Understanding the sinews of war: customer orders

An order is an agreement signed between a seller and a buyer to supply a product and/or provide a service to a customer within a specified time, and under specified conditions of quality, price and financing.

Sales represent the amount of orders exchanged, i.e. total invoices sent to customers (less authorized discounts).

Orders received reflect the company's commercial activity during a reporting period. They include :

• contract amendments that constitute new orders;

• contractual options at current value (not reserved in the original order) when exercised by the customer during the course of the project;

• significant changes in scope, such as a significant change in the product or service rendered, with a change in scope based...