Transparent supply chains in e-commerce: Distributed order management with neuland

Omnichannel for Douglas means having up-to date inventory across all channels as well as a clear and transparent process that is flexbile to their growing needs. This meant integrating a new order management system into stores and e-commerce shop.

The Challenge

• Complexity of omnichannel management systems for the ordering process

• Decentralized warehouse management using different warehouse management systems

• Integration of stock from stores and marketplaces

• Merging orders from different shopping baskets

• Need for smooth order fulfillment and delivery after payment and order entry

The Solution

• Development of a modern order management system (OMS)

• Separate logistics processes from the online store

• OMS controls all logistics companies

• Transparency and flexibility in the supply chain

• Break down order processing into steps and events

• Introduction of various fulfillment options from online warehouse, stores and marketplace partners

• Predict delivery and service times and track disruptions

The Outcome

• More transparency in the supply chain

• More efficient logistics through standardization and data analysis

• Standardized data basis for reporting: better customer communication

• More satisfied end customers thanks to transparent, flexible fulfillment processes

• Ability to connect new warehouse without changes to the shop

The newly developed OMS is a seamless experience from online shop side. At all times the logistics module yields reliable information ensuring stock info across multiple channels and warehouses. This ensures that all orders reach customers on time and in full. The OMS also forms a standardized interface between the store and logistics providers. This makes it easier for Douglas to connect new warehouses.

Transparent supply chains and smooth processing

Our customers need to have insight into their supply chain in order to inform their customers about order status and changes to the order as soon as possible. Accurate estimates therefore require transparency – from purchase to acceptance of the goods. And should there be a return by a customer, this needs to be covered, too. "We make sure that orders actually reach the customers," says Achim Grimm (software developer and architect), summarizing the project.

Improved omnichannel capabilities

With the enhanced omnichannel capabilities of the new OMS, orders can now be processed in stores if they were placed online. There is a seamless experience between online and in-store ordering and fulfilment – something that customers come to expect from Douglas. The new OMS improves transparency in the supply chain and processes are better controlled. This significantly reduces complexity in the online store and reporting.

More flexibility in order processing

The OMS breaks down order processing into individual steps. These steps — such as warehousing, transport, picking, and parcel services — can be used independently of one another. Standardized interfaces ensure transparency across all services. Intelligent data analysis helps identify optimization potential.

The OMS also enables the integration of several online stores into the warehouse, including country or brand stores. Marketplace partners are connected via the Mirakl platform. The most important options for online stores are

• Warehouse Fulfillment: Shipping from the central online warehouse, with additional services such as greeting cards or product personalization.

• Marketplace deliveries: Marketplace providers make offers available. The price sovereignty remains with the seller and not with the supplier. The guarantee is provided by Douglas.

• Sale on account of third parties: Shop operators only mediate, the marketplace partner issues the invoice.

• Ship From Store (SFS): Shipping directly from the stores.

• Click & Collect Express: Fast collection of goods from stores.

• Instant Delivery: Fast delivery by courier services directly from stores.

We can offer these options to our customers through the OMS, but they are used differently depending on the customer and country. Many of these models can be combined, but some are mutually exclusive. For example, a marketplace partner cannot send a bicycle courier from its central warehouse.

Transparent delivery processes for better customer communication

Our Order Management System (OMS) enables us to plan delivery times and service times even more precisely. The increased transparency ensures that we always know when an order will arrive. If there are any problems, every step can be tracked - from the measures taken to communication with the customer. Thanks to a process for data delivery - across different warehouses, carriers and countries - everything remains in view and we can react faster and more efficiently.

Modern architecture for logistics processes

Our system is based on advanced development methods. We use the principle of Domain Driven Development (DDD) and rely on a so-called hexagonal architecture. In addition, our code is test-driven and maintainable, so the software has a long life cycle and is future-proof. This means that all important aspects of orders and returns can be mapped and summarized as independent units. Every change creates a permanent event that is made visible.

This method makes it possible to display all processes transparently and to inform other systems of all relevant changes. For example, a message about a dispatched parcel is sent both to the online store and to the parcel tracking and reporting systems. We use monitoring and alerts directly from the application to monitor the most important business figures (KPIs) and ensure that the processing of an order in the warehouse does not take longer than expected.

ADVANTAGES AT A GLANCE

The OMS is tailored exactly to the needs of Douglas. Advantages are:

• decoupling of store and warehouse

• less process complexity

• More transparency across the entire supply chain

• Flexible processes

• Optimization through intelligent data analysis

• Better customer communication

• Easier handling and greater transparency thanks to clearly defined system boundaries

• More efficient logistics and cost benefits thanks to standardized interfaces

Conclusion: a secure, flexible and future-proof platform

With our OMS, we have developed a transparent, flexible and secure platform together with Douglas that seamlessly connects the logistics processes to the online store. The system manages all stocks and is at the heart of all logistics processes. It is a "system behind the system" that keeps an eye on everything.

We want to further improve the system in the future. For example, we plan to send missing items from other warehouses, from marketplace participants or from stores. Stores are now also connected to the online store via the OMS and can therefore help the warehouses. In the long term, our OMS can support and optimize almost all post-order processes.

At neuland, we take great care in developing our systems in such a way that they are flexible and modular . This means that the technical systems can work independently of each other to solve specific customer challenges. In this way, we ensure that our solutions are always tailored exactly to the needs of our customers.