Manual Title Document I.D. Version No.

TIME & MOTION STUDY 1.0

Date Page
APPROVAL OF SALES ORDER FOR DELIVERY AND PICK-UP
DECEMBER 29, 2022 1of4

This document intends to account the time and motion study for the process in “Approval of Sales Order for
Delivery and Pick-up” in credit and collection department. In documenting new processes, Quality Management
System (QMS) performs time and motion study for the following processes:

i. To look at how much time is spent for each step in the work instruction.
ii. To help improve the process by breaking down the process into measurable set of work
instructions.
iii. To standardize the work instructions and to measure the efficiency of the person involved in the
process, the equipment used and the process as a whole.

To carry out these tasks, a performance reading of the current procedure were documented. As observed during
reading, there are manually and repeatedly performed steps in the process that consumes more time. The
following are the stated observations in the process:

i. Printing and scanning of sales orders are performed due to reliance on paper.
ii. Screening and reviewing of sales orders are performed manually and partial steps are repeatedly done
specifically on checking customer information in the system due to the fact that customer information
details such as outstanding balance, check payments, credit limit and credit balance is generated one by
one and computed manually.

After analyzing the data, a discussion with the QMS and C&C department were performed to come up with
improvements of the process. The topics in the discussions include:

i. Evaluation of each steps to realize their added value and relevance to the process.
ii. Evaluation of responsibilities as to whom each steps shall be specified and corresponding
accountabilities.
iii. Evaluation of resources and other equipment used – their importance and how they affect the efficiency
of the whole process.

Potential improvement of this process can still be achieve through automation of some work instructions to
eliminate or at least reduce the time spent and improve the efficiency of the process. Along with the said
recommendation, this process can be assessed using the ERRC Grid, a simple matrix-like tool that drives
companies to focus simultaneously on eliminating and reducing, as well as raising and creating while unlocking
more efficiency in business process. The table below shows the steps in the process that are identified as
Eliminated, Reduced, Raised and Created upon having to implement the automation of sales order approval.

Remarks Definition
Eliminate Steps that are eliminated upon implementation
Reduce Steps will achieve more efficiency upon implementation
Raise Steps that can be improved and retained upon implementation
Create Steps than can be created upon implementation

Current Procedure Responsibility Time Remarks Reason/ Recommended Improvement Resources Saved
Spent
(MM:SS.0
)

Prepared: Reviewed by: Noted by: Approved:

ALLEN DENTIAN ZANORIA GEIR PIOCO HEIDE PESCADERO ANN LESLIE NGO
QMS Specialist Internal Audit Supervisor Executive Assistant of the CEO CEO & President
 Manual Title Document I.D. Version No.
TIME & MOTION STUDY 1.0

Date Page
APPROVAL OF SALES ORDER FOR DELIVERY AND PICK-UP
DECEMBER 29, 2022 2of4

1. Print SO and PO A/R Officer 00:45.4 Reduced  Incorporated in Prime system  Time in
received in email receiving in
from sales  Sales personnel will upload the email and
personnel scanned copy of supporting printing
document per sales order in Prime  Printer and
system ink
 Paper
 No more printing if customer’s
credit status is within the
guidelines

 Printing of sales order is only for

SO’s that are for special approval
by Management

2. Check customer A/R Officer 01:35.0 Reduced  Will use Customer Quick Info in  Time in
account status in Prime system wherein all A/R generating
Prime System & related details are shown in one and writing
indicate in sales module instead of checking the
details one by one as basis in
order print out
approval of SO

 Indicating notes in SO print out is

for SO’s for special approval

3. Forward sales A/R Officer 00:03.2 Reduced  A/R officer will tag the SO line as  Time in
order print out w/ approved and longer be required printing
credit status to C&C to be verified since information is  Time in
head for verification system-based verifying

 A/R officer will only print SO’s and

indicate notes if for special
approval only then verification is
required

4. Verify in Prime C&C Head 01:05.5 Reduced  A/R officer will only print SO’s and  Time in
system the status indicate notes if for special printing
regarding approval only then verification is  Time in
customer’s credit required verifying
status indicated by
the A/R officer
5. Forward verified C&C Head 00:03.4 Reduced  Only applicable for SO’s that  Time in
Sales Order To A/R undergo special approval printing
Officer  Time in
verifying
6. Scan & retrieve A/R Officer 01:09.3 Eliminated  Only applicable for SO’s that  Time in
copy of approved undergo special approval scanning
SO’s  Scanning is totally eliminated.  Scanner

Prepared: Reviewed by: Noted by: Approved:

ALLEN DENTIAN ZANORIA GEIR PIOCO HEIDE PESCADERO ANN LESLIE NGO
QMS Specialist Internal Audit Supervisor Executive Assistant of the CEO CEO & President
 Manual Title Document I.D. Version No.
TIME & MOTION STUDY 1.0

Date Page
APPROVAL OF SALES ORDER FOR DELIVERY AND PICK-UP
DECEMBER 29, 2022 3of4

 A/R officer will only file SO’s that  Computer

undergone special SO’s storage
7. For approved A/R Officer 00:22.2 Eliminated  Approval is already through  Time in
SO's – send to tagging in in SO line, only then the sending SO’s
logistics and Cc SO will be processed in logistics in email
copy to sales for delivery planning
 Logistics can only view in
representative
Backorder Processing the SO
lines that are tagged as approved
by C&C. Only then the logistics
can print the withdrawal slip
 Once processed, logistics will tag
the SO line as “Dispatched”
 Logistics will locate the sales order
and its supporting documents
through SO number in Sales Order
Entry and print to be attached to
sales invoice upon issuance
8. For disapproved 00:52.1 Eliminated  Sales personnel can see real-time  Time in
SO’s inform sales update in Sales Order Entry the dissemination
personnel of the status of SO – “Approved” or of information
status and reasons “Hold”
of disapproval
through chat or call
9. Proof list SO’s 00:24.7 Eliminated  Logistics will be responsible if all  Time in proof
send to logistics SO’s approved are processed in listing in C&C
against approved delivery planning
SO’s  Logistics can check which SO’s or
SO lines are already processed
through tagging – “Dispatched”
10. Encode 00:45.2 Eliminated  Sales personnel can see real-time  Time in
processed SO’s to update in Sales Order Entry the encoding in
monitoring status of SO – “Approved” or excel
“Hold”
 A report with tracking of time from
finalization to approval can be
generated in Prime system
11. File hard copies 00:08.3 Reduced  Only applicable for SO’s
of processed SO’s undergone special approval by
management
TOTAL: 07:14.3

As a conclusion, upon the implementation of automation of sales order approval, the time of following
steps below will be reduced.

Eliminated steps Time (mm:ss.0)

Scan & retrieve copy of approved SO’s 01:09.3

Prepared: Reviewed by: Noted by: Approved:

ALLEN DENTIAN ZANORIA GEIR PIOCO HEIDE PESCADERO ANN LESLIE NGO
QMS Specialist Internal Audit Supervisor Executive Assistant of the CEO CEO & President
 Manual Title Document I.D. Version No.
TIME & MOTION STUDY 1.0

Date Page
APPROVAL OF SALES ORDER FOR DELIVERY AND PICK-UP
DECEMBER 29, 2022 4of4

For approved SO’s – send to logistics and Cc copy to sales representative 00:22.2

For disapproved SO’s inform sales personnel of the status and reasons of disapproval 00:52.1
through chat or call
Proof list SO’s send to logistics against approved SO’s 00:24.7
Encode processed SO’s to monitoring 00:45.2
TOTAL TIME ELIMINATED: 03:33.5
Reduced Steps Time (mm:ss.0)
Print SO and PO received in email from sales personnel
Check customer account status in Prime System & indicate in sales order print out
Forward sales order print out w/ credit status to C&C head for verification
Verify in Prime system the status regarding customer’s credit status indicated by the A/R
Officer
Forward verified Sales Order To A/R Officer
File hard copies of processed SO’s
TOTAL TIME AFTER REDUCED: TBD
TOTAL TIME: (07:14.3 less 3:33.5) + total
time after reduced

Prepared: Reviewed by: Noted by: Approved:

ALLEN DENTIAN ZANORIA GEIR PIOCO HEIDE PESCADERO ANN LESLIE NGO
QMS Specialist Internal Audit Supervisor Executive Assistant of the CEO CEO & President