Conversational AI for Order Management: Why Your OMS Needs an AI Chatbot


Order Management Automation

With digital transactions increasing nowadays, businesses are facing significant challenges in managing orders. From order placement to its delivery, an organization can’t afford to make any mistake or dissatisfy a customer in any way.


As customer expectations and order quantities increase, businesses look for a reliable way to automate their order management system (OMS). Conversational AI for order management appears to be the right automation approach:


What is Conversational AI for Order Management?


Conversational AI makes AI-powered virtual assistants available to handle conversations that usually go to human agents. Businesses get to scale up the same level of personalized interactions over text or chat across multiple platforms.


Also, there are various repetitive tasks associated with order management that can be automated successfully with AI chatbots. The power of Machine Learning (ML) and Natural Language Processing (NLP) is integrated with your ERP and/or CRM. This allows AI to capture and automatically utilize product names, order numbers, give order status, send receipts, provide confirmations, and more.

Major Challenges Faced in Order Management


Several challenges make smooth order management difficult for enterprises:


1. High volumes of inquiries and queries


When your business expands, the numbers of inquiries and queries increase accordingly. If all those conversations are handled manually by live agents, you end up investing more than the necessary cost and time.


At the same time, live agents struggle with repetitive queries and can’t prioritize processes and conversations that actually require human intervention.


On the other hand, customers have to wait for a long time to get in touch with agents regarding their orders.


2. Human errors in processing data


Manual data processing can lead to wrong updates or duplication due to human errors. The chances of errors increase when orders start coming from multiple offline and online channels. Human agents feel unable to accurately track all those orders and process data accordingly.


3. Bulk order execution


Bulk orders make things more complex because they involve multiple marketplaces, various internal system updates, label printing, invoice creation and arrangements, and tracking of all shipped orders.


4. Difficulty in inventory planning


Customers feel satisfied when they receive their orders on-time and as per their expectations. You can achieve this only by smartly planning your inventory. Going out-of-stock frequently can cost your business so many customers.


Similarly, excessive stocking can also lead to losing money because of dead stock and wastage. Hence, it is imperative for a business to have a real-time view of the stock levels in the inventory. Businesses often struggle to keep a comparative eye on the demand, supply, and inventory. Hence, systematic inventory planning becomes difficult for businesses.


5. Manually handled order management system


When you are using an isolated, manual order management system, it doesn’t help to manage all sales orders coming from multiple channels. Hence, your team finds several hurdles in the process of managing orders.

Use Cases of Conversational AI for Order Management


Various redundant tasks get automated with the power of artificial intelligence:


  • Order placement: AI chatbots can help customers place orders on multiple channels such as websites, WhatsApp, social media, and others.

  • Confirmation receipt: Automatically distribute confirmation receipt to customers with accurate details of order at any scale.

  • Order tracking: Help customers track their order status during shipping to reduce the number of repetitive queries over text, call, and chat.

  • Order reminder and notification: Send personalized, on-time delivery/payment reminders and order notifications to customers.

  • Repeating orders: Easy and conversational way for customers to repeat their orders after regular time intervals.

  • Inventory management: Use AI to keep an eye on the demand, supply, and availability of stock to plan inventory accordingly.

  • Return and Cancelation: Faster and automated processing of order return and cancelation requests from customers.

Benefits of AI-Enabled Order Management Automation


Automating your order management system with AI allows a significant decrease in manual efforts. While business is scaled up and costs are reduced, the order management team saves a lot of time and achieves a higher level of productivity.

Here are more details of how an AI chatbot for order management system can bring unmatched advantages:


1. Error-free order management

  • Accurate data collection: AI bots save from the chances of errors in data collection associated with orders. Conversational AI understands duplication errors and mistyped information and fixes them before collecting the data. This helps to reduce delays in processing orders.

  • Correct order delivery: By tracking all orders simultaneously and maintaining order details in the OMS, a Conversational AI platform diminishes the chances of any order going to the wrong delivery location.

2. Faster order processes

  • Time management: Order management automation with AI adds a faster pace to every associated process, which allows organizations to manage more activities within the same time frame.

  • Automating repetitive processes: Without taking any breaks, an AI-enabled OMS can handle repetitive processes such as entering order information, managing distribution processes, and other similar tasks.

3. Improved Customer Experience

  • Understanding customer demands: Businesses get to use Conversational AI to automatically gather customer details as per their interactions with AI. This helps to better understand customer demands and plan experiences accordingly. An AI-enabled OMS can find and utilize valuable customer details such as purchasing trends, habits, complaints, and sales cycles.

  • Real-time order tracking: AI can track orders constantly from its packaging till delivery to the customers. All details are kept safe in the OMS, while customers keep on receiving on-demand and proactive updates about their orders.

  • Automated notifications: Customers obtain a smoother ordering experience when AI automatically retrieves order and payment data and sends relevant and timely notifications. This also allows businesses to track and manage unpaid orders and bad debts.

Scale Up Your OMS Capabilities with Conversational AI!


A business grows when the number of customers, orders, and consumer data grows. Conversational AI integration with order management systems makes this rise effortlessly manageable.


If you would like to know more about AI-enabled OMS automation, chat with us. Or, see its impact with a personalized demo.


Swapnil Jain

CEO-ORAI Robotics

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