1 . Know your ‘as-is’ process:
I knew all too well in my own days of offering e-invoicing. If a potential customer didn’t know their ‘as-is’ process. These were a good a year to two from implementing e-invoicing. So don’t neglect Step One.
Unless you know your process, you almost have no idea key metrics like your First Time Match Rate. This implies you will not know the amount of which e-invoicing will help you. You’ll have problems in your process which need other solutions, as well.
And, you almost don’t know the real cost of your invoicing process. For that reason will never be in a position to put a water-tight business case together.
By mapping away your ‘as is’ process you should come to comprehend:
– Why invoices fail.
– How e-invoicing can treatment problems in your process flow.
– How many invoices would be ‘in range ‘ in the event you move forward with e-invoicing.
– What your ‘as-is’ cost is, and exactly how much it will decrease by moving to digital.
– How many times it’s currently taking to process an invoice, and exactly how e-invoicing would decrease the right time.
– How, by lowering the number of days, your capturing of negotiated discount rates might effect.
Step One will take you 3 to 6 months. But by the finish of it, you will be clearer and more realistic when you make your business case.
It’s important, knowing your cost-per-transaction. Is essential for negotiating so effective with the provider you finish up signing.
2 . Know the eyesight of the business:
Process change is practical to stakeholders. When it’s contextualized against the overarching ambitions of the business.
This implies it’s worth making the effort to understand where in fact the company wants to maintain 6, 12 or 24 months’ time. You may extrapolate that intention back again to how e-invoicing might speed up or strengthen the realization of this goal. Take time to lift yourself from the ‘day to day’ and understand where in fact the company headed. (Ask plenty of questions and pay attention to the answers.) You’ll be able to:
– Understand and communicate the wider reason for e-invoicing. Positioning e-invoice as an integral enabler for realizing goals.
– Use the vocabulary of the senior management to provide e-invoicing back again to them.
– Move e-invoicing on the priority list.
This try requires planning and an investment of your time outside your entire day job. It’ll pay off later on, whenever your CFO, CPO, and CTO (Chief Treasury Officer) see e-invoicing as their single point of failure.
3. Get procurement up to speed early
That is easier for a business where Financing and Procurement already aligned. Share reporting lines and objectives already, and operate as your team.
But in organizations where this ‘joined-upness’ doesn’t exist, it’s common for Finance to have the task. Because they get the greater immediate benefits. That involves Procurement almost as an afterthought. This may kill the task at that moment.
That is large because e-invoicing is a supplier-focused program, and though Finance even. Or Accounts Payable rather pays suppliers, they may be actually owned by Procurement. This means merchants will listen to Procurement, about the e-invoicing project first and financing second. So if procurement isn’t earned, or are in all dismissive of e-invoicing. Your merchants will feel this feeling and drag their pumps in registering.
This is the possible key for you to get e-invoicing right, and easily overlooked as a little detail. It’s not. It’ll make – or catastrophically break – assembling your project.
Whenever using Procurement, consider the next:
– Drivers – what makes we doing e-invoicing?
– Range – all suppliers, invoice types, AP deal types, countries?
– Solution range – e-invoicing only or a finish to get rid of the solution?
– Message – necessary or optional?
– Quality of the data source – will the comms ‘land on the right desk’?
– Signatory – how senior will the signatories be? The CPO and the CFO? ( Prefer, yes. )
– Focuses on – are Financing and Procurement KPI’d on a single target?
– The noncompliant – who’ll react to the merchants that resist?
– Who’ll own the task? Perhaps Financing and Procurement together?
Investing amount of time in searching for a collaboration from Procurement. In early stages is fundamental to an effective project.
4. Supply the task a name
You’ll likely find that the nameless projects stay static in project status for a long period. And rarely proceed to operational or ‘go live’. This isn’t a coincidence.
Giving your e-invoicing task both a pre- and post-agreement name, you:
– Give it an identification which helps people ‘get it’.
– Create interest and attention (‘what is this World project everyone’s discussing? ‘).
– Avoid misunderstandings because you’re all discussing a similar thing.
– Heighten engagement and encourage greater emotional attachment. Especially, I find if you avoid the plain like World, Probe, e-Procurement Task – all decent titles. But think about something more pleasurable. Like titles of character types from films or fiction? Or using a competition (with a good reward ) to create the most creative name?
5. Know very well what you’re searching for
What would you like? Could it be a best-of-breed e-invoicing solution? Could it be e-invoicing with powerful discounting? Could it be e-invoicing with workflow and routing? Or an e-procurement features for your upstream procurement process? Will you need it to be VAT compliant and vocabulary delicate because you are moving out to many countries? And should you use their onboarding features? ( That is always wise.)
Knowing what you would like, and then taking these requirements in a record is key.
You should have:
– Commercial and business requirements.
– Process requirements.
– Range requirements (impacting the legal treatment and the dialects supported).
– IT requirements (but they are probably weighted lightly, as all e-invoicing solutions I understand of are system agnostic).
– Source or/and timing requirements.
Then ensure that the firms you invite to react to the RFP all offer similar-ish services. So you aren’t comparing one solution type against another very different solution enter order to produce a decision.
6. Determine the price of delayed-implementation
Quantifying the price of doing nothing at all – ‘carrying on as per’. And having this as a regular, weekly, monthly and annual figure, can help drive a deadline.
It’s a good idea to develop this shape with the primary stakeholders. So each of them acknowledges it, and recognize that. Allowing the task to slide by per month is, in fact, costing the business X.
Getting the daily shape can help drive the speed of the task.
7. Follow the guidelines of the provider
The provider you finish up selecting will have likely rolled out 20 – 100 e-invoicing programs. If it’s one of the larger providers like Tungsten, Ariba, Taulia or Tradeshift. This implies you’ll be profiting from their experience, which structured now and documented.
Some providers swear by their best-practices a lot. That they attach a warranty to their invoice conversion.
Best practices include advice like:
– “clean your supplier data, or why don’t we clean it”,
– “have procurement sign off on the communication”,
– ” be accessible and prepared to respond when some merchants say they don’t adhere to the demand”.