INFORSY-LEC4-O2C (QUIZ 1) Flashcards
(21 cards)
__________ is the entirety of a company’s order processing system. It begins the moment the customer places an order until the order has been delivered
Order-to-Cash
Order to Cash Process Steps:
- Order Management
- Credit Management
- Order Fulfillment
- Order Shipment
- Customer Billing
- Payment Collections
- Cash Reconciliation
a document that records one or more business transactions between a buyer and a seller.
Order Form
is a way customers pay for products or services that may include cash, credit cards, prepaid cards, debit cards, or mobile payments.
Payment Method
transactional email or official written document sent to a customer once they’ve completed an order.
Confirmation Order
justifies the receipt of the product or service.
Delivery Note
a paper or electronic note to show that payment is owed
Invoice
a paper or electronic note issued by a business to a customer in place of a refund.
Credit Note
It could be via an in-paper order form, an ordering feature in an online channel, or email. Orders can be single-item, single-item with variations, or multiple products and choices.
Order Management
When the customer places the order, the system will automatically send the payment through an approval process. The system will accept or deny payment and then move on to fulfillment, if and when it’s approved.
Customer Payment Management
____________ is the process of overseeing and controlling a company’s or individual’s credit operations. It involves evaluating the creditworthiness of potential
borrowers, setting credit limits, monitoring credit utilization, and ensuring that debts are paid on time. Effective credit management is essential for both businesses and individuals to maintain healthy financial stability.
Credit management
Orders that are sent for fulfillment should be in a standardized digital format so that any associate who begins work on an order can clearly decipher all relevant details.
Balancing ___________ and inventory management is crucial for businesses. Inefficient inventory management can lead to overstocking, tying up capital and storage space, or understocking, resulting in lost sales and dissatisfied customers.
order fulfillment
Ship the order to your customer in
a timely fashion so they receive it
by the date you promised.
A delivery note is issued that
provides a list of products and
quantity of goods included in the
delivery.
Order Shipping
A ______________ is a document that states the items purchased and the price at which those items were sold to a
customer.
Creating _______________ for each purchase and order is how you keep track of what’s paid for and shipped to avoid monetary
discrepancies
customer invoice; an invoice
_______________ then either occurs through customers making online payments, bank transfers, or submitting payments in some other format
Payment collection
Automated accounting systems need to flag outstanding invoice at preset times before they are overdue, and accounts receivable representatives should review these invoices to determine if there are
any obvious errors that would result in delayed payment.
Accounts Receivable
If a cancellation request is received from the order capture system, your order management system must be able to perform the following:
* Sends a request to the sourcing system to cancel any sourcing reservations for physical products
* Sends an event notification to indicate that the order has been canceled
Cancellation of Order
If a customer request for the returns even before processing a payment, then you can simply cancel the sales invoice and create a sales return or a delivery note.
Return Without Payment
This is a scenario where the customer
purchased an item from you for which Sales Invoice as submitted, and also paid.
Paid Sales Invoice
In the case of Sales Return where the customer didn’t process any payment, you can simply create a Credit Note.
Unpaid Sales Invoice
Interconnected software programs can track performance data across every stage of the order-to- cash process. By monitoring and analyzing this data, company leaders can see how the overall flow of their O2C process affects everything else in the organization. This includes the relationship with customers, the length of the sales cycle, the onboarding and customer service functions, and so on.
Reporting and Data Management
