Procure-to-pay is a process that integrates procurement and accounts payable processes within a unified system so that an organisation can achieve greater efficiency. Choosing a good procure to pay software solution helps the organisation to enjoy greater compliance and control when it comes to vendors, contracts, regulations, buyers, and accounts payable. Below is a look at how to go about evaluating software and at some of the features you may wish to keep a lookout for when choosing a platform for your organisation.
Consider the bigger picture
P2P is part of the wider procurement strategy, and your software should be as well. Before you meet procure to pay software vendors, you should identify the different cases for uses and the capabilities that are the most important to you. Taking a holistic view prevents departments from working in isolation and ensures your technical investment supports your long-term commercial positioning.
Align with your goals
You must also take into account the wider IT strategy, which may include a move to the cloud, commitments to specific IT standards or to a specific architectural approach, and also the incorporation of any artificial intelligence (AI). Introducing mismatched systems will inevitably create technical friction and limit your long-term return on investment when testing various procure to pay software solutions.
Establish the challenges, outcomes, and solution requirements, and confirm these and the level of prioritisation with stakeholders. To keep the project on track, categorise your requirements into three distinct areas:
- What do you need?
- What do you want?
- What is just nice to have?
Identify key capabilities and uses
Being clear on key capabilities and uses will make it easier to reach a consensus when evaluating software. It also keeps the evaluation on the right course. For each critical use case, list in detail your technical, functional, and user-experience requirements. For non-critical uses, again detail your requirements to make it more straightforward to choose among similar, competitive procure to pay software options during the final selection rounds.
Take control of the demo process
Demos are crucial to rule out different providers. Forming a demo script based on your requirements will help you to compare functionalities more easily, establish any gaps in capabilities or functionality, and ask the right questions. It also stops a provider from only displaying the solution’s strengths and not giving you the full picture of a platform.
Features to look for in a modern procure to pay solution
When choosing your software, there are certain core features you will want to keep a lookout for to protect the longevity of your digital infrastructure:
Cloud hosting / cloud-native deployment
Some organisations build tools internally. Others hire them from a software-as-a-service (SaaS) provider and then implement and host the tool on the site. Both options can result in significant total cost of ownership depending on implementation and scale, and configuration can be problematic. If you use a modern procure to pay software platform that lives in the cloud, the vendor is responsible for the functionality of the software and partners with organisations to meet their needs through regular automated updates.
Configurable architecture
Since there are major differences in processes between organisations, cookie-cutter solutions may seem the answer; often, however, they force the organisations to adapt their processes and workflow so teams can work with the software. Your system should be more configurable to your organisation structure and provide a good user experience.
Automation of purchase orders
If you are searching for new software, it is likely you are doing so to increase the efficiency of your operation. Automation is the way forward, and a piece of software that automates processes, routes modifications, and handles matches will lend your procurement a big boost.
E-invoicing capabilities
Not all solutions will feature e-invoicing, but this useful feature helps ensure compliance and creates visibility. It also speeds up payment in the transaction process. You may not find e-invoicing strictly necessary, but if you are looking to exercise more payment control and improve responsiveness to invoices, it is important to have.
Built-in reporting capabilities
Built-in reporting capabilities allow procurement professionals to gain insight and then make strategic decisions. Although some reporting should be automated, the system must also be able to produce independent reports. Capturing data through the reporting will help you to monitor performance, compliance, and risk.
Spend analytics assistance
The reporting capabilities will help you to capture data in real time on savings, spend by region, supplier spend, and more. The software can present this data in a manageable format so that you can improve efficiency and compliance, uncover any spending outside the scope of your procurement policy, and save money. Ultimately, deploying procure to pay software solutions turns raw transaction data into clear commercial intelligence.
Partnering for Success
If you are considering a spend management system for your organisation, find out more about Coupa Software and how it can positively impact your business. Barkers is an approved implementation partner in the UK and Ireland, and we will ensure that the system is configured to meet your unique requirements perfectly. By collaborating with specialists who understand the nuances of various procure to pay software vendors, your business can bypass common deployment pitfalls and ensure a rapid, high-adoption rollout. Investing in the right procure to pay software is the definitive step toward shielding your profit margins and driving sustainable enterprise growth.