COMMERCE ENGLISH 1

HANDLING ORDER

By:

1. MADE SATYA WIBUTI YANA 1715613021

2. MADE DANY MAHENDRA 1715613041
3. MAYDA RADHITA NIARTHA NATAYA 1715613036
4. NI LUH EDA SRI WEDARI 1715613086

4A D3 ACCOUNTING
ACCOUNTING DEPARTMENT
BALI STATE POLYTECHNIC
2018/2019
 PREFACE

First we would like to say thanks to the Almighty God because of the blessings of his
grace, we were given the opportunity to be able to compile a working paper entitled “Handling
Order” properly, correctly, and on time.
This paper is structured to make the readers know what is handling order and how to
make it. This paper was compiled with help from various parties. Both parties come from outside
as well as from parties concerned itself. And because the aid and help of God, these papers can
be finally resolved.
The compilers also thanked to Mrs. Chandra as to the tutor in English subject. Who have
many professors help compilers in order to complete this paper. Hopefully this paper can give a
broader insight to the reader. Although this paper has advantages and disadvantages. For the and
please his constituents.

Thank you.

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 TABLE OF CONTENTS

PREFACE ........................................................................................................................................ i
TABLE OF CONTENTS ................................................................................................................ ii
CHAPTER I INTRODUCTION ..................................................................................................... 1
CHAPTER II HANDLING ORDER .............................................................................................. 3
A. Definition of Handling Order ................................................................................................. 3
B. The Importance of Handling Order ......................................................................................... 3
C. Acknowledging an Order......................................................................................................... 3
D. Acknowledges Order For New Customer With First Order .................................................... 5
E. Handling Order For Some Cases ............................................................................................. 8
F. Delay In Delivery .................................................................................................................. 11
G. Refusing an Order .................................................................................................................. 14
CHAPTER III CONCLUSION..................................................................................................... 17
REFERENCE ................................................................................................................................ 19

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 CHAPTER I
INTRODUCTION

A. Background
The importance of communication cannot be denied by people as a means of interaction
with other individuals, to meet information needs, both from within and outside their
environment. Communication is something that cannot be separated from human life. Likewise
within an organization or agency. With the existence of good communication an organization can
run smoothly to achieve its organizational goals, on the contrary if communication within the
organization does not run well then the organization will fall apart.
In the company media is needed as a tool to communicate with all employees from
various divisions to get the desired information. Various choices presented by the media to meet
their communication needs. One of them is mass media, among others newspapers, internet,
tabloids, radio, magazines, television, and also letter.
In terms of establishing business relationships a company usually makes a business
letter to facilitate communication especially in business transactions. Letters are the most
economic and convenient means of exchanging information. With the help of letters, executives
can easily exchange information with customers, suppliers, investors, government offices,
regulatory authorities etc. Business letters are used to sell the products, make inquiry about
customers or prices of goods, seek information and advice, maintain good public relation,
increase goodwill and perform a variety of other business functions.
For example, when a trading company sends a letter to another company that intends to
offer products sold by the trading company. Based on these illustrations it can be said that the
letter can function as a communication tool or conveyer of information from the trading
company to other companies. The letter can also function as a representative of the author, in this
case the author does not need to directly meet face to face with the intended person to convey
information but is represented by a letter.
In making business letters there are so many types. One of them is handling orders. If we
are making letters in handling orders there are often mistakes, including patterns of language,
systematic, politeness in writing, etc. So, from our group now in the preparation of this paper
raised material about handling orders in terms of letter making

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B. Problem Formulation
1. What is definition of handling order?
2. What is importance of handling order?
3. How to make acknowledgement order letter?
4. How to make acknowledgement order letter for new customer with first order?
5. How to handle order for some cases by letter?
6. How to make letter for inform about delay in delivery to customer?
7. How to refuse an order by letter?

C. Writing Purpose
1. To know the definition of handling order.
2. To know the importance of handling order.
3. To know how to make acknowledgement order letter.
4. To know how to make acknowledgement order letter for new customer with first order.
5. To know how to handle order for some cases by letter.
6. To know how to make letter for inform about delay in delivery to customer.
7. To know how to refuse an order by letter.

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 CHAPTER II
HANDLING ORDER

A. Definition of Handling Order

Handling orders consists of two words, “Handling” and “Order”. According to the
English dictionary definition of “Handling” is the act of taking holding something in the
hands, the packaging and labeling of something to be shipped. In business dictionary,
“Handling” is coordination and intregation of operations such as un-packing, re-packing,
packaging, and movement of material or goods over short distance.

Definition of “Order” for commerce is a confirmed request by one party to another

to buy, sell, deliver, or receive goods or service under specified terms and conditions. When
accepted by the receiving party, an orders becomes a legally binding contract. Therefore it
can be conclude that handling order is the action to respond the request from other parties so
that they can be prepared properly before being shipped.

B. The Importance of Handling Order

When you receive an order that cannot be met at once acknowledge it straight away.
For small, routine orders a printed acknowledgement or postcard may be enough, but a short
letter starting when the delivery may be expected is better and helps to create good will.
When delivery to regular customers can be met immediately the sellers send an invoice,
sometimes with the goods sometimes separately. If the goods cannot be supplied at all, you
should write explaining why and offer suitable substitutes if they are available.

C. Acknowledging an Order

As soon as a supplier receives an order, it should be acknowledged. This can be done

by letter or by email for speed. The following examples can be used in both email and letter.

 Thank you for your order No. 3388 which we received today. Wa are now dealing with it
and you may expect delivery within the next three weeks.

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  Your order No. 6712/1 is now being processed and should be ready for dispatch by the
end of this week.
 We are pleased to inform you that we have already made up your order, No. 9901/1/5,
for 500 bed-linen packets, and are now making arrangement for shipment to Rotterdam.

Acknowledgeding an order:

 Acknowledgement of order
 Acknowledgement order and confirms priority
 Acknowledgement order and guarantees delivery

1. Acknowledgement of order:

Dear Mr. Brown

Thank you for your order No. DR. 4316 which we are now making up. We have all the items
in stock and will be advising you in the near future.

Yours sincerely,
D. casio

2. Acknowledges order and guarantees delivery:

Dear sirs,

Thank you very much for your order of 2 March for:

- 5 doz tea services no. 53

- 3 dos dinner services no. 65

All these items are in stock, and we can guarantee delivery to your Liverpool warehouse well
before 15 March. As requested, we will advise you of date of dispatch.

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 Yours faithfully,

Erhard Meler.

3. Acknowledges order and confirms priority:

Dear sirs,

We were very glad to receive your order for 2 horizontal drilling machines to be supplied to
your own specification.

As we mentioned in our previous letter, delivery for machines made up supplied

specifications is not normally possible in less than 3 months, but we should like to help you
and are giving your order priority. You may be sure that your machine will be ready for
shipment by 1 April.
We will advise you when your order is ready for collection and shall be pleased to assist you
to the best of our ability at all times.

Your faithfully,

Hans Peter Schneider

D. Acknowledges Order For New Customer With First Order

First orders, that is orders from new customers, should must certainly be
acknowledged by a letter. The letter should :

1. Express pleasure at receiving the order

2. Add a favourable comments on the goods ordered
3. Include an assurance of prompt and careful attention
4. Draw attention to order products likely to be of interest
5. Hope for further orders

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Here is an example of an acknowledgement of a first order:

Dear Sir,

We want to say how pleased we were to receive your order of 18 of June for cotton prints
and welcome you as one of our customers.

We confirm supply of the prints at the prices stated in your letter and arranging fir
dispatch next week by passenger train. When the goods reached you we feel confident we
you will be completely satisfied with them – at the prices offered they represent
exceptional value.

As you may not be aware of the wide range of goods we deal in, we are enclosing a copy
of our catalogue and hope that our handling of this your first order with will lead to
further business between us and mark the beginning of a happy working relationship.

Yours faithfully,

When the goods ordered cannot be delivered immediately:

1. Apologize for the delay

2. Explain the reason
3. Hope that the customer is not being in conveience unduly
4. State when delivery may be expected this is possible

Dear Sir,

We thank you for your order of 15 of March for electric savers, but regret we cannot
supply the immediately, owing to fire to our factory.

We are making every effort to resume production and fully expect to be able to deliver
the savers by the end of this month. Meanwhile, we apologize the delay and trust it will
not cause you serious inconvenience.

Yours faithfully,

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There are times when a seller does not accept the buyer’s order, as for example:

1. He is not satisfied with the buyers terms and conditions

2. Where the buyer’s credit is suspect
3. Where the good are not available

When sending such letters:

1. Regret your inability to meet the buyer’s needs

2. Propose an alternative product if one is available
3. Hope for the opportunity to serve him another time

Example is as follows:

Dear Sir,

We were pleased to receive your order of 15 of April for a further supply of transitor
sets but, as the balance of your account now stand at over $400, hope you will be able
to reduce it before we grant credit for further supplies.

We fully realize how difficult conditions are just now. We ourselves have many
commitmens of our own an answer you will understand when I say we can meet them
only if our many customers keep their account within reasonable limits. We should
therefore be grateful if you could sends us your check for, say, half the amount you
owe us. We could then arrange to supply the goods you know us for and charge them
to your account.

Yours faithfully,

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E. Handling Order For Some Cases

1. Orders are accepted but one type of item is not available

Example:
a. From customer

14th February, 1993

Bayangkara Textile Industry

25, Jalan Gatot Subroto
Bandung

Dear Sirs,

We thank you for your letter of 7th February with samples and price list.
We have chosen five qualities and have pleasure in enclosing our order No. 2345 for your
attention.
As we urgently need them, we should be deeply grateful if you could despatch them without
delay.

Yours faithfully,

Johan

14th February, 1993

Order No. 2345
Bayangara Textile Industry
25, Jalan Gatot Subroto
Bandung

Dear Sirs,

Please supply:
Quantity Article Price Delivery
40 yds. 273 Rp 5,000 prompt
40 yds. 435 Rp 4,500 Prompt
40 yds. 687 Rp4,250 Prompt
50 yds. 888 Rp 4,000 Prompt
60 yds. 965 Rp 6,500 prompt

Despatch by air first flight

14 days/3%
For Sejahtera Textile Shop

Johan

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 a. How to reply:
Sejahtera Textile Shop
22, Jalan Pangeran Hidayat
Banjarmasin

Dear Sirs,

Your Order No. 2345

We acknowledge with thanks your letter of 14th February and are pleased to see that some
of the articles we offered you have met with your approval.
A very large order for 965 has unexpestedly exhausted our stoks of this material. As you
asked for prompt delivery, we have substituted our quality 967 at the similar price. This cloth has
only just come into stock and we think it is most attractive and certainly excellent value for money.
The goods are being despatched today by air first flight and should reach you in the
afternoon. We trust that they will to your satisfaction and hope to receive further orders from you in
the future.
Yours faithfully,

Bambang
Sales Manager

2. Orders Requesting Discounted Prices Are Greater Than Offered

Example:
a. From customer
2nd March, 1993
Surya Textile Co. Ltd
34 Jalan Mandalawangi
Bandung

Dear Sirs,
Export 3256

We acknowledge the receipt of letter of 27th February and have considered the cotton, of
which you sent us samples, to our customer in Singapore.
We have obtained an order for 50pieces but on the condition that a trade discount of 7%
must be given. We are most anxious to build up our export connections and hope that you would
assist us in our effort. Emclosed please find our order form No. 4215. If you can accept the terms
soffered by our customer we could ask you to arrange for immediate delivery.
Your reply will oblige.
Your faithfully
Irwansyah
Export Manager

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 b. How to reply:

4th March, 1993

PT. Sentosa Indonesia
56, Jalan Gajah Mada
Jakarta Pusat

Dear Sirs,
Export 3256. Order No. 4215

We thank you for your letter of 2nd March with order No. 4215 for 50 pieces of cotton.
Although our prices do not really allow my concession we have in this case decided to
accept your order and ro grant you a trade discount 7%. We do this because we want to help you
in extending your exports and in the hope that this will lead to repeat orders.
The goods will be despatched today by passenger train and will reach you this afternoon.
Our invoice will follow in due course.
Yours faithfully,

Pribadi
Sales Manager

3. Order Requesting An Extension Of Payment Time

Example:
a. From customer

11th May, 1993

Buana Wholesaler Ltd
12 Jalan Pelajar
Bandung

Dear Sirs,

Thank you for your offer of 7th May. The prices and qualities seem to be satisfactory
and we enclose an order for your attention.
As business is a bit slack these last few months we should ask you to alter your terms
slightly and to allow us payment in 75 days with 5%. Delivery is required on 19th May.
Kindly inform us whether you can book the order on these terms.

Your faithfully,

Wayan Sujana

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 b. How to reply

15th May, 1993

Wayan Sujana
21 Jalan Wahidin Sudirohusodo
Denpasar

Dear Sirs,

We are in receipt of your letter of 11th May and thank you for your order No. 3123
which we have accepted on the terms you propose. We have been doing business together for
many yaers and you know that we always try to meet the reasonable wishes of our customers.
We must ask you, however, to realise that this concession is exceptional and that future orders
can be executed only on our normal trade terms.
We shall we pleased to receive your futher orders which shall have our most careful
attention.

Your faithfully

F. Delay In Delivery

If goods are held up either before or after they are sent, you must keep your customer
informed. State what was happen, how it happened, and what you are doing to put things
right. In these cases the speed of email is very usefull. If email is not available, then fax or
cable should be used as the sooner your customer informed, the sooner they can take action.
It is good idea to keep copies of any messages you send about delays.

 I was surprised and sorry to hear that your consignment (Order No. B145) had not
reached you. On enquiry I found that I had been delayed by a local dispute on the cargo
vessel SS Hamburg on which it had been transferred to the SS Samoa, which is scheduled
to sail for Yokohama before the end of next week. I shall keep you informed.
 I am writing to tell you that unfortunately there will be a three weeks delay in delivery.
This is due to a fire at out Greenford works which destroyed most of the machinery. Your
order has beed transferred to our Slough factory and will be processed there as soon as
possible. I apologize for this delay, which is due to circumstance beyond our control.

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 We regret to inform you that there will be a delay in getting your consignment to you.
This is due to the cut in supplies from Gara, where, as you may be aware, civil war broke
out last week. We have contacted a possible supplier in Lagos and he will let us know if
he can help us. If you wush to cancel your order, please let us know as soon as possible.
However, I think you will find most manufacturers are experiencing the same difficulties
at present.

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Panton Manufacturing Ltd
Panton Works
Telephone +44 (0)20 8353 0125
Faximile + 44 (0)20 8353 6783
Email d.panton@panman.co.uk

8 October 2019
Mr. H. Majid
Majid Enterprises
Grant Road
Bombay
INDIA

Dear Mr. Majid

I am writing to you concerning your order, No. CU 1154/d, which you placed four weeks ago. At
that time we had expected to be able to complete the order well within the delivery date which we
gave you of 18 June, but since then we have heard that our main supplier of chrome has gone
bankrupt.

It will be necessary to find an alternative supplier who can fulfil all the outstanding constracts we
have to complete. As you will appreciate this will take some time, but we are confident that we
should be able to deliver consignment to our customers by the middle of next month.

The units themselves have been assembled and only need completing. We regret this unfortunate
situation over which we had no control, and apologize for the inconvenience caused. We will
understand if you wish to cancel the order, but stress that we are confident that we will be able to
complete delivey by the middle of the next month.

Please let us know your decision as soon as possible. Thank you for your consideration.

Yours sincerely

D. Panton
Managing Director.

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G. Refusing an Order

There are number of reasons for a company to refuse an order, and some of the most
common are given below. Whatever your reason, you must be polite: the words reject and
refuse have a very negative tone, therefore it is better to use decline or turn down instead.

1. Out of stock
You may be out of stock of the product ordered, or you may no longer make it. Note that,
in either case, you have an opportunity to sell an alternative product, but remember not to
criticize the product you can no longer supply.
 We are sorry to say that we are completely put of stock of this item and it will be
six weeks before we get our next delivery, but please contact us then.
 We no longer manufacture this product as demand over the past few years has
decline.
 Thank you for your order for heavy duty industrial overalls. Unfortunately we
have run out of the strengthened denim style you asked for. As you particulary
specified this material, we will not offer substitute, but will inform you
immediately we receive delivey of a new consignment. This will be within the next
two months.
 We received your order for CAN dynamos today, but regret that due to a strike at
the ACN factory we are unable to fulfil ot at present. We are aware that other
models will not suit your requirements, but hope that the dispute will be settled
soon and that we will be able to supply you. We will keep you informed of
developments.
2. Bad reputation
The customer may have a bad reputation for settling their accouts or, in the case of a
retailer of, say, electrical or mechanical products, may have offered a poor after sales
service which could in turn affect a manufacturer’s or supplier’s reputation. In these cases,
it is better to indicate terms on which you would be prepared to accept the order, or, as in
the last two examples below, find diplomatic way of saying ‘No’.
 We would only be prepared to supply on a cash basis.
 We only supply on payment against pro forma invoice.

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  As there is heavy demand at present, we have very few of these products in stock
and are serving on rota basis. It is extremely unlikely that we will be able to
deliver within the next four month.
 As your plant is closing for the summer vacation we would not be able to process
your order for the date you have given. Therefore, regretfully, we have to decline
it.
 I am sorry to say that we must turn down your order as we have full order books
at present and cannot give definite date for delivery.
3. Unfavourable Terms
The supplier may not like the terms the customer has asked for, either for delivery:
 Delivery cannot possibly be guaranteed within the time given in your letter.
 Two month must be allowed for delivery as we are dependent on our suppliers for
raw materials.

Or discount:

 It would be uneconomical for us to offer our products at the discount you suggest
as we work on a fast turnover and low profit margins.
 The usual trade discount is 15% in this country, which is 5% lower than the figure
mentioned in your letter.
 The discount you asked for is far more than we aoffer any of our customers.

Or payment:

 We only accept payment by letter of credit. We never offer quarterly terms initial
orders, even to customers who can provide references. However, we might
consider this sort of credit once we have established a trading relationship.
 Our company relies on quick sales, low profit, and fast turnover, and therefore we
cannot offer long-term credit facilities.
4. Size of Order
The quantity required might be too large:
 We are small company and could not possibly handle an order for 20.000 units.
 Unfortunatlely, our factory does not have facilities to turn out 30.000 units a week.

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The quantity required might be too small:

 We only supply orders for bollpoint pens by the gross, and therefore suggest you
try a wholesaler rather than a manufacturer.
 The shirts we manufacture are sold by the dozen in one color. I regret that we
never sell individual garments.
 Our factory only sells material in 30 metre rolls which cannot be cut up.

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 CHAPTER III

CONCLUSION

Handling orders consists of two words, “Handling” and “Order”. “Handling” is

coordination and intregation of operations such as un-packing, re-packing, packaging, and
movement of material or goods over short distance and definition of “Order” is a confirmed
request by one party to another to buy, sell, deliver, or receive goods or service under specified
terms and conditions. So, it can be conclude that handling order is the action to respond the
request from other parties so that they can be prepared properly before being shipped.

When we are as supplier that received an order that cannot be met at once acknowledge it
straight way. As soon as possible a supplier receive an order, it should be acknowledge. This can
be done by letter or by email. There are three types of acknowledging an order there are;
Acknowledgement of order, Acknowledgement order and confirms priority , Acknowledgement
order and guarantees delivery.

In handling order it has acknowledges order for new customer with first order, it means
that first orders is from new customers, shoud must certainly be acknowledge by a letter. The
letter should be:

1. Express pleasure at receiving the order

2. Add a favourable comments on the goods ordered
3. Include an assurance of prompt and careful attention
4. Draw attention to order products likely to be of interest
5. Hope for further orders

There are three types of Handling Order For Some Cases:

1. Orders are accepted but one type of item is not available

2. Orders Requesting Discounted Prices Are Greater Than Offered
3. Order Requesting An Extension Of Payment Time

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There are number of reasons for a company to refuse an order:

1. Out of stock
2. Bad reputation
3. Unfavourable Terms
4. Size of order

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 REFERENCE

Putra, Ardana & Suciani, 2015, English for Commercial Correspondence.

Suamba, Putu & Sitawati, Raka, 2014, English for International Business Correspondence.

http://www.businessdictionary.com/definiton/handlinf.html

Bandung, Tim M2S, 1993, Business Letter (Surat Dagang) Inggris-Indonesia, Bandung:
Percetakan M2S.

A. Ashley, Oxford Handbook of Commercial Correspondence.

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