The Order-to-Cash (OtC) process covers the whole process cycle of handling customer orders. The OtC starts from customer orders to the point where the organization receives payment from customers.
The OtC process covers different units, such as warehousing, delivery, invoicing, and account management. The Order-to-Cash process occurs in many different organizations and is a key business process in many enterprise information systems. A typical Order-to-Cash process includes five major process steps, such as sales order created, picking done, confirmed delivery date, invoice created, and payment received. The typical Order-to-Cash process is visualized in a process flow chart below:
The Order-to-Cash process is usually a high-volume process, and thus, it is possible to have different variations in the process. Variations can consist of unwanted changes adding to the lead times. Delays can cause unnecessary losses, making it harder for organizations to perform competitively in the market.
In addition to late delivery affecting process efficiency and customer satisfaction, other typical OtC process issues faced by our customers include:
The OtC process produces a lot of data that is useful for process improvement and transformation. The reasons for the excessive data can be, for example, various sales-and delivery models, multiple production/warehousing policies, differences in sales teams, diverse customer requirements & individual employees participating in the process.
Finding improvement points is critical for process optimization, and this is where process mining can help, especially with Order-to-Cash analytics.
QPR ProcessAnalyzer transforms the data produced by information systems into process knowledge. This process knowledge is available in the form of Order-to-Cash process flow charts, pie charts, and other forms of presentation. The process data can combine with further information, giving way for in-depth and end-to-end process analysis. QPR ProcessAnalyzer provides you improvement points for optimizing your OtC process and helping you to meet the metrics.
Some KPIs and use cases where our clients have used QPR ProcessAnalyzer on:
QPR also offers tools for monitoring your processes. Using your process data, you can create dashboards to communicate your process performance information to key stakeholders. These dashboards are customizable to contain all the up-to-date information of your OtC process. Real-time monitoring is available as the data loading happens in intervals of your choosing. Dashboards are accessible via QPR UI, which is a web-based tool that is usable across a variety of devices.
Take control of your Order-to-Cash process by combining QPR's years of process management experience with its advanced, flagship process mining product QPR ProcessAnalyzer.
Highlights of the interview with Matti Ketonen that takes you on a ride through Metsä Board’s process mining journey since 2011.