Order Management Systems (OMS) have become essential for businesses managing high volumes of transactions, enabling companies to handle, track, and fulfil customer orders across multiple channels. As e-commerce continues to grow, OMS solutions have evolved, with artificial intelligence (AI) now playing a central role in enhancing speed, accuracy, and scalability.
One company leading the way is Allsop, which has redefined its order management through an advanced AI-driven OMS, significantly reducing human error and transforming its operational efficiency.
Here’s a closer look at how order management systems work, the role AI plays in improving these systems, and how Allsop’s approach is setting new standards in order fulfilment.
What is an Order Management System?
An Order Management System is a digital solution that organises and automates the order lifecycle—from order placement and inventory management to fulfilment and returns. The main functions of an OMS include:
- Inventory Tracking – Providing real-time visibility into stock levels across warehouses and retail locations.
- Order Processing – Managing customer orders, payment processing, and automating workflows.
- Shipping & Fulfilment – Coordinating logistics for timely, accurate delivery.
- Customer Management – Keeping customers informed of order status and enabling returns or exchanges.
By centralising these tasks, an OMS reduces delays and improves accuracy, delivering a smoother, more transparent experience for both businesses and customers.
The Role of AI in Modern Order Management
As businesses grow, so do their supply chain complexities, and traditional OMS solutions may struggle to keep up. AI has transformed OMS by enabling:
- Automated Data Analysis: AI can sift through vast amounts of data, identifying trends and predicting demand, optimising stock levels in real-time.
- Error Detection and Correction: AI’s pattern-recognition capabilities can detect anomalies in data, such as errors in order quantities or shipping addresses, which can then be flagged or corrected automatically.
- Smart Decision-Making: AI-driven algorithms provide recommendations for inventory replenishment and routing strategies, helping companies avoid stockouts or overstock.
- Natural Language Processing (NLP): This allows the OMS to communicate with customers in real time, responding to order status enquiries and addressing common questions without human intervention.
How Allsop Leverages AI to Improve Order Processing
Allsop has integrated AI within its OMS to set a new standard, dramatically minimising human error and accelerating order processing. Here’s how they’re using AI to achieve outstanding results:
1. Automated Data Validation to Reduce Human Error
For many companies, manual data entry errors can be costly, leading to delays, stock discrepancies, and dissatisfied customers. Allsop’s OMS uses machine learning algorithms to automatically validate data as it enters the system. This includes:
- Cross-checking Order Details: The AI-powered system reviews each order for anomalies, such as unusual quantities or duplicated entries, which might otherwise go unnoticed.
- Error Prediction and Prevention: Using historical data, the AI model can predict where errors are likely to occur based on past patterns, flagging and correcting them in real time. For instance, if an order lacks a delivery address or includes incompatible items, the system can automatically alert staff or provide an immediate fix.
This automation minimises the need for human oversight, significantly reducing the potential for costly errors and improving the accuracy of every transaction.
2. Accelerated Order Processing with Intelligent Workflow Automation
Allsop’s AI-driven OMS has transformed order processing by optimising workflows at every stage. For example:
- Automated Order Routing: Orders are dynamically routed to the optimal warehouse or fulfilment centre based on inventory levels, location, and shipping preferences. This reduces processing time, allowing orders to reach customers faster.
- Real-Time Inventory Management: Allsop’s OMS uses AI to monitor stock levels and forecast demand. The system instantly updates when items are sold, ensuring accurate inventory data across all sales channels. This enables rapid decision-making and reduces backorders or delays due to insufficient stock.
These intelligent workflows allow Allsop to process thousands of orders simultaneously with minimal delay, eliminating bottlenecks and enabling consistent, on-time delivery.
3. Enhanced Customer Experience through Predictive Analytics
Customer satisfaction is closely tied to transparent, reliable service. Allsop’s AI-enhanced OMS uses predictive analytics to:
- Anticipate Delivery Times: AI-driven insights help forecast realistic delivery timelines based on factors such as order volume, warehouse location, and shipping conditions, ensuring customers receive accurate ETA updates.
- Proactive Issue Resolution: By analysing historical data, the AI can detect patterns that often lead to customer complaints, such as high-return items or common shipping delays. Allsop can then take proactive measures to rectify these issues before they impact customer satisfaction.
As a result, Allsop has seen fewer customer service inquiries and faster issue resolution, resulting in a more positive experience for their clientele.
4. Data-Driven Inventory Replenishment
AI’s predictive capabilities don’t just streamline order fulfilment—they also optimise inventory management. Allsop’s system can:
- Predict Demand Fluctuations: AI models assess seasonal patterns, current sales data, and even external factors like market trends to forecast demand for various products.
- Automate Restocking Decisions: Based on these predictions, the system can trigger automatic restock orders, preventing both overstock and stockouts.
With optimised inventory replenishment, Allsop can meet customer demand seamlessly, minimising storage costs while maximising order fill rates.
The Results: Increased Efficiency and Cost Savings
Since implementing their AI-powered OMS, Allsop has reported substantial improvements across their operations, including:
- 90% Reduction in Human Error: Automated data validation and error detection have nearly eliminated manual mistakes.
- 50% Faster Order Processing Times: Intelligent workflows and automated routing have cut down on processing time, allowing faster delivery.
- Improved Customer Satisfaction: Accurate delivery estimates and proactive issue management mean that customers experience fewer disruptions and are more likely to return for future purchases.
- Significant Cost Savings: Reduced errors, optimised stock levels, and streamlined workflows contribute to substantial savings, allowing Allsop to reinvest in other areas of their business.
For businesses navigating today’s fast-paced e-commerce environment, efficiency and accuracy are essential. Allsop’s use of AI within their Order Management System illustrates how advanced technology can drive significant improvements, from reduced errors to enhanced customer satisfaction. As AI continues to evolve, it’s likely that even more capabilities will become available, pushing the boundaries of what’s possible in order management.
Allsop’s experience demonstrates that AI-powered OMS solutions are not just about handling orders—they’re about enabling smarter, faster, and more scalable business practices that meet the demands of a digital-first world.