Drew | Business Insights

Efficient order management in your factory: How to achieve it?

Written by Drew's editorial team | May 1, 2022 2:08:00 PM

Everyone has felt the disappointment of waiting for an order to arrive that we have made and that the wait is never-ending. Sometimes, in the worst case, the order never shows up. While it may have been lost in the mail, there's a good chance the company just didn't get your orders organized. Let's make sure that never happens to you or your customers. Informed customers are satisfied customers: By keeping them informed about the process of managing and shipping their items, you will make them trust your company and make them feel like they made a smart purchase decision.

As your factory grows, it will naturally have an increasing volume of orders coming in and being shipped. Manage these orders so your customers feel you have their back, whether they're the only one or one of the thousands.

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Great order management includes both the feeling you give your customers and the actual organization of your own business, and both are important parts of any business. The goal is to make it easy for you and stress-free for your buyers. Here is a step-by-step guide to help you manage your orders more accurately and efficiently, thereby building a great reputation with your customers.

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Order management process: receiving an order

The first step in all of this is that wonderful moment when someone decides to buy something from you.

Keeping track of these incoming orders can be relatively simple when starting. But it gets much more complicated as more and more orders start pouring in from various sales channels.

Here are some things to think about:

Processing payment

Not accepting a payment correctly is like flushing a sale down the drain.

All that hard marketing and conversion work was unnecessarily thwarted at the last minute by a faulty or difficult-to-use payment system.

Therefore, choosing a payment processor that is highly reliable and safe is an absolute must to maintain a quality order management process. Without one, you can miss out on multiple sales. Or worse: completing an order without realizing that the payment has not yet been made.

Highlight special orders

Some commands require more attention or are more timely than others. For example: If a customer has paid for express delivery, then there needs to be something to highlight this to the warehouse team that prioritizes it above all others.

But here's a pro tip: This is also an opportunity to go above and beyond and create a "wow" experience for certain customers.

So if someone spends a certain amount, this can be highlighted and a little 'bonus gift' can be included. Or a discount code for your next order.

Consolidate multichannel orders

Listing on multiple online channels is a great way to increase overall sales.

But without a proper system in place, it's also a great way to sell more and lose orders. It's not an eCommerce order management process to be proud of.

You could log in to each sales channel and manually export orders from each one to a centralized spreadsheet.

However: This can be a huge waste of time (and your sanity) as the business grows.

The solution? An order management system that automatically consolidates orders in a back office. It's worth the investment - both in terms of saving time and eliminating errors.

 

Order management process - Order fulfillment

Two immediate things matter in your e-commerce order management process once payment has been made: Speed and accuracy of payment fulfillment.

An Ampersand survey indicated that 64% of consumers would prefer next-day or same-day delivery, and research by Loqate found that 57% are reluctant to buy something again if delivery is late.

In a few words: 

The sooner a customer receives an order correctly, the happier they will be.

So let's take a look at how to make sure of that...

Order preparation process

As a manufacturer, you are well aware of how complicated it can be to get the selection process right when hundreds (or even thousands) of orders are placed every day.

The first point of call should be that a company is operating with the correct selection method for its size.

Here's a quick review of the top four methods to choose from:

  • Single order. This is simply where each order is picked up and returned to the packing station, one at a time.
  • Batch picking. A picker is assigned a certain number of orders to pick at one time before returning them all to the packing table.
  • Picking area. Each picker gets his/her own 'zone' in the warehouse with items being added to an order as it passes through each zone.
  • Total collection. All zones are selected at the same time and brought to a centralized desk for consolidation and packing.

The packing process

The packing stage is more than just throwing items into a box as quickly as possible.

It is an opportunity to be completely sure that you are sending the right products to the right customers and in the most efficient way.

Here are some things to consider:

  • Check the accuracy of the order. Checking that each item comes in with the correct order as it is packed in a great fail-safe check. (Note: Using a barcode scanner here will make this much quicker and easier.)
  • Box size. Shipping companies now tend to build dimensions into their prices, so having 3-5 standard box sizes to choose from helps keep costs down without being too confusing.
  • Use the appropriate packaging. Some packaging materials provide more protection but cost more. Therefore, choosing the right type for the right order is a must.

Ready to ship

Now that you have successfully selected and packed the order, all that remains is:

  1. Print the appropriate shipping label (and invoice, if you haven't already done so).
  2. Mark the order as shipped in the relevant sales channel (or order management system).
  3. Send 'shipping confirmation' and 'tracking' emails to the customer (a good order management system will do this automatically).

 

Order management process: post-sales experience management

A quality eCommerce order fulfillment process doesn't end at the point of shipment.

To be a high-performing entrepreneur, you need a system in place to track and provide a great after-sales experience for every customer.

Doing this correctly can build a huge amount of brand strength, loyalty, and trust.

Customer tracking

Following up and keeping customers as informed as possible is a great way to reduce the risk of buyer's remorse and build loyalty.

Order, shipping, and tracking information emails are the least businesses can do. But going the extra mile may involve working with a courier service to provide delivery updates through messages as well.

Order, shipping, and tracking information emails are the least businesses can do. But going the extra mile may involve working with a courier service to provide delivery updates through messages as well.

And then a simple automated follow-up email after delivery to ask if there were any issues is a great way to start nurturing a customer towards their next purchase.

 

Order management efficiency tips

With all this in mind, it is worth considering some general tips to improve the efficiency of your overall order management process:

1) Use an all-in-one system

One of the biggest drawbacks to the speed, accuracy, and overall efficiency of order processing is having to log into multiple different systems: trading platforms, marketplaces, multiple carriers, a returns system, and more.

Having an all-in-one system that links multi-channel ordering, inventory, shipping, and returns on a single platform is the solution.

2) Print bulk shipping labels

Printing individual shipping labels can be a monumental time waster. Even more so when it comes to high volumes of orders from multiple channels.

So using a system that allows you to mass print hundreds of labels in just a few clicks can save you and your team many hours each day.

3) Automate

The less you and your team have to do each day, the better. Especially when it comes to just repetitive tasks. Free up more time to devote to active business growth. For example:

Choose a platform that allows you to create automated order rules. Therefore, you will be able to put many repetitive tasks on autopilot, such as:

  • Add labels to high-value orders so you can pay special attention to them.
  • Routing of orders from certain countries or zip/postal codes to the most appropriate warehouse.
  • Choose the best shipping service based on what the customer selected at checkout.
  • Besides, many more options for a variety of triggers, conditions, and automation actions.

 

Incorporating a good order management process into your factory is a sure way to increase customer satisfaction and keep them coming back again and again. How are you doing that?