Question

What is the correct sequence of the order to cash process?

1) Sales order processing; pick and pack; shipping; billing; payment; responding to customer inquiries
2) Sales order processing; responding to customer inquiries; pick and pack; shipping; billing; payment
3) Sales order processing; pick and pack; billing; shipping; payment; responding to customer inquiries
4) Responding to customer inquiries; sales order processing; pick and pack; shipping; billing; payment

Answer 1

The correct sequence of the order to cash process starts with sales order processing, followed by pick and pack, shipping, billing, payment, and ends with responding to customer inquiries.

Step-by-step explanation:

The correct sequence of the order to cash process is as follows:

1. Sales order processing: This is the first step where the order is captured and entered into the system.
2. Pick and pack: Once the order is processed, the items are collected and packaged for shipping.
3. Shipping: After packing, the order is shipped to the customer.
4. Billing: The customer is invoiced or billed for the items they ordered.
5. Payment: The customer pays for the items as per the terms of the invoice.
6. Responding to customer inquiries: This step can occur at any point in the process to ensure customer satisfaction, but typically after the sales order is processed.

Therefore, the correct sequence is option 1): Sales order processing; pick and pack; shipping; billing; payment; responding to customer inquiries.