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WMS-not just for big firms

Last year's shipments, worldwide, of warehouse management systems totaled $610 million, says the ARC Advisory Group, split among the three sectors shown above.

By Staff -- Modern Materials Handling, 6/1/1999

Increasingly, mid-size companies are becoming users of warehouse management systems (WMSs). Last year mid-size firms for the first time invested as heavily in AMS as did large users. (Mid-size firms are defined as those with annual revenues or sales of $250 million to $1 billion.) That's one finding from a study by the market research and management consulting firm, ARC Advisory Group, Dedham, Mass.

ARC analyst Steve Banker predicts that the 20% annual growth rate for worldwide AMS sales will ease to a five year cumulative growth rate of 16%. Even so, global AMS sales are projected to rise from $610 million last year to $1.281 billion in 2003.

Fixing Y2K bugs in software-and devoting company information technology budget spending to these solutions for the year 2,000 problem-will divert dollars away from AMS installations, Banker suggests. Year 2000 repairs won't end at this year's end. Companies have prioritized which fixes are musts, which are less critical.

Contact ARC at its web site, www.arcweb.com, or call 781-471-1120 for more info.

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