The Fulfilment process is triggered by a purchase order received by the sales department who then verifies and creates a sales order but The sales order can be simply defined as a document that relates the customer with their order and conditions. This tells us that the process involves three Master Data- Customer, Material and Conditions.
The Master Data used only reflects an overview, the whole fulfilment process leads to a number of Transactional Data that has impact on succeeding steps of fulfilment processes. The key transactional data is the Order by customer (which generates Sales Order) without which the fulfilment process doesn’t hold any value. After receiving the Order, the process follows by Shipping of goods with Delivery Document. One more document is created and issued to customer after shipment, i.e. Invoice. Here we understand key differences and need for these two separate documents. Invoice gives details of a sale transaction i.e. description of goods, rate, expenses, amount payable and so on issued by accounts department. Delivery document informs customer about details and quantity of goods supplied and is issued by dispatch department. Once the customer receives his order, the process is completed by customer payment(hopefully).