The basics of back office operations in e-commerce
How to Manage Your Ecommerce Back Office Operations As more and more businesses rush to switch from offline to online, we find ourselves in a modern gold rush. But just like gold miners, there are winners and losers to being successful online. While sales and marketing are essential elements of omnichannel success online, an often overlooked element is missing in the equation: operations. Because if back-office operations are not included as a mainstay of your omnichannel strategy, you risk lower sales. Today, many businesses use a Timor Leste Email List combination of spreadsheets and legacy software to manage back-office operations :
inventory tracking, planning, ordering, and more. However, these manual processes and disparate systems quickly fall apart. So what should you do? How do you manage inventory, plan product demand and deliver the right product to the right customer? The answer, of course, depends on what you’re trying to do. In this article, we’ll go over the different types of back-office systems to help you determine exactly which one you need and get you on the road to automation. 4 types of back-office systems in e-commerce back-office operations The most popular back-office systems for managing e-commerce operations include Order management systems;
Inventory management systems; Warehouse management systems;
Enterprise resource planning software. Each has a specific feature that can improve efficiency, and selecting the right system will depend on the needs of your specific business. 1. Order Management Systems (OMS). Order management systems Let’s start with Order Management Systems (OMS). At its most basic level, order management means how you manage orders from the time the customer completes their order until they receive their item. And the system is the method (s) you choose to complete the process. This means that your OMS will manage the processes related to orders and their fulfillment, such as: Assigning orders to the appropriate warehouse for shipment; Order processing; Providing a record of data on the status of orders and the inventory they contain. The most important thing to keep in mind is that OMS software,
unlike manual processes and e-commerce platforms, will help you automate. And automation is essential when looking to sell more and grow your business. 2. Inventory management systems (IMS). stock management system Now let’s move on to Inventory Management Systems (IMS). Inventory management (sometimes referred to as inventory control) is all about monitoring the quantities and locations of your products. It represents the entire product lifecycle – whether it’s sitting on a warehouse shelf with your dispenser, being processed, or being returned by a customer. So when you can effectively track your inventory, you know exactly how much of each item you have, which items are depleted, and when you need to replenish them.
The only downside to dedicated inventory management software
Is that it can get complicated for businesses with multiple technology systems that need to work together. 3. Warehouse management systems (WMS). warehouse management system So, if you already have an IMS, why would you need a Warehouse Management System (WMS)? While some people use IMS and WMS interchangeably, there is one key difference in the latter: it is specific to warehouse operations. As SkuVault explains, a WMS is an important part of your supply chain that manages inventory, picking processes, reporting, and auditing. Your WMS can work with your IMS to track items as they move through the storage, picking, and packaging process.
In addition, a WMS can supervise multiple warehouses and centralize information to facilitate the distribution of goods. Some warehouse management software can also help you automate the kitting and grouping process, which can potentially increase your sales. 4. Enterprise Resource Planning (ERP). business resource planning Finally, we have reached enterprise resource planning (ERP) systems. ERP systems encompass many functionalities. In fact, another term for ERPs is a business management system, for the very reason that they can handle multiple areas within your e-commerce back-office operations.