Various kinds of businesses exist over the years. Many survived with the use of simple technologies. Like in the Philippines, many have not automated their business processes and some are still reluctant in doing so. We are however, in the age of Technology, where almost everything is and will be depending on IT. The need for automation will arrive sooner or later, otherwise, your business gets left behind.
How do we choose the appropriate software for our business? Well it depends on the nature of our business. Let's take Farreys.com for our example.
Farreys offers both product and services. They sell chandeliers, home lighting, etc. They offer lighting fixtures like bathroom light fixtures, kitchen light fixtures, and ceiling light fixtures. When selling tangible products, we either need a Point Of Sale software (if it is a direct sale basis) or a Sales Order System software (if we allow order-basis). With regards to rendering services, a Service-Order System can be acquired. Many are quite familiar with the Point Of Sale (POS) systems. Let's discuss about Sales Order System, and Service Order System (or Job Order System):
A Sales Order System is a software application that we can use to manage orders and payments thereof for certain products. Briefly, the business process runs like this:
As for the Job Order System, the process is similar. Instead of the customer ordering for an item, he/she requests for a service (repair, installation, etc.) Instead of the store delivering an item, it renders the ordered service and bills the customer accordingly.
How do we choose the appropriate software for our business? Well it depends on the nature of our business. Let's take Farreys.com for our example.
Farreys offers both product and services. They sell chandeliers, home lighting, etc. They offer lighting fixtures like bathroom light fixtures, kitchen light fixtures, and ceiling light fixtures. When selling tangible products, we either need a Point Of Sale software (if it is a direct sale basis) or a Sales Order System software (if we allow order-basis). With regards to rendering services, a Service-Order System can be acquired. Many are quite familiar with the Point Of Sale (POS) systems. Let's discuss about Sales Order System, and Service Order System (or Job Order System):
A Sales Order System is a software application that we can use to manage orders and payments thereof for certain products. Briefly, the business process runs like this:
- Customer makes a Purchase Order to the store (e.g. Farreys)
- Store checks items on hand (if available or not) and prepares an Invoice (Charge Invoice) or Delivery Receipt.
- Store delivers ordered items to Customer and gives the Invoice and/or Delivery Receipt.
- The Customer now has Accounts Payable to the Store.
- Store awaits for payment from Customer (may depend on the Customer's agreed payment terms).
- Customer pays for the ordered items, and Store records the payments and subtracts the amount to the Customer's Accounts Payable.
As for the Job Order System, the process is similar. Instead of the customer ordering for an item, he/she requests for a service (repair, installation, etc.) Instead of the store delivering an item, it renders the ordered service and bills the customer accordingly.
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