Validate & Create Order

The activities associated with receiving, validating and entering orders for Make-to-Order products and services. This may include configuring the product and validating the existence and accuracy of customer data (sold-to, ship-to), pricing information, customer credit and product/item numbers. In many use cases this process is initiated by the receipt of a purchase order from the customer.

Standard Sales Order entry
Configurable product order entry (menu-driven product configuration)
Replacement product order entry for a customer return
Entry of orders for commercial samples
In a factory: Entry of customer orders for Make-to-Order products
In Retail: Placing an in-store order for a Special Order product

In many use cases the desired outcome of this process is a 'clean order'. A clean order is an order that is free of any holds or flags preventing it from shipping (assuming inventory and capacity are available).

Validation may include credit checks for some or all customers, but is less common for replenishment and uncommon for inventory move orders. Quote-to-Cash Order-to-Cash Error-free Documentation Ratio Entry-to-Processing Cycle Time Distribution Costs Order Management Cost

Hierarchy

ID	Name	Level	x
D2	Deliver-to-Order	2	D2
D202	Validate & Create Order	3	D202

Metric(s)

ID	Name	Level	x
DP15	Error-free Documentation Ratio	2	DP15
RS121	Entry-to-Processing Cycle Time	3	RS121
CO12	Distribution Costs	2	CO12
CO121	Order Management Cost	3	CO121

Term(s)

ID	Name	x
O2C	Order-to-Cash	O2C
Q2C	Quote-to-Cash	Q2C
SO	Sales Order	SO

Workflow

From

Input(s)

Process

Output(s)

To

wf_process	wf_arrow
D201	Order Cancellation Request
D201	Order Change Request
C208	Customer Purchase Order
S201	Purchase Order
D201	Sales Order
D502	Internal Order

D202

wf_arrow	wf_process
Acknowledgment	S101
Acknowledgment	S201
New Order	D203
Payment Terms	D205

Note: Common inputs and outputs are listed in alphabetical order. Other inputs and outputs may be required to support varying use cases.Validate & Create Order Deliver-to-Order 5420200 3 MTO, Make-to-Order, Order Management, Order, Entry, Validation, Configuration, Validation, Supply Chain Receiving, validating and entering orders for Make-to-Order products and services. This may include configuring the product and validating the existence and accuracy of customer data (sold-to, ship-to), pricing information, customer credit and product/item numbers