more useful.

A WMS can associate products with warehouse locations and guide staff through picking activities. Depending on the system, it may also support directed put-away, replenishment and optimised picking strategies.

The practical benefit is less unnecessary searching and a clearer process for moving products through the warehouse.

3

Improve order fulfilment

Picking the wrong product, missing an item or delaying dispatch can affect customer satisfaction and create extra work.

Warehouse software can help standardise picking, packing and dispatch processes. Barcode validation and order checks, where available and correctly configured, can help catch mistakes before orders leave the warehouse.

The aim is to make fulfilment more consistent as order volumes change.

4

Give managers better operational visibility

Warehouse managers need to know more than the current stock quantity.

They may also need to understand which orders are waiting, where bottlenecks are occurring, how frequently inventory discrepancies happen and whether available resources are being used effectively.

A suitable WMS can make this information easier to review through operational reports and dashboards, depending on its capabilities.

This gives managers a better basis for deciding where processes need attention.

5

Support business growth

A process that works for a small number of orders may become difficult to manage when volumes increase.

A well-selected WMS can provide more structured workflows for handling additional orders, products or warehouse locations. However, scalability depends on the software's capabilities, its configuration and the wider technology environment.

Growth should be part of the selection process from the beginning, rather than something the business considers only after its current system becomes a bottleneck.

What features should you look for in a warehouse management system?

The best feature set depends on the warehouse's size, products, workflows and growth plans. A small distributor may need reliable location tracking and order picking, while a multi-site operation may require more advanced rules and integrations.

Use the following checklist to identify the capabilities that matter most.

Feature What to check
Inventory tracking Can you see stock quantities, locations and movements accurately?
Barcode scanning Can staff scan products and locations during relevant warehouse activities?
Receiving and put-away Can incoming goods be checked and assigned to storage locations?
Picking and packing Does the system support your picking methods and order volumes?
Stock counting Can you perform cycle counts and investigate discrepancies?
Replenishment Can the system support replenishment rules or low-stock alerts where needed?
Multi-warehouse support Can you manage multiple facilities if your business requires them?
Reporting Can managers access the operational measures they need?
Integrations Can the WMS exchange data with your ERP, webshop, accounting or transport systems?
User access and security Can permissions be configured appropriately for different roles?
Scalability Can the solution support your expected growth without excessive complexity?

Don't assume that every product offers all these features as standard. Check the actual functionality, licensing, configuration requirements and any additional modules needed.

Which warehouse management system is right for your business?

There is no single WMS that is best for every company. A warehouse serving an online retailer has different requirements from a distributor handling bulk products or a third-party logistics provider managing stock for multiple clients.

A useful starting point is to compare the main categories of warehouse solutions.

Option 1

Warehouse functionality within your existing ERP

If your business already uses an ERP, investigate its warehouse capabilities before purchasing another system.

For example, Microsoft Dynamics 365 Supply Chain Management includes warehouse management functionality that can support receiving, inventory movements, picking, packing and other warehouse processes. The available capabilities depend on the product, configuration and licensing.

See Microsoft's warehouse management overview.

Best suited to

Businesses that want warehouse operations to work closely with their existing enterprise processes and whose requirements fit the ERP's capabilities.

What to check

Whether the existing module supports your warehouse workflows, scanning requirements, reporting needs and integration requirements.

Option 2

A dedicated WMS

A dedicated warehouse management system may be more suitable when warehouse operations require functionality beyond what the current ERP or inventory software provides.

Depending on the product, dedicated WMS platforms can support detailed location management, more advanced picking strategies, replenishment and multiple warehouse workflows.

Best suited to

Businesses with specialised warehouse requirements, growing fulfilment volumes or operational processes that need more detailed control.

What to check

Implementation effort, integration with existing systems, licensing, support and the extent to which the system can be configured around your processes.

Option 3

Cloud-based warehouse software

Cloud-based WMS solutions are hosted by the provider and accessed over the internet. They can reduce the need to manage the underlying application infrastructure yourself, although businesses still need to assess connectivity, security, integrations and ongoing subscription costs.

Some cloud products are designed for smaller warehouses and e-commerce businesses, while others support more complex operations.

Best suited to

Businesses that want a managed software service and whose requirements fit the available cloud platform.

What to check

Subscription tiers, transaction or order limits, user limits, data access, integration options and how costs may change as the business grows.

Option 4

Custom warehouse software or additional integrations

Sometimes the problem isn't that a business lacks a WMS. The problem is that its existing systems don't support the complete workflow.

A company might have an ERP, a webshop, shipping software and warehouse tools that each manage part of the process. Staff may still need to transfer information manually or work around gaps between systems.

In these situations, custom software or an integration layer may help connect the workflow. A tailored application may also be appropriate when the business has specific operational requirements that standard products cannot reasonably accommodate.

Best suited to

Businesses with distinctive processes, complex integration requirements or gaps that cannot be addressed effectively through existing software.

What to check

Whether the problem can be solved through configuration or integration before investing in a new application. Custom development introduces its own costs, testing, maintenance and support requirements.

Custom software isn't automatically better than an established WMS. It should be considered when it solves a clearly defined problem that other options don't address effectively.

Related FlexiSolutions services

Supply Chain Optimisation Operations Excellence Custom Software & Platforms Enterprise System Integration

Cloud-based vs. on-premise WMS: which should you choose?

The deployment model affects how the system is accessed, maintained and integrated into your technology environment.

Consideration Cloud-based WMS On-premise WMS
Hosting Hosted by the provider or cloud environment. Hosted on infrastructure managed by the organisation or its service provider.
Infrastructure management Less direct responsibility for application hosting, depending on the service. Greater responsibility for infrastructure and maintenance arrangements.
Access Usually accessed through an internet-connected application. Access depends on the deployment and network configuration.
Updates Often managed through the provider's release process. Update planning and deployment may involve more direct coordination.
Costs Often subscription-based, with possible implementation and usage fees. May involve infrastructure, licensing, maintenance and support costs.
Control and customisation Depends on the platform and provider. Can offer more direct control over the hosting environment, but not unlimited customisation.

Neither model is automatically the better choice.

A cloud solution may suit a business seeking a managed platform, while an on-premise deployment may fit specific infrastructure, operational or policy requirements.

Compare the total cost, integration needs, security arrangements, business continuity requirements and level of control your organisation needs.

How much does a warehouse management system cost?

There is no single price for WMS software. Costs depend on the product, number of users, warehouse locations, order volumes, integrations and complexity of the implementation.

A low monthly subscription does not necessarily mean a low total cost, and an enterprise system may be unnecessarily complex for a small warehouse.

When comparing proposals, separate the costs into the following categories.

Software and licensing

Subscriptions, licence fees, user limits, transaction limits and additional modules.

Implementation and configuration

Process mapping, system configuration, data preparation, testing and deployment.

Hardware

Barcode scanners, mobile devices, label printers and any other equipment required for the workflow.

Integrations

Connections to ERP systems, webshops, accounting platforms, transport providers or other business applications.

Training and change management

Preparing warehouse staff and managers to use the new workflows.

Ongoing support and maintenance

Provider support, system administration, updates and any continuing development required.

Ask each provider for a clear breakdown of one-time and recurring costs. Where possible, compare the expected total cost over several years rather than looking only at the initial quotation.

Also ask which costs depend on growth. More orders, additional warehouses, extra users or new integrations can affect the overall price.

How to choose a WMS: a practical checklist

Before comparing providers, document how your warehouse actually operates.

  1. 1

    Identify the current problems

    Start with the activities that create the most friction.

    Are staff spending too long locating products? Are inventory discrepancies common? Are orders delayed because information is missing? Do employees repeatedly transfer data between systems?

    Be specific. "We need better warehouse software" is less useful than "our team cannot reliably identify the location of available stock."

  2. 2

    Map your warehouse processes

    Document the flow from incoming goods to storage, picking, packing and dispatch. Include returns, stock counts and replenishment where relevant.

    Identify the points where manual work, duplicate entry or unclear responsibilities create problems.

  3. 3

    Define your requirements

    Separate essential requirements from desirable features.

    For example, barcode scanning may be essential for one operation, while advanced replenishment rules may be unnecessary for another.

    This makes it easier to compare solutions fairly and avoid paying for functionality the business won't use.

  4. 4

    Check integration requirements

    List the systems the WMS needs to exchange information with, such as ERP, e-commerce, accounting and transport platforms.

    Ask providers how the integration works, what data is exchanged, how errors are handled and whether additional licences or development are required.

    A system that works well on its own may still create problems if it doesn't fit the wider technology environment.

  5. 5

    Test real workflows

    Ask providers to demonstrate scenarios based on your own operations.

    For example, test how the system handles an incoming delivery, a product stored in a different location, a stock discrepancy and an urgent order.

    A demonstration should help you understand how the system behaves in practice, not simply show a list of features.

  6. 6

    Compare the full cost and implementation plan

    Review software costs, implementation work, integrations, hardware, training and support.

    Clarify responsibilities, timelines, testing requirements and what must be ready before the system goes live.

  7. 7

    Define how success will be measured

    Establish a baseline before implementation. Useful measures may include:

    • Inventory accuracy
    • Order-picking error rate
    • Average order fulfilment time
    • Time spent locating products
    • Percentage of orders dispatched on time
    • Time spent correcting inventory discrepancies

    Choose measures that reflect your actual business problems. The purpose is to determine whether the new system improves the operation, not simply whether the software has been installed.

Common WMS implementation mistakes to avoid

Even a capable warehouse management system can disappoint if the implementation does not address the underlying operational requirements.

Choosing software before understanding the process

A system may offer impressive features but still be a poor fit for the way your warehouse operates.

Underestimating data quality

Incorrect product records, inconsistent item codes and unreliable opening inventory can undermine the results of a new system.

Overlooking integrations

Manual work may simply move from one part of the process to another if the WMS cannot exchange the necessary information with existing systems.

Ignoring warehouse staff

Employees need to understand the new workflows and have enough training to use them consistently.

Assuming every benefit will happen automatically

Better inventory accuracy and faster fulfilment depend on suitable configuration, reliable data, adoption and ongoing process management.

Failing to measure the results

Without a baseline, it becomes difficult to distinguish genuine improvements from expectations.

A successful implementation is not just a software project. It is a change to how warehouse work is organised, recorded and managed.

Frequently asked questions about warehouse management systems

Common questions from businesses evaluating WMS software in the Netherlands and across Europe.

What is the difference between a WMS and an ERP?

Does a small business need a warehouse management system?

Can a WMS integrate with SAP or Microsoft Dynamics?

How long does WMS implementation take?

Is cloud-based WMS software better than on-premise software?

Can a warehouse management system be customised?

What is the most important WMS feature?

The right warehouse management system starts with the right problem

Choosing a warehouse management system is not simply about finding software with the longest feature list. It's about finding a solution that fits your warehouse processes, integrates with the systems you already use and supports the way your business intends to grow.

For some businesses, the answer will be an existing ERP module or a dedicated WMS. For others, the main challenge may be the gap between systems, manual workflows or a specific requirement that standard software cannot address effectively.

The best starting point is to understand the current operation, define what needs to improve and compare the available options against those needs.

At FlexiSolutions, the focus is on understanding the business challenge before deciding on the technology.

If your warehouse processes involve disconnected systems, repetitive manual work or integration challenges, identifying those issues can help clarify which solution is appropriate, whether that means improving an existing system, connecting applications or exploring a tailored solution.

Want to identify where your warehouse processes could improve?

Contact FlexiSolutions to discuss your operational challenges and explore the options that may fit your business.

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