Finding and implementing a new Warehouse Management System (WMS) is a large undertaking that requires a whole lot of research and diligence. If you’re searching for a new WMS, a great place to start information gathering is by reviewing the 2022 Gartner® Magic Quadrant™ for Warehouse Management Systems. The research in the report offers a great way to gain an understanding of the current state of the WMS market. Here’s what you can expect…
Market definition & explanation
The report starts by defining a WMS as “a software application that helps manage and intelligently execute the operations of a warehouse or distribution center (DC).”
It outlines a list of core capabilities offered by WMS applications. This list includes: receiving, put-away, stock locating, inventory management, cycle counting, task interleaving, wave planning, order allocation, order picking, replenishment, packing, shipping, labor management and automated material handling interfaces.
Extended WMS capabilities are also listed. These include: workforce/labor management, slotting, yard management voice picking, parcel manifesting, value-added services such as light manufacturing/kitting, and third-party logistics (3PL) billing.
The 5 Types of WMS Vendors
Gartner breaks WMS vendors into five types of vendors, four of which are covered in report.
“Application mega vendors: Vendors that offer broad portfolios of applications across most application categories (e.g., back-office financials, human capital management, customer relationship management, customer order management, manufacturing, enterprise resource planning [ERP] and supply chain management [SCM]).
SCM suite vendors: Vendors that offer a holistic WMS plus a portfolio of two or more applications focused primarily on SCM, like transportation, global trade, supply chain planning, customer service, etc.
Specialist WMS suite vendors: Independent software vendors (ISVs) that focus primarily, but not exclusively, on holistic WMS suites.
Material handling equipment/automation vendors: Vendors that focus primarily on providing the electromechanical aspects of large-scale, automated warehouses, but may offer some WMS capabilities. This year’s report only included MHE firms that demonstrated they routinely sell packaged WMS applications completely independently from their MHE.
Independent WMS component vendors: Not covered in this report, these vendors specialize in ISVs that focus exclusively on offering stand-alone components that can be used to supplement a WMS; they do not offer a full WMS.”
WMS Market Considerations
The 2022 Gartner Magic Quadrant for Warehouse Management Systems offers insight into market trends. The report indicates that, “Despite being a very mature market, recent disruptions have spurred innovation, and while very challenging for some vendors and regions, the overall market is forecast to grow to over $4 billion by 2026 with a five-year compound annual growth rate (CAGR) of over 13%.” It also outlines buying trends.
Multiple WMS Vendors Evaluated
This year’s Magic Quadrant for Warehouse Management Systems features 17 vendors. The quadrant applies a graphical treatment and a uniform set of evaluation criteria that can help you quickly ascertain how well technology providers are executing their stated visions and how well they are performing against Gartner’s market view. The report features Leaders, Visionaries, Niche Players, and Challengers and you can use the information provided to determine which vendor best aligns with your specific business goals, needs and priorities.
Strengths and Cautions
The 2022 Gartner® Magic Quadrant™ for Warehouse Management Systems also details each of the 17 vendor’s strengths and cautions to be considered.
This one-of-a-kind report offers a consolidated view and evaluation of the Warehouse Management System software market. Made4net is proud to report that we have been named in Gartner Magic Quadrant for Warehouse Management Systems for the 7th consecutive year. If you’re in the market for a new WMS, you won’t find a better (and easier to use) side by side comparison of the 17 top solutions, so download your complimentary copy today.
Gartner, Magic Quadrant for Warehouse Management Systems, Simon Tunstall, Dwight Klappich, Rishabh Narang, June 1, 2022.
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