The recent advancements in e-commerce and online shopping have been quite beneficial for businesses. People prefer to order their required things from the comfort of their homes, instead of going all the way to the markets and getting tired. Online shopping is the number one mode of shopping nowadays with generating revenues worth millions every year. This is a very positive situation for businesses as well as a country’s economy. E-commerce has also allowed new business opportunities that were not present in the past. The order fulfillment center is such a business that is a by-product of online shopping. Businesses hire order-fulfillment centers to keep the inventory of their products and then deliver it to the customers as per their orders. It is a completely new genre of business that is very profitable and successful nowadays.
Order fulfillment centers are third-party business partners that only over-look to the collection and distribution of the products and they have no relation to the process of manufacturing and development. This business is not as simple as it may seem and can be a bit hard to be understood by a lay-man. The order fulfillment process is explained in simple words in this article to help you grasp its concept and to guide you appropriately to start this business.
- Collection of products
The very first step of the order fulfillment process is the collection of the products of the client’s company. These fulfillment centers are only a mode of effectively delivering and distributing products to the customers so the products are acquired from clients. Keeping a proper inventory of all the products is very necessary to keep a check on all the stocks and merchandise. Maintaining an up-to-date inventory of all the products is also very essential to keep a check on all the in-stock products.
The received goods should be properly stored at the fulfillment centers keeping a special check on the temperatures and fragile products. To eliminate the risk of damage and breakage, special care should be taken on the storage process. The storage facilities should have ample storage space to keep all the stocks properly stacked.
- Receiving orders
Customers who place orders online, the order request goes directly to the ecommerce fulfilment department. They receive orders from all over the world and after checking the inventory the order gets confirmed. They have to make sure that the order they are taking is of the in-stock items and never take orders of products that are out of stock.
- Shipping the orders
Shipping and delivering the orders within a specified time is very necessary for the order fulfillment centers. The goodwill of the company is as stake so they have to be efficient and mindful of delivering the orders in time. The shipping process can be carried out by a third party delivery service as well.