Anyone who thinks that civil servant German is the most complicated form of our language has never heard of BWLer This is experienced by people themselves. This particularly applies to the jargon of the software industry, which is usually a mix of technical terms and English circumlocutions. In this context, the way my colleagues and I express ourselves ranks among the top in terms of incomprehensibility. One term that has more or less prompted questioning glances is „Order-to-Cash“.
Order-to-Cash - A process
Anyone who believes this is business English for business meals is mistaken. Literally translated, „Order-to-Cash“ also means "Order to Payment" and actually refers to the intended meaning process relatively close. Because „Order-to-Cash“ processes describe all procedures from order placement to payment receipt. This term is commonly used for this topic, especially when high automation in these process areas is spoken of or strived for.
Improvement through software use
In the best-case scenario, software naturally takes over many manual work steps. This applies universally to order entry. Relevant data, such as customer numbers, are read by the system and automatically transferred to the interface. When it comes to an order, the software can, for example, also reconcile the quantity with warehouse stock and check its availability. All work steps are also set up in the system in such a way that they can be easily traced later. In addition to saving time, an „order-to-cash“ process controlled by an ERP system can also make all operations significantly more transparent.
Order-to-Cash - effect and analysis
The efficiency of the order-to-cash process thus influences several areas and factors in the company. By improving the processes, you can achieve the following effects.
- Reduction of process costs
- Acceleration of receivables management
- Improvement of the Cash flow
- Labour time savings
- Error prevention
- Increase customer satisfaction
About the analysis of the order-to-cash process, valuable insights can actually be gained. In this way, all deviations and burdens on certain sub-processes can be recognised.
And which term would you like to have translated from business German into understandable German?
Purchasing documents in SAP Business One - consistently efficient
Outline agreements in SAP Business One
GMP standards for ERP in the pharmaceutical industry
ERP solutions for make-to-order production
When does an ERP system have to adapt?
