Managing Invoice Flows: AP automation for Microsoft

Bob MonioDirector of Global Alliances

Managing Invoice Flows: AP automation for Microsoft Dynamics NAV

© 2013 Lexmark International, Inc. All rights reserved.

Overview of AP automation

Accounts Payable


Greater control over cash flow Companies need invoices paid

in a timely manner

Need to be nimble Time and money efficiencies

matter more than ever Agile orgs succeed

against competition

Push to do more with less Fewer employees Time management is crucial

Strategy to improve customer experience Better vendor relationships

Factors driving demand for AP automation

D I S C O U N T

D AY S

4 %

3 %

2 %

1 %

0 %

0 5 10 15 20 25 30 35 40 45

A

B

C


AP processes can be drastically improved with automation

Especially in the areas of invoice receipt, matching and approval workflow

Manual routing and lost invoices are key areas for improvement

Industry research about AP automation & Dynamics ERP

Source: PayStream Advisors 2014 Microsoft Dynamics Report

AUTOMATION DRIVES BEST-IN-CLASS AP PERFORMANCE

80%Lower invoice

processing costs

75%Shorter invoice processing time

Manual routing of invoices 75%

Missing information on invoices 23%

Large numbers of exceptions 43%

Lengthy approval cycles 30%

Lost Invoices 37%

Decentralized invoice receipt 34%


Four key benefits of AP automation

Efficiency

IVisibility

IICycle time

IIIControl

IV


AP process – the 6 steps

Invoice receipt (centralized/decentralized)

1

4

2

5

3

6

Invoice data entryinto Microsoft Dynamics NAV

Transaction creation in Microsoft Dynamics NAV

Attachment of invoice image in Microsoft

Dynamics NAVApprovals, matching,

exception handling, codingInvoice approval

and post for payment


PayStream Advisors, Invoice and Workflow Automation Report 2013

What does AP automation really mean?

Reporting & analytics


Options for Dynamics NAV users

Deployment options across all offerings:

Cloud, On-premises,

Hybrid

integrated with Microsoft Dynamics NAV core workflow functionality

integrated with Microsoft Dynamics NAV

integrated with Microsoft Dynamics NAV

Collaborative business network available (move from paper to electronic)

Capture, validation & attach/storage

Basic automation

Advanced automation

HOW IT WORKS


Paul, the Director of AP, logs in via a web browser to review current tasks assigned to him, and an overview of current AP processing status in this home screen.


Many of the invoices Paul and his team of 15 processors receive are electronic and processed automatically, but he can upload quite easily as well.


Most of the time, invoice information is captured and the invoice doesn't need to be reviewed. But when the system has a question, AP processor Gail can easily identify the values that need clarification and type or use the mouse to confirm the data.


Line items are captured during the incoming process, so Gail doesn't have to key them in. Paul likes control, and by leveraging the vendor master data directly from Microsoft Dynamics NAV his AP team can easily select GL codes and financial dimensions from drop-down menus at line item level.

Workflows can be kicked off automatically via Paul's business rules, or he can choose to do ad hoc routing when necessary.


Once coding, exception handling and approval is complete, Gail or Paul can approve the invoice, immediately creating an approval journal in Microsoft Dynamics NAV.


20162016

Post automation: Best-in-Class performance

The underperforming bottom 30%…

The top preforming 20% of companies…

Source: Aberdeen Group, October 2013

83%Cost per invoice

86%Payment discount capture rate

75%Invoice processing time

DAYS

PROCESSING

EARLY

$4.00Cost per invoice

65.8%Payment discount capture rate

3.7Invoice processing time

2016DAYS

PROCESSING

EARLY


Energizer Inc.

FTEs from 21 to 11

time-consuming 100% audit

volume by 110,000 invoices

DECREASED

ELIMINATED

INCREASED


Rich Products: Seven months after first implementation

NOVEMBER

74% of PO-related invoices pass 3-way match

Discount capture rate went from 71% to 92%

Full visibility of liabilities

Invoice cycle time cut in half

27% increase in processing rate per FTE


Dynamics customer studies

33%Reduction in cycle time

44,000Invoices per year

10,000Invoices per year

6 monthsto see ROI


data entry

supplier collaboration

for straight-thru processing

control & processing

and easy to configure

Cloud/On-premises/Hybrid

New Dimensions for Microsoft Dynamics NAV

REDUCES

ENABLES

ALLOWS

GIVES

FLEXIBLE

OFFERS

Tight integration with Microsoft technologies

Swiftly onboard processes beyond P2P

12,000 global customers processing more than

2,000,000,000invoices annually


Our credibility

As a leader in hybrid cloud AP automation solutions based wholly on Microsoft Azure, ReadSoft solutions for Microsoft Dynamics can help improve a customer’s financial performance and operations.”

Jeremy Thies, Microsoft

Globally managed ISV

Built exclusively on Microsoft technology stack


Acknowledgement by analysts

If invoice processing is your goal, you should consider ReadSoft.”

With a wide range of solutions for procure to pay and order to cash, ReadSoft continues to excel at document process improvement surrounding ERP.”

Questions?

Get your copy of the PayStream ReportEmail [email protected]

Documents

Managing Invoice Flows: AP automation for Microsoft