Chapter 10 Flashcards
The order entry/sales (OE/S) process Includes the first four steps in the order-to-cash process:
- Presale activities
- Sales order processing
- Picking and packing the goods
- Shipping
Billing and processing the customer payment are included in the:
Billing/accounts receivable/cash receipts (B/AR/CR) process
Order to cash process
- Presale activities
- Sales order processing
- Pick and pack
- Shipping
- Billing
- Payment
An interacting structure of people, equipment, activities, and controls that is designed to achieve certain goals
Order entry/sales (OE/S) process
The primary function of the OE/S process is to create information flows that support:
- Repetitive work routines of the sales order, credit, and shipping departments
- Decision needs of managers of various sales and marketing functions
OE/S process supports sales order, credit, and shipping departments by:
Capturing, recording, and communicating sales-related data
In the ______ ______, the OE/S process relates to the repetitive work routines of the sales order, credit, and shipping departments.
Horizontal perspective
In the _____ ______, the OE/S process relates to managerial decision making within the marketing function
Vertical perspective
Authorized the warehouse to “pick” the goods from the shelf and send them to shipping. Identifies goods to be picked and (usually) warehouse location
Picking ticket
Sent to notify customer of order’s acceptance and expected shipment date
Customer acknowledgement
Document or computer message sent to the billing department to notify them of a pending shipment
Sales order notification
Shipping notifies billing to begin the _______ ______
Invoicing process
Contract between shipper and carrier in which carrier agrees to transport goods to shippers customer
Bill of lading
Sent with the package to identify the customer, destination and contents
Packing slip
General ledger inventory sales update notified the general ledger process that ______ has been sold and that cost of goods sold had increased
Inventory