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May 3, 2017
Optimize your Procure to Pay solution with a Cloud Solution
Frederic Portal, Ataway Director of Alliance and Strategy
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In any organization, procurement and accounts payable activities are closely linked through the procure-to-pay process. Efficiency in both types of activities can result in clear benefits to the entire process, from the procurement function to the accounts payable area.

Organizations with a high-performing procure-to-pay process have worked on improving efficiencies in entire process, from the procurement function to the accounts payable area. One way that organizations can quickly improvement the process is through modernization, with the adoption of new technology. In this article, we will explore the benefit of an Integrated P to P and well as the benefit of using a Cloud Solution.

Recent research on how organizations manage the procure-to-pay process for indirect purchases reveals that many desire to modernize the process but are slowly making progress on adopting technology to support that modernization.
As cloud-enabled P2P solutions evolve, CFOs are pressuring procurement and accounts payable (AP) teams to collaboratively implement and execute more efficient, integrated processes.

Most businesses seemingly recognize the benefits of modernizing Procure to Pay. In a recent APQC survey, 85% of respondents said their Procure to Pay processes could be improved with IT innovations such as e-commerce portals, automated workflows or online self-service tools for employees. They also agreed that modernization would improve service to internal customers, bolster policy enforcement and controls, and vastly reduce the effort that AP has to put into reconciling invoices.

According to the APQC survey, in the past two years, procurement and AP teams embarked on joint efforts to drive cross-functional process improvement at more than half of the respondents. About an equal percentage of respondents—55%—said it is likely or very likely that their company will require procurement and AP to drive a cross-functional process improvement program in the next two years.

When you consider the financial benefits that integrated Procure to Pay processes generate, it’s likely more CFOs will push for a fully integrated solution. Few highlights from the APQC survey:

 

 

 

Few of the benefit of an integrated P to P Solution

 

 

e-purchasing benefits

Generate greater cost savings by ensuring that employees make purchases only through approved vendors and with proper approvals.
Reduce PO processing time
Streamline requisitioning, PO creation and invoice validation to minimize manual processes.

Accounts Payable automation benefits
Reduce errors resulting from manual keystroke entry and hand-matching
Ensure compliance and reduce risk by automating requisition approvals, PO creation and invoice validation. By automating invoice matching and approval workflows, you can achieve productivity gains and cost reductions and generate compliant audit trails.
Increase adoption, with a customer like buying experience. It is making it easier for employees to find what they need, select products and accelerate approvals. It secures that employees buy from approved supplier at the negotiated Price.
Accelerate Communication: Leveraging social collaboration to make it easier to manage exceptions and approve payments.
Reduce the payment cycle
Streamline the process of invoices processing time: Organization with a full integrated P to P reported saving as up to 75%
Impact the balance sheet:  benefits as a result of paying vendors faster and earning on-time discounts

 

The P to P Cloud Solution:

If you decide to automate your Procure to Pay, the lower upfront costs the faster ROI. The cloud-based solutions that offers a full Procure to Pay Solution are an excellent option.  Procure to Pay Cloud solutions are a subscription model and they are easy to deploy in few month not years.

In fact, Forrester Research reported last year that 66% of companies already using procurement software would either complement or replace on-premise solutions with SaaS solutions, a significant jump from 54% in 2013.

Oracle provides you a complete integrated solution for your Procure to Pay. The Solution will streamline your enterprise business processes with Enterprise Resource Planning (ERP) Cloud. The solution includes Cloud ERP Financials, Procurement, Project Portfolio Management and more. Those fully integrated solutions will increase productivity, lower costs, and improve controls.
 

Frew advantages of Oracle Procure to Pay Solution:

Streamline Processes

Automate requisition through invoice matching and payment, and shift your organizational focus towards more strategic activities
Simplify Shopping. Help your employees to quickly find the goods and services they need with a familiar consumer buying experience
Enforce Negotiated Pricing Ensure your negotiated pricing and terms are automatically leveraged to realize maximum savings.

 

 

Supplier Management

Manage Qualifications Qualify and assess suppliers to support supplier programs, compliance, and negotiation award decisions
Improve Information Accuracy. Capture timely updates to supplier information and proactively respond when changes might affect supplier qualifications, capabilities, or risk
Enable Supplier Collaboration. Give suppliers the insight they need, allow them to share documents and commentary, and let them transact electronically with minimal training.

 

More information about Oracle Procure to Pay:

To learn more about how to modernize P2P, please download the eBook, Realizing More Savings with Oracle Procurement Cloud.” You can read more information about Oracle Procure to Pay here. You could also look at few articles we wrote about Oracle Procurement:
Ataway – Top 5 Features of Oracle Procurement Cloud
Ataway – Building Your Procurement Strategy with Oracle Cloud
Ataway – Oracle Cloud
Top 3 Best Practices of an Oracle Cloud Implementation for Finance

Interested in learning more about how you can take advantage of Oracle HCM Cloud’s solutions or are you looking for some help on defining your Cloud strategy to support your digital transformation? The Ataway Cloud team is here to help you and make your digital transformation a success. Consider talking to one of our local Ataway offices. Ataway has worked on several Cloud activations and can help you. Consult with Ataway’s team of experts today to learn more or send us an email: experts@ataway.com . 

 
 
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