New Logistics for a New Culture: Omnichannel Solutions Drive Retail Success
DOM Rules the Supply Chain
Distributed order management (DOM) is another key to a sustainable and efficient omnichannel solution. DOM creates an intelligence layer across all distribution channels, allowing retailers to fulfill an order from the most optimal location. It includes all of the business rules that inform shipping locations, a retailer's inventory options, shipping costs and the ultimate impact that these elements have on customer satisfaction. The right 3PL partner knows how to devise and implement DOM to overcome the challenges of legacy inventory systems, address cultural challenges and ensure that you can track inventory accurately across the entire supply chain. By leveraging a DOM strategy, retailers can also avoid huge losses by eliminating the markdowns often required to move merchandise.
When it comes to ensuring the best customer experience, returns management is another important element of omnichannel success. Consumers want to be able to buy online, have the option to return in-store and, if necessary, place an alternative order and have it shipped directly to their home. With an effective returns management system, driven by intelligent software that tracks every SKU sold through any channel, retailers can deliver on the promise of a truly seamless omnichannel solution.
Most retailers understand that omnichannel is essential to their current and future success; they're already working toward solutions that make them more competitive. In the end, the biggest winners will adapt the fastest and most universal to meet all consumer demands. The time is now for retailers … your customers are waiting.
Curt M. Bimschleger is the senior vice president, retail logistics, at GENCO, a third-party logistics provider for retailers.