Types of Order Fulfilment

 Types of Order Fulfilment


A big aspect of Order experience and Order delivery experience is what happens in the Order Management System. Order fulfillment is a process that is used to describe several things. It is all related to different phases of a product’s sales life.

These are the main Objectives:

  • sourcing inventory from the supplier 

  • storing your products

  • picking, packing, and shipping your orders

For E-commerce businesses, this process starts even before a customer ever places an order. When someone says “order fulfillment,” most people like to think of a shipping clerk checking orders, or packing shipments, and putting on labels. When in fact, there are various processes involved here and there are numerous factors that are advantageous and disadvantageous.


ORDER FULFILMENT GOALS


Three factors to consider when it comes to the fulfillment method of any size of online business are speed, accuracy, and cost-effectiveness. Therefore, you need to find an approach that suits you and the needs of the business so that you can optimize your Order Fulfilment strategy.


TYPES OF ORDER FULFILMENT 

There are four kinds of order fulfillment methods that you can integrate in your approach. These are:


  1. DROPSHIPPING


In this method, there is no need to keep stock or perform the fulfillment in-house. In dropshipping, when a customer purchases a product, that order goes to a third-party supplier who is then responsible for fulfilling and shipping the order to the customer. 


  1. SELF-FULFILLMENT


Unlike in Dropshipping, in Self-fulfillment, you are responsible for managing the fulfillment process. This can be done from a store, warehouse, garage, or any other place. You have to store inventory, pack boxes, and ship them out. 


  1. FULFILLMENT SERVICES


In this method, Third-party logistics (3PL) companies are responsible for handling all aspects of the order fulfillment process, on your behalf. This method takes the pressure off you, and let’s you focus on all the other parts of the business. These companies handle the receiving, storing, picking, packing, and shipping of your inventory.


  1. HYBRID 


You don’t have to use one single approach for your Online Business. You can mix it up to suit the needs of your business. For example, merchants who sell and fulfill their own products can supplement their catalog by including some related drop shipped items. You can run a self-fulfillment operation from your main branch, and outsource an additional fulfillment center where your other branches are. Fulfillment solutions can be as varied as the businesses that use them. In case of some products taking longer to ship than anticipated, make sure to have a shipping policy in place. 


Understanding your order fulfillment strategy is extremely important. This is a crucial part of your Order Management System. We at Fenix Commerce, offer all kinds of Order Fulfillment Solutions that fit the needs of your business. These are the approaches that we look at when it comes to Order Fulfilment. 



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