A recent benchmark study by Retail Systems Research found that 46 percent of retailers are planning changes when it comes to distributed order management this year. The importance of having the right inventory at the right place in order meet fulfillment needs is not a new one. What is behind this sudden spike in interest, and how can retailers prepare for it?
Amazon is being viewed as one big driver of this change. As retailers scramble to keep up with Amazon, more and more of them are investing in true omni-channel distributed order management systems (OMS).
Making the Most of Opportunities
Amazon stands out on account of its stellar customer experience, which starts when customers place their order and continues far beyond the receipt of their goods. Retailers need to make the most of the advantages they have over Amazon – namely, their brick-and-mortar stores. By using them as local inventory hubs, they have the opportunity to bring customers their products in record time while adding a personal touch. None of this is possible, of course, without enterprise-wide inventory visibility and sound distributed order management.
Before making progress in this effort, retailers need to decide whether they’d like to create an in-house solution or enlist the help of a solution provider. Many retailers lack the resources to create a robust tech solution, so a provider is often a good choice. They also need to determine whether they want to turn to an existing vendor for an application or use a best-of-breed solution that can provide the omni-channel functionality and constant updates needed to reap the most benefits.
Omni-channel OMS investments pay off by helping retailers make better decisions about where to keep stock. OMS data is superior to POS data because it extends beyond inventory that was bought and fulfilled from the store across all channels, giving retailers the big picture and allowing them to maximize profit margins.
This blog post was based off of an article from Inbound Logistics. View the original here.