Optimizing O2C Order To Cash Processes For Cfos


Come financially secure your organization by successfully leveraging software solution for Order To Cash process optimization. As an executive with financial focus, you’ve decided to use cloud-based software for automating the Order to Cash (O2C) process. But now you’re stuck with the difficulty of implementing, managing and maintaining the system.

This article is intended to provide Corporate Financial Officers (CFOs) like you step-by-step guide to streamlining and optimizing the Order to Cash process. From onboarding and configuring the O2C system to tracking key performance indicators and continuously improving the process, here’s what you need to do to capitalize on your software solution.

Step 1: Onboard the O2C Solution

The first step is to sign up for the O2C solution provider that best meets your organizations needs. This can involve evaluating different vendors? offerings and industry experiences against key criteria such as data security, functional breadth, scalability, etc. As you analyze offers from different service providers, consider the wider components of the solution such as integrations with existing systems, flexibility to support change in the business, configurable variables and other administrative capabilities.

Once you’ve narrowed down the list to couple of select providers, it is time for the onboarding process. This involves obtaining login credentials, setting user access control and configuring preferences relating to set up and maintenance. At the same time, you will also need to establish regulations concerning data privacy and other security aspects.

Step 2: Create Policies

During the system configuration process, create your practices and procedures in line with the O2C system. This involves formulating standard policies and processes around monitoring, tracking, and accounting for payments. Compose rules around timeline expectations, overdue payments, and deal with discrepancies and errors. Likewise, create documents which govern invoice submissions, collections, and other management activities in the distribution process.

Step 3: Adjust Workflows

One key intent of the O2C system is to introduce efficiency into the process. Hence, find opportunities where specialized workflows can be created and tweaked. Establish financial control points in the system and adjust those up or down depending on risk. Make modifications for instrument-specific parameters, such as whether the sales order would involve credit or debit card, lockbox delivery, cash payments, and so forth. Make sure that your companies O2C system automatically objects to any non-complying data.

Step 4: Establish Control Measures

To maximize the insight from the system, it is important to measure, track, and monitor key financial parameters. Set up priority alerts and thresholds concerning early payments, collections, reconciliations and other specific elements within the process. Monitor dashboards closely and look for areas where you can reduce variable cost. Report back to senior management on regular basis on the system’s performance.

Step 5: Continually Improve

it is important to continually recognize and implement ways to improve your O2C performance. Constantly reflect on your current system and audit its strengths and weaknesses. Research how other companies have used the same software or feature to gain insight into how you can better utilize aspects of it. Leverage such data to implement more efficient cash on order process.


it is time to engage with the O2C software provider and bring an optimized version of the process to life. For CFOs, the ability to successfully implement and manage cash on order solution is essential to financially securing success. By following the steps outlined in this article, you’ll be well-equipped to make the most of your cloud-based software and enhance the financial health of your organization.