Order processing, also known as execution of an order, is a central process in companies that involves the recording, forwarding and execution of customer orders. It consists of several steps that ensure that customer orders are processed efficiently and accurately.

The first step in order fulfillment is the collection of order data, including product selection, quantities, shipping address and other relevant information. This data is typically captured in an order system and can be manual or automated.

Once captured, the order data is forwarded to batch or production planning, where the required resources and workflows are planned to fulfill the orders in a timely and efficient manner. This includes the allocation of personnel, machines and materials as well as the definition of production or picking dates.

Another important step in order processing is the creation of delivery documents and invoices for the orders to be carried out. This includes delivery bills, freight documents and, if necessary, customs documents that support the transportation and delivery of the goods. Invoices are also created to enable payment by the customer.

Finally, the shipping method is selected to determine how the goods are to be delivered to the customer. This can include shipping by parcel service, freight forwarder or own fleet, depending on the customer’s requirements and the type of goods delivered.

Efficient order fulfillment is crucial to a company’s success, as it enables fast, accurate and customer-oriented processing of customer orders. By optimizing this process, companies can reduce their operating costs, increase customer satisfaction and strengthen their competitiveness.