Sales Management

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Introduction

Sales Management deals with all activities related to the customer sales process and corresponding reporting.

This application area of Openbravo covers Order to Shipment and Invoicing parts of Order to Cash business flow and Customer Returns business process. For Payments Management of Order to Cash see the Financial Management application area.

Order to Cash Business Flow

Order to Cash workflow manages the life-cycle of a sales process.

Due to its complexity and different roles involved it is convenient to split Order to Cash down into two main sub-processes:

1. Order to Shipment process starts when a customer requests a quotation or orders goods to the moment the warehouse staff ships the merchandise.

2. Customer Invoice to Cash continues previous sub-process by invoicing customer´s deliveries and closes it by receiving payments from buyers.

Configuration

The following setup needs to be done before performing the process:

• Prices configuration.
• Sales product.

Sales products need to be configured prior any sale in the application. Each product that is being sold needs to have a price in the sales price list in order to be selectable in any transactional document like a sales order or a sales invoice. Please refer to Master Data Management application area ( Pricing and Product Setup) for more information.

Note: It is not required to perform any additional setup for the Sales Management application area if Food & Beverage (F&B) sample client shipped with Openbravo by default is going to be used to explore it. The sample data set already contains the roles, warehouses, business partners, products and prices pre-configured.

Execution

In Sales Management the Order to Cash business process is executed as follows.

Customer can ask directly for a Sales Order or request a Quotation. If the Business Partner asks for a Quotation Sales staff:

• Creates new document in the Sales Order window and looks up the customer name in the Business Partner field. If the Business Partner doesn't exist, it is entered in the application with the Business Partner window.
• Then Sales staff fills the Sales Order window setting Transaction Document field to Quotation.
• And continues by adding for each product a line with the product, quantity and if needed its attribute (size and/or color and/or serial number, etc.).
• Once the quotation is ready, it is booked. The Document Status of the quotation changes to Under Way. The Quotation can be printed and sent to the Business Partner by fax, mail or email.
• The Sales staff can manage Quotations using grid view of the Sales Order window setting filter of the Document Status to Under Way or Document Type to Quotation.
• When the Quotation is accepted by the Business Partner it is transformed to the Sales Order by changing the Transaction Document to a type of Order (Standard Order, POS Order, Warehouse Order) and pressing on the Book button (Document Status changes to Booked). Sales Order can be printed and sent to the Business Partner by fax, mail or email as a confirmation.

If the Business Partner places an order directly Sales staff:

• Creates it with the same Sales Order window setting the the Transaction Document to the desired type of Order (Standard Order, POS Order, Warehouse Order). Lines are filled as in the case of the Quotation. Once the Sales Order is ready, it is processed pressing on the Book button.
• When the Sales Order is processed, it reserves the material for its shipment.
• To review past sales of the Business Partner Sales staff uses Sales Dimensional Report.

Warehouse staff:

• Looks for orders pending for preparation in the Create Shipments from Orders window or with the help of Orders Awaiting Delivery Report.
• The Warehouse staff can create a Shipment in 2 ways:
  • With the Create Shipments from Orders window. It creates a shipment completed for the selected Sales Orders.
  • With the Goods Shipment window in which the Warehouse staff creates the shipment in a manual way.
• Completed shipment updates stock information (product levels go down) and can be posted to create the accounting entries of the shipment.
• Shipments Dimensional Report is used to review past shipments to the Business Partner.

Finance staff can generate invoices in different ways:

• With the Generate Invoices window, in which it generates invoices in bulk for all pending to be invoiced (based on their invoicing rules) Sales Orders.
• With the Create Invoices from Orders window. It shows Orders pending to be invoiced and creates invoices for the selected Sales Orders.
• With the Sales Invoice window in which the Finance staff creates the invoice in a manual way.
• Processed Sales Invoice creates the Payment Plan of the invoice, the Tax of the invoice and can be posted to create the accounting entries of the invoice. Afterwards, the payment plan can be modified.
• Orders Awaiting Invoice Report helps Finance staff to plan and verify invoicing of the Business Partners.
• Finance staff is able to review past customer invoicing information in the Sales Invoice Dimensional Report.
• When payment is received against the invoice it can be recorded in the Sales Invoice window using Add Payment In/Out button. It is also possible to receive prepayment for the Sales Order. Detailed payment management documentation is available in the Financial Management application area.

Credit limit for business partner

• Each Business Partner can be set up with a Credit Line Limit. When customer balance (amount that is outstanding for payment for the customer) is higher than the credit line limit a corresponding information message is shown when business partner is selected during the creation of a sales order, sales invoice or goods shipment. This way Openbravo assists in risk analysis while placing customer orders or executing other steps in the Order to Cash business flow.

This message is just an input to consider and the documents creation process can be continued.

Customer Returns Business Flow

Customer Returns workflow manages the business processes for returning items back from customers either for credit

or for replacement.

Configuration

Nothing special needs to be configured before performing the process but the window Return reasons and Condition of the goods in case it is needed

Execution

In Sales Management the Customer Returns business process is executed as follows.

Customer can request a return material for whatever reason

Sales staff:

• Creates a new document in the Return from Customer window and looks for the customer name in the Business Partner field.
• And continues by adding lines clicking the button Pick/Edit lines
  • Pick Goods shipment lines and edit the quantity the customer wants to return, price, return reasons
• Once the Return Material document is accepted process it by clicking the button Book. The status of the document changes from Draft to Booked

Warehouse staff:

• Creates a new document in the Return Material Receipt window and looks for the vendor name in the Business Partner field.
• And continues by adding lines clicking the button Pick/Edit lines
  • Pick lines created in the Return from Customer window
  • Possibility to edit the quantity received and where (storage bin)
• Once the document is ready process it by clicking the button Complete. The status of the document changes from Draft to Completed
• Completed receipts updates stock information (product levels go up)

Finance staff: To invoice these documents you can do it from several windows/processes:

• With Return from Customer window where a new button Create credit might appear or not based on the original sales order. If the order is already invoiced then it will be present if not it won't. Through this button you are able to invoice the return order following the standards, that is, depending on the invoice terms.
• Through this button you can also create an invoice and leave it as credit to be used later
• With the Generate Invoices process: If the invoice terms is Customer Schedule After Delivery and you have sales orders and RMAs the process will group all in one standard Sales Invoice and not in a Reversal Sales Invoice.
• With the Sales Invoice window to pick lines and either gather lines from standard sales order and return orders lines or create individual Reversal Sales Invoices from return orders
• With the Sales Invoice window creating a Reversal Sales Invoices and leave it as credit and later on consume it

Relationship with other application areas

Sales Management has a connection with other application areas:

• Warehouse Management as shipment changes stock quantity and its value.
• Financial Management in terms of managing payments.
• Material Requirement (MRP) because pending sales orders are one of the inputs for the production process.

Application Menu

Please find below detailed description of all windows and reports of the Sales Management application area.

Transactions

• Sales Order
• Goods Shipment
• Return from Customer
• Return Material Receipt
• Create Shipments from Orders
• Sales Invoice
• Create Invoices from Orders
• Generate Invoices

Analysis Tools

• Sales Dimensional Report
• Shipments Dimensional Report
• Stock for Open Orders
• Orders Awaiting Invoice Report
• Orders Awaiting Delivery Report
• Sales Invoice Dimensional Report

Setup

• Condition of the goods

Advanced

• Commission Payment
• Discount Invoice Report
• Sales Order Report
• Invoiced Sales Order Report
• Delivered Sales Order Report
• Shipment Report
• Invoice Detail
• Customer Invoice Report
• Sales Region
• Commission
• Sales Channel
• Sales Campaign
• External Point of Sales

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