The New Frontier in P2P
The purchase-to-pay process has come a long way in recent years as more companies adopt two- or three-way invoice matching. But the matching process is prone to error. Deviations – instances where the invoice does not match the order – of around 30% are commonplace.
Managing deviations is a manual, time-consuming job. Especially for customers, who might well ask why they should bear the cost of making sure supplier invoices are correct. Shouldn’t suppliers handle that? Invoices often state the wrong number of units or include items not shown in price lists. Sometimes they bill for new products not updated in the price list database. The client may not receive the correct volume discounts or agreed credit. On average, mistakes of this kind account for 1% of the total purchase volume.