Globalization is an integration and interaction process among governments, companies, and people of different nations. It is an investment and international trade driven process and it is supported by information technology. The globalization process has influences on the culture, environment, economic development, political systems, economic prosperity, and on human physical well-being in the international society. It therefore highly influence the supply chain management in different parts of the world as the companies try to adjust to satisfy consumers of different culture, and legal requirements of different societies in the world. Globalization has allowed the use imports to satisfy consumers demand and exports to reduce surplus in one market (Heaney, 2011).
Warehouse Management System
A warehouse management system (WMS) is application software that support warehouse daily operations. WMS programs permit tasks central management that include tracking stock location and inventory levels. WMS system might be part of the enterprise resource planning system or a standalone application. The modern WMS application is more complex than the earlier version with high data intensity. They also have high-end system that include routing and tracking technologies that include voice recognition and radio frequency identification (RFID).
Transportation involves moving goods from one position to another in the supply chain system. It occupies a third of the total logistic costs and influence the logistic system greatly. Transportation is needed in the entire production process from processing to delivery to the retail consumers and returns. It therefore requires a high level of coordination between every component to ensure transportation cost reduction and to maximize the company’s benefits (Tseng et al., 2005).