What is Sales Order and Its Benefit for Your Company

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What is Sales Order and its Benefit for Your Company

According to Wikipedia, a sales order is a document issued by a business or sole trader to a customer. Sales order documents contain information about the item sold or services rendered, the price, and the number of items purchased.

There are also sales orders that also include the buyer’s data. Such as shipping address, billing address, payment method, also terms and conditions. Generally, cross-company transactions go through the following steps:

  • The seller sends a quotation letter to the buyer
  • If accepted, the buyer sends a purchase order to the seller
  • Sellers make sales orders based on the purchase order
  • There is a possibility the buyer wants to see the sales order’s contents, but this rarely happens
  • After the item is delivered, the seller issues an invoice based on the sales order

The importance of sales orders for companies

Many companies think that a sales order and a purchase order is the same thing. The truth is, these two documents have different functions. A purchase order is a document issued when your company wants to purchase something. Whereas a sales order is a document used to confirm sales.

This errors can lead to more complicated issues in the long run, especially in purchasing and financial departments. Misperception between sales orders and purchase orders can lead to accounting errors.

That’s why a lot of companies start to automate this process by using sales management software. The main objective is to avoid human error. But there are other benefits that can be learned, here are some of them:

Time-saving

It is undeniable that paperwork is the most time-consuming job. Retrieving data from purchase orders in order to make sales orders requires accuracy so that data input errors can be avoided.

By using sales management system software, human errors can be avoided. The software will handle the document making process will not only increases the data accuracy but also saves the time needed to create the document.

Improve customer service

Manually recording sales data does not only affect your company purchasing and finance divisions. It will also affect your customer service department. They won’t able to show their best performance when serving customers.

Imagine how troublesome it is to find a single data from a ton of sales order documents, while your customers grumbling impatiently on the other end of telephone line.

Sales management software can help your CS team work better. With just a few clicks, the desired data can be obtained easily and quickly.

Grow with your company

Another advantage of using sales management software is that you can scale up or scale down your business without having to add more staff. You can’t do this of course if you still manage your sales manually.

With the help of the system, you don’t need to add more staff when orders suddenly start pouring. With sales management software, one or two staff are more than enough to manage your sales documents.

Access from anywhere and anytime

With the cloud system support, you can access the information needed from anywhere, as long as you are connected to the internet. This way, enable you to make better decisions quickly without any obstacles.

This also applied to your sales staff. Whenever they need data, they can access it anytime from their cellphone. Your customers will be happier with your customer service speed.

Conclusion

This automation provides the speed your customers need. Sales management software can cut 50% of the time needed to process the required documents.

For other tips and tricks about sales management, you can click the following link.

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