Blog

How does a warehouse management system work?

We live and breathe warehouse management optimization through systems. After all, we started CartonCloud when no one was offering such reliability.

Author:

CartonCloud

Linked to author page

Published:

January 20, 2020

We live and breathe warehouse management optimization through systems. After all, we started CartonCloud when no one was offering such reliability with a clean interface.

warehouse picking

We’ve helped many clients who have now come on board, to not only understand how a warehouse management system works, but to roll out a custom solution. For those curious, we hope this blog post addresses this question without the technical jargon.

A warehouse management system works by connecting users directly to inventory. It can work in small warehouses, big warehouses or even across multiple warehouses. There are some good benefits including faster pick rates, more optimized route planning and better inventory, loading dock and pallet space allocation. We are unique in that we offer transport management that helps delivery drivers to go fully digital.

With that aside, it’s time to consider why they work so well.

You can track inventory

Whether it’s inventory in a warehouse, or inventory in delivery vehicles, it’s simply much easier to track. Many of our clients use scanners in the field for this purpose.

Receiving teams can mark inventory locations assigned to unique stock-keeping units and this updates across the warehouse network within seconds. This reduces the frustration of missing cartons and pallets, as all personnel know exactly where they are. The scanner location can also be tracked, in the off-chance a worker has allocated inventory in completely the wrong location.

It can also track freight in delivery trucks and vans in real-time. What many CartonCloud clients love is the electronic Proof of Delivery with signature, which uploads directly to your own secure system within seconds, ready for the administration team to process back at base.

Lastly, given personnel are now tracked, it’s much harder to steal freight. Freight theft isn’t so common in Australia, but it certainly happens! In fact, we lost thousands from a dodgy driver that we once employed. With CartonCloud, we would’ve detected him (and he would’ve been gone) within moments.

You can speed up operations

Paper-based systems are what some still cling on to, whilst many have transitioned over to a software solution. There’s many benefits, but a KPI that many in warehousing look at is productivity.

Warehouse personnel get a clearer understanding of picking routes, BIN locations and dispatch times. You can also assign tasks to warehouse personnel on the fly, with no verbal interaction necessary.

Delivery drivers can create their own route plan using the route map we mentioned previously, or fleet allocators can assign a route plan on their behalf. Either way, you can reduce backtracking, peak-hour bottlenecks and waiting times through optimizing your delivery routes.

It can also make results available to other personnel, so it creates a workplace benchmark. Personnel then can see required performance standards based on real data.

Lastly, you can plug into other systems. Warehouse management systems work well by themselves, but really shine when you can plug them directly into other popular software packages. Xero and MYOB are two popular packages that plug directly into CartonCloud, and accountants will love this!

Lastly, you can eliminate paperwork

Everything is electronic, reducing the mess of paperwork in the administration office. One of the biggest frustrations we had was truck drivers losing paperwork. A warehouse management system works electronically and can eliminate this frustration and potential expenses.

Not only is there no paperwork, the data updates in real time. Administration teams can start reconciliation immediately, without having to wait for drivers to return to base.

So while the paperwork isn’t there, the data IS there. All personnel can not only continue their roles, but do it much easier. Call us today to see if CartonCloud and our warehousing management system can fit within your operations.

Explore the resource hub

Tips, tools, downloadable guides and stories from logistics teams who are working smarter.

Visit hub

Why US 3PL Operators Top Rate CartonCloud's Support and Onboarding (From Real Reviews)

1pl
3PL
Transport
Bulk & Pallet
1PL
3PL
WMS
TMS
Why US 3PL Operators Top Rate CartonCloud's Support and Onboarding (From Real Reviews)

October 2026: New Feature Round-Up

1pl
3PL
Bulk & Pallet
eCommerce
F&B
1PL
3PL
WMS
TMS
CrossDocking
October 2026: New Feature Round-Up

What Warehouse Management Systems Work Best for Multi-Client 3PL Operations?

3PL
3PL
WMS
What Warehouse Management Systems Work Best for Multi-Client 3PL Operations?

This Week in Logistics: Inside the 2026 CartonCloud Logistics Index

3PL
Transport
Accounting
3PL
WMS
TMS
This Week in Logistics: Inside the 2026 CartonCloud Logistics Index

How to Automate Warehouse Invoicing, Rate Cards, and Reporting

3PL
3PL
WMS
TMS
How to Automate Warehouse Invoicing, Rate Cards, and Reporting

WMS vs TMS: What Growing 3PLs Actually Need

3PL
3PL
WMS
TMS
WMS vs TMS: What Growing 3PLs Actually Need

5 Signs Your 3PL Needs a Warehouse Management System

3PL
WMS
TMS
5 Signs Your 3PL Needs a Warehouse Management System

What Is Directed Putaway (and Does Your Warehouse Need It)?

3PL
WMS
3PL
What Is Directed Putaway (and Does Your Warehouse Need It)?

This Week In Logistics: When the System Says Forty and the Shelf Says Twelve — How to Close the Inventory Gap, With Special Guest Gaubrielle Pritchard, Director of Product and Customer Marketing, Cin7

3PL
eCommerce
Wholesale
3PL
WMS
E-Commerce
This Week In Logistics: When the System Says Forty and the Shelf Says Twelve — How to Close the Inventory Gap, With Special Guest Gaubrielle Pritchard, Director of Product and Customer Marketing, Cin7

The CartonCloud Logistics Index 2026: See where your operation stands

1pl
3PL
Transport
Wholesale
eCommerce
1PL
3PL
TMS
WMS
Wholesale
The CartonCloud Logistics Index 2026: See where your operation stands

Running WMS and TMS Across Multiple Sites in Australia: The Questions We Answered at MegaTrans 2026

3PL
WMS
TMS
3PL
Running WMS and TMS Across Multiple Sites in Australia: The Questions We Answered at MegaTrans 2026

CartonCloud Feature Spotlight: July–September 2026

1pl
3PL
eCommerce
Transport
Wholesale
1PL
3PL
WMS
TMS
E-Commerce
CartonCloud Feature Spotlight: July–September 2026

Deposco Alternatives: What Growing 3PLs Should Consider

3PL
3PL
WMS
TMS
Deposco Alternatives: What Growing 3PLs Should Consider

What We Heard at B2B World APAC: Large Brands Want Delivery Visibility, Not Just Warehouse Visibility

1pl
F&B
Transport
1PL
TMS
Transport
What We Heard at B2B World APAC: Large Brands Want Delivery Visibility, Not Just Warehouse Visibility

The Fastest WMS to Implement for E-Commerce Fulfillment 3PLs in the USA

3PL
eCommerce
3PL
E-Commerce
WMS
The Fastest WMS to Implement for E-Commerce Fulfillment 3PLs in the USA

This Week in Logistics: A Cost Rule Peak — Canada's Tariffs Go Live, FedEx Guarantees Your Duties, and Peak Season Surcharges Land

3PL
eCommerce
Transport
Wholesale
F&B
3PL
E-Commerce
WMS
TMS
Transport
This Week in Logistics: A Cost Rule Peak — Canada's Tariffs Go Live, FedEx Guarantees Your Duties, and Peak Season Surcharges Land

What's the Best WMS for Small 3PLs That Need an Easy Setup?

3PL
3PL
WMS
What's the Best WMS for Small 3PLs That Need an Easy Setup?

CartonCloud vs Extensiv: Which Platform Delivers More for 3PLs?

3PL
eCommerce
Wholesale
Transport
F&B
WMS
TMS
CrossDocking
1PL
CartonCloud vs Extensiv: Which Platform Delivers More for 3PLs?

Get a Free, Honest Read on Your Operation, in About Two Minutes

1pl
3PL
Transport
Bulk & Pallet
eCommerce
1PL
3PL
WMS
TMS
Get a Free, Honest Read on Your Operation, in About Two Minutes

How to Implement a WMS in Your Small 3PL Business: A Practical Guide

3PL
WMS
3PL
How to Implement a WMS in Your Small 3PL Business: A Practical Guide

Still counting stock the old way?

Book a free demo
Blog