When it comes to using an order management system this is something which all small businesses should be looking to do. To understand why we have to look first into what is order management system benefits for the small business, in order to convince those who are not yet on board, to implement such a system. In the modern age this really is the smartest way in which you can order and manage stock and there are simply too many benefits to ignore.
Here are just some of the advantages of using this kind of system in a small business.
Management of Loss
No matter what size your business is, absorbing loss is something which can only happen on a very small scale. In order to properly manage loss however, we have to be able to understand where it is coming from and how frequently it is happening. Loss comes by way of wastage of broken items and shrinkage, which occurs through theft or miscounts. The only way that you can get a grip on this is through good stock management and an ordering system enables you to do just that.
Increased Customer Satisfaction
If a product is not in stock the customer wants to know why and they wish to know when you will have it once again. The only way in which you can deliver these two pieces of information accurately is through the use of an order management system. Initially this system will use all manner of metrics to ensure that stock is always in when levels are low, which of course prevents the conversation in the first place. Secondly we can use this system to be able to tell the customer clearly when the stock will be in, once again ensuring that the customer leaves with some level of expectation.
Small businesses simply cannot afford to have their liquidity tied up in slow moving stock, and this in fact causes a huge problem for so many businesses. The smart option here is to use an order management system to ensure that this doesn’t happen and to ensure that any stock is moving through at a steady rate and freeing up capital as it does so. Because of the metrics that an order management system will use, there will be no reason to buy an abundance of stock which won’t sell, and that is because the entire premise of the system is to order products as they are sold.
Ultimately the benefit of an order management system to small business is an increase in the visibility of stock levels. This helps to manage trends, it helps when you are looking to scale up and it greatly helps with the range of knowledge which you have around the business and its operations.
There really is no reason why any small business wouldn’t look to use an order management system when it comes to running their business.