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Converting Quotes to Orders

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In the previous step, you learnt about creating a quote. The next step is to convert a quote to an order.

After a salesperson accepts a quote, he or she can generate an order from the quote. The order helps fulfil the agreement of goods or services offered in the quote.

An order is a request from a customer to buy products or services. Typically, an accepted quote leads to an order. However, you can also create an order unrelated to a quote by creating the order from an account, a contact, or an opportunity, and add products to the order. The information you enter is the same on orders generated from quotes or created from the beginning.

Once the order is placed, the next step is fulfilment, which involves providing the services or products that the customer has asked for in the order. Dynamics 365 for Sales allows users to track whether orders have been fulfilled.

Many companies choose to have an order electronically sent to their finances system to be handled from this point forward. However, an order can also be converted to an invoice in Dynamics 365 for Sales. It all comes down to how your organisation wants to manage the process.

Orders

The process of converting a quote to an order is straightforward in Dynamics 365 for Sales. By clicking the create order button on the command bar, an order is created, and the contents of the quote are added to the order record. It is important to note that after a quote is accepted, you won’t be able to revise it.

Screenshot showing how to convert an accepted quote to an order

When creating an order from a quote, you will select a status reason, and the date won. You have the option to add a description and close the opportunity.

Screenshot of a create order example with status reason and date won filled in

To add products from your opportunity to your order, select get products at the top of the screen, select the opportunity, and then select ok. If you have created this order from a quote, the products associated with the quote will be visible on the order automatically.

Screenshot of an example of products added to an order

Click the lookup address button to select the customer’s address to use for the order. You can select which of the customer’s addresses to use for the order. Update the bill to address and ship to address fields to specify if you would like the address selected to be copied into these fields on the order record, then click add address.

If the order has a bill to address that is different from the ship-to address you can repeat the process or manually type the address on the order record in the addresses section. The lookup address feature improves data entry accuracy and efficiency.

Screenshot of “Look Up Address”

You close an order by either fulfilling the order or cancelling the order. Products or services that are shipped are fulfilled. You should cancel orders for any products or services that are not shipped.

You can’t update or change an order after it has been closed, or if it has been partially or completely fulfilled.

Considerations

If pricing has changed during the course of the sale, you can click the use current pricing button to update the product lines pricing to match the current prices on the price list. You can also choose to lock the pricing for this order.

For organisations that use other fulfilment systems like Enterprise Resource Planning (ERP) solutions, Dynamics 365 for Sales via CDS for Apps can integrate with the ERP system to use orders to pass information to the ERP system for fulfilment and tracking.

Note: You need to enter the tax amount when you add a product to a quote, order, or invoice. Dynamics 365 for Sales does not automatically calculate tax for individual products. However, the total tax is calculated automatically based on the sum of the tax amounts for all the individual products in a quote, order, or invoice.

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Dynamics 365: Customer Engagement for Sales

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