Most manufacturers are aware that producing a product is not the only step as they also need to undertake order fulfilment which is how the customers get these products. Order fulfillment, is one of the processes which requires direct contact with the customers which means that it also directly affects the customer satisfaction levels. In order fulfilment, the process starts with receipts of a customer’s order which is the packaged and sent. Technology has seen the change of business models where e-commerce allows business to be conducted online. This has allowed for all parties to be able to follow what is happening within the chain. Companies who deal with manufacture of a lot of products, or those who receive numerous orders may consider outsourcing the function of order fulfilment such that they free up their human resource to concentrate of manufacturing of high quality products.
The ability of an order fulfillment company to meet the customers’ orders is among the first things one should gauge before choosing the company to work with. One can check if the order fulfilment company has an e-commerce platform or the infrastructure to run an already existing one. This is because the manufacturing company as well as the customers need to be in a position where they can track an order in real time. One should also look if the order fulfilment company is able to communicate efficiently with them as well as the customers at this company will become a link between them.
One should also look into low the order fulfilment company prices their services as it will directly affect the selling price of these products. Different companies will have different pricing policies with some charging a price for each product being delivered while others will have a fixed monthly charge. The manufacturers should analyze the company whose pricing policy best favors them by having the least incremental cost. One should also consider if the order fulfilment company offers storage as this will help them reduce the inventory related costs that the manufacturing company deals with. This is because inventory attracts allot cost in handling and storage.
Since no system is immune to errors, a manufacturer should engage the order fulfillment compnay for them to explain how they handle errors when they do occur with the most preferred being companies that have a history of low error rates. Errors could vary depending on a situation with the most common being delivering products to the wrong quantities or delivering to the wrong address. The ability to notice the errors correct them when they occur is also something that an order fulfilment company should have in place.