Manufacturers can see some great benefits and increased efficiencies from purchasing warehouse management systems and tools like an inventory management system, but Rosslyn Young said on Canadian Manufacturing that these organizations must be sure to assess risks before they make any kind of purchase. A proactive approach to identify areas of risk, legal exposure and non-compliance for an organization are musts, according to Young.

"When reviewing an organization's procurement processes with a view to minimizing risk, the lens should be contextual," she said. "The legislative, trade and policy framework that applies to an organization will vary depending on its sector, geographical location and operation purposes."

Something else that will need to be looked into is a roadmap into the adoption of a new piece of technology and policy that can be better aligned with the budget approval process. This will help identify issues before they cause any problems, according to Young.

Manufacturing organizations should also make sure that the entire organization understands their philosophy toward new technology and software. This will help avoid challenges such as downstream conflict and snags in project planning. There should also be a plan of what structure already exists for the organization and what will need to change when a new system is adopted.

"While business and commercial risk can never be completely removed from the procurement cycle, the purchasing professional's role is to minimize those risks while meeting the timelines of the specific project," Young said. "To strike the right balance between managing risk and achieving timely results, public institutions should be taking the time to step back from the day-to-day aspects of their projects to systematically review their organization's procurement processes."

Industry professional Stefano Tranquillo wrote on Manufacturing Digital that there are unique challenges for every sector across multiple industries and they likely do not share reasons for being vulnerable. This means there needs to be the ability at each company to figure out how they can properly manage and mitigate risks. Managing this will be an essential part of adopting warehouse management software systems.