Intelligent Order Management Capability Checklist

The following is a checklist of the functionality which should be present in an Intelligent Order Management (IOM) system, designed to give comprehensive visibility of activities in the Supply Chain and issue alerts as events of concern happen, so that corrective action can be taken at the earliest possible point. You may hear some companies refer to this as a Supply Chain Control Tower.

1. Post purchase orders on the Intelligent Order Management (IOM) for manufacturers to download and process on their internal systems.

2. Mandate suppliers to post manufacturing progress against the delivery schedule including key stages like:

• Availability of all raw materials:
• When production capacity is scheduled.
• How much of the order is now in work in progress inventory.
• How much is finished goods stock.
• How much is packed ready for shipping.
• How much has been delivered to the port of despatch. 

3. Suppliers can invoice through the IOM and provide credit notes, where applicable.

4. This should also include details on any aspect of the order that cannot be fulfilled as requested, for example, due to raw material shortages or defects, labour disputes, etc.

5. The Import Agent should post when the ship is booked for loading, confirm that loading is in progress and confirm again when it is completed.

6. As your goods will not be the only goods on the ship, they should also advise the latest update on the ship sailing date.

7. Also, instruct the Import Agent to advise of any anticipated adverse weather on the sailing which may cause the ship to arrive late.

8. The Import Agent should also advise when the ship actually docks and when it is expected to clear Customs and be ready for pickup.

9. If possible, when you first instruct the Import Agent to manage a shipment for you, check whether it is possible to pre-clear Customs in advance on that shipment.  Sometimes it is possible and that will enable your UK freight forwarder to collect the goods a little quicker, adding to the time the goods could be on sale in your stores or online.

10. Based on the feedback from the Import Agent, book your freight forwarder (or sometimes it will be your own company transport) to collect the goods at the best time.  Any delays collecting the goods until after demurrage charges kick in should be highlighted as soon as they are known, so that emergency arrangements can be made to avoid charges.

11. If there is any unexpected delay in Customs releasing the goods make sure your Import Agent alerts you via the Intelligent Order Management  system, so you can adjust collection from the port accordingly.

12. For completeness of Supply Shain tracking, the retailer should update the Intelligent Order Management system with the date and time the goods were received at the company’s own warehouse and identify any discrepancies against the original purchase order, which have not been previously notified.

With this level of visibility for example, you can decide whether you should expedite receipt of an initial injection or replenishment inventory by using air freight, which is more expensive but can overcome delays.  It may be cheaper than the cost of clearance markdowns if the goods go on sale too late to achieve their potential.