IBM Sterling
Fulfillment Optimizer

Advanced analytics and insights to meet customers'
omnichannel expectations and reduce total cost-to-serve

“We were able to save 7% or $20M on total annual shipping costs through real-time order sourcing and optimization.” -- Leading Retailer

Omnichannel Fulfillment: Essential But Costly

A majority of consumers choose a retailer based on their omnichannel capabilities. While retailers are striving to provide the omnichannel experiences consumers want—they are finding that the cost and complexity of delivering these experiences are eating away at their already-thin margins.

In fact, recent studies reveal that retailers have seen a 300% increase in the cost-to-serve the omnichannel customer, with around 18% of every dollar spent going towards order fulfillment.

To protect their business, retailers must find a way to deliver orders at the speed and ease consumers want, but do so in a way that enables them to do so cost-effectively. To remain competitive, they also must find ways to drive additional revenue, anticipate demand, and respond faster to change and opportunities.

Applying Intelligence to Order Management

While Order Management solutions are enablers of omnichannel commerce, these solutions alone aren’t capable of determining the optimal fulfillment plan at a lower cost-to-serve. What’s needed is a layer of intelligence that applies advanced analytics, simulation, and real-time optimization to your order management capabilities.  That solution is IBM Sterling Fulfillment Optimizer with Watson.

IBM Sterling Fulfillment Optimizer enables retailers to optimize against competing objectives, such as fulfillment method, time-to-deliver, and cost.  With Sterling Fulfillment Optimizer, omnichannel executives and managers can enhance their current order management solution with analytics, simulation, and real-time optimization, enabling them to:

IBM Sterling Fulfillment Optimizer with Watson

  • Compare and test new fulfillment strategies before implementing them based on historical data and knowledge of future demand
  • Leverage advanced analytics to execute optimized fulfillment plans at the lowest cost-to-serve
  • Immediately manage and monitor fulfillment costs and performance, right down to the individual SKUs and nodes
  • Optimize the design of their network (including stores and distribution centers) for last-mile fulfillment
  • Execute new sourcing decisions in real-time to minimize shipping costs
  • Leverage real-time sourcing flexibility to make better use of ‘at risk’ and returned inventory
  • Gain a holistic, actionable view of omnichannel across eCommerce, Merchandising, Logistics, Store Operations, and Supply Chain
  • Determine and scale fulfillment capacity needed to meet increases in consumer demand
  • Adjust proactively through actionable insights when performance differs from expected results
  • Leverage cognitive capabilities to continuously learn and improve outcomes for omnichannel fulfillment

Furthermore, omnichannel managers can easily implement fulfillment changes without IT, with an intuitive user interface with sliders and dials.

View the video below to learn more about the solution.

Sterling Fulfillment Optimizer Benefits

  • Enhances your existing order management solution, as Order Optimizer is designed to integrate with any order management solution
  • Improve profitability by easily executing optimized fulfillment plans at the lowest cost-to-serve,
  • Gain competitive advantages by enabling faster, more agile response to consumer behavior
  • Detect and respond to market opportunities and competitive threats
  • Improve inventory utilization by utilizing inventory at its most profitable price point and prioritizing slow-moving or obsolete store inventory to meet eCommerce demand
  • Accelerate sell-through and minimize markdowns
  • Gain actionable insight into Omni-channel fulfillment performance, helping to improve processes and decision-making
  • Understand and act upon changes in the market as they occur, helping retailers achieve a perfect balance between meeting customer fulfillment expectations, protecting margins, and utilizing store capacity

Leverage Our Order Management and Fulfillment Expertise

IBM Platinum Business PartnerInterested in learning more about order optimization and how it can help your organization?  Contact us and we’ll put you in touch with one of our omnichannel order management and fulfillment experts who can assist you with your needs.  Or, feel free to browse our site to learn more about our other solutions and services for omnichannel commerce and order management.