”An organisation can save 1-2% of its turnover by replacing paper invoices with electronic invoices and optimising the related processes” Billentis 2010
Benefits are realised by both the buyer and the supplier when trading electronically.
Electronic invoices are received straight into the buyer’s processing application, within seconds of it being sent by the supplier - eliminating the need for any costly, slow and labour intensive activities.
The nirvana of straight through processing – where an invoice is received and processed without any human intervention – becomes an achievable goal, when e-invoicing is partnered with a robust P2P process.
Though it is not just about removing manual activities and the cost savings this will deliver. E-invoicing also enables greater control and visibility within the finance function and increases the ability for the buyer to pay on time and take advantage of supplier discounts.
Prompt payment keeps suppliers in business and maintains a buyers choice and competitive prices.
These benefits have been discussed – and more importantly realised - many times before. For an organisation to realise them, it is clear they must convert suppliers from paper to electronic.