Guide
eCommerce Order Management
eCommerce order management is foundational to the success of your online B2B or retail operations, serving as the central system that coordinates the flow of products from the warehouse to your customer. But, traditional eCommerce order management models are proving inadequate in today’s dynamic market environment. This article explores the current state of eCommerce order management systems, the limitations of older eCommerce platforms, and the advantages of adopting a modern, flexible approach that aligns with long-term strategies and sustainable business practices. Let’s dive in.
What is eCommerce Order Management?
At its core, eCommerce order management orchestrates the end-to-end process of tracking and fulfilling your customer orders. It integrates various facets of your business—from inventory and warehouse management to customer service and returns handling—into a cohesive system that manages the lifecycle of every order. This system ensures that you can manage customer expectations effectively from when an order is placed until it is delivered, and even beyond.
Current State vs. Modern Advancements in eCommerce Order Management
Historically, eCommerce order management systems have been rigid, with limited scalability and integration capabilities. These systems often operate in silos, leading to inefficiencies and data discrepancies that can hamper your customer satisfaction and operational agility. For example, you might find your traditional OMS unable to handle the increased complexity of multi-channel order fulfillment and international expansions without extensive manual intervention and custom integrations. Moreover, traditional OMS lacks the flexibility needed to adapt to new business models or global market expansions, often requiring costly system upgrades or replacements to accommodate your evolving business needs.
Today’s advanced eCommerce order management systems emphasize scalability, integration, and real-time data utilization. Modern OMS solutions are built on a flexible, API-first architecture that allows for rapid adaptation to your changing business needs and market conditions. They support sustainable value creation through efficient resource management and reduced operational waste, aligning with broader corporate sustainability goals.
OMS Buyer’s Guide: How to Choose the Right Order Management System
Best Practices in eCommerce Order Management
To truly leverage an order management system, you must implement best practices and actively address and rectify common shortfalls that can undermine system efficacy and your customer experiences.
- Comprehensive Data Integration: Ensure that all customer and inventory data is integrated across channels to provide a unified customer view and streamline operations.
- Dynamic Order Fulfillment Strategies: Implement intelligent order routing to optimize delivery times and costs, enhance customer satisfaction, and reduce your carbon footprint.
- Real-Time Analytics and Decision Support: Utilize advanced analytics to monitor and analyze eCommerce activities in real-time. This allows you to make data-driven decisions quickly, adapting to market changes or operational needs on the fly.
- Enhanced Returns Management: Develop a streamlined and transparent returns management process that simplifies returns for your customers and reduces the associated costs for your business. Implementing a robust system that handles returns efficiently can improve customer trust and loyalty.
Common Shortfalls and Solutions:
Data Silos and Inconsistencies:
Many OMS platforms struggle with fragmented data across sales channels, leading to inventory errors and customer service issues.
- Solution: Adopt a unified eCommerce platform that consolidates data in real-time, ensuring accurate inventory and order tracking.
Lack of Scalability:
Traditional systems often cannot handle sudden spikes in demand, leading to performance bottlenecks. This not only causes delays in order processing and delivery but can also result in lost sales and negatively impact your customer loyalty as buyers turn to competitors for quicker fulfillment.
- Solution: Utilize a cloud-based, microservices architecture which offers the elasticity to scale operations seamlessly during peak periods.
Inflexible Customer Experiences:
Older platforms may not support newer eCommerce practices such as BOPIS (buy online, pick-up in-store) or easy returns. This rigidity can frustrate modern consumers who expect flexible shopping and return options, potentially leading to decreased customer satisfaction and reduced repeat business.
- Solution: Implement a flexible, modular OMS that allows for easy customization and integration of new customer service functionalities as market demands evolve.
Why Kibo Commerce?
Kibo Commerce delivers a modern, modular eCommerce order management system designed for B2B and B2C businesses aiming to enhance customer experiences while maintaining high operational efficiency. Here’s why Kibo stands out as the superior choice:
Breaks Down Silos:
Kibo’s system excels in integrating siloed order management data across various channels, ensuring that customer interactions are seamless and consistent, regardless of the sales platform. An integrated backend operational system and frontend customer experience is crucial for businesses that manage complex customer journeys spanning multiple touchpoints.
Designed for High Volume and Complexity:
Tailored for high-volume retailers, manufacturers, distributors, and wholesalers, Kibo’s solution supports complex operations without compromising on efficiency. It’s built to handle the intricacies of large-scale order processes, making it ideal for businesses seeking robust scalability and flexibility.
Operational Efficiency and Cost Reduction:
Kibo’s platform is engineered to streamline order management processes, reduce operational costs, and minimize inefficiencies. By simplifying complex workflows, Kibo helps businesses improve their bottom line while enhancing service delivery.
Rapid Scaling Without Sacrificing Satisfaction:
With Kibo, scaling your business doesn’t mean sacrificing customer satisfaction. The system is designed to grow with your business, ensuring that customer service quality remains high even as order volumes increase.
Enhanced Customer Satisfaction:
Improved inventory accuracy and optimized fulfillment processes reduce stockouts and ensure timely deliveries, leading to higher customer satisfaction. Kibo also supports various fulfillment methods (BOPIS, curbside, ship-from-store, etc.) so you can meet diverse customer needs.
Agility Driven By Choice:
Kibo’s MACH-based order management system allows you to quickly deploy only the functions and modules you need — avoiding the costly and timely endeavor of ripping and replacing an entire legacy system.
Lynn Langenfeld
Director, Omnichannel Technologies, GIII
Kibo tells us all our information about our fulfillments, our sales, even data points that we haven’t even thought of.
We can see the journey from the when the customer started the order all the way through our business channels, dropshippers, our store fulfillment, anywhere that the order has gone.
FAQs
How does real-time data impact order management?
What role does automation play in modern OMS?
Can OMS handle sudden spikes in order volumes?
How does KIBO manage global eCommerce complexities?
Kibo’s OMS handles global complexities by automatically adjusting to different regulatory requirements, taxations, and shipping strategies, ensuring a seamless operation across borders.
