Supply Chain Solution

About 2538 wordsAbout 8 min

2026-04-07

In e-commerce and platform businesses, transaction completion does not mean the end of business; what truly affects user experience and enterprise costs is "fulfillment capability".

Many enterprises focus their energy on front-end customer acquisition and conversion, but neglect the support capability of the backend supply chain. When order volume explodes, if warehousing and shipping cannot keep up, inventory data is inaccurate, and logistics information is not transparent, user negative reviews and refund requests will come one after another, instantly turning previous marketing investments into nothing.

The supply chain is not a backend support department but a key engine that determines enterprise survival and death. It directly affects shipping timeliness, inventory turnover rate, capital occupancy costs, and user repurchase willingness

The essence of the supply chain is a complete collaborative system built around product circulation, order fulfillment, and inventory management.

When products travel from suppliers to warehouses and then to consumers, they go through multiple stages: receiving, shelving, storage, picking, packing, outbound, transportation, and delivery. Every stage can have efficiency problems or errors:

Inaccurate inventory data leads to overselling or stockouts
Unreasonable picking paths cause shipping delays
Missing logistics tracking causes customer service to be frequently asked

The common root of these problems is system fragmentation across stages, with information not synchronized

Magicsoft's Supply Chain Solution seamlessly connects warehousing, order, and logistics systems through a unified data middle platform and process engine, making every step of product circulation visible, controllable, and traceable

I. Overall Supply Chain Structure

We break down the supply chain system into core business flows and achieve comprehensive integration through systems:

Product Receiving → Inventory Management → Order Generation → Warehouse Allocation → Picking and Packing → Shipping and Delivery → Logistics Tracking → Delivery Completed

This process looks simple, but actual execution involves numerous details:

Product Receiving: Verify quantities, quality inspection, shelve to designated locations
Inventory Management: Reflect available inventory, locked inventory, in-transit inventory for each warehouse in real time
Order Generation: Determine which warehouse to ship from based on user address, product inventory, warehouse load, and other factors
Warehouse Allocation: Generate picking lists, guide warehouse staff to pick along optimal paths
Packing Stage: Select appropriate packaging materials and fillers
Shipping and Delivery: Connect with multiple express companies, automatically print shipping labels
Logistics Tracking: Parse express company status codes, push to frontend and customer service systems
Delivery Completed: Trigger subsequent after-sales, reviews, and other processes

Magicsoft's system has built-in automation and intelligent logic at every node, ensuring the entire chain operates efficiently

II. Core System Composition (Product-level Capability Integration)

Module	System Components	Core Function
Warehouse System	WMS (Warehouse Management System)	Manage inventory and warehouses
Order System	OMS (Order Management System)	Unified order processing
Logistics System	TMS (Transportation Management System)	Delivery and logistics management
Data System	Data Analysis Platform	Optimize supply chain decisions

Four Systems Deep Integration:

OMS → WMS: After order generation, automatically trigger inventory locking and picking tasks
WMS → TMS: After outbound, automatically notify TMS for pickup and route allocation
TMS → OMS: Logistics status changes synchronize in real time, update frontend order status

Data System: Extract key indicators from three systems (order processing time, inventory turnover days, logistics delivery rate), generate visualized supply chain cockpit

This integrated architecture avoids the pain points of data inconsistency and process breakpoints in multiple systems under the traditional model

III. Supply Chain Business Closed Loop (Core Logic)

Magicsoft emphasizes "full-process controllable + data-driven optimization":

   Order Generation
      ↓
   Inventory Verification
      ↓
   Intelligent Warehouse Allocation
      ↓
   Warehouse Processing
      ↓
   Logistics Delivery
      ↓
   User Delivery
      ↓
   Data Feedback and Optimization

Key Steps Details:

Inventory Verification: Check available inventory in each warehouse—if main warehouse is out of stock, system automatically finds backup warehouse or supplier direct shipping
Intelligent Warehouse Allocation: Consider factors like delivery cost, time commitment (such as next-day delivery), and current warehouse load to select optimal shipping warehouse
Warehouse Processing: WMS recommends most suitable picking strategy based on product combinations in orders (single item single piece uses wave picking, multiple items use zone picking)
Logistics Delivery: TMS intelligently routes based on user address and express company time and price
User Delivery: Record time consumed for entire fulfillment cycle, compare with historical data, discover bottleneck stages and suggest optimization

After multiple cycles, supply chain efficiency and costs will continuously improve

IV. Common Enterprise Problems (Core Pain Points)

In actual business, supply chain problems often directly affect profits and user experience:

Inventory inaccurate → Overselling / Stockouts
Slow shipping → Poor user experience
Uncontrollable logistics → Increased complaints
System fragmentation → Low efficiency
Excessive costs → Declining profits

Problem Root Causes:

Inventory inaccurate: Data not synchronized between multiple warehouses, or receiving and shipping not updated in real time
Slow shipping: Picking lists not printed timely, unreasonable warehouse layout causing long picking paths, insufficient packing staff
Uncontrollable logistics: Only express tracking numbers obtained, but logistics trajectory status codes not parsed—unable to proactively discover stuck packages
System fragmentation: Order system, warehouse system, and logistics system provided by different suppliers—data relies on manual import/export
Excessive costs: Express fees not optimized, inventory backlog occupying capital, high return rate

Magicsoft's Supply Chain Solution provides verified solution paths for each problem

Our Solutions:

Problem	Solution
Inventory chaos	Real-time inventory management system
Slow shipping	Automated warehouse processes
Opaque logistics	Full-chain tracking
System fragmentation	OMS + WMS + TMS integration
High costs	Data optimization and path optimization

V. Core Capability Modules (Deep Dive)

1. Warehousing Management Capability (Supply Chain Foundation)

The warehouse system is not merely "inventory records" but the core hub of the entire supply chain.

We achieve this through systems:

→ Real-time inventory synchronization
→ Multi-warehouse management
→ Inventory early warning mechanism
→ Batch and product management

Capability Structure:

Receiving Management → Inventory Management → Outbound Management → Inventory Early Warning

Achieve Transformation:
Manual Inventory → System Inventory → Real-time Inventory → Intelligent Inventory

Details of Each Stage:

Manual Inventory: Use Excel to record purchases, sales, and inventory—updated once before leaving work each day, frontend inventory display always lags
System Inventory: After WMS goes online, every receiving and shipping is entered in real time, but only used within the warehouse
Real-time Inventory: WMS inventory changes synchronize to OMS and frontend mall in real time through message middleware—user-visible inventory error from actual warehouse inventory is within seconds
Intelligent Inventory: Add prediction algorithms—based on historical sales data and promotion plans, predict sales for the next 7 days, automatically generate procurement suggestions and allocation plans

Magicsoft's WMS supports full-path upgrades from Stage 1 to Stage 4

2. Order Management Capability (Process Hub)

The Order Management System (OMS) is responsible for unifying all order flows, serving as the core system connecting frontend transactions and backend fulfillment.

Core Capabilities:

✔ Multi-channel order unified management (mall / platform / distribution)
✔ Automatic order splitting and merging
✔ Intelligent warehouse allocation and shipping strategy
✔ Full-process order status tracking

Order Access → Order Processing → Warehouse Allocation → Shipping → Status Update

Value Brought:
→ Improve order processing efficiency
→ Reduce manual operation costs
→ Avoid order errors

Order Management Details:

Multi-channel Order Unified Management: Regardless of whether orders come from WeChat mini programs, Tmall flagship stores, Douyin stores, or offline store POS systems, OMS can unify access through API, forming a single order view
Automatic Order Splitting and Merging:
- Split: If a user's shopping cart contains products from Warehouse A and Warehouse B, automatically split into two sub-orders for separate shipping
- Merge: If a user places multiple orders in a short time, system can automatically merge shipping to save express costs
Intelligent Warehouse Allocation: Consider each warehouse's inventory, distance, shipping cost, promised delivery time, and other factors
- Urgent orders: Prioritize choosing same-city warehouse that can achieve same-day delivery
- Regular orders: Choose warehouse with lowest shipping cost
Full-process Order Status Tracking: Once a stage exceeds time limit (such as warehouse not assigned within 2 hours after payment), system automatically alerts

3. Logistics and Delivery Capability (Experience Core)

Logistics systems determine the user's ultimate experience, a key element for e-commerce reputation.

Core Capabilities:

Capability	Description
Multi-logistics Integration	Express / Same-city / International logistics
Route Optimization	Select optimal delivery routes
Shipping Cost Calculation	Automatic fee calculation
Logistics Tracking	Real-time status synchronization

Shipping → Transportation → Transfer → Delivery → Signed

Achieve:
Uncontrollable Logistics → Visualizable Logistics → Optimizable Logistics

Logistics System Details:

Multi-logistics Integration: Support standard express like SF Express, ZTO, YTO; same-city express (Shansong, Dada); international logistics (DHL, FedEx); special category logistics (cold chain, large items)
Route Optimization: Batch obtain quotes and delivery times from various express companies, combined with order destination distribution, select most economical express combinations
- Jiangsu/Zhejiang/Shanghai → ZTO
- Remote areas → China Post
- Overseas → Choose EMS or dedicated lines based on weight and volume
Shipping Cost Calculation: Support various modes including by weight, volume, piece count, fixed amount—can set free shipping threshold promotions
Logistics Tracking: Poll express company interfaces every 2 hours, parse standardized nodes (collected, in transit, out for delivery, delivered, exception), automatically generate work orders for stuck packages (no update for over 48 hours) to alert customer service

4. Inventory and Cost Control Capability (Profit Key)

The essence of supply chain efficiency is cost control capability.

System Capabilities:

✔ Inventory turnover analysis
✔ Slow-moving product identification
✔ Automatic replenishment strategy
✔ Cost data analysis

Inventory Data → Analysis → Optimization → Cost Reduction

Changes Brought:
→ Reduce inventory backlog
→ Reduce stockout losses
→ Improve capital utilization

Cost Control Details:

Inventory Turnover Analysis: Calculate turnover days for each SKU (average inventory/daily sales), provide industry benchmark comparison, identify products with slow turnover
Slow-moving Product Identification: Combined with sales volume, inventory depth, and seasonal factors, automatically mark products recommended for clearance, trigger promotion activities
Automatic Replenishment Strategy: Based on safety stock model—when available inventory falls below safety stock line, automatically generate procurement orders or transfer orders
Cost Data Analysis: Calculate fulfillment cost for each order (warehouse operation fees, packaging materials fees, express fees, return processing fees), compare with average order value and gross profit margin, evaluate profit level per order

Enterprises can gradually transform inventory from "cost center" to "value center"

5. Data-driven Optimization Capability (Long-term Competitiveness)

Supply chain is not one-time optimization but a continuous iteration process.

Data-driven Path:

Order Data → Warehouse Data → Logistics Data → Analysis → Optimization Decisions

Application Scenarios:

✔ Warehouse layout optimization
✔ Shipping efficiency improvement
✔ Cost structure optimization
✔ User experience optimization

Optimization Details:

Warehouse Layout Optimization: Analyze outbound frequency of hot-selling products—suggest placing these products on shelves closest to outbound area to reduce picking paths
Shipping Efficiency Improvement: Analyze each picker's work efficiency (orders/hour), identify training needs or process bottlenecks
Cost Structure Optimization: Regularly review average cost and delivery time of each express company, evaluate whether to change partners
User Experience Optimization: Focus on gap between "user promised delivery time" and actual delivery time—improve delivery achievement rate by adjusting warehouse allocation strategy or express selection

Magicsoft's data system has built-in various supply chain analysis models, helping enterprises upgrade from "experience-driven" to "data-driven"

VI. Different Business Model Adaptation

Scenario	Solution
E-commerce Enterprise	Warehousing + Order + Logistics integration
Platform Business	Multi-merchant supply chain collaboration
Cross-border E-commerce	International logistics + Multi-warehouse system
Brand Enterprise	Private warehousing + Refined management

Standard E-commerce Enterprise: OMS+WMS+TMS integrated solution, ready to use out of the box
Platform Business: Support each merchant to independently manage their own inventory and shipping, platform level handles order distribution and logistics tracking aggregation—support mixed use of platform consolidated warehousing and merchant self-shipping
Cross-border E-commerce: Connect with international logistics service providers, support customs declaration information generation, multi-currency shipping cost calculation, overseas warehouse stocking capabilities
Brand Enterprise: Already has ERP or warehouse—provide lightweight WMS module, focus on refined inventory management and integration with existing systems

Magicsoft's Supply Chain Solution is highly configurable—can be flexibly tailored according to customer's business model

VII. Capability Evolution Path (Enterprise Growth Perspective)

Manual Management
   ↓
System Management
   ↓
Process Automation
   ↓
Data-driven
   ↓
Intelligent Supply Chain

Manual Management: Use Excel to manage inventory and shipping—suitable for early-stage startups
System Management: Introduce WMS, OMS, etc., but many operations still require manual intervention
Process Automation: Automatic warehouse allocation, automatic express assignment, automatic label printing, automatic inventory updates
Data-driven: Automatically adjust safety stock based on historical data, recommend replenishment quantities, optimize picking paths
Intelligent Supply Chain: Introduce machine learning models to predict sales, dynamically adjust pricing and inventory allocation, automatically collaborate with suppliers for replenishment, even achieve unmanned warehouses

Magicsoft's solution can support enterprises through all stages from first to fifth—each upgrade overlays new capabilities on the existing system foundation, no replacement needed

VIII. Core Advantages (Strengthen Competitiveness)

✔ Full-chain supply chain system integration (OMS + WMS + TMS): Enterprises no longer need to maintain three independent systems and manually synchronize data—all information flows seamlessly on one platform
✔ Real-time inventory and order synchronization: Achieved through asynchronous message queues—after order generation, inventory locking completes in milliseconds, avoiding overselling issues
✔ Support high-concurrency order processing: System architecture supports horizontal scaling—even under extreme traffic like Double Eleven, order processing pipelines can run stably
✔ Data-driven continuous optimization capability: Built-in BI reports and machine learning models—give every supply chain stage data feedback and optimization suggestions

These advantages together constitute the core competitiveness of Magicsoft Supply Chain Solution

IX. Capabilities Customers Ultimately Gain

From a business perspective, customers gain:

Fast Shipping → Accurate Shipping → Low Cost → User Satisfaction → Scalable Expansion

"Fast Shipping": Time from order generation to outbound significantly reduced—users receive goods faster
"Accurate Shipping": Shipped products match orders—error rate extremely low, reducing after-sales disputes
"Low Cost": Optimizations in warehouse operation costs, express fees, inventory backlog costs, and other aspects directly improve profit margins
"User Satisfaction": Punctual, accurate delivery experience brings higher repurchase rates and positive reviews
"Scalable Expansion": Supply chain system has elasticity—when order volume increases 10 times, no system rebuild needed—just add servers and warehouse personnel for smooth support

These five progressive results are exactly the ultimate value that Magicsoft Supply Chain Solution delivers to customers

X. Summary (Strengthen Conversion)

Magicsoft Supply Chain Solution is essentially not "warehouse system + logistics system," but helping enterprises build a set of:

👉 High Efficiency + Low Cost + Controllable + Scalable

of supply chain capability system It enables enterprises to transform from passively responding to order fulfillment to actively controlling supply chain efficiency:

Whether it's single warehouse shipping nationwide, or multi-warehouse collaboration
Whether it's hundreds of daily orders, or millions of daily orders
Magicsoft can provide matching solutions

We not only deliver software but also provide value-added services such as supply chain process consulting, warehouse layout design suggestions, and express price negotiation support

Choosing Magicsoft is equivalent to equipping your business backend with a professional, stable, intelligent supply chain command center

Ultimate Achievement:

Fulfillment Capability → Operational Efficiency → Cost Advantage → Scale Growth

If you are troubled by slow shipping, inaccurate inventory, or many logistics complaints, welcome to contact Magicsoft's Supply Chain Solution Consultants. We can conduct a comprehensive diagnosis of your existing fulfillment process, and deliver an optimization plan within one week.

Let the supply chain transform from the enterprise's "weakness" into "moat", supporting continuous high-speed business growth