Order management system
An order management system links information and processing steps for an order. Individual lines can remain in different states.
What is an order management system?
An order management system, or OMS, is software for coordinating the order lifecycle. It supports order management by linking order data, inventory allocation, delivery status and further processing steps. Which functions it performs itself and which it receives from other systems depend on the solution and its integrations.
A fictional gardening shop considers the already paid order O-94, containing plant labels and tying twine. The labels are ready; the twine is expected with a future goods receipt. In this example, the customer has agreed to a partial delivery. The team plans to bring together availability, allocation, shipping and remaining quantity for each line in the OMS. The first shipping notification should not close the still-open line. The customer should be able to see which part is on its way and which is outstanding. Payment status and delivery progress are tracked separately.
Sources
Related terms
- Inventory managementInventory management brings quantities, locations and states together. Physically present goods are not automatically available for further sales.
- Inventory reservationAn inventory reservation assigns a quantity to an order or purpose. It becomes unavailable for other operations even though it has not been shipped.
- FulfilmentFulfilment covers the operational preparation and shipping of ordered goods. Picking, packing, handover and delivery need traceable events.
- DropshippingWith dropshipping, a supplier sends the sold item directly to the customer. Shop orders, supplier orders and updates need to match.
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