E-commerce · Definition

What is Order management system (OMS)?

An order management system (OMS) is software that tracks each order from the moment it is placed through payment, fulfillment, shipping and returns, often across several sales channels and warehouses. It acts as the central record of orders between storefronts, inventory and the ERP.

Why it matters for your business

An OMS prevents overselling, routes orders to the right warehouse and gives customer service one place to answer status questions, which matters once a business sells on more than one channel.

Example

A retailer selling on its website, a marketplace and in two stores uses an OMS to route each online order to the nearest location with stock and send tracking updates automatically.

Related terms

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