26.6 C
Wednesday, January 19, 2022
HomeSupply ChainKey Considerations for Effective E-Commerce Fulfilment

Key Considerations for Effective E-Commerce Fulfilment

As a consumer, we at least encounter one of such incidents as receiving the wrong item, delayed missing shipment, damaged or defective items, etc. If customer service is difficult to reach, refund or replace are delayed, it is unlikely to have satisfaction and trust by consumers again because of the unfortunate incident that happens to them. But on the other side, like an e-commerce business owner, dealing with returned goods or reversed logistics can be irritating and frustrating. But if these complaints left unresolved, it could overwhelm e-commerce businesses.

The infographic below shows an e-commerce fulfillment process.

Image taken from https://roadbull.com/Our-Services/GEMS-Fulfilment

Understanding E-Commerce Fulfilment

E-commerce fulfillment is defined as the steps taken from receiving, storage, pick and pack, finally ship out to end customer. However, fulfillment can be done by three different types of methods depending on the scale of business that the seller is running.

Drop shipping is a fulfillment method whereby the customer’s order fulfills directly from the manufacturer or wholesaler. Basically, this fulfillment method, the seller does not keep, store inventory or purchase goods upfront. Instead, the seller will only pay for the goods after the order made by customers. However, using a robust inventory management system is crucial as it will allow sellers and suppliers to have prompt sharing of information.

The full content is only visible to SIPMM members

Already a member? Please Login to continue reading.

Lai Chee Long, DLSM
Lai Chee Long has substantive experiences in the field of warehousing and logistics management. He has been a warehouse leader for ten years and is a member of the Singapore Institute of Purchasing and Materials Management (SIPMM). Chee Long completed the Diploma in Logistics and Supply Management (DLSM) on December 2019 at SIPMM Institute.

Most Read