Many logistics companies struggle with improving performance because of current market conditions. Properly managing the supply chain, fulfillment, and shipping processes is integral to a company’s success. Technology solutions such as an OMS, WMS, and TMS can help to optimize the processes.
What is an Order Management System?
Tracking, fulfilling, and shipping orders across multiple channels can be difficult for companies. An order management system (OMS) organizes the entire sales process from the time an order is placed through the return process if necessary. OMS platforms provide one centralized location to manage orders from all sales channels. This makes it easier to track orders, inventory, fulfillment and returns. Orders can be accepted from various channels such as an app, website, or social media platform.
How it Works: An OMS provides visibility into inventory at the warehouse and in stores from third-party suppliers, which assists in inventory planning. The OMS provides fulfillment with order capture, pick, pack, and shipping actions including drop shipping, confirmations, and customer communication. An OMS automates parts of the purchasing and fulfillment processes after an order is placed. It also monitors inventory levels to avoid depletion. Employees and customers are able to view an order throughout its lifecycle with an OMS.
Why Do Companies Need an OMS: Even companies with a single selling channel benefit from the structure of an OMS to receive orders, process payments, ship and track orders and manage returns. Overall, OMS software can boost the bottom line while providing a better experience for customers.
OMS Through Verizeal: Verizeal integrates an OMS seamlessly with areas of your business such as supply chain and CRM’s (Customer Relationship Management). This gives your business a single platform that will coordinate all levels of the supply chain as well as give business insight into the entire fulfillment process. Efficiency is created because it improves the ability to fulfill orders efficiently and quickly. Customer satisfaction improves, as does cash flow and profitability because an OMS helps to fulfill an order, even complex ones, as cost effectively as possible.
What is a Warehouse Management System?
Part of the e-commerce and retail world today is being able to fulfill an order quickly and cost-effectively. Since there are many stages of the product’s journey, warehouse management software solutions are needed. A Warehouse Management System (WMS) manages products, streamlines processes, and saves money. It tracks materials and goods as they come into and leave the warehouse as well as assists employees in picking and packing orders. The system has all of the inventory data so when an order is placed, it automatically checks on what is available.
How it Works: Warehouse management solutions come in many different types and can vary depending on how complex they are. Many companies use more complex systems because they offer more benefits. While there is variation among the software, most WMS are able to identify and sort receiving inventory and reconcile the shipment against the purchase order. This information is available on the software’s dashboard, eliminating the need for manual methods of reconciliation.
Why Do Companies Need a WMS: Because a WMS keeps track of which products are being ordered most often, it can help optimize the warehouse set up. Raw materials can be placed for stocking and manufacturing. A WMS is integral to a strong supply chain because the warehouse is the central hub of a company’s logistics process. The supply chain can only run as efficiently as the warehouse allows.
WMS Through Verizeal: Verizeal offers a cloud-based WMS that is hosted through a remote server so software updates are handled as soon as possible. Because the shipping process is so fast-moving, it is important to eliminate any confusion in the warehouse. A WMS is the best way to optimize the warehouse processes to save time and resources.
What is a Transportation Management System?
A TMS or Transportation Management System is a software solution that manages the logistics functions such as planning and forecasting, optimizing routes, managing payments, and executing and tracking shipments. From the warehouse to final destination, a TMS gathers tracking information and records the progress of a shipment. It is able to load plan and execute as well as track the freight once it has been sent out.
How it Works: A TMS uses complex algorithms to optimize each shipment. A TMS automates the freight tendering process using the shipper’s routing guide. It sifts through freight booking data instead of manually measuring carrier capacity and capacity so the best decision regarding carrier can be made.
Why Do Companies Need a TMS: Shippers are able to save time throughout the entire shipping process. A TMS provides detailed reports on the carrier networks and facilities and offers performance insights to help with future planning. Shippers are able to create strategies that reduce expenses through analyzing the data. According to Peerless Research Group’s Warehouse Software and Automation Survey 2022, 26% of companies are using a TMS, with about half achieving an ROI within 12 months, indicating that this software is well worth the investment.
TMS Through Verizeal: Verizeal’s platform simplifies the delivery process with route calculations powered by AI. This reduces costs while enabling fast and reliable transportation. Verizeal’s TMS can significantly improve shipping processes with complete visibility while ensuring data security and transparency.
Which Is the Right System for My Company: OMS, WMS, or TMS?
Most companies rely on multiple platforms to optimize their supply chain and fulfillment processes. These three systems help with the supply chain and shipping processes, but they differ in the way that they work. Each system offers different solutions and benefits. While some companies use a WMS to manage transportation and a TMS to manage the warehouse, for example, they are unique systems that work best when used for their correct purpose. These software integrations make it easy for companies to manage their entire supply chain and make improvements to their business. When all three systems are used in conjunction, optimal production takes place to save a company more time and money. Verizeal can help guide your company through exactly what systems will benefit it the most.