Mais conteúdo relacionado Semelhante a Smart Invoicing: Move Beyond Scanning to Achieve Paperless Invoice Processing (20) Smart Invoicing: Move Beyond Scanning to Achieve Paperless Invoice Processing1. MC
Smart Invoicing
Move Beyond Scanning
to Achieve Touchless
Invoice Processing
James Tucker, Ariba
Will Chen, Deutsche Bank
© 2012 Ariba, Inc. All rights reserved.
2. Smart Invoicing: When Good Enough Isn’t
PayStream Advisors
Zero - Touch
Paper Free
Imaging
Enabled
Paper
Based
Manual Workflow E-Invoicing Smart Invoicing
2 © 2012 Ariba, Inc. All rights reserved.
3. How Does Your Organization Measure Up?
Invoice Automation Benchmarks
Key Performance Indicator (KPI) Laggards Average Innovators
Invoice cycle time receipt-to-approve (P) 45 days 21 days 5 days
(13 days EU)
Invoices per FTE (H) 6,797 11,364 32,830
(8463 EU)
Invoices with errors and exceptions (A) 30% 28% 12%
First pass match rate (H) 65% 70% 85%
(59% EU)
Percent of electronic invoices (H) 7% 25% 67%
(9% EU)
Inquiries per 10,000 Invoices (H) n/a 756 n/a
(1091 EU)
(P) PayStream Advisors
(H) The Hackett Group
(A) Aberdeen
(B) Billentis
3 © 2012 Ariba, Inc. All rights reserved.
4. Invoice Exception and Error Rates
• On average 11% of invoices
have errors
• On average 17% of invoices
have exceptions
~ AND ~
• 37% of AP staff time spent
responding to inquiries
4 © 2012 Ariba, Inc. All rights reserved.
5. Best Practice: Ariba Smart Invoicing
The best invoice solution is the one that is TOUCHLESS Lower AP/AR Costs
Ariba Smart Invoicing drives auto post rates of 98% compared to Faster Cycles
less than 60% with other solutions Lower Risk
Supplier Portal provides real-time
Procure-to-Pay access to invoice and payment
status eliminating inquiries to AP
Invoice
Number
PO
GST/VAT Invoice
Acct Compliance
Date
Coding Commerce
Price Qty
Compliance Network
Threshold Ship to Invoice
Contract Address
Match Unit Amt
Threshold
Pay
Bill-To
Address • 37% of AP staff time spent
• 11% of invoices have errors responding to inquiries
• 17% of invoices have exceptions
Over 70 configurable rules that Order-to-Cash
capture errors and exceptions
before they reach AP
5 © 2012 Ariba, Inc. All rights reserved.
6. Smart Invoicing
THE Business Driver for Strategic Savings
E-Invoice considered THE document regarding
working capital optimization (3-for-1)
E-Invoice considered THE document
regarding VAT reclaim (7-for-1)
E-Invoice considered THE
document regarding contract
compliance (9-for-1)
E-Invoice considered THE document
to maximize discount capture (2-for-1)
6 © 2012 Ariba, Inc. All rights reserved.
7. MC
Smart Invoicing
Move Beyond Scanning to Achieve
Paperless Invoice Processing
Will Chen – Director, Global Transformation
Lead
© 2012 Ariba, Inc. All rights reserved.
8. Deutsche Bank Overview
Company Overview
• Deutsche Bank is a leading global investment bank with a substantial private clients
franchise. Its businesses are mutually reinforcing.
• A leader in Germany and Europe, the bank is continuously growing in North America, Asia
and key emerging markets.
• With more than 100,000 employees in 72 countries (as of March 31, 2012), Deutsche Bank
offers unparalleled financial services throughout the world.
Products and Services
• Private and Business Clients
• Private Wealth Management
• Asset Management
• Markets
• Corporate Finance
• Global Transaction Banking
8 © 2012 Ariba, Inc. All rights reserved.
9. Procurement Operations History
As recently as seven years ago, Deutsche Bank had few
purchase orders and no invoice automation:
• Most operating locations had a local AP process
♦ No 3-way matching, no standard PO process
♦ Invoices approved/Cost Center and GL coded/manually via paper forms
• Deutsche Bank growth over last 10+ years made these
processes inefficient, unsustainable, and expensive
♦ Primary in-scope countries: Germany, US, UK, Singapore, Hong Kong,
Australia/New Zealand, Spain and Japan
o 2011 metrics: ~600K invoices processed representing €6.6B in spend
across ~35,000 vendors
9 © 2012 Ariba, Inc. All rights reserved.
10. Global Transformation Program
WE ARE HERE
Upgrading P2P architecture globally
Phase 5
Phase 4 Q4 2011 – 2012*
• Ariba Buyer
implementation
Phase 2/3 2011 – Q1
• Upgrade of P2P
• SAP Back-end
Portal
changes
2010
Phase 1 • Ariba Invoice
Management
implementation
P2P – Phase 2 2008
• Vendor Portal
Release 2 • Ariba Network
• Policy
P2P - Phase 1 • eInvoicing and enhancements:
“Lift &Shift” 2005 No-PO-no-Pay Payment Term
policy policies, central
2004 • Global Platform
(P2P Portal) mailbox
• Staged transfer of
• Workflow The Global Transformation Programme is a five phase programme to
DB processes to
changes standardise and upgrade the P2P architecture globally.
APS Delivery
Centers
• Implementation of
new sourcing tools
10 © 2012 Ariba, Inc. All rights reserved.
12. Implementation Approach
1. Work with our BPO and Systems Implementation partner Accenture on the
Global Transformation Program
2. Enable 2 invoice submission channels: electronic invoices via Ariba
Network (preferred method) and paper invoices via Accenture invoice
conversion process
3. Continuous supplier enablement to the Ariba Network; ultimate goal is to
achieve 80% eInvoice target
• Prioritize by focusing on highest invoice transaction vendors before moving to “tail”
• Dedicate project resources to the supplier enablement initiative
4. Use “carrot and stick” approach
• Emphasize benefits of eInvoicing, including more accurate and timely payments
• Mandate eInvoicing requirement via internal and supplier facing policies and work with
category management team to reinforce requirements with vendors
• Provide faster payment terms for vendors for eInvoicing (ie NET 30 vs. NET 45 / 60)
12 © 2012 Ariba, Inc. All rights reserved.
13. Success to Date
• Onboarded 3700+ suppliers onto the Ariba Network
• Reduced BPO costs by ~35%
• Invoice automation for improved efficiency and accuracy
♦ Processing went from 100% paper to over 60%
e-invoicing in our target regions over 3-year period
♦ ~370,000 invoices in 2011 were processed
electronically representing €3.4B in spend
♦ Invoice cycle time reduced dramatically for eInvoices
(~10 days) compared to paper invoices; as a result,
on-time payments have improved
♦ Early Pay Discount capture of €3.3M in 2011
13 © 2012 Ariba, Inc. All rights reserved.
14. Key Learnings
• Target the right vendors. Transaction analysis more important
than spend analysis. Supplier rationalization should be aligned
with vendor enablement program (reduce the “tail” first).
• Dedicated resources with policy mandates were key to project
success; however, it can also lead to unintended behavior
change with users (i.e. retrospective / back-end PO’s)
• Opportunity areas:
Communicate eInvoicing benefits to vendors; have an escalation model
in place; collaborate with Ariba
Robust integration between Ariba products for seamless
end-to-end processes
14 © 2012 Ariba, Inc. All rights reserved.
15. Next Steps
• Complete Ariba Buyer implementation to replace our
existing SAP SRM eProcurement tool
• Continue our supplier enablement program for eInvoicing
• Expand Early Pay Discount program (€5.0M target for 2012)
• Expand our P2P solution to other DB target countries in
2012 and beyond
• Optimize IT Consulting Services spend
15 © 2012 Ariba, Inc. All rights reserved.
16. James Tucker
Global Director Solution Marketing
Q&A Ariba
Ariba Network & Finance Management
+1.650.390.1702
jtucker@ariba.com
Procure-to-Pay
Network Order-to-Cash
Manage Cash Better
What this new Smart Invoicing
infographic has to say
http://www.ariba.com/solutions/manage-cash.cfm
may surprise you. Take a look.
Manage Cash http://www.ariba.com/pdf/SmartInvoicing-Ariba.pdf
Wednesday, May 30 (14:30-15:45)
Mare Nostrum F
Smart Invoicing: Move Beyond Scanning to Achieve Paperless Invoice Processing
Wednesday, May 30 (16:00-17:15)
Mare Nostrum F
The Big Finance Payoff: Top Performance Metrics and How to Achieve Them
Wednesday, May 30 (17:30-18:45)
Mare Nostrum F
e-Invoicing VAT Compliance Workshop: A Legislative Framework for Electronic Invoices
Thursday, May 31 (10:00-11:15)
Llevant
Managing Cash Better in an Era of Limited Growth
Thursday, May 31 (11:45-1:00)
Llevant
Streamlining Your Accounts Receivables with Outbound Invoicing
16 © 2012 Ariba, Inc. All rights reserved.
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17 © 2012 Ariba, Inc. All rights reserved.
Notas do Editor Scanning and OCR are often the last stop in efforts to streamline invoice processing. However, for organizations dedicated to achieving best practices in accounts payable, they are really just the first step. This session will discuss how a "smart invoicing" approach using the Ariba Network can help finance organizations capture invoices from all suppliers and move to an electronic process that eliminates paper, invoice errors, and supplier inquiries. Leave this session with a blueprint for greater cost savings and contract, PO, and VAT/tax compliance. Brain Storming – What are the elements of performance measurement in the procure-to-pay (buy-side) and order-to-cash (sell-side) processes?Example:Process efficiency/effectiveness – on-time, price per document, docs per FTE, discount captureCompliance: Sarbox, PO, Contract, VAT/tax, price, vendor, etc.Working Capital – cycle time (eg. DPO, DSO), Supplier (Customer) Management: e-enabled, quality, on-time delivery,