1. Sales Order Processing
To study how a Sales Order Processing System works
To draw an information flow diagram of the subsystems involved
To list personnel involved in processing sales
To examine the role of ICT in the Sales Order Processing System

2. How is an order processed
Customer places order through the sales order processing subsystem
Information about the products and quantity required is passed on to the Stock Control subsystem
Invoice and despatch notes are printed in the Packing and Despatch subsystem
Accounts subsystem receives the invoice from the Sales Order Processing subsystem
the Marketing Department uses information about who has purchased goods, say for the last two years so that to see which information should be sent

3. Customer Name and
Address, item, quantities
Customer Credit rating
Packing and
Dispatch
Sales Order
Processing
Accounts
Despatch date, document number,
Carrier reference
Customer details, date, amount owing
Stock sold
Customer details,
Dates and size of orders
Stock availability
Stock Control
Marketing

4. Placing an order
An order from a customer may be placed in one of several ways:
The order is telephoned and the Sales Order department would type it in into the computer without any paper record of the transaction
The order is posted on own order form or on a form printed in the manufacturer’s catalogue
An order may be faxed
A salesman may visit retail stores in his area, take orders on a laptop and transmit them directly to the Sales Order Processing system

5. Inputting an order
Once the purchase order is received, it is input into a Sales Order screen on the computer. A screen form similar to the one below may be displayed

6. Processing the order
in a typical system, orders are entered as they come in by mail, phone , fax or .
Maybe once or twice a day, a batch of invoices are printed
These are then sent to the Packing and Despatch Department who pack the goods and enclose the invoice in a sealed pouch on the outside of the box
Once the invoices are printed
The stock figures are automatically adjusted by the computer system
The customer’s records are adjusted to show the total amount outstanding

7. Receiving payments
At the end of every month, statements will be printed for each customer with an outstanding balance
The customer will then pay either by cheque or by BACS
The Accounts Department will be able to look up any customer’s account
A report of overdue accounts will be printed at any time and customers who have not paid their bills will then be chased up
This is the job of the Credit Control Department