Bob Monio Director of Global Alliances Managing Invoice Flows: AP automation for Microsoft Dynamics NAV
Bob MonioDirector of Global Alliances
Managing Invoice Flows: AP automation for Microsoft Dynamics NAV
© 2013 Lexmark International, Inc. All rights reserved.
Greater control over cash flow Companies need invoices paid
in a timely manner
Need to be nimble Time and money efficiencies
matter more than ever Agile orgs succeed
against competition
Push to do more with less Fewer employees Time management is crucial
Strategy to improve customer experience Better vendor relationships
Factors driving demand for AP automation
D I S C O U N T
D AY S
4 %
3 %
2 %
1 %
0 %
0 5 10 15 20 25 30 35 40 45
A
B
C
© 2013 Lexmark International, Inc. All rights reserved.
AP processes can be drastically improved with automation
Especially in the areas of invoice receipt, matching and approval workflow
Manual routing and lost invoices are key areas for improvement
Industry research about AP automation & Dynamics ERP
Source: PayStream Advisors 2014 Microsoft Dynamics Report
AUTOMATION DRIVES BEST-IN-CLASS AP PERFORMANCE
80%Lower invoice
processing costs
75%Shorter invoice processing time
Manual routing of invoices 75%
Missing information on invoices 23%
Large numbers of exceptions 43%
Lengthy approval cycles 30%
Lost Invoices 37%
Decentralized invoice receipt 34%
© 2013 Lexmark International, Inc. All rights reserved.
Four key benefits of AP automation
Efficiency
IVisibility
IICycle time
IIIControl
IV
© 2013 Lexmark International, Inc. All rights reserved.
AP process – the 6 steps
Invoice receipt (centralized/decentralized)
1
4
2
5
3
6
Invoice data entryinto Microsoft Dynamics NAV
Transaction creation in Microsoft Dynamics NAV
Attachment of invoice image in Microsoft
Dynamics NAVApprovals, matching,
exception handling, codingInvoice approval
and post for payment
© 2013 Lexmark International, Inc. All rights reserved.
PayStream Advisors, Invoice and Workflow Automation Report 2013
What does AP automation really mean?
Reporting & analytics
© 2013 Lexmark International, Inc. All rights reserved.
Options for Dynamics NAV users
Deployment options across all offerings:
Cloud, On-premises,
Hybrid
integrated with Microsoft Dynamics NAV core workflow functionality
integrated with Microsoft Dynamics NAV
integrated with Microsoft Dynamics NAV
Collaborative business network available (move from paper to electronic)
Capture, validation & attach/storage
Basic automation
Advanced automation
© 2013 Lexmark International, Inc. All rights reserved.
Paul, the Director of AP, logs in via a web browser to review current tasks assigned to him, and an overview of current AP processing status in this home screen.
© 2013 Lexmark International, Inc. All rights reserved.
Many of the invoices Paul and his team of 15 processors receive are electronic and processed automatically, but he can upload quite easily as well.
© 2013 Lexmark International, Inc. All rights reserved.
Most of the time, invoice information is captured and the invoice doesn't need to be reviewed. But when the system has a question, AP processor Gail can easily identify the values that need clarification and type or use the mouse to confirm the data.
© 2013 Lexmark International, Inc. All rights reserved.
Line items are captured during the incoming process, so Gail doesn't have to key them in. Paul likes control, and by leveraging the vendor master data directly from Microsoft Dynamics NAV his AP team can easily select GL codes and financial dimensions from drop-down menus at line item level.
Workflows can be kicked off automatically via Paul's business rules, or he can choose to do ad hoc routing when necessary.
© 2013 Lexmark International, Inc. All rights reserved.
Once coding, exception handling and approval is complete, Gail or Paul can approve the invoice, immediately creating an approval journal in Microsoft Dynamics NAV.
© 2013 Lexmark International, Inc. All rights reserved.
20162016
Post automation: Best-in-Class performance
The underperforming bottom 30%…
The top preforming 20% of companies…
Source: Aberdeen Group, October 2013
83%Cost per invoice
86%Payment discount capture rate
75%Invoice processing time
DAYS
PROCESSING
EARLY
$4.00Cost per invoice
65.8%Payment discount capture rate
3.7Invoice processing time
2016DAYS
PROCESSING
EARLY
© 2013 Lexmark International, Inc. All rights reserved.
Energizer Inc.
FTEs from 21 to 11
time-consuming 100% audit
volume by 110,000 invoices
DECREASED
ELIMINATED
INCREASED
© 2013 Lexmark International, Inc. All rights reserved.
Rich Products: Seven months after first implementation
NOVEMBER
74% of PO-related invoices pass 3-way match
Discount capture rate went from 71% to 92%
Full visibility of liabilities
Invoice cycle time cut in half
27% increase in processing rate per FTE
© 2013 Lexmark International, Inc. All rights reserved.
Dynamics customer studies
33%Reduction in cycle time
44,000Invoices per year
10,000Invoices per year
6 monthsto see ROI
© 2013 Lexmark International, Inc. All rights reserved.
data entry
supplier collaboration
for straight-thru processing
control & processing
and easy to configure
Cloud/On-premises/Hybrid
New Dimensions for Microsoft Dynamics NAV
REDUCES
ENABLES
ALLOWS
GIVES
FLEXIBLE
OFFERS
Tight integration with Microsoft technologies
Swiftly onboard processes beyond P2P
12,000 global customers processing more than
2,000,000,000invoices annually
© 2013 Lexmark International, Inc. All rights reserved.
Our credibility
As a leader in hybrid cloud AP automation solutions based wholly on Microsoft Azure, ReadSoft solutions for Microsoft Dynamics can help improve a customer’s financial performance and operations.”
Jeremy Thies, Microsoft
Globally managed ISV
Built exclusively on Microsoft technology stack
© 2013 Lexmark International, Inc. All rights reserved.
Acknowledgement by analysts
If invoice processing is your goal, you should consider ReadSoft.”
With a wide range of solutions for procure to pay and order to cash, ReadSoft continues to excel at document process improvement surrounding ERP.”