OCR systems perpetuate paper and first-generation eInvoice networks offer only limited cabapilities. Explore how smart invoice networks help you improve invoice processing efficiency, ensure compliance with contracts and preferred suppliers, and help you manage cash better.
SMART INVOICINGFOR BETTER COMMERCEOrganizations are looking to move away from paper invoices, improving business commerce.Some have tried scanning with workflow, while others have invested in Optical CharacterRecognition (OCR) systems, but these perpetuate paper. Electronic invoice networks eliminatethe paper, but first-generation networks offered only limited capabilities. For top performers,smart invoice networks broaden the scope to improve invoice processing efficiency, ensurecompliance with contracts and preferred suppliers, and help you manage cash better.COMPANIESTHATIMPROVEBUSINESSCOMMERCECOLLABORATIONWITHSMARTINVOICING...Reduce invoice processing costs by 60%+ whether you are sending or receiving electronic invoicesSave $3 million in working capital for every $1 billion spendCapture more than $2 million in early payment discounts for every $1 billion of spend$1 million per $1 billion saved in processing efficiencyPrevent more than $4 million in contract leakage for every $1 billion in spend under contract$3,000,000$2,000,000$1,000,000$4,000,000TOPCHALLENGESTOEFFICIENT&EFFECTIVEINVOICEPROCESSING1.Long invoice processing cycles5.Late payments2.Risk of not complying with VAT/tax and other regulations3.Invoice disputes and exceptions4.PO line item mismatches6.Duplicate payments10.Incorrect accounting codes7. Missed discounts9.Inability to forecast cash flow8.Poor visibility and control over spendSOURCES:Hackett Group 2011 P2P Study, Ariba customer resultsTAPN white paper: Beyond EDI: How a Smart Invoice Network Reorders P2P to Drive Global e-Invoicing and Collaboration with All SuppliersPAPERINVOICINGCycle time: 22daysInvoices per FTE: Discounts captured:Matching:70%Labor-intensive and error-prone with too many missed discounts.1 2 3 4 5 6 7 8 9 1011 1221 2213 14 15 16 17 18 19 20$ $ $9,000$ = 3,00030%SCANNING/WORKFLOW/OPTICALCHARACTERRECOGNITION(OCR)Cycle time: 17daysInvoices per FTE: Discounts captured:Matching:80%Extracts data from a scanned invoice and routes for approval, but can’t distinguish data entryerrors from OCR data extraction errors--and you still have to deal with paper.1 2 3 4 5 6 7 8 910 11 12 13 14 15 16 17$ $ $ $ $15,000$ = 3,00060%SMARTINVOICENETWORKCycle time: 4daysDiscounts captured:Matching:98%Configurable business rules for invoice validation drive close to 100%touchless processing and double-digit cash returns from all your discounts.1 2 3 4Invoices per FTE:$ $ $ $ $$ $ $ $ $$ $ $ $ $45,000$ = 3,000(Enables new, dynamic“sliding scale” discounts)100%+