Order Management System for Businesses

Shopping is virtually entirely conducted online, and competition has never been fiercer. Retailers must be shock-resistant and adaptable to flourish in this hyper-accelerated climate.

To overcome the hurdles inherent in an online-only economy, companies need a more robust digital presence. This includes selling on marketplaces, establishing new sales channels, and even partnering with retailers. How are you going to meet client expectations—and the competition? A component of the solution is an order management system.

What is a Business order management system?

Order management is the process of handling and fulfilling online orders on the back end. This comprises order routing and label printing, as well as returns and subscription administration.

Order management systems (OMS) automate and integrate the whole order journey. This enables businesses to create consistent consumer experiences across all channels on a large scale. Moreover, order management systems allow operators to handle orders that originate from various sales channels and are fulfilled by various fulfillment stations. It enables automated communication between service providers and consolidates data into a single interface.

The Importance of Order Management Systems

Without an order management system in place, most companies would struggle to develop. Customers want order fulfillment to be quick, cost-effective and customized. Manual error is not an option. Employees should be concentrating their efforts on enhancing the brand experience, not on triaging backorder SKUs, contacting carriers, or printing paperwork.

  1. Swift delivery 

In an age where two-day delivery has become the standard, businesses must discover methods to expedite the fulfillment of orders. Fulfillment windows are becoming smaller. The automation that an order management system may give is critical in this situation.

When a client puts an order, an OMS may automatically choose the warehouse or fulfillment site closest to the incoming order’s destination. Moreover, it may determine the mode of fulfillment based on order data and even order history.

  1. Fewer errors 

A sound order management system minimizes human mistakes. Human-caused errors are a significant time and money drain on enterprises and are the leading cause of fulfillment issues in many warehouses. An order management system may help you manage multichannel inventory and optimize your warehouse by providing you warnings when stock levels fall below a certain level or when you have too much and need to sell.

  1. Increased scalability

An order management system will be able to expand in lockstep with your business. Unlike old systems or manual input, a rise in omnichannel fulfillment requirements will not overwhelm an order management system that has been installed correctly.

A Step-by-Step Guide to the Order Management Process

The order management lifecycle is governed by the goal of delivering an exceptional client experience. From order placing through delivery, and even returns and reimbursements, an order management system attempts to meet the consumer’s demands from start to finish.

  1. Exploration

Even before a consumer submits a sales order, the order management process begins. When consumers add an item to their online basket, the order management system may immediately modify an inventory. Additionally, the system may notify you when an item is added to the cart or abandoned.

  1. Placement of orders

When a consumer purchases, the order management system interfaces with your back-office systems to handle credit card payments and order data. Moreover, after approval, the order may be sent to fulfillment.

  1. Order processing

An OMS will optimize warehouse selection based on the order information and its proximity to the order destination. It will then compute shipping prices and the quickest carriers automatically based on selected parameters.

  1. Management of warehouses

OMS may connect with your vendors and suppliers in advance to arrange for the shipment of merchandise to that warehouse. Stock-outs may also be avoided if your order management system can automatically generate a purchase order when level of inventory falls below a threshold level or when a reordering threshold is reached. The technology may improve staff productivity by identifying the location of an item throughout the warehouse.

Also check: Warehouse Management System

  1. Transportation

When the warehouse completes the picking, packing, and shipping of the items, the order management system may notify the client that their order has been dispatched. Additionally, it may advise customers of the expected delivery date depending on their shipping address and purchase details. More importantly, both you and the consumer may follow the delivery as it makes its way to its destination, which might be their house or a shop location.


In the realm of ecommerce, an order management system is the way of the future. It is the optimal technique for giving clients the rapid, customized, and error-free order fulfillment experience they have grown to expect. As a retailer, you are continually required to think more quickly, more personally, and more modernly. Order management systems of the modern-day are built to provide outstanding client satisfaction in each of these areas.

Planning to develop a order management system for your business? feel free to contact leading  eCommerce development company and get a free quote today! 

Also check: Field Service Management Software

Written by:

Muzammil K

Muzammil K is the Marketing Manager at Aalpha Information Systems, where he leads marketing efforts to drive business growth. With a passion for marketing strategy and a commitment to results, he's dedicated to helping the company succeed in the ever-changing digital landscape.

Muzammil K is the Marketing Manager at Aalpha Information Systems, where he leads marketing efforts to drive business growth. With a passion for marketing strategy and a commitment to results, he's dedicated to helping the company succeed in the ever-changing digital landscape.