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6 Signs That You Need to Switch to an Order Management System

Derrick Weiss
November 8, 2018

The ecommerce industry is constantly evolving and advancing. That means that as your business is growing, the things that work for your operations today may not work for it tomorrow.

While it’s easy to keep doing what has always been done, it’s important to consider whether your current systems are keeping up with the growth and advancement of your business.

Your order management system isn’t going to last forever.

Consider whether it’s still efficient and has all the features you need for your growing business.

Does it integrate easily with other software and systems you use? Is it growing along with the business?

See how one client automated 100% of their ecommerce orders using the SkuNexus platform >>

As you consider these questions and others, keep in mind that continuing to use an order management system that is no longer efficient may end up costing you time and money that could be prevented by making the switch to a new order management software solution.

Of course, all change can be challenging. Determining when it is the right time to upgrade software isn’t as easy as it may sound.

To help you make the decision, here are six key signs that it may be time to make the leap into a new order management system.

Signs That It’s Time for a New Order Management System

The following are some of the most common signs that indicate that ecommerce businesses need to consider purchasing new order management software:

1. Managing Multiple Sales Channels is Becoming a Chore

To continue growing and remain competitive in the market, online retailers have to diversify by adding more sales channels*.

Online shoppers are increasingly tech-savvy these days, and they want to have options that allow them to shop and buy when and how they want to.

Expanding your ecommerce business into a multichannel or omnichannel* organization is essential.

But as you add more sales channels, including online marketplaces, brick and mortar stores, and other ecommerce options, you may find that keeping track of all of them is becoming harder and harder.

Your current order management system may not provide you with a solution that integrates all the sales channels you’re using.

That’s a sure sign that you need to upgrade to a system that allows you to manage all channels from just one common platform.

2. You Move a Multi-Warehouse Structure

Managing order fulfillment for an ecommerce business isn’t all that difficult when you are working with a single warehouse.

All inventory is kept at one location, making inventory management and shipping fairly simple.

But as you expand to using two or more warehouses - which is a great decision when it comes to providing customers with quick order fulfillment and delivery - you may find that the tools you are currently using make it harder to manage.

If you operate with multiple warehouses, the need for a solution that allows you to manage all sites, assign inventory to specific locations as you deem necessary, and still provides accurate, up-to-date inventory information.

If your current solution doesn’t give you those features, then it’s time to look for one that does.

3. You Want to Add In-Store Pickup or Fulfillment

It’s becoming more and more common for online retailers who also run brick and mortar stores to offer their customers the option of ordering products online and picking them up in-store*, and it has increased by 44% in recent years.

Additionally, shipping products directly from a store to an online buyer (bypassing warehouses) is growing in popularity.

Both of these options often prove to increase customer satisfaction, as it allows customers to receive their orders faster.

However, using these order fulfillment methods can be disasters waiting to happen if you don’t have an order management system that specifically allows for these choices.

When you add these features for your customers’ benefit, be sure that you take care of the backend of the process by investing in a fulfillment solution that makes it easy for you.

4. You Need a New System of Record

Having a comprehensive record of all ecommerce operations is crucial to growing an online business.

It’s only by having accurate data history that you are able to forecast inventory needs, expenses, and most importantly, sales and revenue.

As you increase your business’ visibility and reach to customers across multiple channels and warehouses, your systems must be able to maintain a true and accurate record of all that you do.

If your system doesn’t allow for that, you need to find one that does.

5. Your Order Fulfillment is No Longer Efficient or Affordable

Order fulfillment is an area that needs to be streamlined to provide the best customer experience for online shoppers.

If customers are not receiving their orders quickly from your business, they will look to your competitors for their products.

So, if you find that your order fulfillment process is slowing down delivery efficiency, it is a sure indication that the order management system you are using needs to be upgraded.

Additionally, if you are paying too much for your order fulfillment system, it’s time to shop around for one that streamlines processes, updates in real-time, and automates tasks, all in a cost-effective manner.

6. Too Much of Your Day is Spent with Manual Processes

A major part of streamlining your order management system is automating tasks so that you don’t have to waste time entering or tracking data manually.

Automation reduces time spent between tasks and decisions, increasing the overall efficiency of operations.

When you find that you are spending a lot of time manually performing tasks that could be automated, you are doing yourself, your business, and even your customers, a disservice.

An order management system that allows you to automate many of the tasks that you are currently performing manually will save you time, money, and lots of headaches. 

The Takeaway

If any of the above signs apply to your ecommerce business, looking for a new order management system is critical.

Consider the features that will help you and your team eliminate those warning signs that currently affect your business, and make sure that the solution you choose offers those features.

When you have the right system for your company, you will experience the growth you want, without the extra work.

At SkuNexus, we can help you streamline your order management process. Get a demo of our groundbreaking open source order management software, which has helped our clients reach 100% automation of all of their orders.

*Sources:
https://www.granify.com/blog/importance-omni-channel-customer-experience
https://www.smartinsights.com/ecommerce/multichannel-retail-strategy/importance-omnichannel-marketing/
http://www.mhlnews.com/global-supply-chain/store-fulfillment-have-biggest-holiday-season-yet

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