13 Order Management Challenges (& Expert Solutions) for 2026

Updated Nov 19, 2025 • 37 min read

Order management challenges disrupt fulfillment operations badly. About 46% of businesses face problems because their systems are scattered. Your customers expect up-to-the-minute tracking and quick delivery - 67% of them, to be exact. Manual processes might leave you trailing behind your competition.

The numbers tell a tough story. Around 4 in 10 businesses deal with similar order management problems. Disconnected channels lead 42% of consumers to find conflicting information. Manual processes create errors and drive away customers while eating into profits. Companies that switch to automated order management cut their processing time by 40%. They also track inventory with over 90% accuracy.

Success in modern commerce relies on precise and agile fulfillment as much as products and pricing. The SaaS market will reach $120 billion by 2021, and digital solutions are growing faster than ever. Businesses can't afford to ignore these challenges anymore. Let's get into the 13 most critical order management challenges and expert solutions that will reshape your operations through 2025 and beyond.

Key Takeaways

Modern order management challenges are costing businesses billions, but implementing the right OMS solutions can transform operations and customer satisfaction:

Automation is non-negotiable: Manual order processing costs 30% more than automated systems, while automation reduces processing time by 40% and achieves 90%+ inventory accuracy.
Real-time visibility drives success: Only 6% of companies have full supply chain visibility, yet businesses with proper tracking reduce WISMO calls by 35% and improve customer satisfaction significantly.
Cart abandonment is preventable: With 70% abandonment rates often caused by shipping issues, offering flexible fulfillment options and transparent pricing can increase conversions by 20-30%.
Integration eliminates costly silos: 60% of organizational data remains inaccessible due to disconnected systems, but unified order management systems improve accuracy by 50% and reduce technical debt.
Scalable systems future-proof growth: As e-commerce approaches 23% of global retail by 2027, cloud-based order management and automated solutions enable businesses to handle increasing demand without operational disruptions.

Manual Order Processing & Slow Fulfillment

Manual order processing still plagues businesses despite advances in technology. Teams that handle orders through spreadsheets, emails, or paper-based systems waste time and actively hinder growth.

What is Manual Order Processing & Slow Fulfillment?

Manual order processing needs staff attention at every stage—from data entry to inventory updates, picking, packing, shipping, and customer notifications. Staff must type in customer details, products, quantities, and shipping information for each order. Then, if customers change orders, the team must chase updates through multiple departments and systems. This creates major bottlenecks in the fulfillment workflow.

Businesses that rely on manual order processing incur 30% higher operational costs than those that automate. More than that, manual data entry has an average error rate of 3%, which means 3 out of every 100 orders contain mistakes.

Why Manual Order Processing & Slow Fulfillment matters

Speed isn't optional anymore—over 90% of US customers expect two to three-day delivery times. On top of that, 53% of consumers have abandoned online purchases because delivery times were too slow.

Slow fulfillment hurts more than just sales. Processing orders by hand creates several tough challenges:

Poor inventory visibility in all locations leads to overpromising and underdelivering.
Shipping errors result in wrong items, delayed shipments, or double shipments.
Inefficient routing causes excess shipping costs.
Poor tracking systems create unsellable returns inventory.

Expert solution for Manual Order Processing & Slow Fulfillment

Automated order processing systems offer immediate operational improvements. These systems capture and store all order-related data in a central database that's available to all departments.

Order management software proves its value by minimizing human error, whatever the operation's size. Growing businesses can reduce order-to-cash cycles by up to 35% with an integrated Order Management System (OMS) that connects with their ERP and other platforms.

Everything in a solution that works must include:

Immediate inventory synchronization across all sales channels
Automated workflows for receiving, picking, packing, and shipping
Smart order routing to the nearest fulfillment center
Barcode scanning and automation in warehouses

Impact of solving Manual Order Processing & Slow Fulfillment

Automating order processing brings quick operational improvements and long-term strategic advantages. Your business will see:

Order processing speed jumps up to 50%.
Fewer returns and complaints due to reduced human errors.
Lower operational costs through better labor use.
Better tracking visibility - something 57% of consumers want.
Staff time is freed up for better customer service.

Modern commerce succeeds or fails based on fulfillment precision as much as product and price. Separating fulfillment logic from commerce systems gives you the immediate orchestration capabilities that old OMS tools can't match—and helps keep every promise made to customers from cart to doorstep.

Inventory Inaccuracies & Stockouts

Reliable order fulfillment depends on accurate inventory data. Many businesses find it hard to manage this basic aspect of order processing. Your operations and customer relationships take a hit when the system shows products that aren't actually in stock.

What is Inventory Inaccuracies & Stockouts?

Inventory inaccuracies happen when your recorded inventory doesn't match what's actually on the shelves. This gap shows up as either overstock (more items than recorded) or understock (fewer items than recorded). Stockouts occur when you run out of inventory while customers still want to buy—you simply can't fulfill their needs.

Businesses in 2024 achieved only an 83% inventory accuracy rate. Manual tracking methods leave too much room for mistakes. These problems usually come from human error, messy warehouses, theft, damage, or systems that don't talk to each other across channels.

Why Inventory Inaccuracies & Stockouts matters

Note that stockouts cost retailers almost USD 1 trillion worldwide each year. These issues create a chain of problems:

Customer loyalty drops: 70% of consumers switch stores after finding items out of stock.
Manufacturing gets delayed, especially in just-in-time production setups.
Operations cost more due to rush shipping and urgent orders.
Brand reputation suffers as customers see the business as unreliable.

Too much stock creates its own problems. It locks up money, raises storage costs, and often ends up as outdated inventory you must sell at a loss.

Expert solution for Inventory Inaccuracies & Stockouts

Immediate inventory tracking offers the best fix for these challenges. The right setup lets you track every item's quantity and location throughout the supply chain.

A solution that works needs these pieces:

Automatic data collection using barcodes, RFID tags, or IoT sensors to cut out human error
Connected systems that update inventory data across all sales points and locations
Regular cycle counts instead of yearly inventory checks
Smart reorder alerts based on past sales and current needs

Impact of solving Inventory Inaccuracies & Stockouts

Businesses using immediate inventory tracking reach accuracy rates above 95%. This boost brings major benefits:

Orders go out faster because staff can find products right away.
Better stock levels have saved businesses up to USD 98 million.
Alert systems have stopped USD 318 million in missed sales.
Better demand predictions improve accuracy by 10%, saving USD 45 million.

Modern retail needs separate fulfillment systems from sales platforms to track inventory in real time. This approach helps keep every promise made to customers, from shopping cart to delivery.

High Cart Abandonment Due to Limited Fulfillment Options

Your conversion rates suffer quietly because of limited fulfillment options. Shopping cart abandonment costs e-commerce businesses about USD 18 billion in lost revenue each year. This happens when customers run into unexpected obstacles while checking out.

What is High Cart Abandonment Due to Limited Fulfillment Options?

Cart abandonment happens when customers add items to their online shopping carts but leave without buying. The average abandonment rate reaches about 69.99% across industries. While many factors contribute to this, fulfillment-related problems stand out as major reasons why customers abandon their carts:

Shipping costs are too high (36% of shoppers say this)
Items won't arrive when needed (29%)
Delivery takes too long (20-23%)
Not enough shipping or delivery choices
Unclear delivery dates (12%)

Customers want choices, quick delivery, and clear information throughout their shopping journey.

Why High Cart Abandonment Matters?

Cart abandonment hits your profits hard. Research shows 69% of people leave their carts because of shipping costs. This creates a major barrier to sales. About 66% of buyers say they're more likely to complete their purchase when they have multiple delivery options.

Customer expectations have changed drastically. Recent studies show online shoppers now expect their orders within three days. This makes sense since same-day delivery options influence 70% of buying decisions.

Your business risks losing both money and customers if you don't tackle these problems. Shoppers will find other stores that deliver products the way they want.

Expert solution for High Cart Abandonment

The quickest way to fix this involves flexible fulfillment strategies. This means shipping orders from different places—fulfillment centers, distribution centers, or retail stores—and offering various delivery methods.

You need to:

Give multiple shipping speeds with clear pricing.
Show immediate delivery estimates on product pages.
Let customers know order cut-off times.
Support different delivery options (home delivery, in-store pickup).
Use warehouses in strategic locations for faster delivery.

Impact of solving High Cart Abandonment

Better fulfillment options lead to measurable results. Free shipping can boost conversions by 20-30%, and multiple shipping choices increase conversions by 18%. On top of that, flexible fulfillment lets merchants give customers the personalized service they want.

The benefits go beyond better conversion rates. Flexible fulfillment helps you manage inventory better, cut costs, and adapt quickly to market changes. Separating fulfillment systems from commerce platforms gives you the immediate control needed to meet today's customer expectations.

Inefficient Returns & Refund Management

Poor returns management quietly eats into profit margins and damages customer loyalty. Online retailers face return rates between 16.5% and 30%. The way you handle this process affects both your operational efficiency and customer retention.

What is Inefficient Returns & Refund Management?

Poor returns management involves manual, time-consuming processes to handle returned products and issue refunds. Traditional methods cost a lot, lack visibility into the returns supply chain, and use disconnected systems that slow down refund processing. Businesses struggle with high return volumes, complex request processes, fraudulent returns, and slow processing.

Many businesses handle returns through labor-intensive tasks. They receive items, identify products, grade their condition, restock them, and update inventory. Each step uses valuable resources. The labor costs to receive returns are a big deal, as it means that order fulfillment costs.

Why Returns & Refund Management matters

Returns management directly hits your bottom line. Customers returned products worth USD 890 billion in 2024. Processing costs range from 20% to 65% of the item's original value. E-commerce businesses spend about USD 33 for every USD 50 item returned.

Notwithstanding that, customer expectations stay high: 76% of shoppers call free returns essential when choosing where to shop. About 67% of customers avoid future purchases after a bad return experience. The good news is 92% say they'll shop again if the return process is easy.

Expert solution for Returns & Refund Management

Returns management software is the quickest way to solve these issues. These systems automate key tasks:

Return authorization and shipping label generation.
Inventory updates and refund processing.
Immediate tracking and visibility of returns data.

Modern solutions let you customize return policies based on product categories or customer types. They help curb returns fraud through photo verification and suspicious activity alerts. On top of that, unified commerce systems add returned items back to inventory right away, whether at a warehouse or local store.

Impact of solving Returns & Refund Management

A streamlined returns process brings multiple benefits. Good returns management builds customer trust and loyalty. It improves operations through automation and gives analytical insights to spot product issues.

Clear upfront communication can prevent up to 30% of returns. Effective returns systems turn a potential weakness into a strength. Two-thirds of retailers aim to simplify returns in the next six months. They know that about 70% of customers return to companies that handle their returns well.

Modern commerce needs separate fulfillment logic from commerce systems. This delivers immediate orchestration for both sales and returns processes. The result? Every customer promise is fulfilled efficiently.

Poor Order Visibility & Tracking

Order tracking transparency has become essential in today's order fulfillment world. Your business will struggle in the dark without proper order visibility. This creates frustration for customers and your team alike.

What is Poor Order Visibility & Tracking?

Poor order visibility means you can't track and monitor orders properly as they move through your supply chain from procurement to delivery. You might only have a rough idea of when shipments will arrive in a low-visibility setup, but you won't know exactly where items are at any moment. This issue shows up through:

No real-time updates on order status
Disconnected systems with scattered data across platforms
Limited ways to tell customers about delays or exceptions
No way to trace goods from source to customer

Why Order Visibility Matters

Your bottom line and customer relationships depend on order visibility. About 73% of shoppers will switch to another brand right away if you miss promised delivery dates. Poor visibility also creates major operational problems.

Right now, only 6% of companies have complete supply chain visibility. Customer expectations have never been higher. They just need constant updates and transparency throughout their entire purchase experience. Without good visibility, you'll get more WISMO ("Where Is My Order?") calls that eat up your support team's time.

Expert solution for Order Visibility

Real-time order tracking technology gives you the quickest way to solve these issues. Modern systems are available with:

Real-time updates about order location and status across production facilities, storage halls, and outdoor areas. These platforms combine supply chain data into a single, easy-to-use interface that everyone can access at once. Advanced tracking accuracy also helps automate order tracking and process management.

Impact of solving Order Visibility

Better visibility brings measurable results across your organization. You'll see these improvements:

Your customers will feel more satisfied when they get proactive shipping updates. Your operations will run smoothly with shorter lead times, often cutting them by 30%. Support costs will drop by a lot as WISMO calls decrease by up to 35%.

Today's commerce needs to separate fulfillment logic from commerce systems to give real-time orchestration capabilities that old OMS tools can't provide. This will give customers a reliable way to track their orders from cart to doorstep.

Multi-Channel Order Management Complexity

Businesses face a complex web of challenges when they sell through multiple channels. Your order management becomes more difficult as you expand to new platforms.

What is Multi-Channel Order Management Complexity?

Multi-channel order management complexity happens when businesses sell through different touchpoints—websites, marketplaces, physical stores, and social media—without unified systems to handle orders. Each channel works on its own, which creates disconnected processes. This leads to inventory confusion, manual data entry errors, and scattered customer information.

Why Multi-Channel Complexity Matters

The original setup of managing multiple channels with separate tools creates major operational problems. Inventory doesn't update properly across platforms, which leads to overselling. Orders get lost between systems and cause missed shipments. Customer data stays scattered, making it hard to create tailored experiences. Customer support teams can't solve problems quickly without a complete view of all channels. This damages your brand's reputation.

Expert solution for Multi-Channel Complexity

A unified order management system (OMS) is the best solution to connect all sales channels. This system:

Brings all order processing under one roof from start to finish
Keeps inventory current across every platform
Makes order syncing automatic between channels
Uses smart rules to route orders for better fulfillment

Impact of solving Multi-Channel Complexity

A unified OMS helps achieve 50% improvement in order accuracy and makes deliveries faster through better order routing. Companies spend less as automated systems replace manual work. The unified system gives you valuable insights about how customers behave. This helps you serve them better and turn happy customers into brand promoters.

High Shipping Costs & Last-Mile Delivery Issues

Your profit margins are shrinking due to soaring shipping costs and last-mile delivery complexities that test your customers' patience. These challenges affect your business success in today's competitive market.

What Are High Shipping Costs & Last-Mile Delivery Issues?

The final experience from warehouse to customer doorstep—last-mile delivery—takes up 53% of total logistics costs. This number has shot up from 41% in 2018. Several factors contribute to these expenses:

Fuel and labor costs keep going up.
Failed deliveries need extra attempts.
Poor routing leads to longer trips and more fuel use.
Urban traffic jams slow down deliveries.

Why Shipping Costs & Last-Mile Delivery Matter

Shipping costs hit both your bottom line and customer loyalty hard. Here are some eye-opening facts:

90% of consumers will abandon their carts when they see high shipping costs.
Customers rate cost as their top priority when evaluating e-commerce deliveries.
All but one of these customers won't pay anything to ship their items, whatever the delivery speed.
Cart abandonment due to shipping costs stands at 28%.

Expert solution for Shipping Costs & Last-Mile Delivery

A multi-layered approach is vital to tackle these challenges:

Route optimization applications with AI algorithms create budget-friendly delivery paths.
Micro-fulfillment centers bring inventory closer to buyers and cut shipping distances.
Local delivery options work well for nearby customers with flexible delivery zones.
United deliveries reduce trips and emissions.

Impact of solving Shipping Costs & Last-Mile Delivery

Solving these challenges brings clear benefits:

Advanced analytics and modeling boost route efficiency by 10-20%.
Better resource allocation cuts operational costs.
Clear delivery expectations make customers happier.
United deliveries and optimized routes reduce environmental impact.

Compliance & Taxation in Cross-Border Orders

Businesses face a maze of regulations when they expand across borders. Each country has its own set of compliance rules that can trap merchants who aren't prepared.

What is Compliance & Taxation in Cross-Border Orders?

Cross-border compliance includes managing customs laws, documentation needs, and tax policies unique to each country. Merchants need to handle paperwork such as commercial invoices, certificates of origin, and packing lists. They must also understand tariff classifications and calculate duties correctly. On top of that, businesses need to follow regional rules like Value Added Tax (VAT) in the EU and Goods and Services Tax (GST) in Australia.

Why Cross-Border Compliance Matters

Global retail now sees over 19% of sales from international e-commerce. Breaking compliance rules can lead to harsh penalties - fines, delayed shipments, seized products, and possible blacklisting. Yes, it is true that e-commerce packages carry similar security risks as container shipments, but at much higher volumes. Data protection laws like GDPR have pushed compliance costs up by 30-70% for companies doing business internationally.

Expert solution for Cross-Border Compliance

Here's what works:

Team up with customs brokers and compliance experts.
Set up detailed compliance management software.
Use automation to track regulations and handle documents.
Apply technology for precise product classification.

Impact of solving Cross-Border Compliance

Good compliance management changes how international business works. Companies see fewer customs delays and faster clearance times. They can better use free trade agreements to avoid tariffs on specific products. Maybe even more important, businesses can reach global markets worth trillions in potential revenue.

Data Security & Fraud Prevention

Data breaches can devastate your order management system. E-commerce businesses now face growing threats that cost USD 9.50 million per breach on average. Security incidents can damage customer trust beyond repair.

What is Data Security & Fraud Prevention?

Data security in order management protects sensitive information like names, payment details, and addresses throughout the order lifecycle. Common threats include:

Phishing attempts targeting customer credentials
Financial fraud through stolen payment information
DDoS attacks that can shut down your website

Data breaches affect 90% of small businesses. This makes protection vital for companies of all sizes.

Why Data Security Matters

Customer trust depends on data protection. Research shows 70% of consumers won't buy from companies they don't trust with their information. Customers check your security measures before they make purchases.

Companies that don't comply with PCI DSS regulations face heavy penalties. Legal issues can also arise when customer data isn't protected properly.

Expert solution for Data Security

A strong security system needs multiple layers:

End-to-end encryption for all customer data
Strong authentication with passwords and extra verification steps
Secure payment gateways using tokenization
Regular security checks and vulnerability testing

Impact of Solving Data Security

Good security changes customer relationships by building trust. Companies with strong data protection can create tailored experiences that build customer loyalty. This helps improve both brand reputation and revenue.

Lack of Performance Metrics & Analytics

Your business navigates blindly in a competitive marketplace without proper performance metrics. Many companies find it hard to measure what really counts in their order management processes.

What is Lack of Performance Metrics & Analytics?

A systematic measurement gap in key operational indicators defines the lack of performance metrics in order fulfillment operations. Companies can't track vital KPIs like order processing times, customer satisfaction levels, and inventory turnover rates without analytical tools. 58% of companies make decisions based on gut feelings rather than data.

Why Performance Metrics Matter

Raw data transforms into useful insights that streamline processes and enhance decision-making. These vital order fulfillment KPIs deserve attention:

On-time delivery rate (this is a big deal as it means that 95%)
Total order cycle time
Order picking accuracy (target: 100%)
Inventory accuracy rate

Your business becomes vulnerable to competitive disadvantages without these measurements. Identifying inefficiencies or predicting future trends becomes impossible.

Expert solution for Performance Metrics

Detailed analytics tools that unite data channels and provide live insights work best. Your focus should be on specific indicators tracked over time to understand performance changes. Advanced ecommerce analytics help decode customer interactions, spot high-potential opportunities, and create individual-specific engagement strategies.

Impact of solving Performance Metrics

Analytics implementation leads to better inventory management, reduced carrying costs, and prevents lost sales. Teams make smarter decisions that stimulate business growth when information flows freely between departments.

Disconnected Systems & Siloed Data

Data silos create invisible barriers in order management operations. Valuable insights stay trapped in these isolated environments, and order fulfillment efficiency drops significantly.

What Are Disconnected Systems & Siloed Data?

Different departments collect and store information without sharing it with others, creating data silos. Individual business units control these isolated collections that remain unavailable to the rest of your organization. A staggering 60% of an organization's data stays unknown or unavailable to those who need it. New business units often create more silos as companies scale or merge.

Why System Integration matters

Your operational efficiency and customer experience depend on system integration. Data inconsistencies, fragmented customer views, and poor inventory management result from disconnected systems. Research shows 81% of IT leaders report data silos block their digital transformation efforts. The situation worsens as 82% of enterprises face disrupted critical workflows.

Expert solution for System Integration

The quickest way to solve this involves connecting different data sources through integration tools. Software centralization offers a path forward for 69% of organizations. The process typically includes:

Consolidating data into centralized systems
Using cloud storage for scalability
Implementing cross-functional data governance

Impact of solving System Integration

Integrated systems bring better cross-functional transparency, faster coordination, and reduced operational delays. Modern commerce needs fulfillment precision and agility. You can achieve up-to-the-minute orchestration capabilities by separating fulfillment logic from commerce systems - something legacy OMS tools cannot offer.

Scalability Issues in Growing Businesses

E-commerce businesses often face operational challenges when their sales grow beyond what their existing systems can handle. Online shopping continues its march toward 23% of global retail sales by 2027. Your order processing systems need a complete overhaul to keep up.

What Are the Scalability Issues in Growing Businesses?

Business operations start breaking down when they outgrow their original setup. Most companies hit their first major growth barrier when they can no longer run from homes or garages. Rising online sales make order management more complex. Order timing, quantities, and delivery locations become harder to predict.

Why Scalability Matters

Your business needs adaptable operations to grow without losing efficiency. Companies that lack flexible hosting solutions face downtime, poor customer service, and shipping delays. Smart businesses use flexible systems to quickly adapt when market changes boost demand.

Expert solution for Scalability

Cloud-based order management systems offer the best solution right now. These platforms handle increased orders automatically and prevent bottlenecks. You should also:

Work with 3PL providers to manage warehouse storage, picking, packing, and shipping.
Use automated systems for inventory management and order routing.
Set up micro-fulfillment centers near your customers.

Effect of Solving the Scalability

Adaptable systems create measurable improvements throughout operations. Your business learns to handle growing demand smoothly, while cutting technical debt by about 50% through platform consolidation. Well-scaled operations help you deploy faster and upgrade smoothly, which supports long-term eco-friendly growth.

Overselling & Missed Sales Opportunities

Making promises about products you can't deliver hurts your customer relationships and profits. What used to be a small problem has become a major challenge in modern order management.

What Are Overselling & Missed Sales Opportunities?

Overselling happens when you sell more items than you have in stock. Your website shows products that aren't physically in stock, which forces you to cancel orders after customers have paid. We noticed that overselling comes from wrong stock counts, not enough safety stock, sudden buying spikes, or slow updates between systems. Each canceled order means you lose money now and risk future sales.

Why Overselling Matters

The numbers are staggering - retailers lose about USD 1 trillion yearly due to stockouts. Your brand reputation takes a hit when you oversell. Studies show that stockouts ruin the shopping experience for 30% of consumers. Customer loyalty drops fast. After one stockout, 37% of shoppers switch to another brand. After three stockouts, that number jumps to 70%. Each oversold item could lead to a bad online review.

Expert solution for Overselling

The right inventory management software lets you see your stock levels live across all channels. Here are some economical solutions:

Set up automatic reorder points that create purchase orders when inventory hits minimum levels.
Use demand forecasting to predict what you'll need based on past data.
Keep safety stock ready for unexpected demand spikes.

Impact of solving Overselling

Good inventory management reshapes how you run your business and deal with customers. Live synchronized inventory systems that work across all sales channels stop 73% of potential stockouts. This means fewer canceled orders and better customer retention. You also avoid wasting USD 164,828 yearly on getting new customers - a common cost of overselling.

Comparison Table

Challenge	Key Impact/Statistics	Main Challenges	Recommended Solutions	Benefits of Implementation
Manual Order Processing	30% higher operational costs; 3% error rate	Time-consuming data entry, changes needed across departments	Automated order systems, integrated OMS	50% faster processing; fewer human errors
Inventory Inaccuracies	83% average accuracy rate; $1 trillion annual cost	Gaps between recorded and physical stock	Immediate inventory tracking, automated data capture, cycle counting	95%+ inventory accuracy; lower carrying costs
Cart Abandonment	69.99% average abandonment rate; 36% due to shipping costs	High shipping costs, slow delivery, few options	Multiple shipping speeds, quick delivery estimates, flexible fulfillment	20-30% more conversions with free shipping
Returns Management	16.5-30% return rates; $890 billion worth of returns (2024)	Complex processing, high costs, delayed refunds	Returns software, automated processing	Lower processing costs, better customer loyalty
Order Visibility	Only 6% of companies have full supply chain visibility	Delayed updates, separate systems	Tracking technology, united data interface	35% fewer WISMO calls; 30% faster lead times
Multi-Channel Complexity	50% improvement in order accuracy possible	Separate processes, stock confusion	United OMS, central order processing	Better order accuracy, smoother cross-channel work
Shipping Costs	53% of total logistics costs in last-mile delivery	Higher fuel/labor costs, failed deliveries	Route planning, micro-fulfillment centers	10-20% better route efficiency
Cross-Border Compliance	19% of global retail is international e-commerce	Complex rules, document requirements	Compliance software, customs partnerships	Fewer customs delays, easier market access
Data Security	$9.50 million average cost per breach	Phishing, fraud, DDoS attacks	Layered security, encryption, authentication	Better customer trust, stronger brand image
Performance Metrics	58% of companies make decisions without data	No systematic measurement	Complete analytics tools, KPI tracking	Better stock management, smarter decisions
Disconnected Systems	60% of organizational data unavailable	Isolated information, split customer views	Integration tools, central systems	Better cross-team visibility
Scalability Issues	23% projected global retail e-commerce by 2027	Limited operations, system capacity	Cloud-based OMS, 3PL partnerships	50% less technical debt
Overselling	$1 trillion annual cost to retailers	Wrong stock counts, low safety stock	Immediate inventory management, automated reorder points	73% fewer potential stockouts

Conclusion

These 13 order management challenges change your operations and your customers' experience. Manual processes cost businesses 30% more than automated ones. Inventory problems cause retailers to lose trillions annually. Cart abandonment rates hit 70% when businesses don't offer flexible fulfillment options.

Numbers tell the story - customers want a smooth experience at every step. Your bottom line depends on up-to-the-minute tracking, quick returns, and budget-friendly shipping that keeps customers coming back.

Good news - each challenge has a solution. Automated systems cut errors and work 50% faster. Live inventory tracking pushes accuracy above 95%. On top of that, unified systems free up 60% of your company's valuable data that sits locked away.

Modern commerce success means a new way to handle orders. Instead of cobbling together separate systems, try separating your fulfillment logic from commerce platforms. This creates live orchestration that old systems can't match.

The choice is clear - stick with broken processes that upset customers and waste money, or pick solutions that turn problems into advantages. Companies using proper order management cut processing time by 40% and get inventory accuracy above 90%.

Online retail will make up 23% of global sales by 2027. These challenges won't get easier. Smart businesses see order management as key to customer happiness and standing out from competitors. Your path to better operations starts by tackling these basic challenges now.

Frequently Asked Questions (FAQ)

What are the key challenges in modern order management?

The main challenges include manual processing, inventory inaccuracies, high cart abandonment rates, inefficient returns management, and poor order visibility. These issues can lead to increased operational costs, lost sales, and decreased customer satisfaction.

How can businesses improve their order fulfillment efficiency?

Businesses can enhance order fulfillment efficiency by implementing automated order processing systems, real-time inventory tracking, flexible fulfillment options, and unified commerce platforms. These solutions can significantly reduce processing times and errors while improving overall accuracy.

What impact does poor order visibility have on customer satisfaction?

Poor order visibility can lead to increased customer inquiries, frustration, and potential loss of loyalty. Implementing real-time tracking technology can reduce "Where Is My Order?" calls by up to 35% and significantly improve the overall customer experience.

How can companies address the challenge of cart abandonment?

To reduce cart abandonment, businesses should offer multiple shipping speeds with transparent pricing, provide real-time delivery estimates, and implement flexible fulfillment options. These strategies can increase conversions by 20-30% and improve customer satisfaction.

What role does data integration play in solving order management challenges?

Data integration is crucial for eliminating information silos and improving operational efficiency. By implementing unified order management systems, businesses can improve order accuracy by up to 50%, enhance cross-functional transparency, and make more informed decisions based on comprehensive data analysis.