A documented cost and benefit study of a regional smb distributor: 1,190 orders a month, every recurring task measured across a full year. Instant access, no charge.
Cost and benefit study, scenario 2 of 5
5,043 hours a year of manual order-to-cash work, and what changes when the buyer places the order.
Section 1
This is a documented study, not an estimate. Every recurring task in the order-to-cash cycle was measured across a full year, then re-costed against a platform where the customer places the order.
| Activity | Dairy distribution with direct store delivery |
| Industry | B2B food distribution |
| Delivery drivers | 6 |
| B2B customer orders | 1,190 per month |
| Estimated annual revenue | $10,710,000 (at a $750 average order value) |
| Accounting or ERP system | QuickBooks Online |
This study covers order capture, delivery adjustments, invoicing, payments and accounts receivable. It assumes 100% of order capture moves onto the platform. Payments are automated at 85% (60% online plus 25% collected on the doorstep by the driver). Remaining processes are covered by the mobile tools and the accounting integration, at 80% effort optimisation, leaving 20% for exception handling.
Section 2
Section 3
With 1,190 orders a month, customers order mainly by phone and email, and the administrative team keys every one of them into QuickBooks Online by hand. On delivery, the 6 drivers take returns and total the final delivery manually, then the invoice is created from their notes on their return.
Manual entry into QuickBooks Online, and hand-written delivery notes, multiply transcription errors and omissions.
The full cycle from order to delivery to invoice to payment depends on drivers returning and on the administrative team being available.
Without a central system there is no live view of order, delivery and payment status.
Ordering by phone or email costs the buyer time. They have to reach someone, list every item from memory or their own notes, then wait for confirmation. Invoices arrive late and the balance is opaque.
| Activity | Time per order |
|---|---|
| Order creation | 8 min |
| Delivery adjustments | 3 min |
| Invoice creation | 3 min |
| Payment processing | 3 min |
| Accounts receivable | 4 min |
| Total per order | 21 min |
| Section | Hours / month | Hours / year |
|---|---|---|
| Customer orders | 158.7 | 1,904 h |
| Consolidated supplier orders | 3.8 | 45 h |
| Delivery adjustments | 59.5 | 714 h |
| Invoicing | 59.5 | 714 h |
| Payments | 59.5 | 714 h |
| Accounts receivable | 79.3 | 952 h |
| Total | 420.3 | 5,043 h |
That load is the equivalent of 3.00 full-time positions (5,043 hours divided by 1,680 hours per position), costing $177,105 a year.
Section 4
Annual effort falls from 5,043 hours to 972.9 hours. The spine of the change is that the customer places the order, on the branded ordering platform, instead of a person re-keying it.
Before. 1,904 hours a year.
After. 100% of orders are placed by the customer, online or from an order template generated for their delivery day. Manual entry disappears.
Before. 45 hours a year.
After. The 9 monthly consolidated supplier orders are generated automatically by WEGODeliver.
Before. 714 hours a year.
After. WEGODeliver captures adjustments and returns at the customer site. The final invoice is produced on the spot, so what is delivered and what is billed always match.
Before. 714 hours a year.
After. Invoices are generated on the spot and synchronised instantly with QuickBooks Online, with no re-keying.
Before. 714 hours a year.
After. WEGOPay automates 85% of payments (60% online plus 25% collected on the doorstep by the driver), and applies each payment to its invoice automatically. Reminders and statements go out on their own.
Before. 952 hours a year.
After. Payment reminders and monthly statements are automated on the platform, cutting the manual chase on overdue accounts.
| Dimension | Before | After WEGOTRADE |
|---|---|---|
| Error risk | High. Manual transcription into QuickBooks Online, hand-written returns and omissions. | Near zero. Data is entered at source by the customer or the driver. |
| Payment delay | Extended by manual collection and late invoice updates. | Shortened by immediate online payment and mobile collection at delivery. |
| Invoice delivery | Manual and deferred, after drivers physically return. | Automatic and instant, by platform and email. |
| Payment status | Long manual entry to apply each payment to its invoice in QuickBooks Online. | Applied automatically for 85% of payments through the two-way QuickBooks Online integration. |
| Customer satisfaction | Disputes from entry errors on returns and payments. | Transparency and real-time access to invoices. |
| Team productivity | Administrative capacity consumed by repetitive entry. | Room to grow volume without adding administrative headcount. |
Section 5
| Item | Before | After | Gain |
|---|---|---|---|
| Administrative cost | $177,105 | $34,167 | $142,938 |
| Full-time equivalents | 3.00 | 0.58 | 2.42 released |
| Section | Before | After | Released |
|---|---|---|---|
| Customer orders | 1,904 h | 380.8 h | 1,523.2 h |
| Consolidated supplier orders | 45 h | 9 h | 36 h |
| Delivery adjustments | 714 h | 142.8 h | 571.2 h |
| Invoicing | 714 h | 142.8 h | 571.2 h |
| Payments | 714 h | 107.1 h | 606.9 h |
| Accounts receivable | 952 h | 190.4 h | 761.6 h |
| Total | 5,043 h | 972.9 h | 4,070.1 h |
Section 6
Today this operation spends $177,105 a year on administrative work that produces no margin and no customer value. Automating it releases 4,070.1 hours, which is 2.42 full-time equivalents, for a net $94,429 a year and a 195% return, paying for itself in 6.2 months.
Method