Managing inventory is an important job in any company that sells and ships goods. Making sure orders are accurate and delivered on time is vital to keeping customers happy. Therefore, it’s important to strive for a “perfect order” every time.
That’s where an order management system (OMS) comes in. OMS software gives supply chain managers a bird’s eye view of open orders, available inventory, payment and delivery status and more. Managers can use this information to identify potential problems and optimize processes to keep purchasing and fulfillment running smoothly.
If you’re considering an order management system for your business, this guide is for you. Here’s what we’ll cover:
Order management software supports order capturing, processing and fulfillment of orders from the point of purchase through payment and delivery.
Businesses that use this type of system have:
Inventory quantities, types and status for Orderhive
Retail companies are the primary purchasers of order management systems. Multi-channel retail businesses are complex, often dealing with a large number of suppliers, warehouses and fulfillment channels.
Companies in industries that manage supply chain demands also benefit greatly from the added efficiency this type of software brings. These can include:
Order management is useful for any size B2C, B2B or wholesale company. This can include anything from small e-commerce companies processing single units at a time, to large enterprises filling thousands of units.
Order management applications are diverse. Some vendors offer integrated suites with a large number of modules, while others specialize in one or two particular functions. Most, however, include the following core functionality:
|Customer database||A customer database is, as the name implies, is a database for customer information. At minimum, it will store customer and vendor information, current and past orders, delivery receipts, invoices and payments. The more customizable the system, the more types of data a business can store.|
|Catalog management||Catalog management gives managers tools to import and maintain catalog content. Some products allow suppliers to manage and revise items themselves, so the content is always accurate. Other features may include revision tracking, automatic categorization, taxonomy management and user access/privilege control.|
|Inventory management||Inventory management software works to manage inventory levels, track shipping costs, identify trends and more. This makes it possible to forecast and optimize inventory planning strategies.|
|Order fulfillment||Order fulfillment and tracking systems track unpaid orders and streamline the entire fulfillment process. Systems use rules and algorithms to review orders and determine the most efficient way to fill them.|
Order fulfillment details in Snapfulfil
Businesses that choose the right OMS can realize several key benefits. Most commonly, an OMS will help users to:
Speed order processing. With greater visibility of the order-to-delivery cycle, it’s possible to find bottlenecks and improve the process.
Reduce back-orders and delays. Since inventory data is always up-to-date, managers can predict shortages and make plans to circumvent them. An OMS also simplifies reordering, so it’s easier to maintain optimal inventory levels.
Improve customer service. Greater overall efficiency and an error-free order-to-delivery cycle naturally leads to more satisfied customers. At the same time, customers can know the availability of items in their order.
We're able to offer this service to buyers for free, because software vendors pay us on a "pay-per-lead" basis. Buyers get great advice. Sellers get great referrals.