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Latest revision as of 19:11, 12 July 2022
The activities associated with receiving, validating and entering orders for Make-to-Order products and services. This may include configuring the product and validating the existence and accuracy of customer data (sold-to, ship-to), pricing information, customer credit and product/item numbers. In many use cases this process is initiated by the receipt of a purchase order from the customer.
Use cases
- Standard Sales Order entry
- Configurable product order entry (menu-driven product configuration)
- Replacement product order entry for a customer return
- Entry of orders for commercial samples
- In a factory: Entry of customer orders for Make-to-Order products
- In Retail: Placing an in-store order for a Special Order product
In many use cases the desired outcome of this process is a 'clean order'. A clean order is an order that is free of any holds or flags preventing it from shipping (assuming inventory and capacity are available).
Validation may include credit checks for some or all customers, but is less common for replenishment and uncommon for inventory move orders.
Quote-to-Cash
Order-to-Cash
Error-free Documentation Ratio
Deliver Cycle Time
Distribution Costs
Order Management Cost
Hierarchy
| ID | Name | Level | x | | D2 | Deliver-to-Order | 2 | D2 |
| D202 | Validate & Create Order | 3 | D202 |
Workflow
Validate & Create Order Deliver-to-Order 5420200 3 MTO, Make-to-Order, Order Management, Order, Entry, Validation, Configuration, Validation, Supply Chain Receiving, validating and entering orders for Make-to-Order products and services. This may include configuring the product and validating the existence and accuracy of customer data (sold-to, ship-to), pricing information, customer credit and product/item numbers