Can one e-Invoicing provider really serve you? Ever consider Roaming?


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Can one e-Invoicing provider really serve you? Ever consider Roaming?

  1. 1. Can One E-InvoicingProvider Really Serve You? Ever Considered ’Roaming’? 15 Well Kept Secrets to Shared Services Success 18th – 19th March 2009 Millenium Knightbridge London Soile Hiekkasalmi-Linna
  2. 2. 2 © Metso Date Author Title
  3. 3. 3 © Metso Date Author Title
  4. 4. INTERNAL Metso Financial Shared Services • Established 2004 – 2005 • Finland in two locations • Canada, Montreal • FI/SWE 30 units • CA/US 20 units • not all Metso units MFS customers (yet) • GL , AP, (750 000 inv. ) AR, Payment, Travel, Payroll • 2 Finance applications • Many ERP’s (harmonizations in progress) • 200 employees4 © Metso Date Author Title
  5. 5. INTERNAL AP in MFS today • Booking practises harmonised • Various applications reduced • Transparency MFS/Units - • Common Invoice Processing application • Control of invoice flow improved • Invoices in flow (appr. 1 week) • Payment on time improved (>90%) • Measurements • FTE – benchmarked excellent results - upper quarter • Customer surveys - improved during the years, results being nearly 4 , scale being 1-5 • e-invoice % (>40)5 © Metso Date Author Title
  6. 6. E-Invoicing in Metso Group • Start in the beginning of 2000 • Management decision • Shared Service Centers in Finland and Canada • First internal invoices • Second incoming invoices, big volumes • Third outgoing invoices6 © Metso Date Author Title
  7. 7. Targets for E-Invoicing• Fast delivery of internal invoices / month end procedures • closing the books in 4-5 days • e-invoices during the same day • in mail max. 1-2 weeks, • electronically min. 5-10 min• Improve and automate invoice handling processes • Automatic update in the data base• Should be easy • Minimize manual work• No extra organization or IT specialist7 © Metso Date Author Title
  8. 8. INTERNAL • Cost savings •Target to reduce invoice handling costs • Invoice processing application brought the possibility to receive e-invoices • costs compared to scanning /target to reduce 50% /invoice, now 80% • Future visions / expectations • Believe that e-invoicing will be ’de facto’ standard some day8 © Metso Date Author Title
  9. 9. E-invoicing technical strategy • Common solution as far as possible • No point-to-point solutions • Controlled way of exchanging messages and information • One way out from Metso • One way into Metso9 © Metso Date Author Title
  10. 10. Metso Service provider Outbound e-invoices Inbound e-invoices Broker Invoice sending handling METSO NET10 © Metso Date Author Title
  11. 11. SUPPLIERS & CUSTOMERS ROAMING SP Service provider X Service provider Y Service provider Z SP HUB SP METSO SERVICE PROVIDER Global / national standards/rules METSO BUSINESS UNITS SHARED SERVICE CENTERSOutbound InboundInvoicing Invoice processing ERPs Finance11 © Metso Date Author Title
  12. 12. Supplier approach in Finland /Sweden • Big volumes •Suppliers > 10 000 – 14 000 • (FI) Letters to first 50 -100 biggest suppliers (2-3 rounds) • asked the status and possibilities to send / • start sending e-invoices, no due dates or sanctions • targets 15% 20% 25% etc. •Personal contacts afterwards •The results not very good, they were not seen very soon12 © Metso Date Author Title
  13. 13. • (SWE) even more challenging task • Infrastructure does not support roaming as well as in Finland • Activation campaing together with our Service provider Present roaming agreements in Sweden and willingess to negotitate the new ones • Letter from Metso / different options, no sanctions • Personal contacts (Service provider) • Now 10/30 of these are about to start – technically ready13 • Supplier Kit – information package © Metso Date Author Title
  14. 14. INTERNAL • E-invoice projects usually last fairly long time Reluctance Benefits were not seen or recognised Application migrations etc. • Infrastructure development – roaming agreements helped • Now over 40 – 70 % of invoices electronically • Next steps? Sanctions?14 © Metso Date Author Title
  15. 15. Considerations • Difficult to find the right person(s) in the supplier responsible for this • Procurement (own) should have been better informed and more involved • Customer is the king – service provider is a third party • Service provider – good in technology • Careful thinking how to approach the suppliers15 © Metso Date Author Title
  16. 16. Customer approach • Customer is a king • Big customers informed their aims to start receiving e-invoices first wishing today more and more requiring /demanding • E-invoicing projects in business units16 © Metso Date Author Title
  17. 17. • Difficulties and problems faced • Benefits not seen very clearly in business • Customers scattered globally • Many customers still not able to receive e-invoices • Options offered not good or acceptable Separate portals Demands to join to separate networks expensive impossible to handle very ineffective processwise17 © Metso Date Author Title
  18. 18. So what are the benefits for the sender? • Cost savings transaction fees less than stamps/paper/envilopes (1-2 eur) more effective prosesses –no manual work • Digital archive all invoices, also sent in paper with attachments • Internal invoicing benefits in month end procesess18 © Metso Date Author Title
  19. 19. Pilot project in USA • Metso Paper USA Inc. sending invoices electronically to a big US customer by using the roaming with two service providers • A project started in September 2008 and was completed in January 2009 • We are able to use the same format , the same technical solution in our end • Next steps – to find the possible new customers of these two service providers19 © Metso Date Author Title
  20. 20. Roaming - The only way of to reach all suppliers /customers at the end • One technical solution gives definite cost savings when the solution can be rolled out • Feedback /alerts from one source – simple alerts look the same they can be forwarded from one source in Metso to all the needed people in the organization20 © Metso Date Author Title
  21. 21. • One partner Clear roles and responsibilities • One agreement in the company Common pricing Transaction fees based on Corporate volumes • Partnership with the service provider Common understanding and knowing each other New ’installations’ easier because of that21 © Metso Date Author Title
  22. 22. INTERNAL LESSONS LEARNED • Procurement /purchasers more informed and involved when approaching the suppliers • Roaming is the future solution to really reach all your suppliers / customers around the world22 © Metso Date Author Title