FIFO vs FEFO Inventory: Choosing and Enforcing the Right Stock Rotation Method
FIFO vs FEFO inventory explained: how the two stock rotation rules differ, which suits your products, and six steps to enforce FEFO and cut expiry waste.
9 min read
Warehouse Management System (WMS)
A Warehouse Management System That Makes System Stock Match the Shelf
A warehouse management system (WMS) records every stock movement, from goods-in to dispatch, with a barcode scan on a handheld terminal as it happens. We build it around your racking and product range: bin locations, pick routes, lot and expiry tracking and cycle counts. Your ERP values the stock; the WMS knows each item's bin and lot.
When stock records drift from reality, the damage spreads well beyond the warehouse. Sales promise items you do not have, purchasing reorders items you do, pickers walk the aisles hunting for products, and the annual stocktake shuts the warehouse for days. The cause is usually the same: movements are recorded later, from paper, rather than when and where they happen.
Barcode inventory tracking closes that gap: a movement is written to the system when it is scanned, not later from paper. If orders come from marketplaces or the ERP, ERP, marketplace and carrier integration creates pick lists automatically; the WMS also works alongside production traceability for batch tracking in manufacturing and cold chain monitoring in food warehouses.
What the WMS Covers
Barcode & RFID Movement Capture
Goods-in, put-away, picking, transfers and dispatch are all scanned on a handheld terminal. No more typed codes, and no more wrong-item or wrong-quantity errors that come with them.
Bin Locations & Slotting
Addresses down to aisle, rack and bin level. Fast movers sit close to dispatch, and at goods-in the system suggests a free, suitable location, so nothing is simply put "somewhere".
Pick Routing
Pick lists are sorted into the shortest walking sequence through the warehouse. Wave picking and multi-order picking let the same team prepare more orders.
Lot, Serial & Expiry Tracking
Traceability down to batch and serial number, so in a recall the records show which lot went to which customer. FIFO/FEFO dispatch is enforced by expiry date, with alerts for stock nearing expiry.
Stocktakes & Cycle Counting
Zone-by-zone cycle counts instead of an annual count that closes the warehouse. Variances are reported immediately, and blind counting means the counter never sees the system figure.
Dispatch & Delivery Notes
Order-by-order packing, a check scan at dispatch and delivery note generation. Carrier integration returns the tracking number automatically.
Which Warehouses It Suits
- Wholesale and distribution warehouses
- E-commerce fulfilment operations
- Raw material and finished goods stores in manufacturing
- Food and cold chain warehouses
- Pharmaceutical and medical supply warehouses
- Spare parts and automotive warehouses
- Textile and apparel warehouses
- 3PL sites holding stock for several clients
How a WMS Roll-Out Runs
01
On-Site Warehouse Review
We walk the warehouse with you to study the layout, how often each product moves and how work flows today. The addressing scheme comes out of this review.
02
Addressing & Labelling
Rack labels are printed and a product barcode standard is agreed. Handheld terminals suited to your warehouse are selected and configured.
03
Software & ERP Connection
The WMS is built and connected two-way to your existing ERP or accounting system, so stock movements match on both sides.
04
Pilot Zone & Roll-Out
The system goes live in one zone first. Once any problems are fixed it is rolled out across the site, while other zones keep working as usual during the pilot.
Software and Hardware From One Team
Alongside handheld terminals, barcode printers and rack labels, we can supply industrial data capture devices that we design and manufacture ourselves, as part of a turnkey installation. Because one team builds both the software and the devices, you never end up caught between two suppliers when something goes wrong. To record who enters each warehouse zone as well, the SmartPass card access control system grants zone-by-zone access using staff cards.
Questions we hear most often
Frequently Asked Questions
What is a warehouse management system (WMS)?
A warehouse management system (WMS) records every stock movement, from goods-in to dispatch, with a barcode scan on a handheld terminal as it happens. It shows which product is in which bin, with which lot and expiry date. As a result, system stock matches the shelf and wrong-item and wrong-quantity errors fall.
What is the difference between a WMS and an ERP?
The ERP values the stock and holds the accounting records; the WMS knows which bin and lot each item is in and records movements in real time. The WMS we build connects two-way to your existing ERP or accounting system, so stock movements match on both sides. You do not need to replace your ERP.
Should our warehouse use barcode or RFID?
Barcode is low-cost and sufficient for most warehouses. RFID pays off where bulk reading, pallet tracking or very high throughput is needed. We make the choice with you after an on-site review, based on your volumes and product mix, and select handheld terminals to suit the warehouse.
Can lots, serial numbers and expiry dates be tracked?
Yes. Products are traced down to batch and serial number, so in a recall the records show which lot went to which customer. FIFO or FEFO dispatch is enforced by expiry date, with alerts for stock nearing expiry, which matters most in food, pharmaceutical and medical supply warehouses.
Do we have to close the warehouse for a stocktake?
No. Zone-by-zone cycle counts replace an annual count that shuts the warehouse for days. Variances are reported immediately, and with blind counting the counter never sees the system figure, so the count is not steered towards the expected number. Zones not being counted carry on with goods-in, picking and dispatch as usual.
How does a WMS roll-out work?
We start with an on-site review of the layout, how often each product moves and how work flows today. Rack labels are then printed, a barcode standard is agreed and handheld terminals are configured. The WMS is built and connected to your ERP, goes live in one pilot zone first and is rolled out across the site once any problems are fixed.
Have a different question? Ask Us