Redefining AP Invoice ProcessingWithin Your JD Edwards Environment

Chris Luoma, Director of Product MarketingBottomline TechnologiesApril 22, 2010; 8:30 AMMandalay Bay Ballroom BMandalay Bay Ballroom B

AgendaCh ll ith AP I i P i• Challenges with AP Invoice Processing

• Transform™ AP: Integrated Invoice Management for JD Edwards EnterpriseOne

• Transform AP: Success Stories• Completing the AP Automation process• Summary / Q&A• Summary / Q&A• About Bottomline Technologies

It’s Still A Paper-Based World

“95% of AP departments said they are still

Source: IAPP AP Automation Study, 2009

receiving the majority of their invoices as paper, via the mail.”

Paper Invoice ProcessingInvoice approved?

REQUISITIONER

Which invoice?Pay the supplier!

ppGoods received?

Duplicate invoice!

Goods & prices match? Missing invoices!

Industry Average Results:

$12.71 and 6.4 days$12.71 and 6.4 days to process a vendor payment

IOMA: AP Department Benchmarks and Analysis

Outstanding invoices?Audit original invoices?

Processed invoices?Pay my invoice!

SUPPLIERS MAIL ROOM AP DEPARTMENTSUPPLIER INVOICES

MANAGEMENT

Industry Research – Key Findings

60% 70% f t i l k i ibilit i t th i• 60% - 70% of enterprises lack visibility into their primary AP spend and invoice data.

• Enterprises who have automated their invoice receipt and approval workflow policies have

i d 55% l i i i texperienced 55% lower invoice-processing costs, as well as 30% lower invoice cycle times.

Source: AberdeenGroup, January 2010

Transforming the AP ProcessINVOICE & ORDER INVOICE

APPROVERS

INVOICE & ORDERTRACKING

Invoice approved?Goods received?

INVOICE PROCESSING

Coding, Matching, Posting AP DEPARTMENTBest-in-Class Results:

$8.58 to process an invoice(compared to $12.71)

SUPPLIERS MAIL ROOM3.0 days to process a vendor payment

(compared to 6.4 days)

INVOICE STATUSNOTIFICATION

Duplicate invoice?Goods & prices don’t match?

VISIBILITYStatus, Reporting,

IOMA: AP Department Benchmarks and Analysis

Goods & prices don’t match?Invoice rejected?

, p g,Audit History

MANAGEMENT

Agenda

• Challenges with AP Invoice Processing• Transform™ AP: Invoice Management for

JD Ed d E t i OJD Edwards EnterpriseOne • Transform AP: Success Stories• Completing the AP Automation process• Summary / Q&A• About Bottomline

Transform™ AP: I i M t Transform™ AP: Invoice Management with & within JD Edwards

Invoice Document and Data CaptureI b d D t• Inbound Documents Paper documents via scan Fax server Email attachments Transform™ Scan Center: Optional

add-on module for scanning and indexing documents

• Batch Review Web-based previewing of scanned

batches

Automatic bursting into individual document sets

CAPTURE

document sets

• OCR Pattern creation and expression-based

rules automatically capture header level y pdata

Invoice Document CaptureI i I Fil T f APC tInvoices Image Files Transform APCapture

Multi-function Device

Scan

Fax

Email

Verification and Matching Verification

Resulting images and associated captured data are automatically made available i E t i O fin EnterpriseOne for validation

Automatic MatchVERIFY & MATCH

PO-based invoice data is dynamically matched against both pre-existing purchase orders (2-way) and/or goods received notices (3-way) and posted to the G/L

Invoices which fail to match are made available forare made available for exception processing

Automatic 2- and 3-way Matching

Documents and associated metadata are queued in EnterpriseOne for further processing. Invoice status shows the stage of all invoices in process including those auto matched.

Exception Processing – Forward Request

…any exceptions can verified and reviewed and if needed, forwarded for approval…

Exceptions ApprovalExceptions - Approval

…split screen interface allows for viewing header data and image…

Code and Approve• Route

Non-PO approvalNon PO approval Exception invoices and

associated data can be routed to appropriate users based on business rules

Users can perform further verification and/or coding

• Code & ApproveCODE & APPROVE

Email notifications can be sent to users with embedded link to document requiring approval

Also supports coding by Also supports coding by model allocation based on preset matrix within JDE

Multiple levels of approval can be configured andcan be configured and audited throughout the process

Code Invoices Online

…assigned users code the invoices via standard Web browser; G/L codes are validated against EnterpriseOne…

Approval ScenariosApproval Scenarios$500 $1,000 $5,000

RULES BASED APPROVAL MATRIX

…by Minimum Approvers

Invoice A - $4,238

…by G/L Codesincluding splits

Invoice B - $4,702Line 1: 30.4231Line 2: 30.7539

including splits

…by Escalation /Alternates

Escalation

Invoice C - $300

Out of OfficeAlternate

Real-Time Information Visibility

Audit history with one view of all your invoices

On-demand reporting Account accruals

AUDIT HISTORYAND REPORTING

Account accruals

Compliant Processes Self-documentingg Process change controls Tracking of user activity

Compliance – Reporting

…standard reports provide authorized users the ability to view status of invoices and run metrics on productivity…

Invoice Storage and Retrieval• Storage

Transform AP stores all in oices ith Transform AP stores all invoices with associated indexes

Extends to both related and ad-hoc documents for complete view of each transactiontransaction

Invoices are accessible via standard web browsers

• Access documents within SEARCH AND RETRIEVE

EnterpriseOne All invoices are linked to the

transactions via native JD Edwards media attachmentmedia attachment

EnterpriseOne users can interactively process, view, fax, email or reprintdocuments directly from JD Edwards

EnterpriseOne Media Attachments

…users can view invoice documents from within EnterpriseOne via native media attachment…

Transform AP WebTransform AP WebPortal

…or view outside EnterpriseOne utilizing standard Web-browser via the Transform AP portal…

Transform AP: Complete Invoice Transform AP: Complete Invoice Management

CODE & APPROVE VALIDATE & MATCH

AUDIT HISTORYAND REPORTING

CAPTURE

SEARCH AND RETRIEVE

f OFull Visibility EnterpriseOne is the central location for all invoices

Benefits Overview y p

Transparent Process Auditing of all invoice interaction and status changes

One View Direct integration no need for data synchronizationOne View Direct integration, no need for data synchronization

Automated Document Handling Automated matching and posting of invoices

Flexible Process Online invoice approval outside of EnterpriseOne

Agile Process Adapt the process to meet your needs

Seamless Integration View and code the invoice within EnterpriseOne

Instantly Usable Looks, feels and is EnterpriseOne

Anytime from Anywhere Find and retrieve invoices within EnterpriseOne or online

Agenda

• Challenges with AP Invoice Processing• Transform™ AP: Invoice Management for JD

Ed d E t i OEdwards EnterpriseOne • Transform AP: Success Stories• Completing the AP Automation process• Summary / Q&A• About Bottomline

• Largest owner / operator of suburban office properties in SE525 ti ith 41 4 illi f t fCompany • 525 properties with 41.4 million square feet of space

• Annual revenue for 2009: $460M• 400 employees• Process 60K+ invoices annually

p y

Problem • Analysis showed high invoice processing costs of more than $25 per invoice

• Inability to capture supplier early payment discountsGrowth by acquisition resulted in 10 different processes• Growth by acquisition resulted in 10 different processes

• A $40 invoice had seven levels of approval

• Transform AP for Oracle JD Edwards EnterpriseOneSolution

Results “The Bottomline solution has enabled us to consolidate our invoice processes into a centralized shared services model that cuts approval time, lowers processing costs, andthat cuts approval time, lowers processing costs, and improves supplier relations by ensuring on-time payment.“

Art McCann, Senior Director of IT, Highwoods Properties

• Invests in and develops commercial, industrial and residential property throughout the USC residential property throughout the US

• 90 companies from the Fortune 500, Global 500 or Forbes List of Top Private Companies have selected Hillwood

• 150 employees with 6 divisions• Process 33k+ invoices annually

Company

Problem • All invoice data manually keyed into JD Edwards• 6 divisions received & manually routed invoices for approval• AP was not aware of the status of invoices in process

T f AP f O l JD Ed d E t i OS l ti

• Invoices were paid late• Not uncommon to misplace an invoice

• Transform AP for Oracle JD Edwards EnterpriseOneSolution

Results • Significant increase in AP staff productivity and data accuracy• Invoice to payment cycle time drastically reduced• Transparent view of all invoices in process and status• Less opportunity for late payment• Reliable and accessible storage of all invoices• Extended capabilities with add-on sub-contract functionality

• Develops, manages and finances some of the world's largest Company real estate projects• Best known for its historic 2.8 million-square-foot $1.7 billion

Time Warner Center at Columbus Circle

Company

Problem • Homegrown solution worked with Lawson but did not integrate with new JD Edwards installation

• AP did not have the required visibility into all

• Transform AP for Oracle JD Edwards EnterpriseOneSolution

invoices in process

Transform AP for Oracle JD Edwards EnterpriseOneSolution

Results • Seamlessly integrated with JD Edwards• Users new to working with JD Edwards continue to work

within their familiar environmentwithin their familiar environment• Increased visibility of all invoices in process • Significant increase in AP staff productivity

Agenda

• Challenges with AP Invoice Processing• Transform™ AP: Invoice Management for JD g

Edwards EnterpriseOne • Transform AP: Success Stories• Completing the AP Automation process• Summary / Q&Ay• About Bottomline

Transform™ AP: I i M t Transform™ AP: Invoice Management with & within JD Edwards

Pay Smarter with the Largest & Fastest-Growing Online Payment Network

• Multiple payment types & unlimited remittance detail sent through an easy-to-use online portal

• The most fraud-proof electronic payment solution on the market• Integrates with existing financial systems, works with any bank

• Any payment file type accepted

• Over 95,000 network members and growing • Supplier adoption rates of as much as 70%, vs. only 5-7% for

competitors• Over $300 billion in spend processed

• Supplier on boarding and authentication support from Bottomline• Supplier on-boarding and authentication support from Bottomline• Software-as-a-Service Delivery Model means no upgrade fees or

hardware to install

Agenda

• Challenges with AP Invoice Processing• Transform™ AP: Invoice Management for JD g

Edwards EnterpriseOne • Transform AP: Success Stories• Completing the AP Automation process• Summary / Q&Ay• About Bottomline

Agenda

• Challenges with AP Invoice Processing• Transform™ AP: Invoice Management for JD

Ed d E t i OEdwards EnterpriseOne • Transform AP: Success Stories• Summary / Q&A• About Bottomline Technologies

About Bottomline

725+ EmployeesWorldwide

9,000+ Global C t

NASDAQ: EPAYWorldwide

Offices in US, EMEA &

Asia-Pac

Customers•80 of Fortune 100

•70 of FTSE 100•15 of Top 25 Banks

$138M Annual

Revenues

More Than 20 years’ Experience Automating & Optimizing Financial ProcessesSt t i I ti S l ti S tStrategic, Innovative Solution Set• Wholesale Banking & Enterprise Payments• Financial Supply Chain Automation

C P & C h M– Corporate Payments & Cash Management– Invoice Processing

• Medical Forms AutomationLegal Spend Management• Legal Spend Management

• Document Process Automation

Proven to Deliver Significant Benefits Enterprise-wide

Bottomline Technologies’ Corporate HeadquartersPortsmouth, NH USA

Proven to Deliver Significant Benefits Enterprise-wide• Unprecedented visibility into every transaction• Enables paper-to-electronic migration• Supports audit & compliance requirementsSupports audit & compliance requirements• Expanding SaaS delivery model accelerates time to value, reduces IT costs,

headaches

Top-Tier Customer Base

9,000+ Customers Worldwide

Corporate Awards & RecognitionAite Gro p Best in Class for Global Cash Management• Aite Group Best-in-Class for Global Cash Management: 2009

• American Banker and Financial Insights FinTech 100: 2006 2007 2008 20092006, 2007, 2008, 2009

• Law Technology News Technology Award (Vulcan Materials Company): 2008

• Global Finance Best AP Services: 2005 2006 2007• Global Finance Best AP Services: 2005, 2006, 2007, 2008, 2009

• START-IT Top 50 Technologies: 2008• Financial i “Leaders in Innovation” Award: 2007• Financial-i Leaders in Innovation Award: 2007

Helping Customers Go GreenI t ti G S i C l l t llInteractive Green Savings Calculator allows

customers to better understand the environmental impact of moving from paper to electronic.

http://www.bottomline.com/GoGreen

Thank You!

For more information, please contact: Chris Luomacluoma@bottomline.com

Learn More Online:www.bottomline.com/transformap

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