Order fulfillment refers to the processes and procedures involved in managing customer orders from the time they are received until the time the orders are shipped and delivered. It involves:
- Order processing – Receiving, validating and entering customer orders into a system of record
- Inventory allocation – Assigning ordered products to be packed and shipped
- Packing – Gathering ordered products and packaging them for shipment
- Shipping – Transporting packaged orders to customers via carrier services
The goal is to complete fulfillment accurately and efficiently to maximize customer satisfaction. Many retailers optimize fulfillment through warehouse management systems, carrier integration and multichannel capabilities like in-store/curbside pickup.
Fulfillment metrics like pick/pack rates, shipping times and order accuracy are important for assessing operational performance and the overall customer experience. Automation helps scale order fulfillment as sales volumes increase.