If you missed out on The Institute of Financial Operations (IFO) Fusion 2014 in Dallas, TX, we’ve got you covered with the highlights of the conference.
You probably know the conference was full of the industry’s brightest financial operations professionals, niche workshops and educational breakout sessions. Everything’s bigger in Texas, and Fusion 2014 was no exception with over a thousand Accounts Payable and Procure-to-Pay professionals in attendance.
And Taulia was the talk of the town!
Our in-booth presentations in the exhibit hall drew over 100 attendees to hear Chris Cauley, Senior Director of Solution Consulting, talk about the benefits of Taulia’s procure-to-pay platform and enter for a chance to win cash at our famous cash wheel.
Nothing makes a P2P professional smile bigger than a cash prize! Well, it might take a close second to saving millions in supplier discounts.
The four keys to a successful implementation of a P2P platform:
1. Cross Departmental buy in is crucial. Make sure Finance and Procurement are in alignment every step of the way. Procurement was the key in leveraging existing relationships to ensure portal awareness and engagement among suppliers. Remember: the more suppliers on the portal, the higher ROI of a P2P platform, and the greater the early payment discounts!
2. Avoid supplier fees to maximize supplier adoption. Offering a free service is step one in strengthening relationships with your suppliers. When rolling out a new P2P platform, nothing prevents friction like making the service free of cost.
3. Dynamic Discounts can be enabled for 100% of invoices. Focus on eInvoicing first, then discounting second. Dynamic Discounting relies on eInvoicing, and by prioritizing accordingly makes it easy to capture discounts without even trying. Talk about icing on the cake!
4. When in doubt, test it out. Lock a team in a room to test any and everything.
Highlights from How Pacific Gas & Electric’s (PG&E) Increased Supplier Discount Capture By Over $75M in Just 2 Years
Ben Shaffer, Director of Payment Services at Fortune 500 utility company, PG&E, shared his best tips and tricks to maximizing supplier discounts.
At PG&E, after implementing a P2P Platform, the numbers spoke for the program’s all around success. A few hypotheses that were proven by results as eInvoices increase: -Payment error decreases -Clerical FTE’s decrease -Productivity increases -Supplier discount capture increases
eInvoicing is the foundation for supplier financing. Suppliers struggle to access capital, paying invoices early allows buying organizations to provide their supply chain with fast, easy and inexpensive access to cash. And save millions.
Don’t believe him? PG&E has the metrics to prove it:
61% of suppliers request multiple early payments
49% of the early payments requested by these suppliers were automatically accelerated
23.6% is the average finance rate of top dynamic discounting users
19% is the average APR for all suppliers
$121M is the discount revenue added to the bottom line in the past three years (No big deal!)
See you next year at Fusion 2015!