Discover how an OMS can streamline your e-commerce operations, reduce costs, and enhance customer satisfaction. Learn about the key features and benefits of implementing an order management system
The Power of an Order Management System for E-commerce Businesses
Imagine this: you’re the proud owner of a booming online clothing business. What started as a small venture has grown into a well-known, thriving brand. Sales are skyrocketing, and orders are pouring in around the clock. From the outside, it looks like everything is running seamlessly—because high demand and soaring sales are every e-commerce entrepreneur’s dream, and you’re living it.
However, like any business, the behind-the-scenes tells a different story. In e-commerce, it’s often the ordering system. It’s okay to admit that, at times, your ordering process feels like pure chaos—an overwhelming mix of confusion and disorganization.
In the beginning, manually managing orders felt straightforward—even enjoyable. There was a certain excitement in jotting down customer details on sticky notes or spreadsheets, tracking orders, updating inventory by hand, and handling fulfillment tasks. As the business grew, it stayed manageable, though slightly hectic—until the demands of manual order management became completely overwhelming.
The once smooth process began to crumble, leaving in its wake errors, incorrect orders, stock-outs, and lots of irritated customers, which ultimately left you frustrated and wondering where you went wrong.
But here’s the thing: You did nothing wrong. Your business has simply outgrown the manual system you started with—which is a challenge nearly every successful e-commerce entrepreneur has faced. With the constant lookout for something different, this is where an Order Management System (OMS) steps in.
What is an Order Management System (OMS)?
An Order Management System is the solution that has revolutionized how order fulfillment works. It is the ultimate helping hand every e-commerce business owner should invest in because it takes the chaos of manual order management and transforms it into a streamlined, automated process.
From capturing customer details and tracking orders to managing inventory, picking, packing, delivery, and other logistics, an OMS ensures a smooth flow of data between all the components of your operation. It does what you can’t do alone – seamlessly execute orders across all your sales channels.
In today’s customer-centric and high-expectation-filled e-commerce world, an OMS isn’t just a tool—it’s the backbone of a business that’s ready to scale and succeed.
OMS beyond Fulfillment Ordering
One of the reasons the Order Management System stands out is that it does more than just help fulfill orders. While that is its main function, Standvast’s proprietary OMS extends its capabilities far beyond that. It integrates seamlessly with your sales channels (website, socials, etc.), inventory systems, and shipping partners, creating a centralized hub for all your operations.
An OMS streamlines all your back-end operations, effectively boosting your efficiency, setting you up for scalable growth, and making sure your customers are happier each and every time.
Standvast OMS streamlines operations for growth and customer satisfaction.
The E-commerce Order Management Process
To understand the value of an OMS and how it works, it’s important to examine the steps customers must follow to complete the ordering process.
Order Placement
When “Buy Now” or “Add to Cart” is clicked, the ordering process begins. Essential information, such as customer details and order(s), product quantity, delivery dates, and shipping and delivery preferences are captured and routed for processing.
Order Verification and Processing
All details and information are verified once the order has been placed to catch potential errors. Payment details are checked, stock levels are confirmed, and once the verification process is complete, everything is prepped for fulfillment.
Order Fulfillment
Once payment is confirmed, the fulfillment process begins—covering picking, packing, and preparation/processing for shipment. The OMS software streamlines and automates this entire process from start to finish, ensuring efficiency and accuracy. By double-checking each step, it minimizes the risk of errors, saving valuable time and guaranteeing order accuracy.
Shipping and Tracking
With built-in logistics provider integrations, an OMS partners with multiple carriers and 3PLs. This helps in choosing the best carrier or 3PL with the best shipping options and rates. All orders are tracked in real-time, by the distributor and the customer, keeping everyone in the loop.
Delivery and Confirmation
Once the package has been delivered to the customer, the OMS system captures the delivery information and other confirmation details. This closes the loop with a seamless experience that leaves the customers happy to buy from you again.
Order Management System (OMS) in E-commerce
An OMS helps maintain optimal inventory levels and reduce landed inventory costs.
So, Why Invest in an Order Management System?
Here are five additional reasons why you should invest in an OMS.
1. Centralized Order Management:
One of the reasons an OMS is highly recommended is its ability to effortlessly take all orders from multiple sales channels and streamline them into a centralized one. Think of it as a single control tower for all your orders. From purchase to delivery, an OMS processes them from one unified dashboard, ensuring nothing falls through the cracks.
2. Inventory Management
Running out of stock without realizing it is every e-commerce business owner’s nightmare—it feels like losing control of your own inventory. On the flip side, overstocking can be costly and wasteful. This is where an OMS steps in as your extra set of eyes. It understands that manually managing inventory is overwhelming and inefficient. With real-time visibility, an OMS gives you the control and insight you need to manage your inventory effectively and confidently.
3. Automated Workflows
Automation is paramount for any business to thrive, and in e-commerce, the three main aspects of logistics – picking, packing, and shipping must be automated to enhance the workflow of your supply chain. By automating the workflow of your processes with an OMS, manual labor is significantly reduced, errors are minimized, speed and accuracy are enhanced, and all operations are efficiently maximized.
4. Shipping Management
Shipping is a critical aspect of e-commerce that requires precise management and tracking. Any disruption in the shipping process can lead to losses, both financial and reputational. To prevent such issues, integrating an OMS is essential.
OMS is widely adopted in the e-commerce industry and works seamlessly with a vast network of carriers and 3PL providers. With an OMS and the most competitive shipping rates accesed with a shared services model, brands always get the most cost-effective and efficient option. By streamlining shipping management, an OMS ensures a smooth, optimized, and hassle-free fulfillment process.
5. Customer Order Tracking
Customers today want transparency in every aspect of their ordering process. An OMS can offer real-time status updates on orders. This way, customers can stay informed every step of the way, eliminating the flood of “Where’s my order?” emails. This system builds trust and transparency, and also helps improve customer satisfaction.
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Importance of Leveraging an OMS for E-commerce
An Order Management System (OMS) is more than just a convenience—it’s a game-changer for scaling and streamlining your e-commerce operations. Here’s how it can revolutionize your business:
Boost operational efficiency
One of the key reasons software systems are highly recommended for any business is their ability to significantly enhance operational efficiency. This is the case with utilizing an OMS for e-commerce. By automating core tasks, optimizing resource allocation, and centralizing ordering processes, costs are significantly reduced, thereby improving and fortifying fulfillment turnaround time.
Efficient business operations will always give you a valuable competitive edge. Streamlining your processes, positions your brand to stand out in the market and stay ahead of the competition.
Optimize inventory
An OMS strikes the perfect balance between sitting on loads of inventory and being out of stock. In e-commerce, effective inventory management is crucial—a single mistake can result in financial losses or damage your brand’s reputation. An OMS offers a centralized platform for real-time inventory oversight and management.
By optimizing inventory processes, an OMS enhances stock level accuracy, prevents overstocking and understocking, and boosts order fulfillment rates, ensuring a smoother and more efficient operation.
- Node Splits
OMS can enable seamless order fulfillment across multiple fulfillment centers when a single site cannot fulfill an order in full. Integrated via API, the OMS first attempts to fulfill orders from a single site but can intelligently split orders across locations if necessary, reducing manual intervention and increasing reliability. Node Splits ensure efficient fulfillment without disrupting warehouse operations by optimizing shipments to minimize costs and splitting only when essential.
Node Splits intelligently fulfills orders across multiple fulfillment centers when a single site lacks inventory
Enhance customer experience
At the core of e-commerce success lies an exceptional customer experience. An OMS is essential for ensuring accuracy, transparency, and timely delivery—all critical factors in driving customer satisfaction. By streamlining your supply chain operations, an OMS enhances the overall customer journey, helping you build trust, foster loyalty and brand evangelists while ultimately maximizing profitability.
OMS as a Tool for Competitive Advantage
One of the key benefits of modern technologies and software in business is their ability to enable data-driven decisions that drive growth and improvement. Time and again, it has been proven that leveraging the right software not only enhances operations but also helps businesses stay ahead of the competition.
In e-commerce, an OMS is the backbone that drives data-driven decision-making. It delivers real-time insights into sales trends, inventory levels, and customer behavior, offering invaluable data for strategic business planning. Customers today want more than just “I buy, I get, end of transaction”—they crave personal experiences. Businesses that meet this demand gain a significant competitive edge. Ultimately, if your goal is to build a loyal, repeat customer base, an OMS is an essential tool to make that happen.
Leveraging an OMS for data-driven decision-making unlocks actionable insights that drive business success. It’s not just about analyzing numbers—it’s about turning data into intelligence that helps you anticipate demand, prevent stockouts, and fine-tune your product offerings.
Think of it this way: an OMS isn’t just a tool for order fulfillment—it’s a tool for exceeding expectations, expanding product diversity, and building lasting customer relationships.
How to Choose the Right Ecommerce Order Management Software
Before you say yes to the Order Management System, consider the following factors:
Scalability:
Ensure the OMS provider can adequately and effortlessly scale with your business. It should also have more than enough capacity to handle a large volume of orders when they come in during high-peak seasons.
Integrations:
This is very important to consider. Ensure the OMS can integrate with other tools, systems, or services you are currently or plan on using —especially with Amazon and Shopify.
Cost:
Make sure you have a clear understanding of the cost of the OMS software.
Capabilities:
Does the OMS offer essential features, such as streamlined order workflows, real-time visibility, fast and transparent tracking, robust data analytics and reporting tools?
Conclusion
Standing out in the e-commerce industry starts with leveraging an Order Management System. Think of it as your treasure map, guiding you with precision towards success. It’s no secret that as the e-commerce industry evolves, so do the demands and expectations of customers. To stay ahead, an OMS isn’t just an option, but a necessity.
An OMS is the cornerstone of any thriving e-commerce business, giving them the much-needed advantage they need to adapt to the ever-changing market dynamics and exceed customer expectations.
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