WHAT IS ORDER MANAGEMENT?

Ecommerce Order Management Process Flow Definition
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WHAT IS ORDER MANAGEMENT?

The procedure of receiving, managing, and fulfilling customer orders are known as order management. The order management process begins when a customer puts an order and ends when they receive their package.

When growing your business, it’s critical to automate and streamline this process; otherwise, you’ll become overwhelmed by the volume of orders.

WHAT IS AN ORDER MANAGEMENT SYSTEM?

An order management system provides you with a central location to see and handle all customer orders. Some plans include a two-way sync, which ensures that order information is transferred between your order management system and your e-commerce platform while allowing you to see the entire process. This process can aid in the automation of the flow of sales order data to all parts of the retail supply chain.

That means you can follow a customer’s order from the “Buy” button to delivery — and even refunds.

In a nutshell, an order management system organizes and automates everything that must occur to deliver customers’ orders on time and in good shape.

WHAT IS ORDER PROCESSING?

From order placing to delivery, order processing is the process or workflow. This flow is essential for retail order fulfillment, as accuracy and reliability lead to client satisfaction.

Picking, sorting, tracking, and shipping are steps in the order processing process. Depending on the business, order processing can range from manual (handwritten on an order log sheet) to highly technical and data-driven (through online orders and automated order processing software).

THE ORDER MANAGEMENT PROCESS FLOW

The order management cycle is a process that begins with a customer’s purchase and finishes with delivery and, in some situations, refunds. To create a consistent consumer experience, multiple moving pieces, frequently controlled by distinct businesses, must work together. Here’s a quick rundown of the order management process.

ORDER PLACED

Customers place orders from all around the world, at all times, and through every accessible channel.

To automate this process on the backend, you’ll need multichannel order management or omnichannel fulfillment technology to automatically transmit pertinent data from your e-commerce site to your order management system (order details, shipping details, delivery address).

ORDER RECEIVED

When an order is placed, the information is sent to the fulfillment center, where the order is processed. Receiving is accepting a customer’s order and collecting payment for it. After that, the purchase information is transferred to your warehouse, where your personnel can begin preparing the products for shipment. When a new order is placed, order management software determines where it should be sent depending on available inventory and client delivery address. This process helps to keep delivery times and prices down.

ORDER PACKAGED

When the order arrives in the packaging area, it is packaged so that it has the least amount of dimensional weight while still providing adequate protection. Several 3PLs allow clients to offer their bespoke packaging to provide customers with a unique unboxing experience. The packing station is responsible for more than just packing products and transporting them out. They’re also in charge of selecting the appropriate packaging materials for each product to arrive undamaged and in good shape to the client while also conserving resources. Fragile objects like glassware should be packaged with bubble wrap or air cushions in a correctly sized box to avoid wasting packaging material.

ORDER SHIPPED

After the item has been packaged, it is sent to the customer. Some 3PLs work with specific favored carriers, while others look around for the cheapest shipping rates for their customers. The airlines typically pick up the orders directly from the 3PL’s warehouse.

Every order is alloted a unique tracking number, which is subsequently communicated with the consumer, allowing them to keep an eye on the status of their order at all times.

ORDER DELIVERED

After maintaining communication with the customer, the things are delivered to the final customer. Were they, however, the correct items And, more importantly, were they delivered on time?

Your chances are much better if your order management has been flawless throughout.

WHY AN ACCURATE ORDER MANAGEMENT SYSTEM IS IMPORTANT?

As your company grows, you may fall behind if you try to complete every request on your own. A high inventory turnover ratio might be beneficial as long as you’re neither overstocking nor understocking.

Overstocking means you’re squandering money you don’t have on nonessential items. If you’re short on inventory, you risk having clients wait, splitting shipments, or losing simple sales from customers who were ready to buy right away but will likely give their money to a competitor instead.

When you mail a few orders per day, it’s simple to prevent fulfillment mistakes. Eunimart’s Order management Solutions make it easy to assess available data and make data-driven decisions by allowing you to see all sales order data in one location. That’s why having a well-organized order management system in place is critical. 

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