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Adding value with invoice automation

Referenssi

With millions of invoices received annually in countries around the globe, ABB company turned to Basware to increase efficiency, achieve spend visibility and standardise the invoice handling process.

As the global leader in power and automation technologies for utilities and industry, ABB receives and processes millions of invoices each year in countries all around the world. Trying to keep track of all these invoices and manage accounts payable (AP) processes was a very labor intensive and time-consuming process.

With a vision to standardise processes and improve efficiencies, the company decided to establish country-based Shared Accounting Service Centers (SAS Centers), governed by the Shared Accounting Services Lead Center (SAS LC).

Alongside establishing new operational structure ABB wanted to increase the levels of automation across their AP function.

ABB's Challenges

ABB invoice handling process was paper based with a significant number of manual processes. Typically, invoices were manually entered into the purchase invoice ledger, forwarded to recipient for approval to then be sent to Accounts Payable department in the internal mail, processed, verified, and manually booked and archived.

ABB needed a solution that could not only digitise invoicing handling but also execute on a global scale. ABB invoice handling process was paper based with a significant number of manual processes. Typically, invoices were manually entered into the purchase invoice ledger, forwarded to recipient for approval to then be sent to Accounts Payable department in the internal mail, processed, verified, and manually booked and archived.

ABB needed a solution that could not only digitise invoicing handling but also execute on a global scale. The solution needed to integrate with ABB’s multiple ERPs and needed to function in multiple languages and currencies.

How Basware and ABB designed a new AP Automation Solution

ABB conducted a thorough evaluation of automated invoice processing solutions, and with input from several ABB locations worldwide, selected Basware AP Automation as the preferred solution.

Basware and ABB designed the system architecture based on ABB’s processes and requirements, with input from Basware regarding best practices. Basware also configured the system to interface with the company’s SAP systems.

The flexibility of Basware’s technology and its ability to adapt to local variations of ABB’s standard accounts payable process, enabled ABB to implement the solution in 18 countries – including Switzerland, Russia, China and Japan.

Results

Today, the Basware solution is used to scan in purchase invoices, validate the scanned data, and incorporate the invoices into Basware’s invoice automation system in one single step — cutting the invoice processing times significantly. 

Automatic Matching has also increased with the introduction of automation. ABB is now able to match invoices with purchase orders and some countries are already achieving 60% fully automatic, straight-through processing.   

The flexibility of Basware’s invoice automation system and its ability to adapt to local variations of ABB’s standard accounts payable process means adoption has been brisk with a success roll out in now 18 countries with more on the way. 

Read more from Basware website: www.basware.com/en/why-basware/customers/abb/

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