Power of PAYBOX®
Aligning Accounts Payable and Procurement
Accounts payable (AP) and procurement have a history of segregation in many organizations — even gaining the reputation of being silos.
In most companies, AP and procurement act independently of each other, resulting in limited collaboration between the departments, duplicate tasks and functions, and a lack of visibility across the purchase-to-pay cycle. The situation is complicated by inefficiencies such as missing PO numbers, lost invoices, and mis-keyed data, all of which significantly impact both organizations. AP processors spend time researching exceptions and buyers in procurement have to research and provide information related to contract specifications, discounts, remit to information, etc.
When AP and procurement are properly aligned, both philosophically as well as through the supply chain software they use, organizations can better manage spending and their suppliers, and achieve greater process efficiency.
Businesses are starting to recognize the opportunity.
More than one-third of survey respondents (39.4 percent) to the Institute of Financial Professionals’ 2013 AP Automation Study indicated that their organization has an executive-driven effort to more closely align AP and procurement. Nearly one-third of survey respondents (29.3 percent) report that the two departments already are tightly aligned in their organization.
Nearly half of the survey respondents from companies with more than $5 billion in annual revenues
(47.5 percent) said their company has an executive-driven effort to have AP and procurement work more closely together. Thirty percent of respondents from this group said the two departments already are tightly aligned in their organization.
To help align AP and procurement, Direct Insite’s PAYBOX® electronic invoicing platform provides organizations with modularized solutions such as company profile management (vendor master maintenance), invoice scanning and data capture, dispute management, and spend management and business intelligence. AP, procurement, and suppliers can all use these common self-service systems to remove the barriers of communication between disparate systems and users and increase efficiencies across internal and external constituents.
The Direct Insite solutions lower data management costs, streamline regulatory compliance, provide universal company profile management, and improve spend analysis and contract compliance.
To learn how to align your AP and procurement groups, join us on October 9, 2013 at 2 p.m. eastern for a complimentary live webinar: “5 Tools for More Strongly Aligning AP and Procurement.”
Register here: https://www3.gotomeeting.com/register/629740062