Purchase to Pay

Those following developments on electronic invoicing will be very familiar with the news from earlier this year that the rules in Germany are about to be relaxed. From 1st July 2011 the technical requirements imposed on the use of electronic invoices in Germany will be abandoned. Great! But so what! What's so important about Germany? Let me explain why it's important.

Charles Dominick - nextlevelpurchasing.com - recently published his top twenty online resources for procurement pros. It's an interesting list, ordered by Alexa ranking (notoriously unreliable but as a relative rank guide, there or there abouts). There's the obvious resources that you'd expect to be well ranked such as Supply Chain Management Review and Supply Management and there's no surprise to see Spend Matters and Peter Smith's  Spend Matters UK up there with Procurement Leaders. But what I found particularly interesting is the specialist niche resources that are exerting an influence.

This is the second part of a two piece article on the touch points between purchasing and finance. You can read part 1 here

Purchase to pay plumbing manual – part 2

Purchasing InsightKnowing your end of the purchase to pay process is all well and good but, if you are at the purchasing end for example, which part of the payment end do you need to be joined up to? Here’s a few more of the purchase to pay touch points that should help get the P2P plumbing in place.

Have you ever installed the plumbing in a large office? Neither have I. And if I did I would hold out much hope of it not springing a leak or two. It's a complicated business and you would think twice about having your corporate plumbing  installed by anyone other than a trained professional. It's a shame that most organisation don't apply the same rigour when it comes to installing P2P processes. It's a useful analogy. Installing only half of the purchase to pay process is like installing half of the plumbing. Turn the water on and it will be like a monsoon. Both ends of P2P need to be joined up - but knowing which purchasing component joins with which payment component isn't always obvious.

AP automation has got a bad name for itself in some quarters. You will often hear of projects that meant well but either failed to meet expectations or were abandoned completely. There are many reasons why projects fail such as poor change management or lack of sufficient resource but for AP automation projects, there are three particular issues that crop up again and again in failed or disappointing projects.