Want to know what the 7 main benefits are of procure-to-pay software?
Procure-to-pay software, also known as purchase-to-pay software, connects the entire lifecycle of procurement from one phase to the next. It begins with identifying suppliers and the goods and services required, and ends with accounting and inventory. By linking the phases of procurement together, a procure-to-pay system improves efficiency through better communication. New to the topic? Start with our guide: What is procure to pay?
The benefits of a procure-to-pay software solution include the following:
1. Streamline procurement processes
i2B provides connectivity throughout your organisation and with your ERP system, so requisitions are requested and approved faster, appropriate suppliers are selected based on data, and POs are produced and sent to suppliers. All electronically, fully audited and easily trackable.
2. Reduce administrative overhead
Going paperless reduces time as well as cost, and enables companies to use employees for more strategic initiatives rather than for repetitive tasks better accomplished by automation. i2B quotes up to an 80% reduction in administrative overhead, and i2B AP Automation uses AI to read supplier invoices without any template setup.
3. Get real-time visibility
i2B provides visibility throughout the supply chain, giving both buyers and suppliers the ability to view invoice status in real time.
4. Realise better management of exceptions
With most invoices processing straight through, exceptions can get the attention they deserve and get resolved faster.
5. Improve supplier relationships
By using the free i2B supplier portal, suppliers can check the status of their invoices, which gives them the information they need for better decision making. Quicker resolution of invoice exceptions and disputes also engenders goodwill and allows buyers to gain greater visibility.
6. Leverage negotiating power
When suppliers have confidence in their payment status they may be willing to offer terms that are more advantageous to buyers, while still ensuring that suppliers have the revenues they need to grow their business.
7. Capture data for better decision making
i2B offers robust on-demand reporting capabilities. By using the real-time and historical data provided, companies can gain greater control over cash flow and working capital. Configurable vendor scorecards also let you measure supplier performance and track trends over time.
Frequently asked questions
What is procure-to-pay software?
Procure-to-pay software, also known as purchase-to-pay software, connects the whole procurement lifecycle in one system, from identifying suppliers and the goods and services required through to accounting and inventory. It links the phases of procurement together so requisitions, orders, deliveries and invoices can be approved, tracked and audited electronically.
What are the main benefits of procure-to-pay software?
The main benefits are streamlined procurement processes, reduced administrative overhead, real-time visibility, better management of exceptions, improved supplier relationships, stronger negotiating power, and better data for decision making.
How does procure-to-pay software help suppliers?
With i2B, suppliers use a free supplier portal that needs no software installation and works on any internet-enabled device, including mobiles. They can see purchase orders and any changes, accept, decline or query orders, view deliveries and check the status of their invoices.
Does procure-to-pay software replace my ERP?
No. i2B is designed to sit alongside your existing ERP rather than replace it. Once a requisition is fully approved, i2B can create the RFQ or purchase order in your ERP without manual entry, and matched invoices can be posted to your ERP accounts payable system.
If you are interested in learning more about the i2B procure to pay platform, i2B Connect, please get in touch. We’d love to hear from you.
