In today’s rapidly evolving ecommerce landscape, having a robust and efficient Order Management System (OMS) is crucial for businesses looking to scale and meet customer expectations. An OMS is a software solution that streamlines and automates the processes involved in managing orders, from the moment a customer places an order to the point of delivery and beyond. As ecommerce continues to grow and become more competitive, implementing the right OMS can make a significant difference in a company’s ability to thrive.

Key Features to Look for in an Order Management System

When evaluating an OMS, there are several key features to consider to ensure you select a solution that meets your business needs and can support your growth.

Feature	Description	Benefit
Integration capabilities	Seamless integration with existing company systems and infrastructure	Ensures data flows smoothly across all systems, reducing manual data entry and minimising errors
Automation	Robust automation capabilities to eliminate manual processes	Streamlines tasks, saves time, and improves accuracy
International order processing	Ability to handle cross-border orders and payments	Makes global selling seamless
Inventory forecasting and reporting	Real-time visibility into stock levels and forecasting future inventory needs	Prevents stockouts, overstocking, and enables better decision-making
Multichannel order management	Manages orders from all channels in a single interface	Provides a holistic view of orders and ensures consistent fulfilment experiences

To gain a deeper understanding of the fundamental concepts and components of OMSs, we recommend exploring our article What Is an Order Management System? Exploring the Fundamentals.

The Ecommerce Order Management Process

A comprehensive OMS should support and optimise each stage of the ecommerce order management process.

A. Discovery phase

An OMS can track when items are added to a customer’s cart and update inventory levels accordingly. This data can also be used for targeted marketing and abandoned cart recovery.

B. Order placement

Once an order is placed, the OMS processes the payment and routes the order to the appropriate fulfilment location based on predefined rules and real-time inventory data.

C. Order fulfilment

The OMS selects the optimal warehouse for fulfilment based on proximity to the customer, calculates shipping costs, and generates necessary documentation such as packing slips and shipping labels.

D. Warehouse management

The system communicates with the warehouse management system to update stock levels, optimise pick and pack processes, and ensure efficient use of warehouse resources.

E. Shipping

As orders are shipped, the OMS sends tracking information and updates to customers, keeping them informed about the status of their orders.

F. Returns and refunds

An OMS can automate the returns process by generating return labels, updating inventory levels, and issuing refunds, making the experience smooth for customers and minimising the impact on operations.

Benefits of Implementing the Right Ecommerce Order Management System

Despite the challenges, implementing the right OMS can bring significant benefits to ecommerce businesses, particularly in terms of fulfilment speed, which is crucial for staying competitive. Small online retailers set a high standard, with an average order fulfilment speed of just 16 hours, showcasing the rapid service customers have come to expect. By automating and optimising order management processes, businesses can emulate this efficiency, leading to controlled costs and improved productivity, as well as customer satisfaction.

Controlled costs and increased revenues

Automation and optimisation of order management processes can help control costs by reducing manual labour, minimising errors, and improving efficiency. These improvements can lead to increased revenues through better customer experiences and higher order volumes.

Improved employee productivity

By automating repetitive tasks and providing real-time data access, an OMS empowers employees to work more efficiently and focus on higher-value activities, such as customer service and business development.

Enhanced customer satisfaction

Faster, more accurate order fulfilment and proactive communication enabled by an OMS can significantly improve customer satisfaction, leading to increased loyalty and repeat business.

Competitive advantage

Implementing a modern, scalable OMS can give businesses a competitive edge by enabling them to adapt quickly to market changes, handle higher order volumes, and consistently deliver excellent customer experiences.

While an OMS offers numerous advantages, it’s worth noting that Enterprise Resource Planning (ERP) systems can also significantly contribute to order management efficiency. To learn more about how ERP systems can streamline and optimise your order management processes, check out our article 12 Key Ways ERP Systems Boost Order Management Efficiency.

Potential Challenges in Implementing an Order Management System

While the benefits of an OMS are clear, there are some potential challenges to consider when implementing a new system.

• Selecting the right system: Thoroughly research and compare features, pricing, and customer reviews to make an informed decision
• Cost considerations: Carefully budget for the initial implementation and ongoing maintenance costs
• Implementation complexity: Choose a vendor that offers comprehensive support and training to mitigate integration challenges

Conclusion

In today’s rapidly expanding ecommerce landscape, the importance of an OMS cannot be overstated. It’s essential for businesses aiming to scale and excel in a fiercely competitive environment. By meticulously assessing your needs and choosing an OMS tailored to your business requirements, you can enhance operational efficiency, boost customer satisfaction, and pave the way for sustained growth. Investing in the right OMS is not just a strategic move; it’s a fundamental pillar for driving efficiency, expanding revenue, and earning customer loyalty, crucial for any thriving ecommerce strategy. 

To navigate this journey with a partner that ensures scalability, seamless integration, and unwavering support, discover how Jcurve Solutions can elevate your business to new heights. Explore our offerings and see how our NetSuite platform-based OMS can transform your operations.