Invoice Processing – How quick do we pay our suppliers?
Project
A large organisation identified a critical business issue – some supplier invoices weren’t being paid within the contractual timeframe. The invoice approval process contained bottlenecks that needed to be addressed to ensure timely payments and maintain supplier relationships.
Services provided
Assisting a project manager, work was undertaken to understand the whole journey of an invoice from receipt to payment along with the role each person plays in ensuring the invoice is approved and paid on time..
All outstanding invoices are now recorded on a centralised system which provides:
– real-time visibility of the invoice status
– clear identification of current workflow bottlenecks
– flags invoices at risk of late payment,
– clearer oversight of the volume of invoices in the system
– more accurate forecasting of upcoming payment obligations to aid cashflow management.
Improved financial forecasts & supplier relationships
By identifying process bottlenecks and implementing a revised tracking system the on-time payment challenges were resolved which in turn improved financial forecasting and supplier relationships.