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254 Chapter 9 • Organizational Change and Business Process Reengineering

Merchandise
data updated
General
Ledger

Merchandise
supplied

Order
Sends order received and Order filled Order Customer Payment
verified shipped billed received

Business information updated for management decision making
FIGURE 9-3 Example of the Order-to-Sales Process (M/S) and Revenue Collection (RC) Processes.

process, which also interacts with the purchasing and manufacturing processes by sharing
information, as shown in Figure 9-3.
The M/S process includes interaction between employees, system, methods, and controls
designed to reach the goals. This process has to support the following:
•Repetitive work procedures of the credit department, sales order department, the warehouse
and shipping department.
•Requirements of the decision makers of the different marketing and sales functions.
•Information flows and data stored to support the operations and management processes.

The process supports the sales order department in capturing important customer and order
information, facilitating the credit granting to the customers, and ensuring the timely delivery of
goods to customers. The information flows are automated by the ERP systems.
M/S process involves:

1. Processing of the orders placed by the customers
2. Delivering goods to the customers
R/C process involves:

1. Charging the customers
2. Management of the customer accounts
3. Obtaining payment for the products or services provided

Order-to-Cash BPM Solution from Dell Services
Dell Services’ automated, rules-based order-to-cash processing optimizes workflow to reduce
costly errors, decrease receivables and DSOs (day’s sales outstanding), increase collections, and
enhance the customer experience. The Dell/Perot Systems suite 25 includes five modules as
shown in Figure 9-4.

25 http://www.perotsystems.com/MediaRoom/Library/ServiceOverviews/ServiceBrochure_OrdertoCashProcessing.pdf