A fresh report from PayStream Experts, Electronic Invoice Adoption Standard Report, publishes the results of a survey of over 300 Accounts Payable (AP) and Procurement specialists. There are a few interesting statistics – like the fact that e-invoicing is obviously going up. But this comes as no shock, as increasing numbers of organisations are starting to realise the benefits associated with making an investment in an e-invoicing solution. dang ky gia han chu ky so viettel
So what’s prompting firms to adopt e-invoicing? Obtaining a reduction in overall processing costs is at present one of the biggest driving factors in line with the survey’s respondents, with e-invoicing leading to a significant decrease in this cost. Benefits delivered to the AP department include:
? Reduced data entry costs
? Reduced document storage costs
? Improved productivity of the AP team
? Improved provider associations
? Improved level of service to internal departments
? Reduction in late repayments
? Reduction in duplicate accounts.
The other main reason for deciding to maneuver to e-invoicing, as through PayStream’s review respondents, is to eliminate paper from the AP department. Processing paper accounts manually is labour intense and expensive, as well as reducing the physical amount of paper at the office – and greatly bettering an organisation’s green footprint – using an e-invoicing solution also helps bring down the expense of invoice processing considerably.
A standard purchase to pay process (P2P) involves the AP department in working with a web host of key documents – purchase orders, invoices, statements, etc. It has always been a significant concern for the AP section, particularly as many need to be authorised or approved by individuals across the organisation, a prolonged process and vulnerable to problem. An e-invoicing solution permits the AP staff to process any document which enters the department, effectively and efficiently.
Based on the PayStream survey’s respondents, the largest good thing about moving to e-invoicing is the resulting lowering of procure-to-pay cycle time. Advantages of this reduced P2P cycle time include being able to ensure that invoices are paid on time and greater supplier discount take-up. It also brings better relationships with suppliers.
Nevertheless even though the amount of businesses considering implementing an e-invoicing solution is increasing – the study reports 46 percent of their respondents currently considering moving to e-invoicing – PayStream Advisors found that barriers to implementing such a solution remain within organisations. Of the review respondents, 51 percent said that one of the top obstacles is unwillingness on the part of suppliers to adopt electronic digital invoicing – an obstacle to automating constantly reported as a main concern for organisations. Overcoming provider resistance isn’t easy, but most solution providers offer on-boarding programmes to help clients convert to e-invoicing.
Providing a supplier site can be amazing stimulating suppliers to use e-invoices, allowing suppliers to publish invoices directly into an invoice management solution work flow process and resolve concerns themselves.
And, despite the reluctance of some, PayStream Advisors believes that the number of suppliers switching to electronic invoicing has grown. This is a very positive sign, and not least in revealing that businesses and suppliers are developing ways to collaborate to build better relationships and help the other person become more efficient.