Maintaining the correct inventory amounts is a major concern for most online businesses. This includes having enough inventory on hand to meet current demand and forecasting future demand to be prepared for dips and spikes in orders throughout the year.
Overstocking on inventory is not an effective solution, as it can lead to increased storage costs, displace other inventory from valuable storage space, and lead to dead stock being left indefinitely on warehouse shelves. And understocking can be just as problematic when it results in backorders and delayed shipments.
A good OMS gives you better insights into managing your inventory. By recording historical data and generating easy-to-follow reports, the OMS gives you insight into buying patterns, upcoming trends, and seasonal fluctuations. This can help your business make informed decisions about what kinds of inventory to keep on hand, and in what amounts.