SPHINX-IT

Rijksweg 95A 9870 Machelen

Tel:09/386.33.00 Fax:09/386.95.46

Av. Léon Champagne 2 1480 Saintes

02/391.45.48 02/390.93.86 www.sphinx-it.be | info@sphinx-it.be

WHITEPAPERMicrosoft Dynamics NAV add-on Warehouse Management System

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I N T R O D U C T I O N

Like many other companies, you may find

managing your own warehouses challenging.

And just like your colleagues or competitors

you may be wondering how to control the

following issues.

• Time consuming order handling.

• Inaccurate inventory.

• Lack of online stock overview.

• Picking and delivery errors.

• Inefficientuseofwarehousecapacity.

• Fulfillmentoflegalrequirementssuchas

traceabilityandqualityfollow-up.

• Lack of transparency and/or visibility of

warehouse transaction costs.

SPHINXwms , a Microsoft Dynamics NAV

add-on, built by SPHINX-IT is designed to

tackle these and other warehousing issues.

In this whitepaper we will give you an over-

view of a number of features of the Ware-

house Management System add-on module

SPHINXwms for Microsoft Dynamics NAV.

In short, SPHINXwms offers you these advan-

tages.

• Seamless integration with a Microsoft

Dynamics environment.

• Standalone WMS solution that acts as

a hub for your current ERP-system.

• SPHINXwms streamlines all your ware

house processes in one or several ware

houses by using wireless handheld

devices.

• SPHINXwms is suitable for internal

logistics, 3rd party logistics, food/feed

& non-food warehousing environments.

C H A L L E N G E S

S P H I N X W M S

AN A N S W E R T O M A N Y W A R E H O U S E C H A L L E N G E S

A D V A N T A G E S

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I N T R O D U C T I O N

ERP vs. WMSWhen selecting a WMS, you may find yourself facing the question: do I choose a standalone WMS? Or do I

integrate the WMS functionality in my existing ERP-software?

With SPHINXwms, you’ll simply have the best of both worlds.

SPHINXWMS RUNS IN THE MICROSOFT DYNAMICS NAV ERP ENVIRONMENT OR ACTS AS A HUB IN

MOST ERP-SYSTEMS.

SPHINXwms, integrated in a Microsoft Dynamics NAV or as a standalone WMS

contains all possible features for advanced warehouse management:

• Inbound handling.

• Internal handling.

• Outbound handling.

• 3rd party logistics.

• Transport planning.

• Value added logistics (supply to and output from

manufacturing, repackaging, …).

SURE STEP

METHODOLOGY

Using a proven methodology as ‘Sure Step’ (designed by

Microsoft and fine-tuned by SPHINX-IT) for our implementations

enable us to deliver them on time and within budget.Sure Step

Methodology was designed by Microsoft and tuned by SPHINX-IT

for warehouse implementations to make sure that projects are

being delivered within time and budget.

SPHINX-IT is a Microsoft Gold Certified partner, based in

Machelen-Zulte (headquarters) and with offices in Saintes

(Brabant-Walloon).

Our highly skilled staff has ample experience in program-

ming and implementing WMS-applications. SPHINX-IT is

proud to serve customers in the field of the production

of food/feed, drinks & beverages, general distribution

and logistics, wholesale, manufacturing and many more.

SPHINXwms, a WMS solution designed and developed by

specialists working in the field daily, is constantly refined,

updated and improved.

SPHINX-IT aims to establish long-term relationships with its clients, rather than a hit-and-run tactic. Our rules of thumb to make sure that our implementations are suc-

cessful and our customers remain satisfied are:

MICROSOFT GOLD

CERTIFIED PARTNER

Your insurance that we’re competent and

a direct hotline to Microsoft in case of

problems (via SPHINX-IT).

TRANSPARANCYWe’re firm believers of open communica-

tion. This means clear offers to which we stick

meticulously. Changes in planning and/or bud-

get will be discussed with our customers, so

you will not be in for any nasty surprises.

SERVICE

SPHINX-IT does go the extra mile for its

customers. Our staff is dedicated, friendly,

experienced and well-trained.

You can reach our helpdesk every day by

phone or mail.

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SPHINXwms is specifically designed to

automate warehouses that use zones and

bins. The software acts a ‘remote control’

for your warehouse employees, as one

of our customers put it. SPHINXwms can

direct your warehouse employees when

receiving orders and when picking. To do

so, it uses state of the art barcode data col-

lection.

About SPHINX-IT

S P H I N X W M S D E V E L O P E D B Y S P H I N X - I T

v.l.n.r: Bruno D. (Project Manager), Vera V. (Product Manager WMS), Bruno Conil (Managing Partner SPHINX-IT)

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If you’re managing one or several warehouses with (peris-

hable) stock, for your own company or as a 3PL –provider,

you should definitely consider implementing SPHINXwms,

designed for any company needing to receive, store and

ship goods. Keep reading if you’re interested in auto-

mating your warehouse processes and reducing costs

through all stages while doing so. Interested in automa-

ting your warehousing processes and thus reducing costs

through all stages of them? Then keep reading!

How? First of all: we add logic to the process, so everybody can do their

job efficiently. For example: SPHINXwms makes sure everybody

has access to that specific information they need to complete their

tasks. Your sales need other information than the warehouse staff.

Warehouse employees don’t need detailed pricing information.

SPHINXwms makes sure that every department disposes of exactly

those documents that are relevant to their job.

Warehouse employees will receive detailed information that will allow them to receive, pick and make goods ready for

shipping. Their documents and screens will be different from the documents and screens used by sales, purchase or

accountancy.

This is what we mean by ‘role tailored’ and it is a proven method to increase productivity as well as to reduce costs.

SPHINXWMS WILL :

S P H I N X W M S D E V E L O P E D B Y S P H I N X - I T

• Structure and control your warehouse operations.

• Track and trace the whole logistic process.

• Reduce inventory and operations costs.

• Decrease order handling time.

• Increase order accuracy.

• Increase customer satisfaction.

S P H I N X W M S

AND WH Y YO U SH O ULD

CO NS ID E R I M PLE M E NTING

IT

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W A R E H O U S E S T R U C T U R E

Order PickZone

Stocking Zone (Whse, Class, DRY)

Staging Zone

Receiving Dock

ShippingDock

Cross Dock

ShippingZone

ReceivingZone

Quarantine

Order Picking Zone

Stocking Zone (Class: Hazardous)

Stocking Zone (Class: DRY)

Stocking Zone (Class: FRIGO)

Bulk StorageSupply Zone

Warehouse

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W A R E H O U S E S T R U C T U R E

Maximally automating your warehouse and all processes related to them such as reception,

storing and shipping goods require that it’s divided in predefined zones and bins. This will

allow you to:

• Maintain an optimum utilization of space.

• Know exactly where all goods are stored at any given time.

Zones and bins. A zone is a space within a warehouse with a certain function, i.e. reception zone, shipping zone, staging zone, stocking zone, order pick zone, supply zone, …Zones consist of one or several bins.A bin is a storage device designed to hold discrete parts. It can be a space on a shelving unit that is portioned with physical dividers or any space in the warehouse that is designed to hold items.

Fixed and floating bins. Depending on the type of bin, you can perform different tasks and proces-

ses.

A fixed bin is a bin that has one or more particular items assigned to it.

A floating bin is non-discriminatory and has therefore no particular items

assigned to it.

In general, the more floating bins in a warehouse, the better the available

space is used.

SPHINXWMS WILL :

• Analyze all available data very accurately.

• Makesurethatallyourfloatingbinsarebeingusedinthemostefficientwaypossible.

• Give you the exact location of different goods at any given time.

WA R E H O U S E

S T R U C T U R E

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W A R E H O U S E S T R U C T U R E

Order Picking Zone

Stocking Zone

(Class: Hazardous)

Stocking Zone

(Class: DRY)

Stocking Zone

(Class: FRIGO)

Warehouse classes.Certain zones (and other locations for that matter) in your ware-

house can be assigned to specific types of goods.

Examples:

• Freezer (-20° C).

• Cold zone (+ 5° C).

• Dry zone.

• Hazardous zone.

• …

The warehouse class is an extra criterion for SPHINXwms

to determine where items should be stored. Any zone can

be divided in different warehouse classes. For example,

items in the receiving zone can be stored under different

conditions (and therefore classes).

SPHINXwms lets you assign certain classes tot cer-

tain items. Incoming goods from a certain supplier, for

example, should always be stored in a dry zone or a

freezer zone. Once this information has been entered,

SPHINXwms will direct all incoming goods from this parti-

cular supplier to the assigned zone. This means that you will no longer risk losing stock because of human errors: SPHINXwms will direct your

warehouse employees, leaving no room for mistakes.

Unit of measure. When you’re receiving, storing or shipping goods you

need to keep track of the different Units of Measure

(UOM). With SPHINXwms you’ll be able to manage all

these different UOM’s easily. SPHINXwms does the cal-

culus for you and will – again – make sure you increase

customer satisfaction by delivering each time the right

amount of a certain product.

Different UOM’s include:

• Packages: boxes, bags, pallets, containers, …

• Weight units: grams, ounces, pounds, kilos, …

• Volume & length units: rolls, m³, feet, meters,

…

License plates. A license plate number is a unique number (typically

bar-coded) that can be assigned to any arbitrary

group of inventory. The license plate number functi-

ons as a ‘mobile locator’ (such as pallets, containers,

…) and uniquely identifies any set of inventory. Besi-

des that, it holds all information about its origin and

destination.

License plates may contain a mix of different items, lots, serial numbers, and so on. By allocating a license plate number, users are able to perform complex inventory transactions via a single

bar code scan. SPHINXwms makes sure you improve

efficiency and accuracy!

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I N B O U N D H A N D L I N G

Inbound workflow. Warehouse receipt and put away.

With the warehouse receipt form (SPHINXwms) you’ll be able to plan the reception of

purchase orders, sales return orders and 3rd party inbound orders.

SPHINXwms lets you create auto-id labels for incoming goods without compliant labels, or lets

you receive goods with SCCC-labels or EAN-codes.

When the put-away process starts, SPHINX-

wms proposes the warehouse operator a

specific location to store the goods in. The

proposition of the location depends on the fol-

lowing parameters:

• Type of goods.

• Capacity of the storage location.

• Predefinedwarehouseclasses

This information is then cross-referenced with

the available data about quantity, weight,

volume, … of the inbound goods. Not only

does this simplify the put away process consi-

derably, there are other advantages as well.

Lot number. From the moment goods have been scanned a lot

number is assigned. This number will stay the same

during the entire flow. This is important for companies

subject to the legal rules and legislations concerning

traceability and food or feed safety.

• Scanning means less (or no!) errors.

• Your stock is immediately available for

production or shipping.

• Accurate positioning in the warehouse.

• Backofficecancheckandinvoice

sooner.

Advantages

Approved

Scanned

Inbound

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I N T E R N A L H A N D L I N G

Inventory & cycle counting. For every company its crucial to perform inventory audits on a regular bases. With SPHINXwms it’s now possible to do a phy-sical inventory as well as cycle countings. Physical inventory: counting the stock in all the areas of the warehouse at the same time. All of the warehouse operations are put on hold temporarily. Cycle counting: based on item classifica-tion, it helps you to keep track of stock balance accurately on a daily bases.SPHINXwms lets you determine how many times per year a certain item or Stock Keeping Unit (SKU) must be coun-ted. SKU’s allow you to manage your order and production policy per individual item. During the cycle counting, you do not

need to stop warehouse processes at all.

Internal movements. To optimize the use of available warehouse

space, SPHINXwms manages internal

movements for you, although you can still

choose to do it manually

During the internal movement process

stored goods are scanned and then moved.

When SPHINXwms is in charge of the

internal movements process, it will suggest

certain movements based on predefined

parameters. (eg. Identification of damages

and the subsequent movement to a hospi-

talization location, …).

An internal movement can also be part of

a replenishment transaction (eg. from bulk

location tot pick location).

Consulting. At any given time an operator in the ware-

house can consult bins, license plates, pal-

lets, … SPHINXwms will return the informa-

tion about product, references, bin, license

plate, lot information, … on the (handheld)

scanner.

Note: SPHINXwms offers the possibility to initiate warehouse processes without source document. To do so, simply use the built in functionality for internal put-away and internal picks. Items can be picked for production, for special projects or tests. Afterwards they can be used, rejected or put away.

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M A N U F A C T U R I N G

In a manufacturing environment, raw materials stored in the warehouse must be delivered to

the assembly line in the proper sequence and at the right time.

SPHINXwms operates as a remote control for your warehouse employees. It will guide them

through the picking process, making sure that your assembly lines are being supplied in time.

Afterwards SPHINXwms will steer the put away process of the finished goods.

Picking rules such as FIFO (First In First Out) , FEFO (First Expired First Out) , FSEFO (First

Shelflife Expired First Out) can be set up and managed by SPHINXwms.

Repackaging. Goods that need repackaging on a palletiser are

identified by SPHINXwms. An operator will get the

instruction to get the goods from the warehouse in

order to supply the palletiser. Repackaged goods

can be sent to the shipping zone immediately after-

wards.

Value Added Logistics. Kitting is the process of packing together 2 or more SKU’s to create a new SKU. As the new Stock Keeping Units are

created, they are entered in SPHINXwms and new put away transactions can take place. Once the put away process is

completed, the stock is made available to fulfill outstanding orders.

SPHINXwms processes kits as items priced and sold as one piece, but actually consist of a collection of individual

stock items which may be sold individually as well. The processing of kits can either be performed manually or auto-

matically.

Production

Order

Consumption journal - output journal. After production SPHINXwms creates a consump-

tion and output journal.

Consumption journal: tells you exactly how much

stock has been used for this particular order.

Output journal: tells you exactly how much new

stock has been produced.

• Quality control:

• Automatic block a lot.

• Simplifiedreleaseoflotandlabels.

• Tracebility to label level.

• Supply with scanner RFID

= accurate consumption.

• Afterput-awayoffinishedgoods,thestockis

available immediately.

Advantages

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O U T B O U N D H A N D L I N G

Transport

planning

Transportation can be organized in

SPHINXwms for sales orders, transfer

orders, purchase return orders and 3PL

outbound orders. The transport can be

organized by an internal and/or an exter-

nal transport company.

Picking. Picking in SPHINXwms runs via any

modern picking method, such as FIFO,

FEFO,

FSEFO, … To optimize the

picking process, all zones and bins are

ranked. The picking process starts taking

into account picking method, bin type,

item status

(e.g. available, blocked, quarantine, …) and

optimal travel path. SPHINXwms makes sure

you use warehouse space optimally by guiding

replenishment of the picking zone.

Warehouse shipment. You may want to keep track of all outgoing

operations. It will help you to ensure complete

shipment of the order. Once a truck is fully loa-

ded, a verification process starts to make sure

that all items are shipped. In case of discrepan-

cies, the warehouse operator is notified and the

truck doesn’t close until the issue is cleared.

All necessary shipping documents such as bills

of lading, shipment labels, … will be generated

by SPHINXwms.

Backorders. Orders that were only partially shipped

because the goods weren’t available in stock,

will be processed later. SPHINXwms will keep

track of the backorders and have them shipped

whenever sufficient inventory is available in the

warehouse.

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F O O D R E A D Y A N D Q U A L I T Y C O N T R O L

Efficient traceability means that you have to manage a lot of information about all incoming

and outgoing products.

SPHINXwms keeps track of all this information and throughout the entire process. Each pro-

duction batch, every stock movement and shipment, … Everything will be documented and the

information is available whenever you need it.

With SPHINXwms you meet all European legal obligations for the food, feed and beverages

sector concerning complete traceability of the supply chain. But this is not only beneficial for

the food/feed and beverages industry: assuring high quality standards across product lots and

series requires complete traceability in many other industries as well. (Chemicals, cosmetics,

pains, textiles, …).

Quality control. Whenever necessary, items can be blocked. Either you block the bin content for all warehouse activities when goods are found to be defective or if they have to be inspected for quality control. Or you can block a certain bin for either inbound or outbound activity. If an item is blocked in a bin for outbound activity, SPHINXwms will not use the bin for picking nor inter-nal movements. The blocked bin content is excluded from the ‘available to pick’ calculation’. One can think of many different reasons for blocking a bin. Therefore SPHINXwms has a number of reason codes built in when blocking a bin. It’s possible to block freshly produced goods automati-

cally for inspection.

• Extended lot & serial tracking.

• Quality control & certificates.

• Upstream & downstream traceability.

• User defined tracking details.

• Tracking dates, notes and documents.

• Recall and quarantine tracked goods.

Standard Functionalities

Q U A L I T Y

CO N T R O L

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T H I R D P A R T Y L O G I S T I C S ( 3 P L )

Are you a 3PL company? Then SPHINXwms will fit like a glove, because of its features designed

specifically for your type of industry.

• Manages client stock ownership.

• Clearlydefineswhoownswhatstockinthewarehouse.

• Billing made easy.

With SPHINXwms, you have the perfect tool to streamline all 3PL administration and detailed client billing. The 3PL

functionality will allow you to outsource logistic tasks or supply chain management operations partly or fully.

Logistics tasks include:

• Transportation. • Warehousing. • Cross-docking. • Inventory management.

• Value added logistics such as assembly, labeling, packing, …

Inbound3 PL Order

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D Y N A M I C S I N T E L L I G E N C E

3D DynamicIntelligence

It’s no secret that companies have a strong need for correct, relevant and accurate informa-

tion. It enables decision making based on facts and figures, rather than following a ‘gut fee-

ling’. But how do you collect all available data? And once collected: how do you process this

enormous quantity numbers and transactions?

The technological platform is suited for integrations

with other Microsoft applications, such as Microsoft

Office and Microsoft Sharepoint.

To top it all off, SPHINX-IT developed a 3D visualization

tool. How cool is that? You now have your complete

warehouse in 3 dimensions on your screen. Start optimi-

zing processes in a very intuitive way, even in the most

complex of warehouse environments.

With the toolset ‘Dynamic Intelligence’ available in

SPHINXwms you will have access to all data. The beauty

of it is that it will be ready & delivered when you want it

and presented in clear and relevant reports.

Dynamic Intelligence as a term expresses just what it is:

intelligent reporting.

With SPHINXwms a huge number of transactions are

being stored. When you unleash Dynamic Intelligence

on this enormous amount of data, it will process that

information and present it to you in clear reports.

With this interactive reporting (with the possibility to

have it web-based) you will be able to take action to

further optimize your warehouse, based on the facts

and figures collected by SPHINXwms.

Advantages

• Access everywhere and at any time to relevant information. • Immediately measure the impact of your actions.

• Redirect based on facts.

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W H Y C H O O S E S P H I N X - I T A S Y O U R I T - P A R T N E R ?

Choosing SPHINX-IT as your IT-partner is a choice for reliability, know-

ledge, skill as well as for innovation. We aim to establish long-term relati-

onships with our clients and usually succeed in doing so.

Choosing SPHINX-IT as your IT-partner is a choice for reliability,

knowledge, skill as well as for innovation. We aim to establish long-

term relationships with our clients and usually succeed in doing so.

To us, that’s not just a line. It’s guaranteed. How?

• Sure step methodology: by using this project monitoring tool – developed

by Microsoft and refined by SPHINX-IT – you’re sure that your project will be

delivered on time and within budget.

• GoldCertifiedPartner: the highest certification possible and your direct hot-

line to Microsoft.

• Service: we want to help you, even after implementation. You can reach our

helpdesk easily, every day. Our staff will look for a solution immediately.

T R U S T W O R T H Y A N D I N N O V A T I V E

E X P E R I E N C E

C U S T O M E R S F I R S T !

D o y o u w a n t t o k n o w m o r e ? D o y o u w a n t a f r e e d e m o n s t r a t i o n o r a g u i d e d v i s i t t o o n e o f o u r c u s t o m e r s ? C o n t a c t u s !

M a i l : i n f o @ s p h i n x - i t . b e | P h o n e : 0 9 / 3 8 6 . 3 3 . 0 0 | W e b s i t e : w w w . s p h i n x - i t . b e