ORDERS

What is an order management system?

An order management system (OMS) acts as a digital lifeline for orders, covering the entire order lifecycle. It efficiently handles various aspects, such as order entry, inventory management, fulfillment, and after-sales service. By utilizing an OMS, both businesses and customers gain valuable visibility. Organizations can access near real-time insights into their inventories, while customers can easily track their orders and stay informed about the arrival timeline.

Why is order management important?

Order management plays a vital role in the overall supply chain. Often, companies outsource this critical process due to the coordination required among multiple partners, including parts and components suppliers, assembly and packaging services, and distribution centers. This complexity makes order tracking challenging and contributes to costly manual processes that are prone to errors. Implementing an OMS is a strategic choice that reduces costs, generates revenue, and streamlines operations by automating manual processes and eliminating errors.

The effectiveness of order management directly influences how a customer perceives a business or brand. In today's omnichannel environment, customers expect a seamless experience throughout their journey. For example, a customer may place an order online but need assistance from a call center to complete it. Throughout the fulfillment process, customers anticipate regular updates, such as emails, to stay informed. In case of any issues, they appreciate the option to return products through physical channels like a store. Every touchpoint in the customer journey presents an opportunity to deliver exceptional experiences, fostering customer retention and boosting revenue.

Key features of effective order management

Supply ChainVisibility empowers businesses with a holistic view of their entire supply chain. This feature enables the identification of events in real-time, allowing organizations to anticipate potential problems and develop more efficient processes.

Supply ChainIntelligence allows organizations to align their order management processes with their specific business rules and overall performance objectives. By leveraging this feature, businesses can fine-tune their operations for optimal results.

Supply ChainFlexibility allows orders and events to be broken down into individual work items. These can then be easily routed to the appropriate systems or resources, ensuring optimal efficiency and streamlined operations.

Real-time inventory provides organizations with a comprehensive view of their inventory. This feature enables businesses to monitor stock, track items in transit, and assess current demand levels. By having this visibility, organizations can minimize the need for expedited shipments and excessive safety stock, resulting in cost savings and improved inventory management.

Technology plays a crucial role in supporting product managers across various aspects, including delivery and service scheduling, customer engagement, and fulfillment optimization.

Delivery and service scheduling: By effectively aligning delivery commitments with available inventory, resources, and skills, product managers can ensure that service requests are handled efficiently and on time.

Customer engagement technologies: By offering customer-facing personnel access to customer information, back-end inventory data, and available resources, product managers can enhance transaction execution and improve overall efficiency.

Fulfillment optimization: By analyzing data and providing recommendations based on factors such as customer preferences, shipping preferences, time-to-delivery, and cost, product managers can optimize fulfillment operations. This ensures a more streamlined and efficient order fulfillment process.