Research into the Effects of Implementing a Warehouse Information System at Fingra., d.o.o.

Today, companies are compelled to change, adopt new working systems and thus adapt to global trends. One of these factors of change is also digitalisation at all levels of business operations. If companies wish to remain competitive in the market, then the "old ways" no longer work. Countries are also changing their business systems and Slovenia is no exception. Planned and appropriate use of the system helps companies with efficient warehouse organisation and ensures accuracy and transparency of the entire warehousing function. She established that the annual savings would be even higher than 3,000.00 EUR, specifically when dividing the investment cost over five years, which she set out under H1.

Problem

Today, companies are compelled to change, adopt new working systems and thus adapt to global trends. One of these factors of change is also digitalisation at all levels of business operations. If companies wish to remain competitive in the market, then the "old ways" no longer work. Countries are also changing their business systems and Slovenia is no exception. If companies wish to conduct business with the state, they must adapt to this.

Sometimes this is precisely the reason that companies wake up and begin investing in modernisation. An increasing number of companies are deciding to implement an information system in their warehouses.

Solution and Method

Planned and appropriate use of the system helps companies with efficient warehouse organisation and ensures accuracy and transparency of the entire warehousing function. Not long ago, information systems were used only by large companies, but today an increasing number of smaller companies are also opting for this system. As already mentioned, their company, depending on the industry and business operations, strives to follow these trends of modern business to the greatest possible extent.

Regarding this area, we have a weak point in the warehouse and warehousing in general, which is why she also chose this topic for her diploma thesis. If I rely on the questions posed, which she listed in subchapter 1.2, I believe that through her research she obtained answers to all three questions. The first question posed was what impact electronic warehousing would have on their company.

The impact of electronic warehousing on their company would certainly be positive. If I connect the questions posed with the hypotheses set out, the answer is straightforward.

Results

She established that the annual savings would be even higher than 3,000.00 EUR, specifically when dividing the investment cost over five years, which she set out under H1. I can absolutely confirm H2 and H3, as the time savings would perhaps be even greater than ten hours per month, whilst stock management would become much simpler. H4 perhaps does not hold completely true, as the investment cost would be recovered in five years, which is certainly not bad, considering that costs associated with the warehouse would become minimal after five years.

Thus, she was actually able to confirm all the hypotheses set out at the beginning of the research with the answer to one question. Since at the beginning of the research she encountered dissatisfaction in conversations amongst users who use electronic warehousing systems in various companies, she consequently posed the question of what the advantages and disadvantages of electronic warehousing are. During the research, she established that electronic warehousing actually has no shortcomings if people are sufficiently educated and precise, but it is true that these two characteristics in particular must always be present, regardless of what warehousing system we use, as otherwise no system will function.

The final question to which she sought an answer was whether electronic warehousing is suitable and usable for micro and small enterprises. Of course it is, particularly in cases such as theirs, that is, when the warehouse is located at a dislocated unit. It also depends on what industry the company operates in, whether it has many articles, whether the articles are in bulk, whether they are piece goods, etc.

The most important thing is that every company, before deciding on a change, carries out cost calculations to determine whether it makes sense to change the existing system. If the system functions, as it does at company Z, s. p., then there is truly no need for change. To conclude, in all these years at their company we never considered this type of change and we never specifically calculated how much warehousing costs us.

They always assumed that these were expensive matters that in the current situation were unimportant and unnecessary for such a small company as theirs. Through my research, calculations and comprehensive analysis, however, they established that such a system would be ideal for their company. On the basis of this diploma thesis, the company decided that from 1 January 2018 they would transition to electronic warehousing.