Warehouse management system (WMS) software is a powerful tool that has been fine-tuned over decades to optimize the storage and flow of goods through distribution centers. However, trends such as e-commerce, omnichannel operations, and the rise of next-day delivery are putting tremendous pressure on technology evolution.
Recent improvements such as cloud-based platforms and software-as-a-service (SaaS) delivery models have taken WMS performance to new levels. But competitive pressures continue to demand more, and users in 2026 are turning to generative artificial intelligence (AI) to take the next step.
Experts agree that AI has great potential to deliver on that promise. However, warehouse management systems continue to absorb new technology “strains” every year, and everyday users increasingly turn to software vendors for guidance on how to use them.
Just ask Keith Whalen, corporate vice president of product management at supply chain software development company Blue Yonder. “Customers are asking us about our journey in generative AI, ‘We want to help you reach the next level and unlock new things,’” he says. “They want to rethink traditional workflows, reduce the burden of manual analysis, get better automation paths, and resolve issues faster.”
It may sound like a tall order, but Blue Yonder says it already has AI capabilities baked into many of its cloud-based modules as part of a series of recent upgrades. The company said the move aims to transform WMS from a tool that optimizes fulfillment according to static rules to one that constantly makes dynamic changes to improve fulfillment flows.
For example, the developer’s latest software version includes an AI agent that “absorbs” updates in real time and applies what it learns to find better solutions. Agents follow that approach not only in the flow of goods within the warehouse itself, but also in related areas such as supply chain networks and transportation management systems (TMS).
Although powerful, this new approach can also be confusing for software clients, who tend to be logistics experts rather than information technology (IT) experts. Whalen said the company has been working closely with end users to gradually introduce new technologies like AI, rather than making big leaps all at once.
“Customers want AI to move, but they also want it to crawl and walk. [before they] Blue Yonder accomplishes this by giving customers the opportunity to review AI-generated insights before approving recommended changes.
AI agents are assistants, not co-pilots
Blue Yonder isn’t alone in taking this approach. Manhattan Associates, another leading supply chain software developer, recently added AI agents to its WMS and other supply chain software products and is having similar conversations with users learning how to use them. Also like Blue Yonder, Manhattan says the new technology will allow its software to dynamically adapt to evolving needs while adjusting workflows, maximizing efficiency and minimizing risk.
“With agent AI, we strive to keep our applications specific,” says Adam Klein, senior director of product management at Manhattan. “And we tell our users that this technology is an assistant, not a co-pilot.” For example, a company’s WMS might flag cases where some orders can’t be fulfilled due to a lack of inventory. But that’s not all. Manhattan says its new AI agent now tells users exactly which orders can’t be fulfilled and why, and offers options to resolve the issue.
jump into the pool
Other WMS developers are following suit. One example is Hardis Supply Chain, a French software development company that recently expanded into North America. Hardis said the company’s enhanced WMS platform uses similar tools such as AI and an API (application programming interface)-first architecture to coordinate logistics across warehouses, factories, stores and carrier networks, with real-time visibility and orchestration across all sites.
Similarly, New Jersey-based software developer Made4net says its Retail WMS is designed to help users navigate the complexities of modern commerce by offering features ranging from dynamic order orchestration and real-time inventory visibility to omnichannel fulfillment and performance tracking.
WMS developers across the industry are increasingly incorporating high-tech tools like AI into their platforms, and technology is rapidly evolving to meet the growing fulfillment demands of today’s market. One result is the emergence of so-called “dynamic WMSs” that can adjust workflows and even the advice that AI agents give to human users to reflect operational changes in real time. And vendors say more changes are coming.
“We’re very excited to be working with the company,” said Klein of Manhattan Associates. [warehouse management]but there’s still a lot of juice to be squeezed. ”
