ap optimization how adoption can deliver game-changing ... · how adoption can deliver...

Classification: Internal Use Slide 1

Adam Keck, Assistant Vice President, Payments Product ManagerAllison Laramore, Vice-President, Payables Specialist

Shannon Lawson, Sales Engineer, AvidXchange

November 12-14, 2018 | Las Vegas

AP OPTIMIZATIONHow Adoption Can Deliver Game-Changing Benefits


Learning Objectives


• Market Perspective, The Payables Landscape

• AP Processing: A Closer Look

–Identifying Barriers to Efficiency

• Benefits of AP Automation

• Evaluating the ROI

• Case Study Discussion

• Implementation Best Practices

–AP Independence


Invoice Market View


15%

15%

34%

36%

Invoices received via webupload/supplier portal

Invoice received via EDI/XML

invoice received via email

Invoice received via paper

3%

9%

34%

54%

A combination of manual entry andautomation

Entered by Third Party Provider

Captured via software OCR & Staffchecks for errors

Manually entered by AP Staff

45% of companies get invoices approved through a manual email or paper process

Invoice Receipt Method Invoice Entry Method

PayStream Advisors, 2018 Payable Insight Report, 2018


Payment Market View


5%

16%

30%

49%

Commercial Card Wire ACH Check

Payment Method (Transaction)

74% of companies experience actual or attempted check fraud2

3

1

1) PayStream Advisors, 2018 Payable Insight Report, 20182) Mercator, The US Commercial Card Market, 20173) Ardent Partners, State of B2B Payments: Emerging Business Value “Strategies for Success” , 2015 & RPMG Survey, EAP Study, 2015


Buyer Pain Points with AP



Challenges with Status Quo


Only 23% of companies have a fully automated AP process from Invoice to Pay2


Impact of Automation


Streamlined process by outsourcing many tasks.

Automated Processes

AP Controlled


Benefits of AP Automation


60% of CFOs see the opportunity to extract significant value from AP automation2


ROI – Key Considerations


ROI Considerations – As you review an ROI, look for these key factors:

• What will be the value in conversion of spend for the payments?

• Does the AP solution integrate with your accounting system?

• How will you control your coding and approval workflow process?

• What are the limits of user? Are their per-user license fees? What are the post-implementation or annual costs?

• How will your solution be supported long-term?

Cost-savings:

• What is the estimated cost today to process an invoice?

• What is the estimated cost today to process a check?

• What is the time savings?


Case Study – Real Estate Company


The Payables Process Before Automation

• Two separate versions of software

• Manual processes• Invoice sorting and distributed

added time to processing• Approval of invoices were

delayed• Manual processes were not

scalable

The Case for Automation

• Implemented an AP automation solution

Life After Automation

• Stream-lined process• Visibility into the entire

workflow process• Ease of approval workflow

process • Greater ability for client to

reallocate resources into more productive, profit-focused tasks

• Scalable for future growth


Case Study – Non-For-Profit


The Payables Process Before Automation

• Duplicative process—printing checks and PDFs, manually entering payments in banking systems

• Time consuming process• Limited staffing resources• Suppliers did not receive

remittance information, often calling for information

The Case for Automation

• Implemented an AP automation solution

Life After Automation

• Time saving• Automated process• Suppliers receiving valuable

remittance details• Suppliers being paid in the

manner they chose• Reduced the amount payments

not processed


Case Study Summary


Examples of how other clients have benefited…➢Up to 40+% conversion to electronic payments➢Saved over 4,000 hours in AP labor per year➢Up to 70% reduction in payment processing cost➢$10,000 - $400,000 in annual cost savings


AP Independence: During and after “Go-Live”


Best Practices for a Successful Implementation

Pre-implementation Readiness:✓ Ensure you have a dedicated Project Management team✓ Agree on a clear and defined project timeline✓ Secure cloud-based access✓ Develop a ‘Train-the-Trainer’ model to handle growth and scalability

Post-implementation Freedom:✓ One size does not fit all. Periodic solution adjustment help lower exception handling✓ User licenses are unlimited – for your AP staff, auditors, and everyone in-between✓ On-call phone and email support (for invoice and payment) is always free✓ Take advantage of a Knowledge Center for easy How-To’s and helpful Users Guides or videos

ap optimization how adoption can deliver game-changing ... · how adoption can deliver...

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