In e-commerce, logistics and order fulfilment decide whether the customer experience is good or bad. Even with great marketing, late deliveries or frequent returns reduce trust and profitability.
This topic typically asks:
You should be able to:
An OMS (Order Management System) is a system that manages the order lifecycle from order placement to delivery and returns (concept).
Key OMS functions (exam points):
Customer places order
|
Payment confirmation (or COD validation)
|
OMS allocates inventory / reserves stock
|
Warehouse/fulfilment: pick -> pack -> label
|
Handover to logistics partner
|
Line haul + hub sorting
|
Last-mile delivery to customer
|
Delivery confirmation
|
Support / Returns (if any) -> Reverse logistics -> Refund/Replacement
Exam tip: draw this flow for 5 marks and label 8–10 steps.
Inventory decisions affect:
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Any six steps (concept):
Flowchart:
Order -> OMS Allocate -> Pick/Pack -> Ship -> Hub -> Last-mile -> Delivered
Pick-pack-ship (concept):
Any three points with correct meaning are sufficient.
Ecommerce is a method of buying and selling goods and services online. The definition of ecommerce business can also include tactics like affiliate marketing. You can use ecommerce channels such as your own website, an established selling website like Amazon, or social media to drive online sales.
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In e-commerce, logistics and order fulfilment decide whether the customer experience is good or bad. Even with great marketing, late deliveries or frequent returns reduce trust and profitability.
This topic typically asks:
You should be able to:
An OMS (Order Management System) is a system that manages the order lifecycle from order placement to delivery and returns (concept).
Key OMS functions (exam points):
Customer places order
|
Payment confirmation (or COD validation)
|
OMS allocates inventory / reserves stock
|
Warehouse/fulfilment: pick -> pack -> label
|
Handover to logistics partner
|
Line haul + hub sorting
|
Last-mile delivery to customer
|
Delivery confirmation
|
Support / Returns (if any) -> Reverse logistics -> Refund/Replacement
Exam tip: draw this flow for 5 marks and label 8–10 steps.
Inventory decisions affect:
Types of inventory (overview):
Warehousing stores inventory closer to customers to speed up delivery (concept).
Fulfilment includes:
Good warehouse practices:
Last-mile delivery is the final step of delivering the package from the local hub to the customer’s address (concept).
Why it is challenging:
Ways to improve last-mile (exam points):
Returns happen when customers send products back (wrong size, defect, mismatch, etc.).
Reverse logistics is the process of moving goods back from customer to hub/warehouse/seller for refund, replacement, repair or disposal (concept).
Reverse logistics steps (simple):
High returns increase:
Therefore, improving catalogue quality, packaging, and delivery reliability directly improves profitability.
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Conclusion: Balance service level and cost using forecasting and efficient fulfilment (concept).