If you have a company, you will have realized that for it to be successful and work properly it is necessary that all its gears are well greased. One of the most important, and the one we are talking about today, is the order to cash (O2C)
What is the order to cash?
The order to cash is the commercial process that covers all the stages that are activated when a customer makes a purchase. These steps range from receipt of the order to the moment the payment is made and it is recorded. This process is also called the “customer cycle”.
Depending on the type of company and the products for sale, the order to cash process can be as easy as a simple transaction or it can be challenging at times.
Why is it important to optimize it?
Streamlining this process and automating it as much as possible will be vital to maintain the profitability of a business or make it grow since it has a positive impact on the rest of the commercial activities. In addition, good control of the order to cash will retain and keep customers happy.
In fact, technology plays a crucial role in interconnecting all order to cash processes. For example, at Soonerlogistics.com, we integrate them with your systems so that you have a 360-degree view of each of the processes that are launched with each order.
Some of the benefits of order to cash include the following:
- Time-saving – If the order to cash process is systematized, you can dedicate yourself to other tasks that provide greater added value to your company.
- Customer satisfaction – If the process is well optimized, possible errors will be minimized, as well as customer delivery times.
As we have said before, this will increase the perceived quality of both your company and your product or service.
You can always choose a reliable 3rd party logistics company to help you understand more about Order to Cash, and also enjoy the right service provider. Sooner Logistics offers 3PL Warehousing in Los Angeles, CA, and Ventura County, CA.