The benefits of e-invoicing go far beyond the finance department. By compartmentalizing services, it can even be integrated into an end-to-end digitization strategy. Fluxym expert François Chevillotte answers our questions about e-invoicing.
Transaction flows are destined to become increasingly digitized. Has business already made the switch?
Overall, we are noticing that all types of organizations have reached a state of maturity when it comes to digitization. Hardly any companies are still processing invoices on paper. While the vast majority of invoices are being scanned and sent out digitally, automated e-invoice management is much more elusive. But chances are high that this transition is about to quickly gain momentum.
What advantages does a Procure-to-Pay (P2P) platform offer for processing invoices?
From receiving documents and approval workflows to archiving, there are countless benefits across the process. For starters, there are no more manual tasks. P2P tools enable processing that is fully automated, yet under human supervision as a matter of course.
Information is thus recorded much more quickly while the risk of error has been eliminated. Accountants simply ensure that the information is entered correctly and focus their efforts on analyzing the data. Approvers also save time because checking invoices only takes a split second.
These transactions are also part of digitizing upstream purchase requests. By automating the process of placing orders with suppliers, you’re laying the groundwork for the e-invoice that will eventually be issued. Information is properly formatted from the start, which ultimately improves the organization’s financial performance. Plus, product catalogs can be automated and even configured for maintenance right on the supplier’s system.
Procure-to-Pay platforms provide finance departments such considerable gains in operational agility. But can it do the same in other departments?
No question about it! Deploying a P2P platform in your finance department boosts productivity by shifting staff away from tedious tasks and toward higher value-add projects like data analysis to drive critical decisions.
The accounting function is enhanced. Other corporate functions like contractors, approvers, and order receipt services also benefit because these tools allow for an almost instantaneous exchange of information related to orders and invoices.
In order for an end-to-end integration to work, you must include the change management piece. To ensure everyone fully grasps the digitization process, it’s important to involve departments based on their future role in the invoicing workflow. For example, they need to understand that approving an invoice on the screen is the same as signing it manually.
These changes revolve around the finance and accounting departments because they are usually the driving force behind a new e-invoicing system. That is why deploying Procure-to-Pay solutions like Basware is an excellent way to transition to electronic invoicing.