Order Revenue Management
Order Revenue Management
Executive Overview
The Order and Revenue Management (ORM) Cycle is the lifeblood of every company in North America today. For most companies, ORM has become a complex bureaucratic tangle with many systems and departments performing redundant tasks, each generating volumes of unnecessary paperwork. As a result, ORM professionals spend much of their time handling mistakes, delays and inefficiencies that negatively impact every part of the business. The unfortunate consequences include dissatisfied customers, unpredictable cash flow, increased Days Sales Outstanding (DSO) and associated working capital impacts, faulty forecasting and planning decisions, unreliable financial reports, and ultimately, lost revenue.
Soltec’s ORM Best Practice Solution™ is an industry proven end-to-end solution for all administrative aspects of this process including sales, order entry, billing, credit and collections, and cash application.
A successful ORM implementation ensures timely and accurate order entry, shipping, billing, and cash application which will provide predictable and improved cash flow and generate critical data used to plan and budget for every aspect of a company’s operations.
IMPACTS
- Sales Organization
- Order Organization
- Shipping Organization
- Billing Organization
BENEFITS
- Establishes one consistent process for supporting customers with one point of contact for order placement, follow-up, settlement and disputes
- Improves customer relations
- Simplifies invoicing process
- Decreases paperwork for suppliers and customers
- Simplifies pricing and accounts payable process by eliminating miscellaneous charges
- Improves data integrity within the order management system-Customer Master, Item Master, Bill of Material
- Reduces billing discrepancies and customer deductions work
- Reduces Customer Service, Accounts Receivable and Credit/Collections Costs by 50%
- Reduces payment deductions significantly
- Standardizes terms and conditions for all customers
RELATED BEST PRACTICES
- Evaluated Receipts Settlement:
- Reduce Accounts Payable Costs by up to 75%
- Payment Terms:
- Increase Working Capital, Reduce Administrative Costs
- Purchasing Card:
- Reduce procurement to payment process costs by up to 80%
- Electronic Funds Transfer:
- Eliminate Check Processing, Improve Cash Management
- Working Capital Improvements:
- Comprehensive Solutions to Increase Cash Flow
- Soltec provides Order-Revenue Management Best Practices education to both business professionals and executives in both web enabled and on-site formats. Please contact Soltec to setup an educational session or to understand how Order-Revenue Management Best Practices can improve your organization’s financial performance.
