What is a Multichannel Order Manager? | Cin7

Returns that never make it back into available stock. A channel that declares an order “shipped” before the warehouse even sees it. And my personal favorite, overselling the same inventory across channels.

These are the frustrating results of accidentally choosing the wrong multichannel order manager. Lest you think these challenges are rare and that most order management solutions will get the job done, I urge you to think again.

I’ve worked with many clients who invested in a system that ticked every feature box on their checklist, yet that same system faltered spectacularly when faced with its first real multichannel stress test. One example? A company who sold expensive, premium paddleboards.

Using an order manager that seemingly passed the sniff test, including connecting seamlessly to other vital business systems, my client made the high-ticket, low-volume product available to customers via Amazon FBM, Shopify, and the retail floor. Unfortunately (and unsurprisingly), they watched the same thing happen over and over again: three orders come in but only one customer sails off into the sunset.

The rock solid multichannel order manager wasn’t so solid after all. Because the different channels didn’t sync in time, every channel thought they had the paddleboard in stock but only one was accurate. And only one customer was happy.

I’ve seen these same scenarios play out with my clients more times than I can count, and if you’ve “been there, done that,” then you likely suffer from the same problem my client did. Here’s how to fix it.

The Requirements You Didn’t Know to Ask About (and the Vendor Doesn’t Discuss)

A multichannel order manager has one job: tell you everything you need to know about your orders, inventory, and shipping from every sales platform in one place.

That’s it. And it’s a lot.

That’s why you need to dig deeper before buying and implementing a multichannel order manager. If you don’t, it’s like buying new clothes without trying them on, expecting each item to fit you like a glove.

Some might. Most won’t.

To ensure you don’t trust your business to an ill-fitting multichannel order manager, you need to figure out a few things first, starting with inventory sync.

Every product business knows inventory sync is a standard requirement. An out-of-sync inventory signals broken POs, sales orders, or transfers upstream. But there’s another potential problem they may not think about and that’s knowing how much time takes place between sync intervals.

What happens when two channels think they have the last unit? We saw that play out with the paddleboard. Unfulfilled orders, unhappy customers, and baffled team members.

Beyond the negative consequences of inventory sync timing gaps, there are other important requirements that require your attention.

• Returns and cancellations flowing back into available inventory. This is the one I see missed constantly. A return that doesn't immediately free up inventory across every channel isn't a minor inconvenience. It's a slow leak that shows up as "we have less stock than we thought" a month later with no obvious cause.
• Oversell and backorder handling under pressure. Not whether the system can prevent oversells in theory, but what it actually does the moment one happens: does it auto-cancel, does it notify someone, does it just quietly create a customer service problem three days later? You need to know.
• Reporting that reconciles, not just reporting that exists. Every order manager has a dashboard. Few have a dashboard that both operations and finance trust, because the underlying data across channels doesn't actually agree. I’ve sat with clients staring at two numbers that should match and don't, trying to figure out which one to believe going into a board meeting.
• Dealing with a channel that goes down or changes its API. Buyers evaluate the happy path. I evaluate what the order manager does when Amazon's API hiccups or a marketplace changes a field without warning. It’s uncommon, but when it happens, does the whole system stall, or does it degrade gracefully? How your system responds will determine how well (or not so well) your business moves forward.

Where You Go From Here

As someone who has watched plenty of failed implementations due to picking the incorrect multichannel order manager, I can tell you that these businesses didn’t lose the game on the last play. They lost it with their first poor decision, which then impacted the whole season.

I can also tell you that this failure is avoidable.

Start by evaluating a multichannel order manager against the channels you have now. How well do they play together and how does it handle POs, sales orders, and transfers? This is critical, but you can’t stop there.

You need to see what it does the moment something goes wrong. This is where the proverbial rubber meets the road.

Ask yourself whether the system has a too-long timing gap between your inventory sync as well as when returns and cancellations come in. Determine what the system does on its own when in an oversell and backorder situation or when channel or API channels occur. And confirm that it’s reporting actually reconciles, not just gives you numbers you’re not sure you can trust.

If you still have questions about choosing the right multichannel order management system for you, Four13 can help. As a Cin7 partner, we’ve got you covered.