| One of the areas that businesses have turned to in | | | | company searched for a more innovative solution. |
| order to cut costs is invoice processing in accounts | | | | After extensive research, the company decided to |
| payable. Previously, companies would implement the | | | | implement ASPEN 360 Accounts Payable Edition from |
| latest technology as part of an in-house solution to | | | | Archive Systems. ASPEN 360 integrates document |
| cover individual AP processes such as data entry into | | | | receipt, document imaging and data capture, |
| an ERP system, verification of signature approval | | | | Web-based image hosting, and workflow |
| levels, and validation for duplicate invoices. This | | | | management services for a complete services-based |
| approach quickly became impractical as costs | | | | document management solution. |
| continued to escalate due to expanding IT resources, | | | | All of the company’s invoices are now sent to a |
| the need to make infrastructure enhancements, and | | | | PO Box managed daily by Archive Systems. The |
| the addition of AP processors. Instead of focusing on | | | | invoices are sorted and batched, then prepped for |
| strategic business initiatives, companies were forced | | | | imaging. Once the invoices are scanned and indexed, |
| to dedicate more and more resources to deal with | | | | the image files are uploaded into the ASPEN 360 |
| in-house system requirements, maintenance, and | | | | online repository and routed electronically to the |
| upgrades. | | | | appropriate person for approval based on |
| New initiatives paved the way for a shared | | | | client-driven business rules. These rules can |
| technology approach in which all business processes | | | | incorporate notifications of duplicate invoices, route |
| were funneled through a single technology platform. | | | | invoices above a certain dollar amount to particular |
| For example, numerous companies implemented ERP | | | | staff, and perform workload balancing. Workflow |
| (enterprise resource planning) systems to manage | | | | alarms and notices speed approval times by alerting |
| processes such as inventory monitoring, purchasing, | | | | users as invoices arrive and when time limits for |
| and production. While this may have increased | | | | review and approval are exceeded. |
| efficiencies, companies still faced the rising costs | | | | In this example, the company’s AP processor |
| resulting from the purchase and maintenance of an | | | | reviews the invoice information and enters the |
| in-house system. | | | | account allocation details online. The business |
| The next breakthrough emerged as a result of the | | | | approver can also enter the account allocation |
| desire to achieve economies of scale while also | | | | information. The invoice is then automatically routed |
| shifting the focus back to a company’s core | | | | to the next approval level for verification. After final |
| competencies. Instead of hosting an IT infrastructure | | | | review, the information is interfaced into the |
| internally, these companies turned to accounts | | | | company’s in-house financial system and |
| payable outsourcing. Two approaches were | | | | payments are completed. |
| developed that followed different methodologies. | | | | Throughout the whole process, the company never |
| One was to utilize business process outsourcing | | | | touches a paper invoice. After scanning, the hard |
| (BPO) to contract out a specific process to a third | | | | copies are stored in Archive Systems’ full service |
| party. The other was to use a Software-as-a-Service | | | | records center facilities where they can be retrieved |
| (SaaS) solution that enabled a company to control | | | | and delivered to the company at any time. All |
| the processes internally while outsourcing the | | | | processing is handled online using ASPEN 360. Staff |
| infrastructure and software requirements. | | | | productivity has also increased and invoice processing |
| A New Approach to Accounts Payable Automation | | | | costs are expected to be reduced by as much as |
| and Invoice Automation | | | | 50%. The company maintains complete control over |
| Now there is a new approach that takes advantage | | | | their business processes while gaining advanced |
| of the strengths of BPO and SaaS while eliminating | | | | reporting features to help ensure compliance |
| the weaknesses. Business Virtualization is taking | | | | guidelines are followed. |
| shape and it provides dramatic results when | | | | Focus on Core Competencies Instead of Managing an |
| implemented in an AP environment. The following | | | | AP Automation Infrastructure |
| example shows how a wholesale distributor was able | | | | By implementing Business Virtualization, companies are |
| to increase efficiencies while streamlining costs by | | | | able to strategically focus on their core business |
| implementing this new approach. | | | | initiatives rather than on integrating and managing an |
| The company was receiving approximately 50,000 | | | | internal infrastructure. They still maintain control over |
| invoices per month and completed all manual | | | | business information but eliminate the friction points |
| processing internally with a staff of 40 AP | | | | that can stall a critical process. The end result is the |
| processors. The invoices were all paper-based and | | | | ability to streamline business processes, reduce risk, |
| required signatures, coding and verification. The | | | | drive down costs and increase efficiencies. |
| manual process was too time-consuming so the | | | | |