3PL Warehouse Management System

A 3PL warehouse management system (WMS) is a specific software that helps third-party logistics to manage inventory of different clients from one platform. From receiving to picking and billing, a 3PL WMS manages everything efficiently while keeping the dashboard of each client separate.

A standard WMS only manages the in-house inventory of one brand. In contrast to that, a 3PL WMS provides ease in inventory management of multiple clients. It provides various functionalities to segregate the workflow of each client, so that 3PL administrators can execute and monitor every process efficiently.

The pricing of a 3PL WMS solution differs according to the requirements of clients. Most SMBs and startups prefer using systems starting from $499 to $2,000 per month. Similarly, mid-market companies choose 3PL WMS in between $1,200 to $3,000 per month, whereas big enterprises prefer to work with advanced products starting from $20,000 per year.

Third-party logistics face various types of problems that single-tenant WMS solutions cannot handle. The limitation of inventory management, billing and other processes often becomes the key reason in this regard. A 3PL WMS Software automates all these processes, providing administrators an effortless way to manage multiple clients from a single dashboard.

There are multiple features you need to look into before selecting any 3PL warehouse management software. From multi-client architecture to AI-powered demand forecasting, a 3PL WMS should provide different types of functionalities that can help administrators to manage multiple client inventories effortlessly.

Multi-tenant architecture provides administrators a segregated view to manage each client's inventory, orders, billing rules and other processes from a single dashboard. It does not require separate systems or tools to look into their routine processes. Instead, it manages all from a central platform, while the client only views their own warehouse data from the given access portals.

Activity-based billing ensures to capture every financial transaction within the warehouse. From inbound receiving to returns processing, everything is billed through this system without requiring any human input.

A modern 3PL WMS should have pre-built integrations to every major e-commerce platform, marketplaces, carriers, shipping platforms, accounting software, ERP systems and EDI protocols. Besides them, a robust REST API and webhooks should cover anything else your clients use.

A client portal is a self-service, web-based interface where each of your 3PL's clients can see their own real-time inventory levels, pending and shipped orders, returns status, invoices, and more others. They reduce the need of repeated calls and emails, as everything is given on the platform with clear updated status.

The implementation of a 3PL WMS differs according to the nature of the business that is deploying it in their system. Enterprise 3PL WMS implementations typically take 8 to 16 weeks, whereas SMB-focused cloud systems can go live in 2 to 5 weeks. Talking about WareGo, we provide standard WMS implementation time from 4 to 8 weeks in which everything is migrated from the client's legacy systems to our cloud-based 3PL management software.

Yes, most growing 3PLs make this transition. A 3PL WMS replaces spreadsheet inventory logs, billing trackers, and other processes with a real-time management system. WareGo provides free migration kits for SKU import, client setup, rate-card translation, and historical-data ingestion. Most spreadsheet-based 3PLs are fully operational on WareGo within 4 weeks.

A cloud-based 3PL WMS is a specific warehouse management tool that totally runs on cloud infrastructure. It can be accessed through any device, offering administrators an easy way to update inventory, billing and other things from anywhere. It provides automatic stock updates and requires no on-site machines to maintain the IT operations. WareGo is one of those WMS solutions that is fully based on cloud, offering 3PL businesses a perfect tool to manage their warehouses from any location.

Yes, 3PL WMS solutions support all three, allowing businesses to handle food, supplements, cosmetics, pharmaceuticals, and other regulated goods with ease. FEFO ensures the closest-to-expiry stock ships first, whereas FIFO and LIFO cover other rotation strategies. WareGo supports all of them, so that 3PLs can operate with different workflows as per the needed requirements.

Yes, 3PL WMS systems like WareGo supports temperature-logging integration for cold-storage facilities, dangerous-goods documentation and UN-number tracking for hazmat operations. Besides that, it also provides segregation rules for incompatible goods, and audit trails required for FDA, USDA, and DOT compliance.

AI demand forecasting provides accurate requirements about stock by using specific ML models trained on historical data and current market trends. It provides to-the-point results that includes reorder triggers, slow-mover flags, seasonality alerts, and optimal stock-level recommendations.

Typical 3PL WMS payback periods are 6 to 9 months for high-volume operations, 12 to 18 months for mid-market, and 18 to 24 months for small 3PLs. The largest returns come from billing leakage recovery that allow administrators to bill every transaction happening in the warehouse. Besides that, the ROI also gets boost by labor savings, inventory error reduction, and improved client retention by smarter fulfillment practices.

There are many 3PL warehouse management systems currently available in the market, but clients rate WareGo as one of the best solutions for third-party logistics providers. It comes pre-built with a variety of features that simplify warehouse management for different clients from a single dashboard.

WareGo is a leading WMS that helps small and startup 3PLs in the management of all warehouse operations. These companies can first take advantage of WareGo’s free trial to see how the WMS supports their processes. Once it fits right according to their workflows, they can then begin with the standard plan of the WMS that starts with $499 per month.

Native QuickBooks integration is critical for 3PLs because client invoicing is a core revenue activity. WareGo offers two-way native sync with QuickBooks Online and QuickBooks Desktop. By utilizing both modules, invoices generated from activity-based billing automatically push to QuickBooks, payments sync back, and chart-of-accounts mapping is directly configured. This eliminates the manual reconciliation work that consumes finance teams at most 3PLs.

There are different types of compliance and security policies you should expect from an advanced 3PL WMM solution. From SOC 2 Type II certification to roles-based access and daily backups, these are the key features you should look for in a WMS to safeguard the data of your clients.