E- invoicing Without the Network: Best Prac8ces to Organically Grow Your E- Invoice Share. Bertram Meyer, CEO Taulia Inc.

Transcription

1 E- invicing Withut the Netwrk: Best Prac8ces t Organically Grw Yur E- Invice Share Bertram Meyer, CEO Taulia Inc.

2 E-Invicing withut a netwrk Why this title? Technlgy changes make netwrk size matter less Technlgy and the Value Prpsitin t Suppliers are gaining in imprtance

3 1) paid fr thrugh Dynamic What else changes? E-Invicing becmes a free service Fr Suppliers and fr Buyers 1 Mre details twards the end f the presentatin

4 The e-invicing (r)evlutin Old New Charge suppliers a netwrk fee r a per invice fee Are cmpletely FREE fr Suppliers Purely e-invicing fcused Rich cllabratin platfrms Limited in scpe t dcuments submitted thrugh the netwrk All business transactin are in scpe N/limited financial value prpsitin Manual nbarding Dynamic Discunting and/r Supply Chain Finance as integral parts Technlgy-driven barding Better supplier value as driver fr adptin and retentin

5 Agenda E-invicing tday: State f the Unin Increasing the Supplier Value Prpsitin 1. Mre functinality 2. Mre dcuments in scpe 3. Addressing Suppliers Financing Needs Dynamic Discunting Supply Chain Finance 4. Mve away frm supplier fees 5. Openness & Interperability 6. Technlgy and Onbarding Summary What des this mean fr yu as Buyer?

6 Adptin f E-Invicing Slutins 42% 29% Year-ver-Year cmparisn E-Invicing adptin further increases Late majrity adpters are evaluating e-invicing nw 21% 8% In Use Deplying Evaluating Nt Planned Surce: PayStream Advisrs, 2012

7 Hwever, paper still dminant in US Methds Used t Trade B2B Invices 64% 9% 13% 14% Fax E- Invicing Paper Surce: PayStream Advisrs, 2012

8 Barriers T Adptin Of E-Invicing Current prcesses wrk 23% Lack f budget 18% We d nt think there will be an ROI 16% Lack f resurces t manage autmatin 7% Lack f understanding f current available slutins 6% N executive spnsrship 6% Surce: PayStream Advisrs, 2012

9 Agenda E-invicing tday: State f the Unin Increasing the Supplier Value Prpsitin 1. Mre functinality 2. Mre dcuments in scpe 3. Addressing Suppliers Financing Needs Dynamic Discunting Supply Chain Finance 4. Mve away frm supplier fees 5. Openness & Interperability 6. Technlgy and Onbarding Summary What des this mean fr yu as Buyer?

10 Supplier value prpsitin I: Functinal Offering Old Fcus n e-invicing Cnnectivity ften unilateral: Incming nly Limit data available n netwrk New e-invicing, incl. flipping a PO Invice status Remittance/payment details PO updates & histry PO cnfirmatin Advanced Shipping Ntices Address changes, bank changes Online Dispute reslutin Online W9/1099

11 Supplier value prpsitin II: Dcuments in Scpe OLD: Scpe limited t invices submitted thrugh the netwrk NEW: Cmprehensive visibility fr all invices SUPPLIER SUPPLIER Netwrk r Platfrm Status? PO? Payment Details? PAPER ERS EDI Netwrk r Platfrm Status! PO! Payment Details! Histry! ERP ERP

12 Agenda E-invicing tday: State f the Unin Increasing the Supplier Value Prpsitin 1. Mre functinality 2. Mre dcuments in scpe 3. Addressing Suppliers Financing Needs Dynamic Discunting Supply Chain Finance 4. Mve away frm supplier fees 5. Openness & Interperability 6. Technlgy and Onbarding Summary What des this mean fr yu as Buyer?

13 Supplier value prpsitin III: Financial Value Tp 2 Supplier Pain Pints 1. Lack f visibility & predictability f payment timing 2. High financing burden High DSO High wrking capital requirement

14 Often, Yur Suppliers Are Struggling t Stay Aflat 2010 factring market: ~$2.3 trillin 1 Expensive financing Factring: ~12-25% interest Credit Card: ~18% APR P-Card / Credit Card: 2.5% fee Bank debt: difficult t btain 1 Surce: Factrs Chain Internatinal

15 Turning an issue int an pprtunity Suppliers willing t ffer attractive discunts fr early payment - Integrity and Reliability ensured Invice Apprval Opprtunity Payment (due date) days Terms (days): " 120 Anheuser-Busch " 60 Hertz " 56 Industry Average " 45 Apple

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19 What wuld an efficient Financial Supply Chain lk like? Early Payment t Supplier Supplier receives payment as sn as Buyer apprves invices Dynamic Discunting Discunts generate prfit fr Buyer! Buyer and Suppliers agree n a dynamic sliding- scale discunt Buyer uses wn funds t pay earlier N filing r paperwrk: Suitable fr en@re spend (all invices) Supply Chain Finance (=reverse factring) Wrking Capital saving Buyer guarantees payment f apprved invices Bank buys the invices (receivables) frm suppliers Buyer pays bank at due date

20 Agenda E-invicing tday: State f the Unin Increasing the Supplier Value Prpsitin 1. Mre functinality 2. Mre dcuments in scpe 3. Addressing Suppliers Financing Needs Dynamic Discunting Supply Chain Finance 4. Mve away frm supplier fees 5. Openness & Interperability 6. Technlgy and Onbarding Summary What des this mean fr yu as Buyer?

21 Supplier value prpsitin IV: N Supplier Fees OLD: Suppliers fees NEW: N supplier fees Mre and mre prviders abandn suppliers fees: Better adptin at lwer utsurcing cst Per transactin Share f face value f invice

22 Supplier value prpsitin V: Interperability OLD: Supplier accesses each platfrm used by its custmers NEW: One access pint (Backgrund data exchanged between platfrms) SUPPLIER SUPPLIER Netwrk r Platfrm Netwrk r Platfrm Netwrk r Platfrm API Netwrk r Platfrm

23 Supplier Value Prpsitin VI: Technlgy-driven Onbarding User-friendly Real-time feedback Technlgy Impact Cnvenient t use, just as a cnsumer website Implicit invitatins Messages and dcuments are sent ut as with a link t the platfrm Onbarding n the g Hsted OCR with Supplier Verificatin Inbund PDFs prcessed by hsted OCR supplier verifies the result nline 100% electrnic immediately -> free e- Invicing as alternative

24 Hsted OCR with Supplier Verificatin Hw it wrks 1 OCR SUPPLIER 3 Please Verify OK 2 4 Any supplier can a pdf 100% electrnic invicing immediately Data crrectin stays supplier respnsibility Free e-invicing as alternative (n manual wrk) BUYER

25 Summary: Greater Supplier Value -> Great Supplier Adptin Financing Op8ns N supplier fees All dcuments in scpe Interperability Mre func8nality Supplier Adp8n Technlgy- driven Onbarding

26 Our visin f tmrrw fr yu as a Buyer Free E- invicing and Visibility Prtal Free fr yur Suppliers and free fr yu Increased prfits Frm Dynamic Discunting r SCF (a small share theref pays the prvider) 100% electrnic immediately Onbarding Guarantee Great supplier rela8nships Much better Supplier Value at n cst

27 Q&A Bertram Meyer CEO, Taulia Inc.