B2B – Procure-To-Pay
To reduce the overall corporate cost of its in-stock inventory and its most often one-off ordering and to gain the economy of bulk purchase and invoice volume with its associated savings (and instead of taking on the replacement of an aged and overburdened ERP Finance system), Management signed up with Coupa to provide an enterprise Purchasing and Invoicing function.
In hindsight, the best solution was to replace the ERP Finance system in support of the corporate structure; however, that decision incurred a greater expense with a longer timeframe for implementation and cost-savings realization. As to whether Coupa would have be chosen as the Purchasing interface after a new ERP implementation is a debate for another day. However, the point was that a solution was needed to reduce overall corporate spending while increasing B2B volume based on fixed terms and pricing with preferred vendors.
However, integrating with and utilizing the Coupa Procure-to-Pay solution leveraged the company’s B2B access to and control of its burgeoning day-to-day operational inventory costs and aided with its annual physical inventory counts in just a few months’ time. Implementing the Coupa solution ‘forced’ the corporation to its preferred vendors with their pre-negotiated contract terms eliminating the need for much of the on-going overpriced and one-off purchasing patterns providing clear visibility into new savings.
My responsibility was the strategic planning, the design architecture, leading automation and the tactical execution of the Coupa SaaS Procure-to-Pay solution and its integration with the ERP Finance system. Aspects of the solution included: Single Sign-on, User Authorization, Spend Limits, Expense/Audit Analytics, Daily delta Ready-to-Pay Invoicing, Paid Invoices processing, and integration to the GL for batch posting.
The B2B integration was complex and involved due to the current ERP Finance system and its integration with custom-built application interfaces that evolved overtime within the company. The adoption of the Coupa Procure-to-pay solution was seamless to the users after integration of custom-built processes enforcing new corporate policies, spend limits, and expense rules.