10 TIPS
Effective ecommerce fulfillment requires balancing customer expectations with cost and operational complexity. Here’s how to make smarter fulfillment decisions that improve service while protecting margins. Fulfillment That Works
1 OPTIMIZE ORDERS ACROSS THE NETWORK, NOT ONE AT A TIME
review. AI cannot optimize a fulfillment decision the organization itself has not clearly defined. 8 TURN CUSTOMER DATA INTO DECISIONS Bring customer history and order patterns into the fulfillment process rather than limiting decisions to logistics data. Evaluate where those insights could improve the experience, such as anticipating a preferred pickup time or suggesting a substitute when an item is unavailable. This can improve service while reducing cancellations. 9 GET AHEAD OF RETURNS Analyze order contents and past return patterns to identify likely returns before shipment. Factor whether additional product information or a different fulfillment option could prevent the return altogether. When it can’t, use analytics to find opportunities to recover value through resale or other channels rather than treating the product as a loss.
When routing orders, consider demand and inventory alongside available capacity and fulfillment costs across the entire network, rather than optimizing each transaction independently. Use scenario planning to anticipate demand spikes so you can reposition inventory or adjust routing rules before bottlenecks emerge. This helps avoid managing one order efficiently while creating problems elsewhere in the network.
2 PREDICT INVENTORY AVAILABILITY Don’t rely solely on current inventory to determine what can be promised to customers. Factor in predicted sales velocity and upcoming replenishment, as well as how reliably orders can be filled. More accurate inventory availability can help reduce cancellations and create more reliable delivery promises. 3 PUT EVERY FULFILLMENT ASSET TO WORK Think beyond the distribution center when deciding how to fulfill an order. Predictive analytics can help determine when a store or another location is the better option based on available inventory and expected demand. Making better use of the full network can improve speed without losing sight of fulfillment costs. 4 USE AI TO MAKE BETTER FULFILLMENT DECISIONS Apply AI where it can improve important fulfillment decisions, from
6 CONNECT FULFILLMENT DATA AND SYSTEMS Create real-time or near- real-time data flows across critical fulfillment systems. Give employees and AI access to a consistent view of orders, inventory positions, and carrier status. Without it, outdated or disconnected information can create false exceptions that drive unnecessary manual work. 7 SET THE RULES BEFORE AUTOMATING DECISIONS Clearly define how orders should be allocated and when substitutions or service recovery make sense. Include margin considerations in those rules before handing decisions to AI and establish clear escalation points for human
order routing and inventory allocation to predicting delivery times. Start with narrowly scoped use cases and expand as capabilities mature. AI can amplify what is already there, so applying it to weak processes can increase inefficiencies instead of eliminating them. 5 PREDICT DELIVERY PROBLEMS Use historical order and
shipment information together with current logistics data to predict
delivery times and spot likely delays. Reach out before the customer has to ask, whether that means providing an updated delivery status or offering store pickup instead. Proactive intervention can reduce customer escalations and service costs.
10 USE FULFILLMENT DATA IN DISCOVERY TO DRIVE PROFITABLE FULFILLMENT OUTCOMES Bring stock availability and location into digital product discovery so customers are guided toward items fulfilled efficiently. Predictive analytics and AI-supported search can connect customer intent to where inventory is actually available, making fulfillment part of the purchase decision rather than something that begins after checkout.
SOURCE: CHAP ACHEN, SENIOR DIRECTOR ANALYST, GARTNER SUPPLY CHAIN
8 Inbound Logistics • October 2026
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