Scope

Settlement with Orders, as its name suggests, is the processes of paying back money that has been agreed – in an Order – to be owed, and according to the chosen clearance method.

Therefore, it can be inferred from the definition that the basic functionalities of the Settlement with Orders process and messaging standard are:

• Communication of clearance related information between the retailing partners while seeking or delivering an offer

• Preparation and agreement on clearance data that includes all that is necessary for a clearance of funds to take place when using the SwO Standard for clearance reporting

• Request for clearance of funds as per the agreement between the parties.

• Summary of the funds to be received or the funds to be paid.

• Performing the clearance of funds by the Clearance Manager

In Order world, the Order has all the data necessary to execute and record the customer journey. Therefore, the order manifests the commitment for delivery of products and services on one hand, and for remuneration on the other hand. As such the request for clearance is simply a message that asks for the clearance of funds as per an existing commitment – the agreed Order.

It is important to note here that the Settlement with Order is not about invoicing but only about the flow of money from payer to payee. Therefore, none of the messages, related to the Settlement with Order process, should under any circumstances be used, treated or considered as legal invoice. Thus any reporting related to invoicing data is not part of the Settlement with Order process or standard. Naturally, such reporting can only be performed by the parties pertinent to the Order since those are the parties that have the necessary data.

The focus of the Settlement with Orders Standard continues to be the clearance between carriers and agents within the established governance of the Billing and Settlement Plan as managed by IATA.