Invoice Delivery Service

Transcription

1 Invoice Delivery Service Training for Verizon Rochelle Cohen Product Marketing November, 2007

2 GXS Invoice Delivery Service Agenda What is it? Market Drivers Solution Overview Selling GXS Invoice Delivery Service Questions & Answers GXS Invoice Delivery Service Slide 2

3 Invoice Delivery Service What is it? Digitize Invoice Capture and Delivery Processes to Reduce Postage, Sorting and Data Entry Expenses Achieve 100% Supplier Participation to Maximize Cost Reductions and Financing Opportunities. GXS Invoice Delivery Service Slide 3

4 Market Drivers Invoice Delivery Service GXS Invoice Delivery Service Slide 4

5 Market Drivers Corporate Paying Attention Invoice Reconciliation and Payment (IR&P) Benchmark Study, Aberdeen Group 2005 Continued competitive pressures for cost reduction Maximize liquidity to improve near-term financial performance Regulatory pressures / prevention of fraud Strengthen supply relationships Access to new technologies Across the board goals for headcount reductions Opportunity or potential for outsourcing New EU reporting / VAT tracking guidelines GXS Invoice Delivery Service Slide 5

6 Electronic Invoicing 88% of Invoices Still Arrive on Paper Purchasing systems not integrated with accounting Non-PO purchases exceed PO purchases Growth by acquisition Source: IOMA AP Departments Guide to E-Invoicing GXS Invoice Delivery Service Slide 6

7 Accounts Payable Processing Invoice Capture Quality Assurance Routing & Circulation Reporting & Filing Payment Creation of Invoice by Vendor Delivery of Invoice to Buyer Sorting and Routing of Invoice to A/P Entry of Invoice into A/P System Verify and Augment Vendor Data Validate Math on Invoice Match Invoice to Order, Receipt & Contract Assign to Cost Centers Ensure Correct Tax Treatment Determine Approval Authority Circulate Invoice for Approval Resolve Disputes with Vendor Monitor Status of Approval Record Expense in General Ledger Store and Archive for Audit Purposes Respond to Vendor Status Inquiries Evaluate and Negotiate Trade Discounts Aggregate Payments due to Vendor Release Payment Send Instructions to Bank Distribute Remittance Advice to Vendor Digitization Creates Efficiencies GXS Invoice Delivery Service Slide 7

8 Manual, Error-Prone, Slow Process GXS Invoice Delivery Service Slide 8

9 Direct vs Indirect Direct Materials Everything the company invests in that it intends to sell. Manufacturing raw materials, work in process, finished goods inventory Retail clothing, produce, appliances, tools Banking Banking services - ACH, credit, mortgage, commercial lending Indirect Materials Purchases that are necessary to run the business, but that do not become part of the company s end products. Maintenance, Repair, Operations e.g. office furniture, computers, lubricants and shop supplies, packaging Telecommunications & Energy Services --e.g. Phone, Electricity, Heat Professional Services e.g. financial services, marketing services, legal services GXS Invoice Delivery Service Slide 9

10 Electronic Invoicing Benefits Reduce Costs Automate Processes Gain Strategic Value Streamline Supply Chain - Lower invoice processing costs (30% - 60%) - Reduce accounts payable labor (25-40%) - Reduce re-work due to invoice errors - Reduce cycle times (65%) - Eliminate invoice data entry & errors - Increase on-time payment (15-59%*) & better terms - Speed dispute resolution - Improve controls & reduce fraud - Grow savings - Remain competitive - Develop better supplier relationships - Speed up purchase-to-pay cycle - Reduce supply chain variability * Source: Aberdeen December, 2005 study GXS Invoice Delivery Service Slide 10

11 Payment Discounting Opportunities Enabled through Electronic Invoicing Early Payment Details Days Discount Supplier Sends Invoice to Buyer 6 Days Sales Outstanding Payment Received Invoice Amount Days Early Discount % Discount Amount Buyer Pays $100, % $1,750 $98, % 1.5% 1.25% 1.0% 0.75% 0.5% 0.25% Day 0 Day 5 Day 6 Day 45 Buyer s A/P Approves Invoice Payment Instruction Sent to Bank Bank Makes Payment GXS Invoice Delivery Service Slide 11

12 Electronic Invoicing Technology Options Option 1: Capture Data From Paper Scan from mail, fax, Scan + Workflow Scan + Workflow + Optical Character Recognition (OCR) All Scanning Options Still Require Manual Keying! GXS Invoice Delivery Service Slide 12

13 Electronic Invoicing Technology Options Option 2: Capture Data From Electronic Invoices Suppliers of All Types GXS Invoice Delivery Buyers Electronic Invoice Web-based Electronic forms Documents Accounting Integration ERP Integration Straight-through Processing Content Validation Web Portal Exception Alerts Business Rules Electronic Invoice Accounts Payable System Eliminates paper, errors, delays at the source Requires cooperation from suppliers GXS Invoice Delivery Service Slide 13

14 Solution Overview Invoice Delivery Service GXS Invoice Delivery Service Slide 14

15 Invoice Delivery Service Electronic Document Exchange Electronic Documents Straight Thru Processing Internet and Private Communications Options Community On-Boarding Program Management Education and Consulting to Partners Implementation and Testing On-Going Change Management Supplier Enablers Intelligent Web Forms Accounting Package Accelerators Trading Grid Messaging Services Network Based Translation GXS Invoice Delivery Service Slide 15

16 Electronic Document Exchange Protocol Mediation Document Translation Event Management Electronic Document Exchange AS2 FTP/OFTP Bisynch SOAP RNIF X.400 EDI EDIFACT XML Tradacoms CIDX PIDX IDOC Document Acknowledgement Exception Alerts Hosted Services To Shield You From Complexity & Free Up Your Resources GXS Invoice Delivery Service Slide 16

17 Mapping and Translation Services Masking Complexity of Diverse B2B E-Commerce Standards Modeling of Cross-Enterprise Business Processes and Data Flows Map Consolidation Reduces Complexity and Opportunity for Error Document Mapping to ERP Systems or Industry Standards Expertise in Wide Variety of Cross Industry and Regional Standards Integrated Data Quality Management Network Based Translation using GXS Award Winning Translator Technology Real Time Protocol Mediation between Legacy and Internet Standards GXS Invoice Delivery Service Slide 17

18 Typical E-Invoicing Adoption Large Suppliers Ramp Quickly, but SMBs are Challenging GXS Invoice Delivery Service Slide 18

19 Community Onboarding Gain Critical Time to Market Advantage for B2B Programs GXS Best Practices Education and Communication to your Trading Partners Testing of Connectivity, Document Exchange, and Sample Content Program Management and Status Reporting Full Service Options 24x7 Technical Help Desk Change Management for Business Processes and Technologies Full suite of supplier enablers GXS Invoice Delivery Service Slide 19

20 Co-Branded Marketing Package GXS Community Link GXS Invoice Delivery Service Slide 20

21 Supplier Enablers Suppliers of All Types GXS Invoice Delivery Buyers Electronic Invoice Electronic Invoice Web-based forms Accounting Integration ERP Integration Electronic Documents Straight-through Processing Content Validation Web Portal Exception Alerts Business Rules Accounts Payable System GXS Invoice Delivery Service Slide 21

22 Intelligent Web Forms Enabling your Supplier Community Manage Order to Cash Process Receive & Acknowledge Orders Advance Ship Notices Invoices & Remittance Advices Turnaround Minimizes Errors Portable Documents PDF, XML Forms or File Upload/Download Centralized B2B Dashboard Intelligent Document Search by Trading Partner, Date, Order On-Demand Customer Support Real Time Alerts and Notifications The industry s Fastest and Easiest Solution for On-Boarding Your Suppliers Personalized Experience Register On-Line in Minutes No Software or Paper Contracts Multiple User Roles and Privileges Multi-Lingual Capabilities Configurable User Interface GXS Invoice Delivery Service Slide 22

23 Manual Ordering & Invoicing Process Inefficient, Error-Prone, Labor Intensive Purchase Order Receipt Invoicing Process Supplier logs into web portal to download and print purchase order Purchase Order is rekeyed into supplier s accounting system Invoice is created in supplier s accounting system, printed out & faxed to buyer Invoice is re-keyed into buyer s web portal for electronic transmission Suppliers must log into multiple, independent web portals to communicate with each customer Information is then re-keyed into the supplier s accounting systems, creating inefficiencies and errors GXS Invoice Delivery Service Slide 23

24 Accounting Package Accelerators Powered by e-bridge Purchase Order & Invoice Process Improve Supplier Relationships by offering direct integration with their accounting packages. Purchase orders posted directly to supplier s accounting system Invoices sent directly from supplier s accounting system Accounting Adapters for 37 Packages from Microsoft, Intuit, Sage, Best, Epicor and SAP Purchase Orders, Acknowledgements, Invoices, Advanced Ship Notices Community On-Boarding for Trading Partners around the World Combine with GXS other Accelerators (Web Forms, Fax, Messaging) for a comprehensive program to reach all sizes of trading partners GXS Invoice Delivery Service Slide 24

25 Accounting Package Accelerators Finance & Accounting Packages Direct Integration with 37 Finance and Accounting Packages from Leading Vendors with Pre-Built Maps for Large Enterprises Simply Accounting Business Works Business Works Gold Business Vision 32 MBS Small Business Manager Peachtree QuickBooks Online QuickBooks Basic QuickBooks Pro QuickBooks Premier QuickBooks Enterprise QuickBooks UK Line 50 Epicor Enterprise AccountMate ACCPAC Advantage & Pro Series BatchMaster Dynamics SQL Macola MAS 90/200 Great Plains Solomon Navision Open Systems (OSAS) PFW SAP Business One MAS 500 Microsoft Axapta GXS Invoice Delivery Service Slide 25

26 Invoice Delivery Service Packaging GXS Products to Deliver the Solution Electronic Document Exchange: GXS Trading Grid Messaging Service (without translation) -- OR -- GXS Managed Services (with translation) Community On-Boarding: Community Link Supplier Enablers: Intelligent Web Forms Accounting Package Accelerators Trading Grid Messaging Service Network Based Translation GXS Invoice Delivery Service Slide 26

27 Case Studies Invoice Delivery Service GXS Invoice Delivery Service Slide 27

28 Distributor Case Study: Leading Apparel and Merchandise Manufacturer Large Supplier SMB Customer The Challenge: Cumbersome, Costly, Manual Invoice process Thousands of small customers golf shops, men s wear, children s wear Sends paper invoices; includes packing slips in cartons Labor intensive effort to manually affix invoices to cartons Goal: 100% of small and medium-size customers receiving invoices and ship notices electronically GXS Invoice Delivery Service Slide 28

29 Automating the Process with GXS Large Supplier SMB Customer Electronic Document Exchange Web Forms for delivery of Invoice and Advance Ship Notice to SMBs Customer enablement program, including webinars, custom micro-site, program-specific documentation Hub -Pay model The Solution: GXS Invoice Delivery Service Win-Win for Manufacturer and Customers: Manufacturer eliminates paper invoices, manual process of affixing invoices to cartons, enabling faster payments Customers get advance notice of goods arrival, faster invoice reconciliation GXS Invoice Delivery Service Slide 29

30 Case Study Smithfield Foods For Internal Use Only Background World s largest pork processor and hog producer Sterling customer Doing EDI with 89 customers -- receive PO s No automation with any of 650 suppliers Goal: 100% automation with customers and suppliers Clear ROI + Web Forms Solution Availability Key to Sale GXS Solution Managed Services Intelligent Web Forms Community Link GXS Invoice Delivery Service Slide 30

31 Case Study United Cooperatives For Internal Use Only Background One of largest Retail Cooperatives in Europe with 5 major businesses GXS Customer since 1998 Doing EDI with 150 suppliers -- receive invoices from all; send PO s to half Recently completed Enterprise Gateway implementation & connectivity between headquarters and 4 divisions Needs to eliminate paper invoices with remaining 8,000 suppliers, but not enough resources internally Electronic Invoicing Initiative Uncovered Through Routine Account Management GXS Solution EDI for ~300 EDI-enabled suppliers IWF for ~770 non-edi-enabled suppliers Community Link with strong message: Rationalizing supplier base, but B2B is not a condition of trade GXS Invoice Delivery Service Slide 31

32 Case Study Tesco For Internal Use Only Automating Invoices and Reconciliation Process Background Leading UK-based retailer Major, long-term Tradanet customer Sends and receives documents to 8,000 small businesses primarily in the UK (PO, Invoice, Credit Note) Labor intensive effort to manually reconcile the purchase to settlement process Transitioning to outsourced account payables GXS Solution Tradanet, IWF, Community Link Special Capabilities: Turn-arounds - PO to Invoice, Invoice to Credit Note Tesco can update the document lookup tables Increased document retention to 120 days GXS Invoice Delivery Service Slide 32

33 Selling Invoice Delivery Service Invoice Delivery Service GXS Invoice Delivery Service Slide 33

34 Target Customers Companies Mature e-commerce Program No e-commerce Program Buyers (Budget) VP/Director Accounting CFO Director of Facilities Management Director of B2B VP of Supply Chain Influencers Director EC/EDI EDI Manager Director of IT Customer Problems Drowning in paper invoices High volume of supplier phone calls, re: payment status Late/incorrect payments negatively affect supplier relationships, negotiations for better terms Complexity in dealing with international trading partners Missing out on payment discounts Decision Criteria Global presence Transaction processing leader B2B outsourcing practice Quantifiable ROI Maximize ERP investments Price Flexible on-boarding options Supplier on-boarding services GXS Invoice Delivery Service Slide 34

35 GXS Invoice Delivery Service Qualifying Questions Procure to pay process # total invoices/month ; # paper invoices/month # AP personnel (handling invoices, correcting errors, taking calls) ls) Centralized/Decentralized Electronic payments? Plans? Process improvement initiatives? Systems: EDI System ERP System Imaging, OCR, Workflow systems Suppliers/Vendors Total # suppliers, # doing EDI, # manual # suppliers you add monthly What type of message are willing to convey about this program? Condition of doing business/electronic payment, penalties for paper, preference, nice-to to-have. GXS Invoice Delivery Service Slide 35

36 GXS Invoice Delivery Service Overcoming Objections Objection Your solution only delivers the invoice to my accounts payable system. Shouldn t a full solution include the invoice approval process? We are already doing e-invoicing using Scanning plus OCR. How do I sell my suppliers on this? It sounds like it will add a lot of cost and effort in their accounting group. Most businesses are leveraging the workflow software that is included with their ERP or Accounting package or they are purchasing separate workflow software for use across their internal applications. GXS s Invoice Delivery Service can work with the workflow software that already exists in-house. GXS s strategy is to complement our customer s internal systems rather than replace it. OCR still requires significant human intervention to review for errors and then research and correct as needed. Part of our services is to onboard your suppliers which helps to eliminate errors at their origin. We have a team who work with your suppliers to onboard them in the shortest time using a solution that meets their needs. Electronic Invoicing is a win/win for you and your suppliers and helps to strengthen relationships with them. Supplier benefits include: Fewer rejected invoices Invoices paid on time Visibility into payment status Reduced Days Sales Outstanding (DSO) Increased productivity and customer service GXS Invoice Delivery Service Slide 36

37 Invoice Delivery Service Sales Tools IDS-Specific Collateral: Customer Presentation Proposal Boilerplate Brochure Invoicing ROI tool Product-Specific Collateral for each: TG Messaging Service Managed Services IWF Accounting Package Accelerators GXS Invoice Delivery Service Slide 37

38 Thank You! Invoice Delivery Service GXS Invoice Delivery Service Slide 38