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What is a Work Order? |
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The basic work order is a document that provides important detail about goods and services that a client wishes to obtain from a vendor or supplier. The work order often includes elements that help the vendor to know exactly what the customer wishes to order, including how many units and other details relating to size, shape, color, and other important options. Using the work order, the vendor is able to fill the needs of a customer from existing inventory, or utilize the work order as a means of preparing to produce the items requested by the customer. There are other items of interest that are added to the work order form at some point in the process. If the customer has been quoted a specific unit price for the goods and services requested on the work order, that price is often listed. In the event that multiple units are ordered, the work order will usually include a column that lists the extended price for that item. The extended price is simply the unit price multiplied by the quantity of the item requested by the client. Typically, if the customer orders only one of a given item, the unit price and the extended price will be filled in on the work order with the same amount. Work order forms also tend to include information about the process for delivery. The customer may specify a specific mode of delivery, such as general mail or by courier. In the event of large items that require shipping, the customer may request a particular freight line to be utilized. In some cases, the customer may also request delivery by a specific date, or instructions that deliveries must only occur on certain days of the week. This allows the vendor to adjust shipping arrangements to meet the needs of the customer. Work order software is often used today to generate work orders that can be electronically transmitted to the vendor, cutting down on the amount of time required to receive an order from a customer, and create the actual work order. The vendor is able to print out the order or electronically transmit it internally, making it possible to track the progress of fulfillment from the point of receipt to delivery.
Written by
Malcolm Tatum
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