An order management platform is a software solution that allows companies to automate the processing of their customers’ orders. It provides a centralized repository through which they can manage orders coming from different sales channels. The system processes relevant information relating to recording and the ultimate fulfillment of all customers’ orders. This data generally includes the order entry, availability of materials, inventory management, processing, shipment, and subsequently, after-sale services. This enables companies to streamline and improve the overall internal efficiency of their supply chains. As a result, companies can reduce the time period it takes to process their customers’ orders.
What does an order management system do?
A suitable order management platform allows companies to conduct their market operations smoothly. It is compatible and integrates easily with other CRM, ERP, EDI, and accounting software systems. As a result, companies can get real-time information about their customers’ orders, current inventory levels, and sales. This enables their employees to resolve unforeseen issues relating to the processes of customers’ orders promptly. Even the top management personnel can make important decisions relating to inventory management and predicting future sales levels. They can even formulate and implement suitable marketing strategies to boost revenue from sales. The key modules of a good order management system allow companies to perform the following essential functions:
- Record and monitor the entry of customers’ orders on various sales channels including e-commerce storefronts,
- Provide a real-time view of supply chain activities to streamline processes and resolve issues without delay,
- Breakdown customers’ orders into a series of work processes to ensure proper allocation of resources,
- Obtain real-time information on current inventory levels including stock-in-hand, in-transit, purchase requisitions, and safety levels,
- Ensure proper shipment of customers’ orders in accordance with relevant delivery schedules,
- Provide companies’ customers with real-time data on the current status of their orders, and
- Using the latest business intelligence features to obtain real-time feedback from customers after fulfilling their orders.
How do companies select the right order management platform?
Companies should consider the following factors when selecting the right order management platform for their businesses:
- The system should allow them to automate all manual order fulfillment processes without any difficulties,
- The software solution should enable them to monitor remote sales channels within their supply chain,
- Provide real-time data to ensure proper reporting and prediction of sales trends even from remote locations,
- It should be easy to operate for even employees with hardly any technical background,
- Provide companies timely real-time updates of inventory levels, shipping details and delivery schedules, and
- Ensure proper integration with other business software solutions.
A suitable order management system enables companies to improve the internal efficiency of their supply chains. They can significantly reduce the time it takes to process customers’ orders. Moreover, companies should be able to do so from more than one sales channel. In the process, they can provide their customers with better services. However, they should be careful when it comes to choosing the right platform. It should automate manual processes, provide real-time information, and integrate smoothly with other software platforms. Above all, it should be user-friendly to everyone to prevent delays.