Introduction:
This blog helps reduce challenges with working capital. It is aimed at the O2C & Credit professionals, and focuses on how these issues have arisen and how they will continue to arise in our industry.
To keep customers happy, sell and deliver more products, and make quarterly and annual revenue targets, process improvements are in the works. A codeigniter php development company in india are willing to invest in order-to-cash processes that improve efficiency by managing the order to cash process better.
A new Scenario of Opportunities for O2C professionals:
- Enterprise risk management strategies are increasingly including credit management. This trend has created a crucial need for reliable cash flow forecasting.
- Nevertheless, it has also driven people to rally behind the company’s priorities in order to foster cooperation among different functions.
O2C – the challenges it faces?
There are many reasons for order complexity, which can quickly cause interruptions in the process. To solve the complexity problem, make sure to reduce order complexity so that customers can enter orders accurately and easily.
Even when handling orders is easy, organizations can't always handle increased sales volume. One way to fix this issue is by reducing manual touchpoints in order to improve sales order processing and protect current sales.
Understand the challenges and improvements required
The first step to understanding the unique challenges in the O2C process is recognizing that this is a global process transformation.
After a codeigniter web development services in india reviews their previous data and the proposed improvements, they need to decide which improvements will have the most positive impact in order to drive future success.
Start by considering how each improvement will increase the speed, accuracy & transparency of the O2C process. For example, when you lack order management, inaccurate orders cost you money, quick turnaround of orders is necessary, and lack of visibility increases exceptions throughout the process.
A lack of visibility within your accounts receivable can lead to excessive bad debt write-offs, especially for misapplied payments. Delays in applying cash can also lead to credit holds, and would generally disrupt the company's cash flow.
When analysing a process, O2C instructs the user to analyse the need for change. It then determines what changes will bring most value to the organization.
Check out TOP 5 automation capabilities for order-to-cash (O2C)
- Centralized repository for data
End-to-end integrated automation platforms provide a single source of truth which in turn enables:
- Better inter-team collaboration
- Prevention of data breach in any form
- Collaboration & communication
- Smooth collaboration workflow for action items requiring multiple stakeholders to work on them
- Automated correspondence to the end clients for deductions, collections, credit decisions etc.
- Self-service customer portals
- Empowers the customers while eliminating multiple touchpoints, thus improving user Experience
- Full view into the interaction history, invoices/correspondences sent & received for all customers
- AI &Machine Learning
- System can make recommendations for complex decision making scenarios
- Self-learning capabilities prepare the system for handling future exceptions, as and when they arise
- Out of the Box Reporting
- Intuitive reports with drill-down capabilities providing maximum visibility to all stakeholders
- Reports allow for trend analysis, which provides better insights than instantaneous data