Order management software systems can be super helpful if you are a manufacturer or operate a manufacturing business in-house. Out with the old and in with the new. You no longer have to track orders, shipments, and inventory on your plain spreadsheet. Let order management software do it for you!
Not only are there various benefits to an order management system, but the way they work can be integral to helping you grow and expand your business. Therefore, if you are continuing to grow, consider utilizing an order management system to help.
In the manufacturing industry, finding a reputable source for your order management solution is key to success. Integrating the software into your everyday operations can be vital to growing your business, but you want to do so correctly. Companies like Orases understand how order management software can benefit your organization.
What Is an Order Management System?
You may be wondering exactly what an order management system is and how it can help you stay organized and how it operates. An order management system, also known as an OMS, is software that helps you control all the parts and pieces of an order, including processing, tracking, and more.
This can include the actual sale of your product, shipping, and even fulfillment. An order management system is critical to help you stay organized and on track when it comes to promptly fulfil orders. Not only does this keep your customers happy, but it keeps your business running smoothly. First, however, you may be asking yourself what order management systems do.
What Does an OMS Do?
Good question! No matter how big or small your business is, an OMS can benefit your organization. It offers certain functions that you can customize to meet your needs at whatever level you operate your business. For instance, larger companies may require more complex software, whereas smaller businesses may need simpler solutions.
Here are the typical tasks of an OMS:
One of the main tasks of an OMS is tracking orders. This is probably one of the most crucial and helpful aspects of an OMS. As a manufacturing operation continues to grow, there needs to be a system in place to help with order fulfillment. An OMS can make life easier by supporting both the brand and the customers when it comes to tracking orders. In addition, a system with quick, efficient software can help with the logistics of tracking orders.
An OMS can be the best thing for your company if you are a business that typically sells through multiple channels or on multiple sites. It helps track orders both from your platform and others, which centralizes sales information and makes your business more efficient overall.
In fact, this does not just have to impact digital sales. A good OMS system can also help with orders placed in a store or over the phone if you also sell through those channels. Furthermore, an OMS, such as the solutions offered by Orases, can give you access to the status of orders, let you make necessary changes, and help you reach out to customers.
Managing the volume and movement of inventory is key for a manufacturer. With orders constantly coming in, it can be complicated to place and effectively fulfill each one. This is especially true if you are not on top of your inventory, which can lead to multiple issues, such as overselling, overstocking, and inaccurately projecting sales.
An order management system helps simplify the process of tracking your inventory. Software that updates your inventory levels in real time is the most beneficial because you always have a good idea of what stock you actually have access to.
Getting orders and products to customers promptly and consistently is key to running a successful manufacturing business. An OMS can be helpful in this regard as well. Order management systems can streamline the logistics of each order.
This is beneficial because it helps route orders correctly through the right shippers to the right warehouse. In addition, some systems can even produce shipping labels and more, which helps with the tricky logistics of selling and fulfilling orders.
As with any business, there will be challenging logistics. However, the typical challenges for a manufacturing business frequently come from returns. Handling and dealing with returns is an important part of your business, but it can become challenging if not dealt with properly.
This is where an OMS system comes into play. An advanced system gives you options for dealing with each return. This can mean cloning an order, resending an item, or allowing a full refund. Regardless, it makes managing the potential stress of the return process much easier to manage.
How Do Order Management Systems Work?
Understanding how different order management systems operate can be key to your business operations.
There are a few types of order management systems that should be looked at individually depending on your business, which can include:
B2B Order Management System
The first system to look at is B2B or “business-to-business” (B2B) systems. This software solution is designed for businesses that sell to other businesses. This process can be more confusing since quantities may have to be larger, and there tends to be more logistics involved.
If you run a B2B business, your system must automate certain aspects of the process, such as purchasing and fulfillment. Furthermore, it should also be able to track each stage of every transaction.
For example, if a client places an order online through your platform or a representative, the order should be automatically logged onto your OMS. It should then send the order confirmation to the client along with the payment request and notify the warehouse of the products ordered.
At this point in the process, the items will be packed and marked for dispatch. A notification should be sent to the client once the order is ready to be shipped. Once the order gets to its destination, the order should be marked as complete and it should notify the client.
Cloud-Based Order Management System
The second type of business that could benefit from an OMS involves digitized order management. Digital paperwork is needed for these types of transactions, and the systems utilized are mostly for smaller businesses. Therefore, a cloud-based OMS solution is the right choice in these situations.
These solutions automatically back-up data to the cloud. More simply, this data is stored offsite. As a result, cloud-based OMS solutions can lead to increased customer satisfaction for B2B and B2C (Business-to-Consumer) companies. Here are some of the benefits of a cloud OMS system:
- Updates: A major benefit of a cloud-based OMS is that customers receive real-time updates on their order status. Whether it has just been shipped or has arrived at their front door, they will be informed. This process helps customers keep track of their orders, especially if there may be delays in shipping.
- Shipping notifications: Clients love shipping notifications. Cloud computing offers these notifications for every shipment, making orders easy to track.
- Saves time: This order management system saves valuable time. Instead of requiring an employee to sit and update the status of orders, they can work on other business matters and let the system seamlessly take care of updates.
- Payments for subscriptions: Cloud computing runs on subscriptions, meaning companies can invest more or less depending on what benefits them, providing helpful options.
Multichannel Order Management System
If your company has been experiencing more sales, it may be challenging to take care of. More sales mean more challenging order fulfillment and a lot of logistics. As a result, operation scopes tend to broaden, and it becomes important that you continually fulfill your orders.
A multichannel OMS can streamline your process of fulfilling orders both online and offline. As you get orders, the system continually updates inventory and stock levels as the orders are placed. This system is beneficial for both you and your customers.
Choose the Right System for Your Business
After analyzing how these systems work and the benefits they offer you, then you are ready to select an order management system that will be most advantageous and beneficial for you and your business. However, before making a choice, there are a couple of things to remember.
Consider the goals and objectives of your company. For example, you may want some aspects and functionalities of the software but not others. Moreover, as you grow, you may need to expand the scope and functionality of your OMS over time. The OMS development team at Orases can help coordinate with the management team to help you make the best decision for you and your business!
Management Software From Orases
If you run a manufacturing business, consider investing in an effective order management system. Not only will it make it much simpler for you to deal with orders, but you can also streamline the process, making it easier for you and your customers.
Which order management system would be the most effective for you? Partnering with a company such as Orases allows you to work with professionals dedicated to helping you. To get started, reach out to one of our order management system specialists today.