Digitization is not a go or no-go question, but rather a question of when. Many retailers are shifting toward omnichannel order management and fulfillment. They have a good reason for this change – omnichannel works. When companies use an omnichannel system, they see higher purchase frequencies, higher average order values, and increased customer retention rates. Omnichannel order management and fulfillment allows you to meet your customers’ needs and desires more effectively. In turn, you see return customers and more sales.
As retailers begin to implement omnichannel fulfillment, many are changing from a classic IT function to a modern technology architecture. These IT-based changes are necessary to enable all fulfillment scenarios. However, many retailers are running into challenges as they attempt to implement a new order management system (OMS).
Here are three common reasons why OMS implementations fail, plus steps you can take to bypass these problems and succeed in your business.
1. Not modernizing the tech stack
The first reason OMS implementations fail is that retailers don’t recognize the need for an API-first solution. In order to benefit from a higher degree of modularity and have the ability to adapt to rapid change, retailers need to leave behind their traditional monolithic commerce platform. Instead, retailers should move forward and modernize their tech stack by using cloud-based and SaaS platforms.
By using an API-first commerce platform, retailers can move into their new OMS without needing to completely re-platform. An API-first solution will allow you to easily connect the new technology with your current order management process and other systems. Use the systems you already have in place and integrate your new API platform with them.
Modernizing your tech stack has other benefits, too. By using the systems you already have in place, you can launch in 90 days or less. Implementing omnichannel order fulfillment doesn’t have to be a daunting re-platform project. When you utilize this step-by-step approach, you can train your employees and store associates as rapidly as possible. Training on-boarding will be much easier when your app and workflow are simple and efficient. In the end, your project risk will be reduced—and your time-to-market will be, too.
Don’t make the mistake of not modernizing your tech stack. Use an API-first solution to quickly get your new OMS off the ground. The API system will be easy to start up and more sustainable in the long run. When your revenue starts to go up, you’ll thank yourself for choosing this type of system.
2. Lack of scalability and flexibility
Often, OMS implementations fail because retailers don’t make sure their new OMS is flexible enough. Your new system needs to have not only the scalability but also the flexibility to quickly adapt to any changes in commercial process or technology development. If your OMS is not adaptable, you’ll end up losing both time and money.
To ensure your system will work long-term, choose to invest in a platform that aligns with both your current and future business needs. An API-first platform that integrates with your existing commerce system, plus any third-party platform extensions, needs to easily scale up and down as your organization grows. Over the years, you might want to provide more control for CSRs to play with the Product Information Management solution or extend fulfillment capabilities like ship to store or split shipment. You don’t want to invest in a rigid architecture. This will ensure you pay only for what you use. It will also allow you and your business to be more flexible, able to work with any changes or issues that might occur in the future.
3. Not having the analytics you want and need to troubleshoot
The final reason why OMS implementations can fail is that retailers don’t use analytics to troubleshoot problems. A modern OMS should give you the data and visibility you need, acting as a window into complete store fulfillment analytics. The platform should capture all the key fulfillment events that go along with every order, giving you insights on the types of orders being sent for store fulfillment, the performance of the various stores as they fulfill those orders, and the performance of your overall store fulfillment program.
When you have this data in hand, you can zero in on any specific order and fine-tune problems more effectively. You can also connect with the development teams to improve your business processes and generate results. Having an OMS that includes complete analytics is essential to keeping your fulfillment process running smoothly.
With the right support, you can conquer OMS implementations with ease.
Choose an OMS that is flexible, scalable, and efficient. Our platform is future-proof and composable, which means we provide a tailored solution to fit your needs. Our scalable business model allows you to start fast and grow as you go. We believe in enhancing what you already have, not ripping and replacing. We leverage your existing technology, so you don’t have to worry about costly re-platforming. We create the building blocks omnichannel retailers and grocers need to shape their commerce ecosystem.