Supplier Enablement

Electronic Invoices - suppliers' point of view

We have lots of conversations with businesses that want their suppliers to send electronic invoices to them and we understand why this is a valid request. But what is their suppliers’ point of view?

Let’s examine the issues that arise for suppliers:

1. They are set up to process paper documents inbound to and outbound from their business using post, fax and e-mail. The associated costs have no particular visibility because of the reliance on these methods to serve all customers.
2. Less than 5% are equipped to process electronic documents, specifically XML.
3. SMEs in particular find it a challenge to know how to respond to a customer’s request for eInvoicing particularly so as each customer has their own unique requirements. These costs have high visibility in the business as they are attributed to serving individual customers.

How do you eliminate paper invoices and replace with electronic invoices?

First, consider that if you want electronic documents (invoices) FROM your suppliers shouldn’t you provide electronic documents (orders) TO your suppliers? This can help your suppliers prepare the electronic invoices that you require - click here to find out why that is.

Second, consider what capability your suppliers need to receive and send your electronic documents? Do they have the capability, if not, who can provide it?

Click here for more information on "make it easy" for buyers and suppliers to move to electronic invoices.

posted by FrankB @ Wednesday, July 12, 2006