In the past an order management system was really something that we only saw in large scale businesses. Thankfully however, with advancing technology and lower costs than ever before, this is now something which is incredibly accessible to small businesses and it is essential that small business owners gain an understanding of just how profitable the implementation of an order management system could be. There are both savings and money to be made when it comes to the use of an OMS and here are just some ways in which your business is going to profit.
Capital Tied Up
A very common problem which many small businesses have is that much of their capital is tied up in slow selling stock. After a while the decision has to be made as to whether to take a small loss on the stock in order to free up that capital, or to simply sit and wait, having your spending power restricted. With an order management system however this will very quickly become a thing of the past because it will only order based on what is required and what as been forecasted in terms of sales. This increases cash flow and enables the business to invest in stock which is fast moving and which will make money.
The idea of an order management system is that it maintains maximum availability for products in your store and in doing that you are able to always deliver for your customer. A business which has issues around stock will veery quickly make customers look elsewhere and that of course will see your business lose sales and profit. Using an OMS will not only help your business to maintain maximum stock levels but it can also spot customer trends and ensure that stock is in place and in abundance when it is required.
When someone comes into the business and they are asking for a particular product, the most professional thing that you should do is to be able to give them a clear answer straight away. Having an order management system will enable you to very quickly find out whether or not the product is in stock, and then give a direct answer to the customer. Even if the product is not in stock, you will be able to use the OMS to tell the customer exactly when it will be in. This shows true professionalism and it also increases the customer opinion of the business. If you simply tell the customer that you don’t know when the product will once again be stocked then you give the appearance that you really don’t know much about your business and what is going on, and that of course will deter customers in the future, where again you could lose money.
True leaders are extremely effective communicators. In fact, communication might be the number one skill because leaders have to constantly deal with people and performance management in a way that is both effectively and timely. Leaders deal with the people they manage, clients, business partners, and more, and being able to be in the right mode of communication at the right time is important.
Ultimately an order management system is something which is going to be highly profitable for your business and it is an essential tool for any small business.