What are ecommerce operations?
Simply stated, ecommerce operations are the sum of all activities required to sell items online. Some of the most fundamental areas in ecommerce operations include
- Supply chain planning
- Warehouse management
- Receiving and managing inventory
- Picking and packing customer orders
- Shipping logistics
- Customer service
As an ecommerce company expands, it must deal with increased responsibilities, such as a multichannel retail plan, inventory distribution, and so on.
Ecommerce operations manager duties and responsibilities
Ecommerce operations managers are in charge of optimizing the supply chain. As a result, they are entrusted with several key responsibilities and obligations. Here is a summary of what most ecommerce operations managers are charged with from operations planning to monitoring performance.
Planning
An operations manager is a key component of many internet company structures, assisting with the planning stage to ensure supply chain efficiency.
Warehousing is often the first step in supply chain management planning. Because there are several methods to build a solid ecommerce supply chain (from renting a warehouse to partnering with a 3PL), planning is an important stage in establishing a long-term business.
Quantity is another problem for many stores. Managing inventory is a time-consuming process that involves careful planning, such as determining how much stock you’ll need to keep up with demand. How will keeping track of inventory be handled?
Last but not least, you’ll need to figure out which carriers and shipping methods the firm will provide to its clients. Customers want quick, inexpensive delivery and are interested in incentives like free delivery, so it’s vital that operations are set up to enable a customer-friendly shipping approach.
Engagement
All participants in inbound and outbound logistics are engaged and collaborated with by the ecommerce operations manager. This ensures that operations run smoothly across the supply chain.
Managed by the e-Commerce Marketing team, this department helps to ensure that Amazon sellers are compensated in a timely and efficient manner. This division is responsible for supervising collaborations (such as suppliers, carriers, and third parties), as well as internal teams (receiving, fulfillment, and customer service).
In this section, an operation manager is in charge of working with third-party providers and keeping a smooth communication line between all departments. To improve operational efficiency, the operation manager participates in process review sessions to evaluate processes and optimize them where relevant.
Execution
Operations managers are in charge of the ecommerce side of an organization. Although they don’t technically manage supply chains, operations managers oversee execution and performance. Operations managers are responsible for ensuring that daily, weekly, and monthly activities such as inventory inspections and warehouse reviews are completed as required during the execution phase.
There are numerous moving elements in the chain, and many persons are involved (sellers, manufacturers, warehouse personnel, movers, etc.), so unforeseen events, delays, and difficulties can arise.
As the operations manager, you’ll know how to react and act immediately when problems occur, allowing operations to continue operating while still meeting customer expectations.
Supervision
Ecommerce operations managers are also responsible for performing supervisory duties in many businesses. This involves monitoring the performance of various departments (such as warehouse receiving, fulfillment, and customer service) to ensure that everyone has what they need to complete the task.
Because there are several teams working within one supply chain, an operations manager will also have a team that is accountable to them. Every team goes through a performance evaluation, and it’s up to the operations manager to collaborate with different teams and find methods to improve and optimize performance.
Analysis and reporting
Without the appropriate data, it’s difficult to evaluate success through planning to execution. An ecommerce operations manager is in charge of establishing ecommerce KPIs that will over time show performance.
To monitor and collect data in real time, operations managers rely heavily on supply chain technology. As a result, it’s simpler to generate reports and accurate information at any moment. This also eliminates the risk of data distortion caused by human error.