How does the e-commerce supply chain work?

E-COMMERCE

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Types of E-commerce businesses

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The E-commerce supply chain: Here’s how it works

production
storage
order placement
packing/dispatch
delivery
production
storage
order placement
packing/dispatch
delivery

Goods are produced in company manufacturing units

Finished goods are moved to distribution centers/warehouses to be stored

Customer places an order online

The order is packed and dispatched

Order is delivered to customer doorstep/a predefined pick-up spot

Goods are produced in company manufacturing units

Finished goods are moved to distribution centers/warehouses to be stored

Customer places an order online

The order is packed and dispatched

Order is delivered to customer doorstep/a predefined pick-up spot

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What happens in the backend when a customer places an order?

PLACING OF THE ORDER

PROCESSING

INVENTORY CHECK

Packing

all-mile delivery

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scenario 1

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scenario 2

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scenario 3

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scenario 4

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What happens in the backend when a customer places an order?

01

Placing of the order

Susan finally orders the pair of shoes she’s had an eye on for the longest time on the company’s online website

02

Processing

The shoe company gets notified and validates her order after confirming the product.

03

Inventory check and order collection

Reserve inventory is immediately shifted to primary storage. The product is picked from storage by warehouse workers

04

Packing it right

The pair of shoes Susan ordered is packed, labeled, and sorted according to its shipping mode, destination, and type of delivery.

05

All-Mile Delivery

The pair of shoes Susan ordered is packed, labeled, and sorted according to its shipping mode, destination, and type of delivery.

Challenges are not new to e-commerce. What is needed are new and innovative ways to stand up to them.

A successful omnichannel strategy is vital for businesses to thrive and should be the highest priority for their success.

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Locus offers a range of AI-powered logistics solutions, bringing more efficiency, consistency, and transparency in supply chain operations.

Get in touch with our experts and optimize your all-mile logistics with Locus now.

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