Embed Size (px)
DESCRIPTION
EDI offers an electronic exchange of business documents between the computer systems of business partners, using a standard format. A variety of business documents can be exchanged with and by SAP using Intermediate Documents (IDOCS) s.a. incoming and outgoing invoices, deliveries, order acknowledgements, … Sending Electronic documents to your customers will facilitate the communication, comply with their increasing demands of automation, increase insight in shipment statuses, speed up the availability of quotes & orders….
Citation preview
EDI Expert Session
June 23rd, 2014
Order
Management
Shipping
Billing
Accounts
Receivable
Purchasing
Receiving
Accounts
Payable
Request for Quote
Quote
Purchase Order
Order Acknowledgement
Purchase Order Change
Shipment Notice
Invoice
It’s all about communication
Vendor Customer
Communication Challenges
3
Time consumption
Cost of manual
manipulation
Efficiency of file
management
Not meeting Business partners
“e”-standards
Errors
Document loss
Risk of Paper invoice fraud …
Challenges with paper invoices
Cost of Paper based invoicing
Visibility & cash flow forecasting
Mis-communication
between business partners
Laborious dispute management
69% of companies still
print invoices in-house
Invoice processing may take from
30 days up to 120 days in large
organizations
24% of companies report
avoidable invoice issues as a
key driver of cost and cash
problems
81% of invoices are
scanned for invoice
processing
Source: Basware
Every exception delivers a
300% increase in invoice
handling costs
E-invoicing in Belgium:
E-Invoicing in the Belgian market
Total amount of invoices in Belgium : +/- 1 billion
Potential burden reduction if all 1 billion invoices = electronic
+/- 3,5 billion euros
Paper E-mail Electronic Savings
Outbound € 4,44 € 2,02 € 1,20 -€ 3,24
Inbound € 8,04 € 7,68 € 2,27 € 5,77
Total € 12,48 € 9,70 € 3,47 -€ 9,01
Why e-invoicing:Government is calling…
European objective:
“e-invoicing should become the predominant method of invoicing by 2020”
Belgian objectives:
“25 % of all invoices should be electronic by the end of this legislature (2014)”
“30% administrative burden reduction!”
Bron: Dienst Administratieve Vereenvoudiging
EDI is the solution
Electronic Data Interchange
Electronic exchange of documents
Repetitive transactions
Determining a communication protocol between 2 parties over a channel and a carrier
Channel: FTP, SFTP, HTTP, HTTPS,...
Carrier: standardized file format
7
EDI Maturity: one step further
8
PDF Invoices
• One-to-many
• Delivered via email
• For SMEs
PDF Invoices
• One-to-many
• Delivered via email
• For SMEs
EDI Invoices
• One-to-one
• Based on Supply Chain automation
• Business criticaldata
• Only for strategiccustomers/suppliers
EDI Invoices
• One-to-one
• Based on Supply Chain automation
• Business criticaldata
• Only for strategiccustomers/suppliers
E-Invoices
• Many-to-many
• For all business partners
• Outsourcing effort
E-Invoices
• Many-to-many
• For all business partners
• Outsourcing effort
“Highly
automated,
integrated but
non-scalable”
“Automated,
flexible, scalable
and secure”
“No automation,
unsecure… but
cheap”
BASWARE:Who are we?
History
• Founded 1985
• Consistently Ranked #1/ # 2 by analysts in P2P
• 11 offices around the world
Corporate Performance
• Net sales EUR 123,3m in 2013
• 1400+ employees
• Partners in 100+ countries
• >1m users in 1,600 customers
Our Network
• 1.9MILL suppliers listed
• >70m e-Invoices/POs in last 12 month
• $500 BILL annual spend
• 170+ partners
• 99.6% invoices automated in 50 formats
BASWARE:What does it mean for the customers?
BASWARE:The Basware Commerce Network
1.9 Million
Suppliers
Listed
Over 1600Global Clients
320,000Thousand
Active
Buyers/Supp
liers
70mE-Invoices over
last 12 months
>50Formats
supported
$500Billion
Annual
spend on
Basware
Network
110Interoperabil
ity partners
Assisting you with the E-invoicing Challenge
12
Many customers demand e-
invoices and they have special
needs…
Large customer base demands
standardized processes and
advanced e-invoice delivery
network!
Not all can receiver e-invoices
– paper is still needed or
perhaps on-line solution…?
How to tackle with all the
format conversions and invoice
routing globally…
Different legal and fiscal
requirements
How to on-board and activate
customers to e-invoicing?
High costs of paper invoices
No proof of delivery of
the invoice
Electronic invoice adoption remains at
a fairly low level
Basware : SAP integration offering
Document Routing
Document Routing
Scan & Capture Scan & Capture
Printing servicesPrinting services
ArchivingArchiving
Incoming Invoices: From paper to IDOC
Incoming invoice: from IDOC to posting
SAPR/3
BASWARE• comp code
• VAT number
• account
number
• tax code
• cost center
Invoice
MM
Invoice
FI
MM invoice
FI invoice
IDOC
Mapping
Outgoing invoices
Source: Basware
Billing
system
Receivers
Integrated
e-invoices
Email notification & invoice
view/retrieval from portal
Paper invoice via global
printing partners
Sender
E-invoices via
Basware Portal
Paper invoices
Integration to
billing system or
ERP – structured
data
Basware
Activation Service
Invoice processing system
or ERP
Outgoing invoice: from IDOC to ?
SAPR/3
BASWARE
IDOC invoice
Paper
EDIPartner function
Customer Output
format in
Customer Master
Results of integrated E-invoicing
One single connection betweenBasware and your SAP solution
All invoices are delivered to receiver in one single data format independently of the channel or format used by your customers
All invoices are received fromsender in one single data format
independently of the channelor format used by your vendor
Results of integrated E-invoicing
Your customers/vendors can choose between multiple delivery channels, ranging from:
• manual to automatic
• paper to electronic
• free of charge to paid service
Your customers/vendors canevolve or migrate from onedelivery channel to another
Automation – reducing time & effort
Outsourcing of printing & folding effort
Outsourcing of communication change management
Reduced configuration complexity
Low cost, high efficiency
Setting up e-invoicing
Project Approach
Project Approach PrerequisitesPrerequisites
Master Data set-up
Master Data set-up
Incoming EDI invoicing
configuration
Incoming EDI invoicing
configuration
Output master record
configuration
Output master record
configuration
Customer communication
on requirements
Customer communication
on requirements
Project Lead Time
Project Lead Time
Legal Requirements
Legal Requirements
Key benefits of e-invoices
Benefits for sending e-invoices
Get paid faster
Keep customers happy
Cut admin costs by 40-60%
Reduce carbon footprint
Benefits for receiving e-invoices
Enable automated invoice
processing
Get rid of manual processes
Cut admin costs by 90%
Benefit from early pay discounts
E-invoicing reduces
spend by 1.3 - 5.5%
10% increase in e-invoicing
reduces DSO by 3 days.
E-invoicing cuts down
collection costs by 10%E-invoicing enables discounts
on 50% of invoices processed
E-invoicing cuts invoice processing
time by 5-30 days
Source: Basware
Thanks for listening!
Any questions?
Philippe Despierre / Steve Debruyne
Senior Financials Consultant
+32 496 808943
