Chetu Guest Blog Post: AI and Agentic AI are Increasingly Working Behind the Scenes in Order Management Software
By Rick Heicksen Vice President of Sales at Chetu
Knowing what customers have bought and maintaining proper inventory levels is vital to any business.
That’s the idea behind Order Management Software (OMS), a key supply chain software solution. From the moment clients make purchases until they arrive at their doorstep, the OMS optimizes every stage and ensures accuracy. OMS reduces mistakes and enables consumers to track their purchases, thus bringing down frustration levels on both counts.
In recent years, Artificial Intelligence (AI) has automated many aspects of inventory management, and now, agentic AI is revolutionizing OMS solutions. AI has immediately impacted order management with enhanced demand forecasting, optimized order fulfillment, route optimization, real-time inventory tracking, personalized customer experience, fraud detection, and warehouse optimization. Agentic AI enables the system to operate autonomously by taking actions without human oversight.
What does OMS do?
Let’s look at the key components of Order Management Software. First, OMS handles paperwork automatically between computer systems through an Electronic Data Interchange (EDI). It ensures that elements of the process are integrated correctly.
Most modern OMS are usually cloud-based, enabling businesses to scale up as the company grows. Plus, team members have access to the platform from anywhere. It also uses barcodes and RFID tags to track inventory in real time.
With agentic AI, automation rises to a new level. Remember, this recent technology makes decisions on its own. If the system sees potential slowdowns in the supply chain, agentic AI analyzes the problem, finds a solution, and redirects resources. When a product runs low, the system informs the appropriate parties. It automatically selects the best option if a new delivery route is needed.
The process moves forward without waiting for human supervision.
AI also powers predictive analytics, which is critical to inventory management. When OMS receives historical and current sales figures, it synthesizes the data, identifies patterns, and predicts the levels of inventory needed. This enables the company to stock products properly before a surge or decrease in demand becomes apparent.
Fraud, a significant threat to most businesses, is another area where AI-driven OMS provides effective protection. Through the use of advanced machine learning algorithms to examine trends, identify oddities, and verify purchases, OMS mitigates risk and offers businesses a strong defense against fraud.
And while AI systems may integrate with other systems, they do not necessarily do so seamlessly. The right software solutions provider can help businesses integrate their OMS with legacy systems, including transportation, warehouse management, and enterprise resource planning platforms, by using Application Programming Interfaces (APIs). Say goodbye to siloed employees duplicating work. Your operation now runs efficiently, considering all aspects of the company.
Potential pitfalls
However, there are challenges. Despite the benefits of updating your OMS with AI and agentic AI, you still need to monitor your operations. You still need to train your platform with high-quality data. Companies must also upskill their employees to work with the AI programs. Minimal human involvement does not mean zero interaction, and employees must know when to let the automated processes play out or when to jump in and save the day.
The bottom line is that advanced AI algorithms show immense potential in many industries. OMS is one of them. Agentic AI is increasingly adept at making choices in an order management context that previously required human supervision. Today, it just needs the right technology.
Chetu has the expertise to ease the transition of your company to an AI-powered OMS and inventory management platform. Check out Chetu’s Track2Ai to learn its eight-step framework to make AI adoption easy and efficient.
Based in Tempe, Rick Heicksen is the Vice President of Sales at Chetu, a global digital intelligence and software solutions provider.
About Chetu: Founded in 2000, Chetu is a global digital intelligence and software solutions provider. Chetu’s specialized technology and industry experts serve startups, SMBs, and Fortune 5000 companies with an unparalleled software delivery model suited to clients’ needs. Chetu’s one-stop-shop model spans the entire software technology spectrum. Headquartered in Sunrise, Florida, Chetu has 13 locations throughout the U.S., Europe, and Asia.