Softeon: 3PLs Can Leverage DOM to Increase Revenue, Differentiate versus
Just Pick, Pack and Ship Offerings
October 27, 2021
identified a number of opportunities for third-party logistics providers (3PLs)
to leverage Distributed Order Management (DOM) software to drive revenue
opportunities and create market differentiation.
Softeon’s VP of Client Services, Satish Kumar, and Chief Marketing Officer, Dan
Gilmore, shared those insights on a recent webinar in partnership with the
International Warehouse Logistics Association (IWLA). Softeon is the leading
provider of supply chain software, including DOM and WMS to the 3PL sector.
Softeon’s Distributed Order Management system is a powerful platform that
enables 3PLs to offer services such as the following:
Advanced Order Management - far beyond basic order entry. This includes such
capabilities as back order management, subscriptions, new product introduction,
virtual kits, inventory allocation, order scaling, and vendor drop shipping.
Integration with Virtual Marketplace Platforms - such as Shopify,
Amazon, Channel Advisors, BigCommerce, Salesforce, and many others.
Optimal Order Routing Capabilities - providing clients a sophisticated
platform to define order sourcing rules and execute them dynamically. The DOM
easily supports strategies such as “pop-up” DCs - just one of many examples.
Inventory Balancing Services - especially for 3PLs operating “hub and spoke”
networks, with DOM optimally determining how inventory received at hubs should
be distributed across the “spoke” network, based on a variety of factors.
Returns Processing - allowing 3PLs to create customer RMA’s and send a
return label to a customer or enable customer self-service.
Order Management can allow 3PLs to move beyond highly competitive, low-margin
pick, pack and ship offerings to offer a higher level of differentiated
services,” says Softeon’s Kumar.
Softeon finds that DOM can also be used to improve the efficiency and
profitability of traditional order management functions, including faster
on-boarding of new clients, significantly reducing the number of times each
order must be touched, and providing a single source of the truth.
“We have seen a substantial increase in inquiries from 3PLs on DOM, sometimes
stand-alone, sometimes with WMS,” Kumar added, saying, “DOM is becoming a
‘must-have’ for growth-focused 3PLs in terms of fulfillment services.”