Why Omni-Channel Commerce Needs Order Management

Posted by Martin Verwijmeren on Nov 13, 2014 9:47:00 AM

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The challenge of meeting customer expectations for modern retailers has extended beyond the online store and the storefront to deep into the back office. To compete effectively, it is no longer just a matter of offering a customer the right product online and delivering it later on.

Now, as soon as a customer hits “confirm” in the webshop, a modern retailer needs an Order Management System (OMS) for supply chain orchestration to determine the most efficient and effective way to get the merchandise to the customer.

Ever wondered if your company needs an OMS? Just ask yourself 5 questions for a quick assessment.

  1. Are your supply chain systems capable of interfacing with your supply chain partners?
  2. Are you really able to manage multi-channel orders and orchestrate fulfillment dynamically?
  3. Are you in control of planning and execution processes of your transport performance?
  4. Are you managing crossdock operations to (de)consolidate shipments for supply chain efficiency?
  5. Are you provided with true visibility over your end to end supply chain operations via the Web?

How Order Management helps

Driven by fast changing and ever increasing customer demands, vendors nowadays have to quickly adapt to new markets, channels and supply chain circumstances. Therefore, in today’s markets, companies require flexible and dynamic end to end supply chain systems.


Transform processes from static ERP to dynamic supply chains

Companies tend to lean on their ERP environments for internal management. These heavy and static systems proof great value as a backbone system for production and financial management. Still, ERP systems lack the ability to quickly and dynamically help you to service your customer best with optimal supply chain services.

Erase operational boundaries across the supply chain.

Many companies have implemented all kinds of separate tooling like Excel and bespoke systems to add the required dynamics to their supply chain management. By doing so companies are often limited to the boundaries of their own operations and the capabilities of their fixed partners in the supply chain.

Provide end to end Customer Chain Control

Unlike ERP, Order Management Systems no longer limit your supply chain visibility to your own company or department. It provides you end to end control over every step in your supply chain. Order Management Systems create End to End Supply Chain Visibility (E2ESCV) control from inbound, all the way up to outbound delivery to your satisfied customers and if needed in reverse mode too.

How Order Management Systems work

An Order Management System provides companies complete control of the entire logistics order life cycle from order creation to financial settlement. At the same time, an Order Management System provides a platform to seamlessly work together with partners in the supply chain process. The main OMS functions for supply chain collaboration are:

  • Order Planning
  • Execution Monitoring
  • Financial Control
  • Performance Analysis

These OMS functions provide your supply chains the required capabilities for dynamic order planning, end to end visibility, integral costs control and real-time performance indicators.

How Order Management benefits your business

Order Management gives business and operations professionals the tools to achieve year on year operational growth, lean end to end supply chain management, make bottom line cost savings, and sustain customer satisfaction throughout their supply chain.

Customer intimacy:

  • Higher service levels through optimal fulfillment party selection
  • Increased visibility of the order execution process
  • Continuous improvements through customer performance analysis

Operational excellence:

  • Operational cost reduction by efficient order entry and automatic processing
  • Logistics cost reduction due to smart planning, order consolidation and party selection
  • Continuous improvements through supply chain costs analysis

5 Trends Forcing Innovation in the Supply Chain

Topics: Order Management





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