Supply Chains: A Manager's Guide

Processing an Order

Orders can be transmitted in a variety of forms and can make use of several different media (Figure 7.5). Historically, orders were either sent in the mail or dictated over the telephone. With the invention of the fax machine, paper orders could be sent over telephone lines, greatly speeding the delivery process. Similarly, the development of the electronic document interchange (EDI) protocol allowed companies to transmit orders in seconds over private networks. However, EDI technology was expensive, and only large companies were able to afford it. The Internet now makes electronic orders easy and affordable for companies of all sizes.

Figure 7.5. Receiving Orders

Because all these techniques are still in use, companies must ...