ERP vs. Best-of-Breed WMS: Considerations for the Midsize Company C-Suite

It has been around long enough to be considered one of those “classic debates”: ERP warehouse management module or best-of-breed warehouse management system? One would think that by now this debate would have been settled. The facts and opinions have been examined for well over a decade, surely there must be a clear winner by now. If only it were that simple.

There are many reasons why this debate persists. One of the primary reasons is that companies are made up of departments and people that often have differing, or even confl icting, priorities. Sprinkled in among these differences are often strong opinions. Opinions are not easily altered and the people that hold them didn’t get to where they are by quickly letting go of theirs in the face of debate.

Another key factor that keeps this debate fresh is the expansion of the dilemma to small and medium size companies. Early in the debate, most of the buzz was around SAP and Oracle ERP versus tier 1 best-of-breed warehouse management systems(WMS). Today, many ERP providers to small and medium businesses (SMBs) are also venturing down the path of expanding their suites to include warehouse management functionality.

Although still playing catch-up, the likes of SAP and Oracle have made gains in the last few years and are closing the functionality gap versus best-of-breed warehouse management systems. Due to a later start, the same cannot be said of ERP providers to SMBs. In this space there still exists a signifi cant gap with respect to warehouse management system functionality. If the debate were solely focused on functionality, it would be short-lived for SMBs. Since there are other factors to consider, the debate endures.

This whitepaper will examine the decision factors from the viewpoint of the C-suite of a midsize company. While many of the considerations will apply to companies of all sizes, it is the midsize company that will be the primary focus. After reviewing the considerations for each key stakeholder, the whitepaper will provide recommendations for reconciling the perspectives and coming to a sound decision.