The Invoicing and EIPP Category

2017 Best Practice Predictions: Disrupting E-Procurement and Invoice-to-Pay with Technology

How important is technology to procurement? In a word: quite. And it’s not as if there aren’t enough to keep tabs on, running the gamut from cloud, B2B connectivity, user-designed solutions, analytics and artificial intelligence/machine learning — many of which are already influencing today’s cutting-edge offerings. To help practitioners wrap their heads around it all, the Spend Matters Analyst Team has penned a new report, "E-Procurement and Invoice-to-Pay Disruption: 'Best' and 'Next' Technologies," that shares summary insights into the technology, product and functional levels of “best” practices today and tomorrow’s “next” practices for procure-to-pay (P2P) solutions.

Been Stuck in a Cave? Well, ICYMI: Spend Matters’ P2P SolutionMap

Unless you’ve been stuck in a cave, sheltered from procurement and supply chain industry news for the last three weeks, you may have noticed Spend Matters’ rollout of the Procure-to-Pay SolutionMap — comparative rankings of technology vendors offering e-procurement, invoice-to-pay and procure-to-pay suite solutions. To help quick-guide you through the SolutionMap, we’re offering you a couple Choose Your Own Adventure-style options.

Vendor Summary Report: Procure-to-Pay SolutionMap℠ Q2 2017 [PRO]

This SolutionMap analyzes a select group of procure-to-pay solution providers. It is part of our Q2 2017 SolutionMap report series, also featuring e-procurement and invoice-to-pay solution providers individually (including an expanded set of providers in each area).

Spend Matters tracks more than 50 procure-to-pay solution providers. This analysis features many of the largest procure-to-pay providers, specifically Coupa, Determine, GEP, Ivalua, Pool4Tool, SAP Ariba, Vroozi and Zycus. We will be adding additional providers for the Q3 and Q4 2017 updates (as well as in 2018 and beyond).

SolutionMap ratings provide comparative rankings and insight into how each provider scored from a solution and customer value perspective. It provides a breakdown of solution scoring for each vendor on the category level (e.g., catalog management, shopping/requisitioning, ordering/order management, receiving, supplier network, configurability, technology/architecture and services, invoice structure/capture, invoice collaboration and compliance, additional invoicing technology components, financing/payment, supplier network, configurability, technology/architecture and services). It also provides insight into how customers scored procure-to-pay vendors (e.g., likelihood of recommending the provider, level of value perceived, business value, ability to meet expectations, deployment speed, ROI, TCO and innovation).

Solution scoring is based on analysis of individual vendor capability, including in-depth tech reviews, a highly detailed Spend Matters RFI, and live demonstrations and Q&A by the Spend Matters team. The Customer Value score stems from aggregated direct customer input (survey based).

While Spend Matters does not recommend that existing and potential customers of providers use technology and customer scoring alone to shortlist or evaluate technology providers, the insight, along with SolutionMap’s persona-based ratings, provides a point-in-time perspective that may be useful as either a starting point in an evaluation or a contributing factor to a formal software selection process.

More detailed information on comparative technology subcategory-level scoring can be found in individual Spend Matters PRO SolutionMap Vendor Analyses (publishing in April 2017). Spend Matters reserves its most granular level of scoring and analysis for its practitioner advisory clients, and we invite procurement organizations to contact us for more information.

Vendor Summary Report: Invoice-to-Pay SolutionMap℠ Q2 2017 [PRO]

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This SolutionMap analyzes a select group of invoice-to-pay solution providers. It is part of our Q2 2017 SolutionMap report series, also featuring invoice-to-pay solution providers and procure-to-pay suites.

Spend Matters tracks more than 50 procure-to-pay solution providers. This analysis features many of the largest invoice-to-pay providers, specifically Coupa, Determine, GEP, Ivalua, Invocus, Pool4Tool, SAP Ariba, Taulia, Tradeshift and Vroozi. We will be adding additional providers for the Q3 and Q4 2017 updates (as well as in 2018 and beyond).

SolutionMap ratings provide comparative rankings and insight into how each provider scored from a solution and customer value perspective. It provides a breakdown of solution scoring for each vendor on the category level (e.g., invoice structure/capture, invoice collaboration and compliance, additional invoicing technology components, financing/payment, supplier network, configurability, technology/architecture and services). It also provides insight into how customers scored invoice-to-pay vendors (e.g., likelihood of recommending the provider, level of value perceived, business value, ability to meet expectations, deployment speed, ROI, TCO and innovation).

Solution scoring is based on analysis of individual vendor capability, including in-depth tech reviews, a highly detailed Spend Matters RFI, and live demonstrations and Q&A by the Spend Matters team. The Customer Value score stems from aggregated direct customer input (survey based).

Federal E-Invoicing and the U.S. OMB Mandate – Brand New Research

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Despite all of the benefits associated with e-invoicing, the Office of Management and Budget (OMB) reports that only 40% of the roughly 19 million invoices processed by the U.S. federal government each year are the product of e-invoicing. Furthermore, of those 40%, only a portion leverage an end-to-end e-invoicing capability, leading to a situation rife with opportunity for organizations to fully commit to e-invoicing. Jason Busch, founder and head of strategy at Spend Matters, presents this complimentary research download: Federal E-Invoicing and the OMB Mandate in the United States.

Tungsten’s Half-Year Results: Short-Term Disappointment, but Long-Term Promise [Plus+]

In an excellent article last week, Jason Busch of Spend Matters and David Gustin of Trade Financing Matters took a look at dispelling some myths about 2 key players in the e-invoicing and supply chain finance market: Taulia and Tungsten. At the very same time, Tungsten Corporation announced its half-year results (for the 6-month period ending October 2014). While this wasn’t the first announcement since the firm floated on London’s AIM market in November 2013, it was seen as important because it was the first significant report since the acquisition of what is now Tungsten Bank, and the first really to show to the investment community how the firm is doing in terms of putting together its broader e-invoicing, supply chain finance and spend analytics offering.

E-invoicing and Dynamic Discounting – Definitions and Background

Bruno Koch’s latest 2014 Billentis e-invoicing report has a short section on trade financing (see our own Trade Financing Matters), including a quick exploration and definition of dynamic discounting. In his analysis, Bruno defines dynamic discounting “as a process that allows buyers and sellers of commercial goods and services to dynamically change the payment terms – such as net 30 – to accelerated payment based on a sliding discount scale. Dynamic payables discounting is ‘dynamic’ in one or more ways. Dynamic discounting is also known as dynamic discount management, early payment discounting, or payables discounting.”

E-Invoicing and Trade Financing Intersections – Courtesy of Billentis

E-invoicing is just a piece of the bigger trade financing puzzle (a market that is still largely un-intermediated with debits and credits sitting on the balance sheets of those companies engaged in trade). Beyond e-invoicing, it’s critical to explore the intersections with broader purchase-to-pay (P2P), direct materials procurement, services procurement, and related systems – not to mention understanding all of the related capabilities and requirements of supplier on-boarding (e.g., know your customer – KYC) and management.

2014 U.S. E-Invoicing Numbers Courtesy of Billentis and PayStream

I’ve begun to highlight sections of the Billentis 2014 e-invoicing report that jumped out at us as key facts and points to share. In continued coverage, we come to commentary on e-invoicing growth and market size courtesy of Billentis and PayStream Advisors in the report. Bruno quotes Henry and his team's research, noting that “the US AP Automation Market revenue is forecast to reach $1.7 billion in 2013, a 11.9 percent increase from 2012 revenue of $1.55 billion.” Further, “AP automation market-based delivery will experience healthy growth through 2016, when worldwide revenue is projected to reach $2.4 billion. The market for e-invoicing is opening up. Currently at $280 million, PayStream predicts demand is growing at a compound average annual growth rate of 13 percent. But if you look at where we are in the big picture, we are still in about the third inning.”

Billentis Releases 2014 E-Invoicing Report – China and More

For a while I've been hoping to meet in person with Bruno Koch, the brain behind Billentis (known most for its annual e-invoicing report). My plans to attend and speak at his event last year in Europe did not work out, but I hope to do so at some point in the future. Bruno’s annual compendium is an encyclopedia of e-invoicing activity that explores trends and growth on a global basis. One area that caught my attention in this year’s edition was the evolution of country-specific activity. Bruno had some interesting things to say about China .

Taulia: The Stealth E-Invoicing Provider? [PRO]

The Spend Matters research team has been in countless meetings with potential Taulia customers, partners, and competitors who think the provider only focuses on dynamic discounting. When Jason Busch (Group Managing Director at Spend Matters) first encountered Taulia, he confesses to having had the same impression. It is a mistake that is easy to make given how easily Taulia integrates into the SAP ECC and MM/FI ecosystem including Dolphin, OpenText and ReadSoft deployments. For example, Taulia can interoperate with and compliment these systems in the case of different e-invoicing plumbing areas. This Spend Matters PRO analysis provides a detailed overview of Taulia’s e-invoicing capability across all key areas (supplier enablement, supplier self-service portal, invoice data submission/capture (via eFile, eForm, eSend/PDF, APIs, file upload, etc.), workflow, network connectivity, analytics, OCR, etc.) and how it works alongside Taulia’s core discounting, trade financing and related capabilities (e.g., supplier enablement/onboarding).

Latin America E-Invoicing 2014 Update: Summary of Requirements

I have written over the past few weeks on the requirements in Brazil, Mexico, Chile, and Argentina. I chose these as they have specific mandates that will have an effect on the Account Payable processes. In today’s post, I’m going to provide a summary of what to look for as you approach these countries -- and Latin America in general -- from the AP and Shared Services perspective.