Procure-to-Pay

Welcome to the Proactis Procure-to-Pay Content Hub, your one-stop resource centre to automate P2P processes


What is Procure-to-Pay?

Procure-to-Pay, also known as Purchase-to-Pay and P2P, is made up of a number of stages that describe the end-to-end buying process, from initial request and purchase through to invoicing and payment for good/services received.1 By simplifying these processes, you can take a big step towards your digital transformation goals.2

Companies overspend millions on procurement,3 but with a P2P system you can control the whole purchasing process - from order request and approval, to order creation and receipt - across all products and services, in one system. You can guarantee that your employees order within the defined procedures, policies and budgets. P2P is intrinsically linked to your operational procurement processes, from order requisitioning to the processing of the invoice. 
 
 

Procure-to-Pay can have many challenges:

  • Employees often make purchases without appropriate authorisation.
  • Many purchases are made from non-preferred sources and systems.
  • There is no visibility of purchase commitments until invoices arrive.
  • Costs are attributed to the wrong accounts or departments.
  • Value productivity is lost due to excessive time taken.4

In a single P2P software system, the entire process becomes automated, collaborative and streamlined:

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Requisitioning, approval, ordering and receiving, while preventing unauthorised purchases and maintain control.


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Real-time insight into budgets with clear dashboards and reports for complete budget control.


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Automated invoice registration, validation, matching and payment approval for PO and non-PO invoices.


Get a handle on how your organisation really buys goods and services

Learn the 5 key questions you should ask about your organisation’s Procure-to-Pay process in order to drive savings:
  • Get a handle on how things are really done today.
  • Identify where the savings opportunities lie.
  • Start a dialog among key managers.
  • Develop a vision of how to tackle problems and seize opportunities.
  • Gain a general view of how a good P2P software solution can help you do that better, faster, cheaper.
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Procurement, Budgets, Invoicing - Procure-to-Pay (P2P)

On-Demand Procure-to-Pay Webinar

This webinar - Quantifying ROI: Building a Business Case for Procure-to-Pay - will give you a simple, straightforward way to discover the kind of bottom-line impact you can achieve with P2P and develop your business case in a matter of hours.

Watch now

Quantifying ROI: Building a Business Case for Procure-to-Pay (P2P)

Bright Horizons enjoys total visibility of end-to-end procurement and spend with Proactis P2P

“The beauty of the Bright Horizons and Proactis partnership is that the system gives us the ability to automate invoice processing, while placing orders in different and more efficient ways. This not only adds value but enables us to see all invoices that come through, even those with no associated purchase order.”

Read the full story

Bright Horizons enjoys total visibility of end-to-end procurement and spend with Proactis P2P

Proactis has provided P2P solutions to many organisations around the world:

Step-by-step guide to end-to-end Procure-to-Pay in one platform

Seamless P2P drives end-to-end efficiency and enables more effective buying decisions and savings, using 4 simple steps:

  • Step 1: Requisitions and Purchase Order (PO) Requests

  • Step 2: Requisition / Purchase Order Approval

  • Step 3: Goods Receipt / Invoice Acceptance

  • Step 4: Invoice Matching and Approval

Use technology to drive automation across all aspects of the process...

Download to see how!
A step-by-step guide to end-to-end Procure-to-Pay, in one platform
Procure-to-Pay is intrinsically linked to your operational procurement processes, from order requisitioning to the processing of the invoice. Proactis P2P takes the ‘online shopping experience’ for users to the next level, with features such as intelligent search functions helping the user to find the products and services more easily, across catalogues. 

The software assigns the correct steps in the buying process (guided buying), so that even occasional users can navigate the process themselves, while the order requisition process ensures that orders are placed with contracted (preferred) suppliers and as per the correct conditions (compliance).


Learn more about Proactis Procure-to-Pay
P2P FAQs
What is Procure-to-Pay
Procure-to-Pay is made up of a number of stages that describe the end-to-end buying process, from order request and approval, to order creation and receipt, across all products and services.

The class of software systems that have come into being in recent years to address this important cycle is generally referred to as Procure-to-Pay or Purchase-to-Pay software systems – P2P systems for short.

Download: P2P – Get a handle on how your organisation really buys goods and services
 
What are the challenges that P2P can solve?
There are many challenges to bringing spend under contract:
  • Employees often make purchases without appropriate authorisation.
  • Many purchases are made from non-preferred sources and systems.
  • There is no visibility of purchase commitments until invoices arrive.
  • Costs are attributed to the wrong accounts or departments.
  • Value productivity is lost due to excessive time taken.
Read how Randstad realises a more efficient P2P process and more control over spending
Why should I implement a P2P system?
Procure-to-Pay is intrinsically linked to your procurement, from order requisitioning to the processing of the invoice, meaning that you can take full control of your complete operational procurement process. It enables the ‘online shopping experience’ for users and guarantees that your employees order within the defined procedures, policies and budgets.

You can also:
  • Accelerate procurement processes.
  • Avoid unnecessary purchases.
  • Ensure the use of negotiated supplier agreements and contracts.
  • Reduce cost of PO handling.
  • Ensure financial control and visibility.
  • Reduced risk of supplier non-conformance and non-compliance.
  • Improve data for spend analysis.
Download: Next Generation P2P
 
How can I achieve an effective, agile and automated P2P process?
A good P2P software solution will provide automation - an electronic system that allows employees throughout the company to browse supplier sources such as catalogs and websites online to find, then purchase or request, the item or service they need from an approved supplier.

The purchase request will be compared to corporate rules based on who is making the request, the cost, the spend category, and other criteria. For approval it will electronically route the request to the right manager. POs will automatically be placed for approved requests. When the invoice arrives, it will be electronically matched against what was ordered and received, and against applicable contract terms.

The best P2P systems process the great majority of invoices “straight-through”, while automatically initiating workflow-based resolution of any exceptions. Once authorised, invoices are passed to your Accounts Payable function for payment.

Learn how Wigan Council achieved 66% processing cost savings by centralising its AP function and automating P2P
Does implementing P2P need to be a huge task?
Improving your existing P2P processes may seem daunting, but by identifying where saving opportunities lie within your organisation and employing a modular approach to automation, you can focus efforts on where you have the most immediate need.

Download this guide for a practical way to get started in the pursuit of P2P process optimisation
 
Glossary
Spend Control
The aim of all organisations, to control what is being purchased and to optimise spend and supply chains so they can reach their full potential. Spend control helps to save money and create efficiencies while increasing compliance and reducing risk.

Source-to-Pay (S2P)
A complete end-to-end outsourcing solution, usually made up of component parts - Source-to-Contract (S2C) or Procure-to-Pay (P2P).

Source-to-Contract (S2C)
Part of the end-to-end spend management process that supports the Procurement team in the activities they perform to make qualified suppliers and negotiated best-value agreements available to the organisation for use when they need to buy something.

Spend Visibility
The ability for managers to easily access past in process, and potential (request submitted but not yet approved) spend within their realm of responsibility.

Spend Under Management
The portion of spend that is influenced by the Procurement team and their processes.


Procurement / eProcurement
eProcurement and all of its various component terms such as eSourcing, eAuctions, eInvoices, ePayables, etc. are all terms that simply imply the use of information technology and internet-based communications to support the Spend Control process – including all procurement and financial control aspects of that process.

Supply Chain
In its simplest form, a supply chain is the activities required to deliver goods or services to the consumer. When thinking about a service, services will come together to offer an overall customer service, as opposed to a finished product.

Supply Chain Management
Supply chain management is the process of managing the flow of goods and services to and from a business, including every step involved in turning raw components into final services/products and getting them to the customer.

Purchasing
The acquisition of goods and services on behalf of a buying entity.

eInvoice
Broadly speaking, an electronic invoice is any invoice sent by a supplier to the buyer in electronic form rather than as a paper invoice.


Sourcing
Sourcing refers to the process of identifying, evaluating and selecting suppliers or vendors to acquire goods, services, or resources needed by an organisation. The primary goal of sourcing is to obtain the best value for money while considering

Supplier Relationship Management
SRM is building and maintaining a strong supplier base by structuring and streamlining the entire supplier lifecycle – from initial identification to adoption, approval, transaction and analysis.

Contract Management
Contract management in procurement is the process of managing agreements with suppliers to achieve the best possible financial and operational performance. The goal is to ensure compliance, mitigate risks, and optimise supplier relationships.

Marketplace
Sometimes referred to as an eMarketplace, a procurement marketplace is a platform that connects staff with approved suppliers and contract when they are purchasing products and services.

Accounts Payable Automation
An efficient and effective Accounts Payable function supports an organisation’s cashflow and helps build healthy supplier relationships. The process of capturing all incoming invoices and efficiently transform them into optimised eInvoices, and enabling efficient invoice matching/approval in their finance system.



1 Procure to pay (part 4) Gov.UK Retrieved 2025-01-31.
2 Purchase-to-Pay (P2P): Definition, Process, Steps, and Benefits Investopedia Retrieved 2025-01-31.
3 What is procure to pay (P2P)? IBM Retrieved 2025-01-31.
4 Procure-to-pay. Wikipedia Retrieved 2025-01-31.