Accounts payable automation: Thinking outside ERP

31.07.2012

* The problem of flexibility. Solutions that are developed to operate within the ERP environment are, by nature, limited in their ability to integrate with multiple systems.

* The problem of performance. With an IT landscape that is constantly changing and ever-evolving, it is critical to integrate AP workflow automation at a level that maintains ERP system integrity while performing seamlessly. Tools that operate within the ERP environment have a habit of tapping system resources allocated to core ERP and other enterprise systems. The impact is only multiplied as companies add systems through mergers and acquisitions, and as additional staff requires more resources.

* The problem of recognition. While the part of the "inside ERP" process that extracts data from sources (paper invoices, email, faxes, EDI, etc.) resides outside of the ERP system, approval workflow is done inside, which creates a break in the end-to-end audit trail. Plus, instead of validating recognition and initiating the workflow from the same screen, AP personnel have the burden of dealing with two different applications and interfaces.

To avoid opening the proverbial can of worms associated with inside ERP workflow, companies often take an external approach to automation. An ERP-independent solution enables integration in heterogeneous ERP landscapes without the time, cost and risk involved in trying to implement a tool within their ERP application(s), and promotes a host of potential advantages: