Downstream (manufacturing)

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Downstream, in manufacturing, refers to processes which occur later on in a production sequence or production line. [1]

Viewing a company "from order to cash" might have high-level processes such as marketing, sales, order entry, manufacturing, packaging, shipping, and invoicing. Each of these could be deconstructed into many sub-processes and supporting processes.

The manufacturing process consists of such sub-processes as design, tooling, inventory management, receiving, assembly, and so on. The products being manufactured are created in a sequence of processes: any process occurring after another is considered to be "downstream".

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Downstream may refer to:

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Order to cash normally refers to one of the top-level business processes for receiving and processing customer orders and revenue recognition. Order to cash is an essential function in finance; the entire cycle of events happens after a customer places an order until the customer pays for the order; that is, the order is converted to cash.

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References

  1. NetSuite.com. "Managing the Manufacturing Supply Chain". Oracle NetSuite. Archived from the original on 2024-10-04. Retrieved 2025-01-27.