Order to cash

Carry the accepted order through shipment, invoice approval and cash application.

5 stages · 2 approvals

Roles and responsibilities

Sales Representative Sales Manager Warehouse Operator Accountant Finance Manager System 1 Quote Draft → Submitted 2 Sales order Draft → Submitted 3 Pick and ship Draft → Submitted 4 Invoice Draft → Submitted 5 Cash applied CashReceipts
  1. Step 1Quote
    Offers DueDraft
    Quote NumberAccountValid UntilNet Total
  2. Step 2Sales order
    Sales Orders Awaiting ApprovalSubmitted
    Order NumberAccountShipment ModeNet Total
    Customer Handover
  3. Step 3Pick and ship
    Shipment ReadinessPlanned
    Shipment NumberOrderModeWarehouse
    Customer Handover
  4. Step 4Invoice
    Invoices Awaiting ApprovalPendingApproval
    Invoice NumberAccountDocument TypeNet Amount
    Credit Note
Red diamonds require approval.Rows show responsibility for each step.

Process steps

Follow the process from start to finish. Select a step to see who acts and what changes.

Quote

Sales Representative prepares the product, quantity, price, tax basis and requirements for the customer. Retain the effective pricing and unit conversions, allocate discounts once and route required commercial exceptions to independent Sales Manager review. Preserve actual current offer acceptance, including the original accepted commercial evidence; an outgoing message is not agreement.

Responsible
Sales Representative
Status
Draft → Submitted
Records
QuotesQuoteLinesPriceListEntriesProductUnits
Effect
Prepare the exact customer offer
Approval required

Sales order

Independent Sales Manager approves the complete customer-accepted order, excluding its preparer and material editors. Review quantity, net value, customer entitlement, handover terms and credit exposure. Finance Manager separately authorizes a required credit exception. The approved order creates one bounded stock or assembly requirement, never another copy of the same customer demand.

Responsible
Sales Manager
Status
Draft → Submitted
Records
SalesOrdersSalesOrderLinesCreditReviewsApprovalDecisions
Effect
Independently accept the complete commitment

Pick and ship

Warehouse Operator picks eligible stock against the exact order claims. Independent Warehouse Manager releases the ready fulfillment before actual customer pickup or handover, or carrier dispatch. That evidence consumes quantity and carrying value once. A planned shipment, label or uncertain carrier response cannot establish dispatch or authorize another stock issue.

Responsible
Warehouse Operator
Status
Draft → Submitted
Records
PickTasksInventoryReservationsShipmentsShipmentLinesStockEvents
Effect
Record actual handover and its single stock-cost effect
Approval required

Invoice

Independent Finance Manager reviews Accountant's invoice against actual handed-over, unbilled quantities and their accepted net allocations. Check tax evidence, currency and the eligible entity period for the complete revision. Posting records receivables, revenue and tax without charging shipment cost again. Later delivery confirmation adds no additional billable quantity.

Responsible
Finance Manager
Status
Draft → Submitted
Records
InvoicesInvoiceLinesSalesAllocationsJournalEntries
Effect
Review and bill eligible unbilled fulfilled quantities

Cash applied

Accountant attributes actual confirmed receipt evidence and applies available cash to the same customer's eligible posted debt. Cash and invoice currencies remain distinct; approved discounts and write-offs are separate noncash amounts. The application clears existing unapplied cash rather than debiting Bank again. Required exceptions, credit use and refunds retain their independent decisions.

Responsible
Accountant
Records
CashReceiptsCashApplicationsBankStatementLinesJournalEntries
Effect
Settle the debt from actual available receipt funds
Approvals and exception handling

2 approvals required in this process

  • Sales order Sales Manager signs · pick and ship waitsSalesOrders, SalesOrderLines, CreditReviews, ApprovalDecisions
  • Invoice Finance Manager signs · cash applied waitsInvoices, InvoiceLines, SalesAllocations, JournalEntries
  • Submitted commercial content is frozenMaterial changes need a successor revision and renewed decisions.
  • Fulfilled quantitiesOriginal promises stay historical when the remainder is amended or rescheduled.
  • Stock holds follow the exact goodsBlock picking or dispatch even after relocation.
  • Partial shipmentsInvoices consume only eligible remaining quantity and accepted net value, with final rounding assigned once.
  • Customer delivery results distinguish acceptedRefused, failed and damaged quantities; a repeated attempt cannot redeliver already accepted goods.
  • Returns preserve original shipment historyRequire physical evidence and reviewed disposition. Credit alone does not restock goods or establish a refund.Returns
  • Repeated commands retain the original economic identityConflicting or uncertain results remain for reconciliation before another effect is attempted.

When the process needs attention

  • exception Quote

    Retain the effective pricing and unit conversions, allocate discounts once and route required commercial exceptions to independent Sales Manager review.

  • exception Sales order

    Finance Manager separately authorizes a required credit exception.

  • exception Cash applied

    Required exceptions, credit use and refunds retain their independent decisions.

Records and postings

StageRecordsEffect
1 Quote QuotesQuoteLinesPriceListEntriesProductUnits Prepare the exact customer offer
2 Sales order SalesOrdersSalesOrderLinesCreditReviewsApprovalDecisions Independently accept the complete commitment
3 Pick and ship PickTasksInventoryReservationsShipmentsShipmentLinesStockEvents Record actual handover and its single stock-cost effect
4 Invoice InvoicesInvoiceLinesSalesAllocationsJournalEntries Review and bill eligible unbilled fulfilled quantities
5 Cash applied CashReceiptsCashApplicationsBankStatementLinesJournalEntries Settle the debt from actual available receipt funds
Data model →

Process reports

All reports

Trading Commitments and Margins

Separates dated expected, independently approved committed and posted realized populations per entity/deal: actual net revenue/credits and matched title-event carrying cost give gross profit; separately allocated actual charges/interest/expenses bridge contribution without another journal; use frozen comparable currency/unit bases, disclose incomplete/unallocated scope and null percentages when net is zero or cost unknown, while reviewed zero cost remains valid.

Run by an agent

Agent support

An assistant cannot provide a required independent human approval, decide bank compliance or invent bank issuance, customer acceptance or actual payment. It cannot reuse already claimed supply, create finished output from intermediate work or release an uncertain drawing merely because a request timed out.

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# Example after configuration $ curl -fsSL https://www.erp.ai/skill.md | paste into your agent › order to cash · quote on Quotes, QuoteLines, PriceListEntries, ProductUnits ✓ Sales Representative prepares the product, quantity, price, tax basis and requirements for the customer. › order to cash · sales order on SalesOrders, SalesOrderLines, CreditReviews, ApprovalDecisions ⏸ approval · waiting for the sales manager # 3 more stages after approval: pick and ship, invoice, cash applied

Other processes

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