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Order-to-payment cycle

One of the issues faced by a company in market logistic decisions, which refers to the time elapsed time between the order’s receipt, delivery, and payment. This cycle involved many steps, including order transmission by the salesperson, order entry and customer credit check, inventory and production scheduling, order and invoice shipment, and receipt of payment. Company should try to reduce this cycle because the longer this cycle takes, the lower the customer’s satisfaction and the lower the company’s profits.