Boosting Operational Performance With Order To Cash Software
Order To Cash Process Improvement Tool
In the digital world of today, finance executive seek reliable tools and solutions that make meaningful dent in their operational costs and increase performance. Traditionally, the order-to-cash (OTC) process is complicated and labor-intensive procedure, leading to long cycle times and long cash conversion cycles. Consequently, CFOs are looking for strategic methods to improve the process. One effective approach to needlessly cumbersome procedure is to reduce the number of manual steps and deploy an end-to-end software for order-to-cash process design.
Benefits of the Order-to-Cash Software
Moving from manual to an automated OTC process brings with it quite few benefits. The organization can overcome its monetary issues in ways that wouldn?t have been possible with the traditional workflow process. These advantages include reduction of cycle time, lowering invoice exemptions, and various cost savings.
Decreased cycle times:
The order-to-cash software utilizes advanced analytics to detect any inefficiencies present in the current workflow. This helps to pinpoint redundant processes that may contribute to the slow payment cycle and the increased cycle time. The software provides tools to quickly and accurately identify, investigate and remove those processes, helping to speed up the entire process.
Reduced invoice exemptions:
When an OTC process is manually operated, there is risk of incorrectly crafted invoices, outdated and unprocessed information and data discrepancies that further act as an inhibitor to fast invoices and payments. The order to cash software helps in analyzing the companies invoice data quickly and helps in identifying mistakes that could have an impact on payment accuracy or speed. This reduces the risk of errors and the number of rejected invoices, and eventually improves customersatisfaction.
Cost savings:
Organizations can enjoy cost savings in the form of employee time, workspace, equipment, and utilities. Automated solutions decrease the need for additional personnel and training, manual paper-driven processes, and hours of late-night research in order to keep up with customer demands. This also helps in achieving cost savings in the form of reduced quality control check and printing costs.
The Order-to-Cash Process
The OTC process involves level of complexity that must be handled by an organizations finance department or CFO. The software helps in streamlining this process, from the time an order is placed until the point where the money is received. This includes, creating and sending invoices and quotations, managing customer orders, overseeing collections and returns, running credit checks, and generating informative reports.
The order-to-cash process is complex procedure, intertwining technology and the human factor. Implementing dedicated software can help reduce leg-work, while streamlining the complete OTC process. The order-to-cash software provides tools to boost the efficiency of the process and reduce expenses, while providing comprehensive view of the companies current position. All of this leads to improved operational performance, with CFOs being able to better identify financial opportunities, and customers being served with improved accuracy and faster payment cycles.
