Objectives
Having conducted continuous reviews of process efficiency across the entire organisation, it was clear that improvements were needed. Accounts Payable was identified as a key area where benefits could be realised through a single, focused approach. Centralising the function while introducing process automation could result in real cost savings and efficiency improvements, while driving out errors, and would also free up people’s times at the individual care homes – enabling them to focus on providing the highest levels of care.
Working with Proactis helped identify a set of key objectives; purchase invoices were to be processed centrally with the highest levels of efficiency and accuracy; the introduction of key performance indicators, and implementing a platform that would allow for the continuous improvement and evolution of the whole invoicing process.
How Proactis helps
FSHC wanted to ensure that the new central function could handle existing and potential invoice volumes, without adding significant headcount. Proactis looked at areas such as the time spent manually entering purchase invoices into the existing Unit4 finance system, the associated inefficiencies with invoice exceptions and working with paper. Through the introduction of document scanning and the import of PDF invoices, purchase invoices could be scanned with the invoice information “intelligently” extracted and automatically validated.
Proactis introduced powerful, template-free invoice data capture technologies, including advanced “learning” capability, allowing FSHC to enter values not automatically extracted. These “learning” capabilities mean the solution remembers the location of the missed value to drive continuous data improvement.
A dedicated, web-based query resolution process was also deployed so that FSHC can rapidly resolve any invoice non-conformance issues such as missing or incorrect supplier information. This gives a clear picture of the reasons and sources of any invoice exceptions. Not only can exceptions be easily resolved, but FSHC can now engage suppliers and have them resolve queries themselves to drive out exceptions at source.
Benefits
The rapid improvements in efficiency have seen FSHC achieve tangible benefits from the automation of the AP process. The ratio of invoices processed per clerk, per annum has seen a 65% increase. The costs to process the invoices has reduced by 41%, resulting in very high levels of process efficiency that have exceeded what was originally projected and the objectives that were initially set. All aspects of invoice processing have been substantially improved, while removing manually intensive and error-prone processes.
At the same time, working with electronic images has ensured greater control and increased transparency. The purchase invoices can now be viewed at the click of a button from within the Unit4 finance system, as well as securely through the document repository. Proactis was also able to advise on how to get the most from the existing Unit4 finance solution due to the many years of integration experience and close partnership with Unit4.