• Advertise
  • Contact Us
  • Supplier Directory
  • SCB YouTube
  • About Us
  • Login
  • Subscribe
  • Logout
  • My Profile
  • LOGISTICS
    • Air Cargo
    • All Logistics
    • Facility Location Planning
    • Freight Forwarding/Customs Brokerage
    • Global Gateways
    • Global Logistics
    • Last Mile Delivery
    • Logistics Outsourcing
    • LTL/Truckload Services
    • Ocean Transportation
    • Parcel & Express
    • Rail & Intermodal
    • Reverse Logistics
    • Service Parts Management
    • Transportation & Distribution
  • TECHNOLOGY
    • All Technology
    • Artificial Intelligence
    • Cloud & On-Demand Systems
    • Data Management (Big Data/IoT/Blockchain)
    • ERP & Enterprise Systems
    • Forecasting & Demand Planning
    • Global Trade Management
    • Inventory Planning/ Optimization
    • Product Lifecycle Management
    • Robotics
    • Sales & Operations Planning
    • SC Finance & Revenue Management
    • SC Planning & Optimization
    • Supply Chain Visibility
    • Transportation Management
  • GENERAL SCM
    • Business Strategy Alignment
    • Customer Relationship Management
    • Education & Professional Development
    • Global Supply Chain Management
    • Global Trade & Economics
    • Green Energy
    • HR & Labor Management
    • Quality & Metrics
    • Regulation & Compliance
    • Sourcing/Procurement/SRM
    • SC Security & Risk Mgmt
    • Supply Chains in Crisis
    • Sustainability & Corporate Social Responsibility
  • WAREHOUSING
    • All Warehouse Services
    • Conveyors & Sortation
    • Lift Trucks & AGVs
    • Order Management & Fulfillment
    • Packaging
    • RFID, Barcode, Mobility & Voice
    • Warehouse Automation
    • Warehouse Management Systems
  • INDUSTRIES
    • Aerospace & Defense
    • Apparel
    • Automotive
    • Chemicals & Energy
    • Consumer Packaged Goods
    • E-Commerce/Omni-Channel
    • Food & Beverage
    • Healthcare
    • High-Tech/Electronics
    • Industrial Manufacturing
    • Pharmaceutical/Biotech
    • Retail
  • THINK TANK
  • WEBINARS
    • On-Demand Webinars
    • Upcoming Webinars
    • Webinar Library
  • PODCASTS
  • WHITEPAPERS
  • VIDEOS
Home » Logistics » Adopting the Right E-commerce Fulfillment Strategy

Adopting the Right E-commerce Fulfillment Strategy

March 5, 2014
SupplyChainBrain

E-commerce orders are different from typical replenishment orders. For example, order size and shipping unit of measure are much smaller than the order size and unit of measure for store replenishment. Peak shipping days also tend to be more intense and more concentrated for e-commerce orders. Volume that exceeds four to five times the average is not unusual. 

In addition, brick and mortar retailers need to define how they incorporate their stores into the e-commerce fulfillment network. Store fulfillment, pickup-in-store, and return-to-store may be necessary to meet customer expectations and keep up with competition.

If your e-commerce business is growing and there is a challenge to keep up with the demand, now is the time to improve your order fulfillment capabilities. First, remember strategy comes before structure. The business strategy drives the fulfillment network structure. Retailers must define the target market, products, services, and value proposition, and the capabilities needed to deliver products and services to the target market. There is no one-size-fits-all approach, and the strategy must be customized to meet the specific needs of the business. 

Once the strategy is clear, proceed to infrastructure"”that is, planning the network of fulfillment centers (FCs), distribution centers (DCs), direct delivery centers, forward fulfillment centers, direct special services centers, depots, forward picking locations, cross-docks, and other processing/shipping locations. Another key consideration is whether to perform fulfillment operations in the store replenishment DC or to open separate FCs, which are solely dedicated to fulfilling e-commerce orders. 

For design, remember these best practices principles:

1. Develop flexible solutions for shorter time horizons: A much shorter time horizon (2 to 3 years) should be used to build capabilities that meet core requirements but can be scaled to meet future needs.

2. Plan for same-day order fulfillment: Customers are demanding instant gratification.  Fulfillment systems must be built to pick, pack, and ship customer orders the day the order is received.

3. Automation is not a guaranteed solution at high volumes: The greater the peak-to-average ratio is, the less you want to be tied to the constraints of automation.

4. The order fulfillment process typically consists of multiple flows to optimize productivity and efficiency, as well as reduce order cycle times: Batch-pick single-line orders and send directly to packing. Some multi-line orders that are not easily batched or consolidated may require a discrete order picking process.

5. Packing often becomes the throttle for the entire fulfillment process, and special care must be taken to properly size packing: Order types and profiles should drive the process, and a combination of manual and automated pack lanes are typically the right path.

                                                   The Outlook

Each company's specific situation is different and there is no right or wrong answer. What works for one may not work for another. But adopting the right distribution strategy and operational best practices is critical to successful e-commerce order fulfillment in this age of rapid change and growth.

    RELATED CONTENT

    RELATED VIDEOS

    Logistics Reverse Logistics Service Parts Management Transportation & Distribution Consumer Packaged Goods Retail
    KEYWORDS consumer packaged goods fulfillment operations Kelly Reed Logistics logistics & supply chain logistics IT Partner Retail retail supply chain returns management Reverse Logistics Service Parts Management Supply Chain Management Supply Chain Management: Retail Tompkins International Transportation & Distribution
    • Related Articles

      E-Commerce Fulfillment: The Golden Age or Nuclear Age?

      Tackling the Challenges of E-commerce Fulfillment

      Tompkins Launches E-Commerce Fulfillment Alliance

    • Related Directories

      Tecsys, Inc.

      ProcureAbility

      GLS US

    SupplyChainBrain

    Better Supply Chains Releases Framework for Evaluating TMS Systems

    More from this author

    Subscribe to our Daily Newsletter!

    Timely, incisive articles delivered directly to your inbox.

    Featured Product

    Popular Stories

    • Stacks of multi-colored shipping containers arranged in rows at a port, with rows of blue and grey shipping cranes lining the background along the coastline

      Port of Savannah Approved for New 3.5M TEU Terminal

      Global Gateways
    • An overhead view of a port, with stacks of containers and vehicles moving through rows

      Podcast | AI in Supply Chain Planning: Impact, Promise and Limits

      Artificial Intelligence
    • A cartoon illustration of a man sitting at a desk in front of a laptop, surrounded by five faceless humanoid robots

      The Productivity Story Everyone is Missing

      Technology
    • On Demand Webinar Locus Robotics Thu Oct 15 2026 11a ET.png

      Designing for Uncertainty: A Flexibility-First Approach to Warehouse Automation

      Webinars
    • A row of semi-truck cabs, with a red truck in the foreground, parked next to four white trucks, two more red ones, and three blue ones

      USDOT Announces $200M in Funding for Commercial Truck Parking

      Logistics

    Digital Edition

    Scb q3 26 cover

    100 Great Supply Chain Partners 2026: The Secret to Supply Chain Success

    VIEW THE LATEST ISSUE

    Case Studies

    • Recycled Tagging Fasteners: Small Changes Make a Big Impact

    • A GRAPHIC SHOWING MULTIPLE FORMS OF SHIPPING, WITH A HUMAN STANDING AT THE CENTER, TOUCHING A SYMBOLIC MAP OF THE WORLD

      Enhancing High-Value Electronics Shipment Security with Tive's Real-Time Tracking

    • A GRAPHIC OF INTERLACING HONEYCOMBED ELEMENTS REPRESENTING GLOBAL BUSINESS TRANSACTIONS

      Moving Robots Site-to-Site

    • JLL Finds Perfect Warehouse Location, Leading to $15M Grant for Startup

    • Robots Speed Fulfillment to Help Apparel Company Scale for Growth

    Visit Our Sponsors

    4flow Amazon Freight Anaplan
    Arkieva AutoStore Blue Yonder
    Canadian National Railway Company Carton Cloud CoEnterprise
    Dassault Descartes Dexory
    Duravant E2Open EPG
    General Logistics Systems GEP Hy-Tek
    iGPS Knapp Korber
    Lyngsoe Odyssey Logistics OMP
    PeakAI Procurability Quinyx
    SAP Sikick Staples
    S&P Global Mobility Systech TADA
    Tive TransImpact US Bank
    Werner WSI
    • More From SCB
      • Featured Content
      • Video Library
      • Think Tank Blog
      • SupplyChainBrain Podcast
      • Whitepapers
      • On-Demand Webinars
      • Upcoming Webinars
    • Digital Offerings
      • Digital Issue
      • Subscribe
      • Manage Email Preferences
      • Newsletters
    • Resources
      • Events Calendar
      • 2026 Event Coverage
      • SCB's Great Supply Chain Partners
      • Supplier Directory
      • Case Study Showcase
      • Supply Chain Innovation Awards
      • 100 Great Partners Form
    • SCB Corporate
      • Advertise on SCB.COM
      • About Us
      • Privacy Policy
      • Contact Us
      • Data Sharing Opt-Out

    All content copyright ©2026 Keller International Publishing Corp All rights reserved. No reproduction, transmission or display is permitted without the written permissions of Keller International Publishing Corp

    Design, CMS, Hosting & Web Development :: ePublishing