Order management is a critical aspect of running a successful eCommerce business. An Order Management System (OMS) helps streamline and automate the order fulfillment process, from the moment a customer places an order to the final delivery. For BigCommerce store owners, an OMS can provide significant benefits that improve operational efficiency, customer satisfaction, and overall business growth. In this post, we’ll explore what is OMS, how it works, and why implementing one is essential for BigCommerce merchants.
What is OMS?
An Order Management System (OMS) is a powerful tool that centralizes and simplifies the process of receiving, tracking, and fulfilling orders across various sales channels. For BigCommerce store owners, understanding “What is OMS” and its importance is essential in today’s complex retail environment.
An OMS collects orders from multiple sources—including your BigCommerce website, mobile app, in-store purchases, and third-party marketplaces—into a single, unified platform. This integration enables efficient management of diverse customer preferences, whether they choose in-store pickup or home delivery.
For BigCommerce stores, an OMS is crucial for effectively managing multi-channel orders and enhancing the customer experience by meeting varying expectations for ordering and fulfillment. It optimizes inventory management, preventing overselling through real-time tracking across channels, and supports efficient, distributed order management, which allows your business to operate more cost-effectively as it grows.
In the competitive eCommerce landscape, implementing an OMS is key to streamlining operations, improving customer satisfaction, and driving growth for your BigCommerce store.
Practical Operation of an Order Management System
Learn more about what is OMS by taking a look at how an order management system can optimize your business operations.
Building a Unified View of Stock
The OMS creates a comprehensive inventory view by consolidating product availability across all company stock locations. This includes warehouses, websites, physical stores, suppliers, marketplaces, resellers, and projected future inventory.
The system then combines this information and distributes it to all sales channels, along with details on available delivery methods for each product and shopping cart. As a result, retailers can offer a wider range of products to customers at any given time.
Handling Customer Orders
Orders are categorized into two types: online and offline.
- Online orders
Customers purchase through eCommerce websites, marketplaces, or by phone. For available items, buyers can place orders immediately and receive real-time information on delivery options and dates.
If an item is out of stock but a restock is scheduled, the OMS informs the eCommerce platform. Customers are then advised to check back later or, if permitted, place a pre-order with the understanding of extended delivery times.
- Offline orders
These are in-store purchases. If an item is unavailable in-store, customers can still place an order on-site. Store staff, using tablets, can access the unified inventory system to check item availability across the entire network of stock points.
Orchestrating Orders
The OMS invisibly orchestrates order fulfillment, selecting the best stock point based on various scenarios:
- Using pickup store stock for Click & Collect orders
- Prioritizing warehouse stock for high-demand online orders
- Fulfilling Order in Store requests from other locations
For multi-item orders, products can be sourced from different points. This may affect delivery times, so customers are offered options like:
- Immediate collection/shipping of available items
- Complete order delivery (home or store) when all items are ready
Ensuring Order Payment and Confirmation
An Order Management System (OMS) plays a critical role during checkout by connecting with the retailer’s omnichannel payment platform via API. When a customer is ready to pay, the OMS ensures that the total amount is displayed correctly on the online payment module or in-store point-of-sale system. The customer then provides their payment details, the payment processor validates the transaction, and the OMS accepts and confirms the order. Understanding what is OMS is essential for recognizing its impact on efficient order processing and customer satisfaction.
Upon confirmation, the OMS assigns a unique tracking number to the order, enabling its progress to be monitored until delivery.
Delivering the Promise
After order confirmation, the order management system:
- Links the selected stock point with carriers based on chosen delivery methods
- Sends preparation orders to Warehouse Management Systems (WMS) via API
- Enables printing of shipping and return labels, especially for Ship from Store orders
- Coordinates the entire process, simplifying tasks for store staff
Using the assigned tracking number, customers can monitor their order’s journey: from carrier handover to final delivery.
Managing Returns
The OMS streamlines returns processing according to each retailer’s policy, a process known as Reverse Logistics. Regardless of the return method, in-store, warehouse, or customer service, the OMS:
- Links returns to original orders, initiating refunds via the initial payment method
- Smartly reintegrates items into store or warehouse inventory based on preset rules
- Restocks depleted store inventories
This orchestrated approach enhances efficiency in managing returns and maintaining optimal stock levels.
Why Do You Need OMS for a BigCommerce Store?
Implementing an OMS for your BigCommerce store can significantly enhance your operational efficiency and customer satisfaction. Here’s why know what is OMS is crucial:
- Tighter inventory management: An OMS provides enhanced inventory management capabilities. It offers a consolidated view of inventory across all locations, allowing you to optimize stock levels to meet customer demand while minimizing excess. This comprehensive view prevents missed sales due to fragmented inventory information, ultimately improving cash flow and boosting customer loyalty.
- Reduced data entry: Data accuracy is greatly improved with an OMS. By reducing manual data entry across sales and fulfillment processes, the system minimizes errors by using consistent information throughout. This streamlined data flow ensures more reliable operations and reduces the risk of costly mistakes.
- Visibility: An OMS provides organization-wide access to real-time order status, enabling all team members to track orders efficiently. Customers can also track their orders directly, which enhances the overall customer service experience.
- Analysis: An OMS dashboard also informs strategic choices by allowing you to track key performance indicators, identify sales patterns and trends, and accurately forecast sales and inventory levels. This wealth of information empowers you to make informed decisions that can drive your business forward.
Get to Know Atom8 – Solution for Order Management System
Atom8 is a powerful OMS solution designed for BigCommerce stores. This BigCommerce automation tool streamlines inventory management and operational control, serving over 6 million shoppers annually and executing more than 130,000 automated actions monthly.
Atom8’s integration with BigCommerce offers robust automation features, enabling efficient order tracking through automated email updates. It also enhances security by flagging high-risk orders for inspection.
With Atom8 from GritGlobal, BigCommerce store owners can optimize their order management processes, improve customer satisfaction, and boost overall operational efficiency.
To Conclude
An OMS is a necessity for BigCommerce store owners looking to stay competitive and meet evolving customer expectations. By centralizing order processing, optimizing inventory management, and streamlining fulfillment, an OMS like Atom8 can significantly enhance your operational efficiency and customer satisfaction.
To take your BigCommerce store to the next level with a robust OMS, contact us today to learn more about what is OMS and how Atom8 can transform your order processing and help your store thrive in the digital marketplace. Let’s work together to optimize your operations and drive growth for your BigCommerce store!
