What you will learn in this blog
Warehouse Management Systems (WMS) are a must-have for modern logistics, especially in industries where product tracking is key. In the realm of supply chain logistics, lot control is crucial for ensuring the highest quality in inventory control and timely issue resolution.
Lot number control is a key feature of a modern WMS that allows you to manage inventory with precision, product quality and regulatory compliance. This article explains what lot control is, its benefits, implementation and real world examples.
What is Lot Control?
Lot control is part of inventory management where products are tracked by batch or lot numbers. Each lot number corresponds to a specific batch of products produced at the same time, and products with identical lot numbers are recognized as part of the same batch. This gives you information on when and where a batch was produced and where it is in the warehouse. Food and beverage, pharmaceutical and cosmetic industries rely heavily on lot control for high traceability and regulatory compliance.
Lot control allows you to track every product back to its source, for quality control and if needed for product recall. This tracking helps maintain product integrity and customer satisfaction by ensuring only good products reach the market.
Why Lot Control
In industries where safety and quality is key, lot control is critical. For example in food and beverage industry, lot control helps manage perishable goods by tracking expiration dates and first-in-first-out (FIFO) inventory management. In pharmaceutical industry, lot control ensures compliance to strict regulatory requirements like FDA and helps in product recall.
Lot control also helps in customer satisfaction by ensuring customers get good products. By tracking lot numbers, you can quickly resolve any quality issues and build customer trust and loyalty. Lot control enhances customer satisfaction by ensuring timely and accurate deliveries. Also lot control reduces human error, improves inventory accuracy and optimizes warehouse operations.
WMS and Lot Control
A Warehouse Management System (WMS) takes lot control to the next level by automating the assignment and tracking of lot numbers, allowing you to track inventory efficiently. This automation reduces manual processes and minimizes human error and improves efficiency. A WMS gives you real time visibility into inventory so you can track product lots throughout the supply chain.
Integration with other systems like Enterprise Resource Planning (ERP) systems takes the WMS to the next level. This integration ensures data flows smoothly across all business functions and improves overall operational efficiency. A WMS can also generate detailed reports on inventory status so you can make informed decisions.
WMS Features for Lot Control
-
Lot Number Assignment: Automatically generates unique lot numbers for each batch for traceability.
-
Real Time Tracking: Tracks product lots in real time, maintains inventory accuracy.
-
Inventory Visibility: Gives you a complete view of inventory, location and status of each lot.
-
Recall Management: Identifies and isolates affected lots in case of product recall.
-
Integration: Integrates with ERP and other business systems for smooth data flow and operational efficiency.
Advantages of Lot Control
Inventory Accuracy
Lot control ensures accurate inventory tracking, reduces discrepancies and improves data integrity. Real time visibility into inventory helps you maintain optimal stock levels and avoid overstocking or stockouts.
Regulatory Compliance
Regulatory compliance is key especially in industries like food, pharmaceutical and cosmetics. Lot control helps you comply to regulatory standards by having detailed records of product batches, production dates and locations. This compliance is to avoid penalties and to maintain good reputation.
Reduced Waste
By tracking expiration dates and managing stock rotation, lot control reduces waste. You can implement FIFO or first-expired-first-out (FEFO) to use or sell older stock first and reduce spoilage.
Better Customer Satisfaction
Lot control helps in customer satisfaction by ensuring good products and on time delivery. In case of quality issues you can quickly resolve the problem and maintain customer trust and loyalty.
Warehouse Operations
Lot control optimizes warehouse operations by improving picking and packing processes. This efficiency means faster order fulfillment and better customer satisfaction.
How to Implement Lot Control
Automate Lot Tracking
Automating lot tracking with a WMS reduces manual labor and human error. Automated systems can assign lot numbers, track product movement and generate reports and give you real time data on inventory status.
Integrate Systems
Integration with ERP and other business systems ensures smooth data flow and overall operational efficiency. This integration allows you to sync data across different functions and improve decision making and resource management.
Train Staff
Training staff on lot control and how to use the WMS is key. Well trained staff can manage inventory better, reduce errors and comply to regulatory standards.
Barcode Scanning
Barcode scanning technology further enhances lot control by automating data entry and reducing manual errors. Scanning barcodes at different stages of the supply chain gives you accurate real time information about product lots.
Inventory Management Tips
FIFO/FEFO Strategies
FIFO or FEFO ensures older stock is used first to reduce waste and products are sold before they expire. This is more important for managing perishable goods and raw materials.
Audits
Regular inventory audits ensures accuracy and identifies any discrepancies. Audits also ensures WMS is working correctly and all lot control processes are followed.
Warehouse management system Vs Inventory management system
Most IMS (Inventory Management Systems) will not enable you to track lot numbers during the manual, operational process inside the warehouse. The reasons is that they usually lack an App for mobile devices where the warehouse employee can track the lots that she or he is moving.
Real Time Inventory Monitoring
Real time inventory monitoring gives you up to date information on stock levels so you can make informed decisions. This visibility is key to managing supply chain and ensuring inventory data is always accurate.
Quality and Inventory Management
Product Quality
Lot control helps in maintaining product quality by having detailed records of each batch. This traceability allows you to quickly identify and resolve quality issues and minimize the impact to customers.
Better Customer Satisfaction
Lot control helps in customer satisfaction by delivering good products on time. In case of product recall you can quickly isolate and resolve the affected lots and maintain customer trust.
Financial and Reputational Losses
By preventing quality issues and managing recalls lot control reduces financial and reputational losses. You can avoid costly penalties and maintain good reputation by complying to regulatory standards and ensuring product quality.
Problems and Solutions
Human Error
Manual lot number tracking is prone to errors which results to inaccuracies and inefficiencies. Automating lot tracking reduces these errors and improves data integrity.
Visibility
Lack of real time visibility to inventory can lead to stock discrepancies and inefficiencies. A WMS gives you real time data on inventory status so you can track product lots and make better decisions.
Compliance
Complying to regulatory standards can be tough without a good lot control system. Automated lot tracking ensures compliance by having detailed records of product batches and their movement, reduces the risk of non-compliance.
Case Studies
Matcha&Co
Matcha&Co, a matcha products retailer, implemented PULPO WMS to improve their lot control. By automating lot tracking Matcha&Co improved inventory accuracy and reduced waste. PULPO WMS integration to their warehouse streamlined their operations and resulted to faster order fulfillment and higher customer satisfaction.
Dr. Massing
Dr. Massing, a cosmetics company, used PULPO WMS for lot control. Lot tracking system implementation improved their quality control and reduced product recall. Real time inventory visibility allowed Dr. Massing to make better decisions and improve their supply chain and operations.
Happy Dad
Happy Dad, a beverage company, uses PULPO WMS lot control. By using PULPO WMS Happy Dad manages their inventory efficiently and ensures timely and accurate delivery. This results to better operations and customer satisfaction.
3PL Opportunities
The growing number of merchants selling perishable goods such as food and supplements is a big opportunity for 3PL companies, specially Ecommerce fulfillers. They can offer specialized services to manage the challenges of handling perishable products such as temperature control, expiration date tracking and fast fulfillment.
By having advanced WMS with lot control 3PL companies can attract eCommerce merchants especially in food and cosmetics industry. These merchants, using platforms like Shopify, need precise inventory management to maintain product quality and comply to regulatory standards.
Choosing the Right WMS for You
Business Assessment
If you handle perishable goods or goods that need lot tracking because of comercial or regulatory reasons be sure to validate the the software has lot control functionality. When choosing a WMS you need to assess your business, what kind of products you handle and how big is your warehouse. Knowing your specific needs will help you choose a system that fits your operations.
Visibility
Choose a WMS with real time visibility to inventory and lot status. This is important for accurate inventory data and warehouse operations.
Integration
Make sure the WMS can integrate with other systems like ERP and supply chain software. Integration flows data and improves operations and gives you a 360 view of your business. Warehouse software that has a modern, open API makes this process easier.
Scalability
Choose a WMS that is scalable and can grow with you. A scalable system means your WMS can handle more inventory and complexity as you grow.
Lot control is key to good inventory management in a warehouse. It ensures product quality, regulatory compliance and better customer satisfaction. Having a WMS with lot control automates the process, gives real time visibility and reduces human error. Companies like Matcha&Co, Dr. Massing and Happy Dad are examples of this, they have improved their warehouse operations and customer satisfaction.
PULPO WMS Features
PULPO WMS Integrations
Shopify
WooComerce
Magento
Sendcloud
Subscribe to our logistics newsletter
Get biweekly content with industry trends, technology and tips.