Ecommerce glossary > Order management system

Order management system

What is an order management system (OMS)?

An order management system (OMS) is a method used by businesses to centralize the tracking and handling of essential operational functions like inventory management, sales, order fulfillment processes, and returns. There are many different types of order management solutions, including manual order processing, ecommerce platforms, and order processing software systems. Having an OMS platform or software can help prevent human error when handling customer orders, helping businesses optimize their operational processes while creating a more seamless customer experience. 

What can an OMS do?

An OMS can handle many vital functions for both ecommerce and brick and mortar retailers. It can track and monitor customer orders, which is particularly important for omnichannel businesses that operate across a variety of channels. It can perform inventory management, helping optimize forecasting and prevent issues like overstocking products. It can manage aspects of order fulfillment, handling processes like printing shipping labels, and can streamline the processes of returns, refunds, and exchanges.