Purchase to Pay

Client Challenge

Manufacturing and trade organizations have high volumes of varying goods delivered by many different suppliers. They need to manage, control, monitor and automize processes from the point of entering an order to delivery and payment. Optimization potentials to increase efficiency are:

• Significant reduction of manual classification of incoming paper, email or fax documents, such as invoices and bills, delivery notes, work confirmations, orders and credit notes
• Consolidating departmental requirements for access to volume discounts, minimum order quantities and shipping efficiencies
• Monitoring of actual goods received to shrink expenses that reduce margins due to missing goods in the delivery
• Preventing payment duplication or billing for incomplete shipped orders
• Compliance with manufacturing or trade-based completion deadlines and supply chain management

Purchase to Pay P2P Blueprint

Value Delivered/Characteristics

• ROI potential within 12-18 months
• Self-learning system optimizes automatic classification to nearly 100% for incoming invoices on paper/fax/email attachment
• Fast implementation of processes – lower cost of ownership
• Enterprise solution - enables consolidation and high personalization
• Strong integration with legacy, ERP, CRM, ECM and Web-distributed solutions and mobile communications (iPhone, BlackBerry)
• Integrated, end-to-end straight through processing (STP) of inbound and outbound business communication
• Platform and output channel independence
• Control of payment terms and discount opportunities
• Reduced cost - dispute management, monitoring of goods received and payment stops
• Empowering business users - increased productivity
• Integrated security and authorization
• Multilingual documents and GUI support

Offering Description

The business application covers the core P2P process requirements, while being highly customizable by definition, from order entry in operations (manufacturing or stock) to order processing in purchasing. Rules and processes are defined in the Papyrus Desktop and executed by the system ensuring compliance of purchase policies, e.g., approval of orders or payment stop due to undelivered goods.

An order from operations is to be approved by a supervisor, triggering the purchase department to process the order for fulfillment, delivery and final payment

A partial delivery is recognized and a payment stop is automatically placed. The payment stop can be manually removed by the purchase department for situations involving special negotiated conditions (e.g., prepayment of goods).

Characteristics

Highly automated process offering process agility and flexibility

• Direct entry of requisition orders in a form
• Automated and multi-lingual reading of delivery notes and invoices with OCR/ICR including manual correction mask
• Reduced manual steps in the process (“date of goods receipt”, “date of invoice received” and “cost center” can be captured digitally)
• Deposited rules trigger workflows, e.g., approved requisition order allows purchasing to process order payment and fulfillment
• Dispute management: follow up of missing goods to reduce expenses
• Closed-loop, self-learning processes in the system enable continuous improvement
• Integration with ERP system, i.e., SAP producing outgoing bills with the same system

Additional capabilities

• “Order to Cash”, Mobile device connectivity
• Automated Customer Response Management (incoming request/outgoing response)