What Is a Warehouse Management System — And Why It's a Revenue Engine

By Mike Murphy 

Over the past four years, we’ve visited more than 50 manufacturers. In each case, we’ve had the opportunity to dig deep into their systems, observe their processes, and identify opportunities for improvement.

Despite differences in size, industry, or product, every manufacturer is trying to accomplish the same fundamental goal: move efficiently from customer request to cash in the bank.

The typical workflow looks something like this:

• Sales: Receive an order or RFQ and create a Sales Order
• Job Costing: Estimate costs—Freight, Labor, Overhead, Outside Services, Other, and Material (FLOOOM)
• Estimating & Quoting: Confirm feasibility, determine lead time, and generate a quote
• Inventory & Purchasing: Check stock and order missing materials
• Planning & Scheduling: Create and release work orders
• Shop Floor Execution: Receive materials, issue them to jobs, and track labor
• Quality & Shop Management: Move finished goods into inventory with accurate costs
• Shipping: Prepare documentation and ship the product
• Accounting: Invoice, collect payment, and pay suppliers
• Project Review: Compare actual results to estimates

At a high level, it’s straightforward. But in practice, this process requires seamless communication across sales, engineering, purchasing, operations, and accounting.

And that’s where things break down.

The Hidden Problem: Workflow by Habit, Not Design

ERP systems are built to streamline this entire process. Yet in every company I’ve visited, the workflow is anything but streamlined.

Instead, it’s often a patchwork of habits:

• Paper forms passed from desk to desk
• Printed ERP documents stapled to more paper
• Endless email chains
• Shared spreadsheets or side databases

In many cases, the process is shaped not by the ERP system—but by individual preferences.

Even more concerning, these inefficient habits get passed down. New employees aren’t trained on optimal workflows—they’re trained on “how we’ve always done it.”

I once observed a receiving clerk carefully printing, initialing, scanning, and emailing documentation for every purchase order receipt. It was a meticulous process.

When we checked who actually reviewed those emails, we discovered something surprising: his manager had never opened a single one.

Why was the process still in place?

Because someone told him to do it years ago.

How to Fix It: 5 Practical Ways to Improve Workflow Efficiency

Breaking these habits isn’t easy—but it is possible. Here are five practical ways manufacturers can modernize their workflows and improve efficiency.

1. Stop Using Email as Your Workflow System

Email is often where the process begins—but it shouldn’t be where it lives.

Too often, I see teams forwarding messages, attaching screenshots, and using inboxes as a substitute for structured systems.

Instead:

• Enter data into your ERP immediately
• Train employees to access and update information in real time
• Attach supporting documents (drawings, emails, specs) directly to ERP records

Your ERP should be the single source of truth—not your inbox.

2. Paper Feels Good—But It Slows You Down

There’s comfort in paper forms with signatures and handwritten notes. But paper creates blind spots.

If a step only exists on paper, it’s invisible to the rest of the organization.

That means:

• No real-time visibility
• No easy prioritization
• No reliable reporting

Ask yourself:

• How long does each step take?
• What happens if someone is out?
• Which record is correct when paper and digital don’t match?

If you can’t answer these questions easily, you don’t have control of your process.

3. Actually Use Your ERP the Way It Was Designed

One of the most common things I hear is: “I don’t have time to learn something new.”

But here’s the reality—there is almost always a better way to do the work using the tools you already have.

I often see highly capable employees juggling:

• Stacks of paper
• Unread emails
• Sticky notes
• After-hours work

These individuals are often viewed as indispensable—but they’re also bottlenecks.

The goal isn’t heroics. It’s systems.

Invest in training. Distribute knowledge. Build processes that don’t rely on one person to keep everything moving.

4. Clean Up Your File Management

Where do your critical documents live?

If the answer includes:

• Personal desktops
• Email inboxes
• Random shared folders
• Inconsistent naming conventions

…then your organization is at risk.

Poor file management leads to wasted time and lost data.

Instead:

• Create a clear, standardized folder structure
• Use consistent naming conventions (e.g., dates like YY.MM.DD)
• Centralize documents so they’re accessible to everyone

Remember: these are company assets—not personal files.

5. Build a Culture of Continuous Improvement

When was the last time your team actively discussed improving processes?

Many companies used to rely on suggestion boxes. Today, we have far better tools:

• Microsoft Teams
• ERP messaging systems
• Shared digital forms

I’ve seen companies implement simple but effective systems—like weekly prompts where employees submit ideas that feed into a shared dashboard.

The key is consistency and visibility.

Great ideas shouldn’t disappear into inboxes. They should drive real change.

Small Habits, Big Impact 

The biggest inefficiencies are often the hardest to see—because they’ve become normal.

That’s why an outside perspective can be so valuable.

When I’m on-site, I watch, listen, and ask questions. Not to criticize—but to uncover opportunities.

The goal is simple:

• Reduce lead times
• Improve profitability
• Eliminate unnecessary stress

Because at the end of the day, better systems don’t just improve operations—they make life easier for the people doing the work.

Want to learn more? Get in touch with the Visibility team today.