Distributed Order Management – DOM

Distributed Order Management – DOM

Omni-Channel Retailing is the evolution of ”Multichannel ecommerce” multi-channel retailing, but is concentrated more on a seamless approach to the consumer experience through all available shopping channels, i.e. Web, mobile internet devices, computers,  Bricks and Mortars, Direct Mail, TV/Radio, catalog and so on. Retailers are meeting the new customer demands by deploying highly specialized multichannel supply chain strategy software.

Omni-channel retailers carry merchandise that is customer-centric and is not specific to any channel(s). Research has shown that Omni-channel shoppers spend up to 15%-30% more than multi-channel shoppers and exhibit strong brand loyalty, often influencing others to patronize a brand. Supply chain visibility is necessary to enable Omni-channel sales

Preparing for an Omni-channel presence will require a heavy investment of both time, and money. Communications between the IT department, marketing department, and sales staff will need to be as smooth as possible with little confusion about goals and strategies. A clear and thorough understanding of the customer, or target market, is required to be able to make appropriate decisions about channel integration and usability. Because bricks-and-mortar sales influenced by online search are four times higher than total e-commerce sales, Omni-channel retailers need to be informative, personable, always connected and allow channel transparency.

When it comes to delivering a truly positive “commerce anywhere” customer experience, today’s retailers need to be able to flow content and context across all channels with ease and consistency. Retailers also need to provide a complete package of pricing and product information in real-time and across every channel. Achieving this depends on having the right product content layer and multichannel commerce application in place.

The emergence of the Omni-channel shopper demonstrates why multichannel retailing is evolving. As consumers become increasingly channel agnostic, retailers need to ensure content seamlessly follows consumers on their cross-channel journey — providing the right information and incentives to maximize the purchase decision-making process at each and every point.

DOM is utilized to dynamically link network inventory with demand. Sales Order Management and Purchase Order Flow Management are the high level functional processes utilized within DOM to manage inventory flow within an organization.

Key points of Sales Order Management (SOM)

  • Assign order priority for constrained inventory
  • Substitute inventory when orders allow alternate items
  • Define order sourcing priority and sequencing
  • Allocate inventory to match order quantities
  • Distribution order creation to generate fulfillment instructions to facilities
  • Distribution order release to transmit fulfillment instructions to facilities
  • Monitor and receive status updates from facilities as distribution orders process

Key Points of Purchase Order Flow Management (POFM)

  • Dynamically allocates projected demand against future and in-transit inventory
  • Generates an order against future demand by comparing in stock available inventory against model stock
  • Provides visibility of model stock for optimal allocation decisions
  • Utilizes demand forecast data for optimal distribution of supply

S3 Group Inc

Inside S3

S3 Group is a Premier Consulting firm providing strategic supply chain solutions and services to the Logistics/Supply Chain industry.

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Discount Retail Chain based in Georgia, USA

S3 Group is our partner in maintaining and supporting our WMS systems for several years. Their expert knowledge in WMS Operational, Functional and Technical areas has assisted us tremendously. The S3 team worked with us in our initial implementation of WMS and their MHE integration knowledge has helped us in implementing a new Print and Apply and Sorter system. S3 Group is always ready to assist with our needs in an expedient and professional manner. Their team goes above and beyond in supporting our initiatives.

WMS Analyst II,
IS Department

Specialty Retail CIO

S3 Group knowledge in Retail and Supply chain helped us tremendously when we implemented Retail ERP with WMS. They delivered the project on time and within our budget.

Specialty Retail Group CIO