Part 2.

How retailers can cut operational costs without cutting corners

Retailers everywhere are looking to do more with less. But cutting costs doesn’t have to mean sacrificing service.

The pressure to reduce operating costs is nothing new but in today’s economic climate, it’s become urgent. While some retailers resort to short-term fixes that chip away at the customer experience, others are using technology like a modern Order Management System (OMS) to get leaner without losing their edge.

Here’s how an OMS like OIL helps you reduce overheads while strengthening your retail operation.

Stop overspending on fulfilment

Shipping from the wrong location, splitting shipments unnecessarily, or over-relying on central warehouses can all drive up costs. A modern OMS uses configurable fulfilment logic to optimise each order; fulfilling from the most cost-effective location, consolidating shipments to reduce last-mile costs, and pivoting quickly if a warehouse is out of action.

You’re not just saving money, you’re building flexibility.

Automate where it matters

Retailers waste time and money on manual processes that an OMS can automate:

Payment validation and capture
Stock reservation and availability
Order status updates across all channels
Refunds and returns routing

This reduces errors, improves service and frees up colleagues for higher-value tasks.

Avoid inventory write-offs

Inventory mismanagement leads to overstocking, discounting or wastage. A good OMS gives you real-time enterprise-wide visibility of stock, so you can:

Sell what you already have before ordering more
Avoid fulfilment promises you can’t keep
Use store stock to fulfil online orders before it expires

Side note: reducing inventory write-offs isn’t just about saving money, it also supports sustainability goals by lowering waste and improving stock efficiency. For retailers with ESG commitments, this is a win-win.

Turn returns into a managed process

Returns are expensive, but an OMS helps you limit the damage by routing returns to the optimal location, triggering automated refunds based on business logic, and avoiding double-handling or delays in customer service. For example, without clear return logic, an item might be sent to the wrong warehouse, only to be manually rerouted later; wasting time and doubling the workload.