GENERAL EXPENSES MANAGEMENT
The General Expenses Solution streamlined the retailer’s entire Accounts Payable process, helping the company pay its suppliers faster and strengthening its relationships with them. The client can now see which suppliers they’re using for what more clearly, allowing them to be more strategic in getting the most out of those suppliers, as opposed to just looking at individual buys every time.
The implementation of the Enterprise Concept Expense Management Solution was fast and efficient with the client quickly realizing increased performance and cost savings. The BPM modules automated the following processes: Invoicing, Provision, Ticket Invoice, Provision Notification, Payment Notification.
PHASES - APPROACH
Defining business concept and creating the application involved the following steps:
- Business Analysis;
- Implementing and integrating systems;
- User Acceptance Testing;
- User trainings;
- Go Live support;
- 24/7 Maintenance.
- Centralization and automation of all data related to subcontractors, suppliers, invoices, accounting and provisioning;
- Automating the process of bills and contracts comparison by providing automated validation through the system;
- Integration with all existing information systems;
- Enabling controls through a strong approvals workflow;
- Pre-defining the expense types and set limits compliant with the organizational policy.
ROI 4 months after GO-LIVE
- Enhanced spend leverage and strategic sourcing saved 16 million EUR in fiscal year 2010;
- Enabled the client to reduce its cost per order by 70%;
- Improved cycle and delivery time 5-7 days, and invoices that traditionally took 30 days to pay are now paid in minutes;
- Improved user productivity and helped the retailer achieve its goal of shifting purchasing’s focus toward value creation and away from day-to-day tactical buying activities;
- 90% reduction in operating costs.
- Resolved bill and contract comparison – Store: 8,007,000 EUR;
- Sourcing Cost reduction: 3,521,000 EUR.
- COST of processing 1 order: 2,45 EUR;
- Clearing orders team: 40 people;
- TIME for processing an incorrect order: 60 days;
- TIME for processing a correct invoice: 6 days.
- COST of processing 1 order: 0,55 EUR;
- Clearing orders supervisors: 2 people;
- TIME for processing an incorrect invoice: 7 days;
- TIME for processing a correct invoice: 1.5 minutes.
- Close cooperation with subcontractors;
- Standardization of products and services;
- Deployment of logistic solutions;
- Continuous cost reduction and 100% compliance with established processes.