Tag Archives: eInvoicing

ADP’s Mission to Improve P2P

PayStream Advisors has been paying a lot of attention to the ways in which solutions work to streamline the P2P process, especially as we’ve researched for our recent Electronic Invoice Presentment and Payment (EIPP) report and our upcoming eProcurement report. It is clear that the effectiveness of these solutions depend in large part on how well the eInvoicing part of the process is integrated with supplier payments. Only then can the process truly begin to move from being stagnate and error-prone to becoming productive and value-creating.

As a research and consulting firm, PayStream is constantly searching for financial automation ADPproviders that meet our expectations of quality and innovation. ADP, a global provider of human capital management solutions, recently announced new enhancements to their Procure-to-Pay Solutions® platform that seem to meet the requirements of a truly adept and integrated P2P solution. These enhancements will bring users increased customization and improved control of their electronic invoicing and payments processes, as well as give buyers and supplier the opportunity to work more collaboratively by offering immediate access to critical data. Ultimately, this platform will feature all the vital parts of a P2P solution that bring better payment process efficiency.

Among ADP’s improvement, there is the enhanced supplier dashboard and analytics, which will help suppliers access relevant information and monitor trends and will bring greater visibility into approved and unapproved invoices, purchase orders, and disputes so suppliers can see critical data and take action. There will also be increased control and flexibility of invoice approvals, and customizable invoice coding display to make it easier for clients to configure coding fields and other data elements so that only the desired fields are visible to users. Multiple payment accounts functionality will allow clients to make payments to suppliers from more than one account, choose their preferred payment method, and better handle payment exceptions.

In the recent 2014 EIPP report, our research found that multiple payment options not only make the process easier for the supplier and buyer, but also encourage better supplier participation and communication, ultimately building stronger supplier and buyer relationships. In our upcoming 2014 eProcurement report, we also found that the improvement of one aspect of the process, like visibility into POs and active expenditure, can have rippling effects throughout the rest of the procure-to-pay life-cycle, and improve a company’s productivity in the future. ADP’s enhancements are all in areas of the P2P process that can majorly increase the efficiency of other areas—to focus on improving these parts of their solution is a best practice in the arena of solution design.

ADP plans to release several other enhancements to their P2P solution in the coming months. Their goal as they design their products is to create evolving integration capabilities and deliver comprehensive functionality. This is exactly what PayStream looks for when searching the market for the best products—the recognition of coordination as a fundamental aspect in financial solutions, and the ability to create that attribute within the provider’s own designs.

For more insight into the vital aspects that go into a truly comprehensive P2P solution, download your copy of the 2014 EIPP report today, and look out for the upcoming eProcurement report later this month.

2014 eInvoicing Benchmark: New Report, Fundamental Research

For several years now, PayStream Advisors has specialized in the research of a wide range of financial automation solutions. We have dedicated our time and resources to exploring market opinions, trends, and innovations in every area of AP and AR software, from Travel and Expense Management, to Healthcare ePayables—and everything in between. Sometimes, however, it feels good to get back to the basics and focus again on one of the most important and fundamental publisherlogo.ncpparts of electronic AP processing: eInvoicing. Therefore, we are very proud to announce the release of our newest research, the 2014 eInvoicing Benchmark Report.

This report is an essential read for any AP professional interested in transforming their paper-plagued departments into automated efficiency centers. The research, involving survey results from AP professionals, shows common pains that have slowed down Accounts Payable for years and the prevailing beliefs about the use and effectiveness of eInvoicing solutions. The results also highlight the benefits gained through eInvoicing and the ways in which automation can transform an organization’s entire system. Ultimately, the research shows that when invoices are processed efficiently and timely, money is saved throughout the company with captured discounts, reduced processing fees and shipping costs, and a lower margin of error.

eInvoicing has been transforming Accounts Payable for several years now, but improvements and innovations are being made daily, and with those improvements, demand for an automated invoice process has grown. In response to that demand, solution providers have become more inventive and ambitious, striving to provide the most user friendly, efficient, and groundbreaking solutions that can transform not only the industry, but their customers’ entire organizations. For those who see the benefits eInvoicing could bring to their own company, this Benchmark report serves as a guide to properly recognizing and selecting the right automation solution. This report outlines what AP professionals should look for in a solution’s offerings, from its functionalities and features, to its implementation and customer support. This report also features vendor profiles of some of the market’s leading AP automation providers, specifically focusing on their eInvoicing solutions.

One of the greatest accomplishments of this new report is in the way it alleviates a common fear held by many AP departments—that of an inefficient process. Fortunately, in today’s technologically advanced world, inefficient operations that have seemed unfixable are being transformed into streamlined and foolproof procedures. With the 2014 eInvoicing Benchmark Report, AP professionals can explore, understand, and utilize the innovative tools within the eInvoicing marketplace—and at the same time, transform their company for the better

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The EIPP Standards Advisory Board: Streamlining an Entire Industry

In recent weeks, PayStream Advisors has seen several instances of electronic invoicing expansion and growth both world-wide and industry-wide. From increasing adoption in the UK, to more systematic compliance in Latin America and the Middle East, it is clear that AP automation is on the move to becoming a global business standard. The latest development in this movement was seen last week when the Ocean Freight Industry EIPP Standards Advisory Board launched its own set of eInvoicing standards guidelines. This announcement marked a major landmark within a major trade for eInvoicing. SAB_Header_2.181113233

EIPP Standards Advisory Board is an independent organization comprised of ocean industry executives from around the world. Through research and regulation, they seek to enhance processes in Electronic Invoice Presentment and Payment (EIPP). The new guidelines will focus on key handling processes and required data elements for invoice and credit note presentment, and their aim will be to establish a standard for the ocean shipping industry to improve how electronic messages exchanged between parties should be prepared, transmitted and received.

The guidelines will cover invoice processing, credit note processing, and EDI messaging guidelines within the ocean freight industry. For invoice processing and credit note processing, the guidelines will support the automation of many key functions, including acknowledgement, routing, verification, payment and accounting, and tax reporting and auditing. The EDI messaging guidelines will provide standards for data transmittance and format structure.

For companies operating in the ocean freight industry, these new standards guidelines are very welcome. “As a global logistics and transport company, we count on fast and efficient collaboration to expedite business,” said Leendert Vis, Chief Information Officer of JF Hillebrand, “and standardized processes make it easier to collaborate internally, as well as with external partners and customers. For instance, we count on electronic invoicing to avoid manual data entry and enable automated error detection when the invoice doesn’t match our anticipated charges. By establishing these guidelines for e-invoicing, we are laying the foundation for standards driving greater automation, resulting in improved cost-savings and accelerated processes.”

With an AR landscape that is constantly evolving, today’s AR departments are challenged to accomplish more with existing, or even shrinking, resources. By enforcing regulations and streamlining EIPP processing in an entire industry, the EIPP Standards Advisory Board is making a bold move that will be beneficial for many organizations.

For those seeking more information on EIPP movement, PayStream Advisors is currently developing a market discovery report on Electronic Presentment and Payment (EIPP) solutions. This report will explore the trends, challenges, and innovations within EIPP solutions, and it is intended to help AR, Treasury and IT buyers make vendor and technology selection decisions as they evaluate new EIPP automation strategies and solutions. Look for the release of the EIPP report this Q3.

 

The Move To Mandate: eInvoicing in Europe and Latin America

This week, the government of Spain issued eInvoicing requirements for the public sector. This mandatory automation will cover ‘business to government’ (B2G) invoicing processes, and is set to be in effect by January of 2015.

This mandate is only the most recent in a series of transitions made by other governments in Europe. In Italy earlier this month, B2G eInvoicing adoption was also made mandatory, with full implementation expected to be complete by March of 2015. Estonia is reportedly looking into the complete transition as well, and the UK’s National Health Service recently contracted the solutions provider, Tradeshift, to fully automate their Shared Business Services operation.

The EU’s interest in automation has increased in recent years, and they have demonstrated this by extensive research into the subject. Earlier this year, parliament launched a UK Government Inquiry Report into eInvoicing to explore the benefits and barriers of implementation. In addition, the Euro Banking Association (EBA) recently published a Supply Chain Finance (SCF) Market Guide, showing the results of their research and analysis work on SCF and alternative electronic payments.

The influence of Latin American eInvoicing regulations has had some effect on EU views. Many countries in the region, such as Brazil and Mexico, have been operating under fully mandated automated invoicing for years, and while the systems in place are complicated and tend to be error-prone, they are ultimately more sustainable and efficient with VAT laws; both countries have been able to significantly cut blackmarket transfers and tax dodgers while increasing internal revenue.

Much of Europe shares those same tax regulations—a large reason interest in eInvoicing is growing. In the US, Federal involvement in eInvoicing mandating is highly unlikely, so it may be up to research firms like PayStream Advisors to continue spreading the word and lighting the fire for the eInvoicing revolution.

 

Basware Issues Green Guidelines for Earth Day

Basware, a leading provider of eInvoicing purchase-to-pay (P2P) solutions, recently released guidelines to help companies minimize their carbon footprint through financial process automation. These guidelines were developed for the growing number of companies that are concerned about corporate compliance with green initiatives, and at the same time are looking to streamline processes and gain business benefits.

“Many companies are drowning in paper, and nowhere is this more evident than in the Accounts Payable department,” said Bob Cohen, Basware VP, North America. “The hundreds of billions of invoices that are sent annually worldwide create business as well as environmental problems, increasing costs, inefficiencies, errors, and more. By switching to e-invoicing and automating financial processes, companies gain greater visibility and control over spend and working capital, and improve their supplier relationships. It’s not only a matter of businesses ‘doing good,’ it’s also good business.”

Basware recommends four key steps to establish green purchase-to-pay practices including:

  • Send invoices electronically through cloud-based business commerce networks. Of the approximately 350 billion bills and invoices sent globally each year, about 330 billion (or more than 94%) are sent as paper invoices, according to industry consulting firm Billentis[i]. If all of these invoices would be sent electronically, 138.6 million trees and 143 billion liters of water could be saved, which would reduce the carbon footprint of one invoice by 63 percent[ii]. In addition, it enables up to 80 percent cost savings as companies eliminate time-consuming and manual processes, such as printing, mailing, scanning, keying in invoice data, and manual matching of invoices to orders and archiving. With supplier on-boarding, supplier portals and other services, companies can be well on their way to receiving 100% of their invoices as e-invoices and encourage environmentally friendly practices among their trading partners.
  • Promote green initiatives in procurement by ordering through e-catalogs on business commerce networks to eliminate large paper catalogs. Additionally, identify and purchase from suppliers that support environmentally friendly initiatives.
  • Look for ways to make payments electronic. Innovative e-payment solutions are becoming available that will speed up slow invoice processing and invoice payment tasks, ensure that suppliers get paid quickly, and extend terms for buyers.
  • Strive for continual improvement. Use analytics to measure key metrics in your green initiatives. This will provide insights into ways you can elevate processes to work smarter, achieve greater green benefits and take performance to new levels.

To read the official press release, click here.

Newest Supplier Finance Solution: Nipendo meets Integrate Financial

Nipendo, a leading provider of procure-to-pay automation solutions announced yesterday that they would be joining forces with Integrate Financial, a provider of supplier network financing solutions. The intended outcome of this partnership is to provide a supply chain finance solution that is tightly integrated with the procure-to-pay process, allowing buyers to offer early payments to their suppliers that can be expected as soon as hours after submitting an invoice.

As a result of globalization and increased offshore sourcing, for many US companies a lengthened supply chain has resulted in a reduction of capital availability. This often results in an extension of payment terms to suppliers and thus a higher cost of money and riskier supply base. The obvious solution to this problem is supply chain finance—a solution that has been around for decades. Yet recent studies have shown that only a small portion of organizations offer trade financing to their suppliers. Increasing capital and compliance requirements have left banks offering fewer financing options. Nipendo and Integrate Financial have teamed up to significantly reduce the risks and barriers typically associated with receivable financing.

Nipendo’s invoice automation platform ensures errorless invoice validation, reception, compliance, and matching to allow for suppliers to get immediate notification of non-compliant invoices. This results in processing and approval for payment almost instantly. Integrate Financial uses the data made available by Nipendo to offer near-real-time financing. Embedded into the Nipendo Supplier Cloud, Integrate Financial can make on-demand pre-approved financing offers to suppliers. Small and medium sized businesses that have seen increased restrictions from more traditional financing methods will find this highly valuable.

PayStream is very excited to see what this partnership will mean for the procure-to-pay automation industry. Be sure to look for Nipendo in our AP & Working Capital report scheduled to come out this June.