AR Users: Everything you wanted to know about Order Management but were afraid to ask!

Presented by: Judy Vales O2Works

Judy Vales Jackson C/D 3:30 pm 4:30 pm Tuesday

Agenda
Why do we care about Order Management for Receivables users? What about the Customers? What happens when you enter Orders? How does Credit Checking work? When does an Order become an Invoice? Whats in Receivables about the Order? What have I learned here? More Q & A

Why does AR care about OM?

Because stuff flows downhill. Because you cant set it and forget it!

Because Order to Cash is one of the most important business flows in your company.

Why does AR care about OM?

Because other processes within the business can help your process, hurt your process or break your process. You have to break down the silos - Improve Communication between all levels in this process. - Full Cycle Process Owners - Continuous Improvement

What About The Customers?

Order Management Parameters Customer Relationships Option: - All - Relationships Only - Single Customer Only

What About The Customers?

Customer Address Business Purposes - Active? Primary? Connected?

More Information..

What About The Customers?

Additional information for each Business Purpose. Defaulting Rules can use these data elements to default customer specific details to a sales order.

What Happens in Order Management?

Defaulting Rules ->Setup ->Rules ->Defaulting You define rules for defaults: when, from where, and based on what?

What Happens in Order Management?

Order Types ->Setup ->Transaction Types ->Define

Define Order Flows and Line Flows How is the order processed

What Happens in Order Management?

Order Types - Main Tab

What Happens in Order Management?

Order Types - Finance Tab
AR Transaction Source

AR Transaction Type

How does Credit Checking Work?

Customer Credit Limits Header and Address Level Rules

How does Credit Checking Work?

Credit Check Rules -> Setup -> Rules -> Credit

How does Credit Checking Work?

Credit Check Rules -> Setup -> Rules -> Credit

How does Credit Checking Work?

Setup and Operating Unit Default Covers the customers without Profiles or Limits!

How does Credit Checking Work?

Define and assign Usage Rules

What happens when you Ship?

Shipping and Handling - Pick, Pack, Delivery, Ship Confirm, oh my!! - Freight As a Line Item (to be taxable) As a Header Item (to be non-taxable)

Is it an Invoice yet?
Invoice Interface - Lineflow - Workflow Background Process (Keep it going!) - Lines, Lines, Lines AutoInvoice (Next slide) - Frequency - Error Correction - Dates

Is it an Invoice yet? Auto Invoice

- Run Frequency - Dates (Ship Date = GL Date, Default Date) - Transaction Flexfields - Unique combinations, no duplicates; Link to and Reference to match credits to invoices. - Possible Errors - Invalid lines, Invalid dates

Is it an Invoice yet?
AutoInvoice Lines and Errors Forms
Shows lines in Interface table that have not been processed or were in error. Correct error lines if necessary.

Is it an Invoice yet?
AutoInvoice Processing - Grouping Rules Mandatory (Customer, Pay Term, etc.) Optional (Order Number) - Line Ordering Rules Sales Order Line 1 Sales Order Line 2

Is it an Invoice yet?
AutoInvoice Processing - AutoAccounting tied to transaction attributes: Transaction Types (Based on OM Trans Type) Sales Reps Customer Bill-To Sites Items - Accurate setups give you accurate accounting Order Management may have conflicting requirements for the above choices

Is it an Invoice yet? --An view from the Order

Could be multiple invoices, even per order line Visibility to a view-only look at the invoice...

Additional Line Information - on Header or line

Whats In Receivables?
Invoice Batch Record

Whats In Receivables?
Transaction Header Record
Order Number PO Number.

Whats In Receivables?
Transaction Lines Records

Click in here for more Order /Ship information

What have you learned?

There is a lot going on over in OM that will affect you as an AR user. Continuous process analysis and improvement is required. Make sure conflicting goals do not create issues for Receivables. Resolve issues at the source. Build a better Order to Cash Cycle.

Questions & Answers Thank You!! Contact Information

Judy Vales (jvales@O2Works.com) www.O2Works.com