What are the Steps Involved in Execution of an Order?

1. Entry in order received book

Once the order is received, it is stamped with date of its receipt and is given a certain reference number. Entry is made in the Order Received Book. Such entries help to expedite the timely execution of the order.

2. Intimation to the warehouse keeper

The order slip is sent to the warehouse keeper. The goods are then packed as per buyer's requirements. Necessary marking and labeling may be done as required by the buyer. The warehouse keeper signs the order slip and sends it to the despatch section along with the goods.

3. Despatch of Goods

The despatch section arranges the transport and the goods are despatched to the buyer. Large organisations may have a 'traffic department' to book transport for despatch of goods. After the goods are despatched, the despatch clerk should put his initials on the order slip and send it to the invoicing section.

4. Sending delivery advice note

As soon as the goods are dispatched, the seller sends a delivery advice note to the buyer informing him of the time and date of despatch and also the mode of transport, i.e. truck number, train number, etc.

5. Filing of order

The order slip signed by the warehouse keeper, and despatch clerk is sent to the invoicing section for preparing bill or invoice. After that entries are made in the order received book in respect of execution of order. The order slip is then, filed.

6. Obtaining necessary documents

The seller should obtain necessary documents, such as the railway receipt (RR), motor lorry receipt. These documents are titled to goods, and as such they must be forwarded to the buyer to take possession of the goods.