Welcome!

News Feed Item

Industry Report: Majority of Accounts Payable Orgs Can Reduce Costs by up to 80%

Tradeshift, the fastest growing business transaction and collaboration platform, today announced the findings of a market research effort entitled “ePayables 2014: The Quest”. This independent research report seeks to present a comprehensive, industry-wide view into the quickly evolving nature of accounts payable (AP) functions by drawing on the experience, performance, and perspective of approximately 200 AP, finance, and other professionals.

The report notes that the top concerns for accounts payable groups are around reducing invoice processing costs and efficiency. These issues are exacerbated by the fact that 70% of invoices within enterprises are still manually received and processed, which adds significant costs and slows down access to critical information.

Though many AP operations are largely stuck using paper based processes and outdated technologies, the report shows that changes are happening. 37% of respondents said it was “very likely” that they would move to a largely automated AP process in the next two to three years.

These changes are happening as AP begins to transform its role into a more strategic component of financial operations focusing on value adding activities as opposed to administrative tasks. The discussion is no longer whether to automate AP but when a solution can be deployed how quickly it can be mastered.

As noted in the report “...the speed of business today requires a different level of engagement and alignment with trading partners than what was once required. Leveraging the collective strength of a supply chain to the benefit of all participants has become the hallmark of the agile and progressive businesses who understand that an increasing dependence on third-party partners and suppliers is not just an inevitability, but a pre-condition of success.”

"Best-in-Class accounts payable groups have shown that a high level of performance can be unlocked by leveraging technology,” said Andrew Bartolini, chief research officer, Ardent Partners. “The opportunity is compelling and we expect, over the next few years, to see more AP groups initiate technology initiatives that are designed to transform their operations from generally inefficient and clunky functions to a more strategic, automated, and well-oiled machines that sit at an important business intersection.”

Additional key findings of the study include:

  • The average cost to process an invoice is approximately $14.21. The report notes that introducing AP automation can potentially reduce costs by 60-80% as evidenced by Best-in-Class enterprises who report costs around $2.42 per invoice.
  • Top performing AP operations are able to process an invoice in approximately 3.7 days whereas it takes others over 17 days.
  • 55% of respondents are planning to implement an e-invoicing solution over the next 2 years.

Said Christian Lanng, CEO of Tradeshift, “What still confounds me is that despite advances in payment technology, like contactless on the consumer side, enterprise business payment processes are stuck in the past. Most companies are still using outdated invoicing procedures, such as manually sending out invoices, track transactions and keeping a ledger. If you want your company to survive and thrive, you must disrupt outmoded operations in order to adapt to fast-changing needs and remain competitive. This frees up the payments in the pipeline, allowing you to invest in other areas of your company, further propelling your business forward.”

For a copy of the complete Ardent Partners report, please visit: http://tradeshift.com/resources/epayables-2014-the-quest/

For more analysis of the report’s findings visit Tradeshift’s blog.

About Ardent Partners

Ardent Partners is a Boston-based research and advisory firm focused on defining and advancing, the accounts payable, procurement, and supply management strategies, processes, and technologies that drive business value and accelerate organizational transformation within the enterprise. Founded by Andrew Bartolini, Ardent also publishes the CPO Rising and Payables Place websites. Register for access to Ardent Partners research at ardentpartners.com/newsletter- registration/.

About Tradeshift

Imagine a place where all companies, big and small, come together to work, collaborate and transact. Now stop imagining and start participating. Tradeshift is the single, shared and open platform connecting buyers and suppliers easily and without limitation. Launched in 2010, Tradeshift connects 500,000 companies across 190 countries, with over ten thousand more joining every month. Businesses on the platform include DHL, the National Health Service (NHS), French Government, CBRE and Vestas Wind Systems. Tradeshift was awarded Best Enterprise at The TechCrunch Europa awards and Most Innovative Solution by Financial-I. TechCrunch also recognized it for “Kicking Ass Globally”. Tradeshift is a global business, headquartered in San Francisco with offices in Copenhagen, London, Suzhou and Tokyo. Find out more at http://tradeshift.com

More Stories By Business Wire

Copyright © 2009 Business Wire. All rights reserved. Republication or redistribution of Business Wire content is expressly prohibited without the prior written consent of Business Wire. Business Wire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
SYS-CON Events announced today that LeaseWeb USA, a cloud Infrastructure-as-a-Service (IaaS) provider, will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. LeaseWeb is one of the world's largest hosting brands. The company helps customers define, develop and deploy IT infrastructure tailored to their exact business needs, by combining various kinds cloud solutions.
Adding public cloud resources to an existing application can be a daunting process. The tools that you currently use to manage the software and hardware outside the cloud aren’t always the best tools to efficiently grow into the cloud. All of the major configuration management tools have cloud orchestration plugins that can be leveraged, but there are also cloud-native tools that can dramatically improve the efficiency of managing your application lifecycle. In his session at 18th Cloud Expo, ...
The competitive landscape of the global cloud computing market in the healthcare industry is crowded due to the presence of a large number of players. The large number of participants has led to the fragmented nature of the market. Some of the major players operating in the global cloud computing market in the healthcare industry are Cisco Systems Inc., Carestream Health Inc., Carecloud Corp., AGFA Healthcare, IBM Corp., Cleardata Networks, Merge Healthcare Inc., Microsoft Corp., Intel Corp., an...
SYS-CON Events announced today the Kubernetes and Google Container Engine Workshop, being held November 3, 2016, in conjunction with @DevOpsSummit at 19th Cloud Expo at the Santa Clara Convention Center in Santa Clara, CA. This workshop led by Sebastian Scheele introduces participants to Kubernetes and Google Container Engine (GKE). Through a combination of instructor-led presentations, demonstrations, and hands-on labs, students learn the key concepts and practices for deploying and maintainin...
StackIQ has announced the release of Stacki 3.2. Stacki is an easy-to-use Linux server provisioning tool. Stacki 3.2 delivers new capabilities that simplify the automation and integration of site-specific requirements. StackIQ is the commercial entity behind this open source bare metal provisioning tool. Since the release of Stacki in June of 2015, the Stacki core team has been focused on making the Community Edition meet the needs of members of the community, adding features and value, while ...
Using new techniques of information modeling, indexing, and processing, new cloud-based systems can support cloud-based workloads previously not possible for high-throughput insurance, banking, and case-based applications. In his session at 18th Cloud Expo, John Newton, CTO, Founder and Chairman of Alfresco, described how to scale cloud-based content management repositories to store, manage, and retrieve billions of documents and related information with fast and linear scalability. He addres...
Is your aging software platform suffering from technical debt while the market changes and demands new solutions at a faster clip? It’s a bold move, but you might consider walking away from your core platform and starting fresh. ReadyTalk did exactly that. In his General Session at 19th Cloud Expo, Michael Chambliss, Head of Engineering at ReadyTalk, will discuss why and how ReadyTalk diverted from healthy revenue and over a decade of audio conferencing product development to start an innovati...
Amazon has gradually rolled out parts of its IoT offerings in the last year, but these are just the tip of the iceberg. In addition to optimizing their back-end AWS offerings, Amazon is laying the ground work to be a major force in IoT – especially in the connected home and office. Amazon is extending its reach by building on its dominant Cloud IoT platform, its Dash Button strategy, recently announced Replenishment Services, the Echo/Alexa voice recognition control platform, the 6-7 strategic...
Ovum, a leading technology analyst firm, has published an in-depth report, Ovum Decision Matrix: Selecting a DevOps Release Management Solution, 2016–17. The report focuses on the automation aspects of DevOps, Release Management and compares solutions from the leading vendors.
Continuous testing helps bridge the gap between developing quickly and maintaining high quality products. But to implement continuous testing, CTOs must take a strategic approach to building a testing infrastructure and toolset that empowers their team to move fast. Download our guide to laying the groundwork for a scalable continuous testing strategy.
SYS-CON Events announced today that Venafi, the Immune System for the Internet™ and the leading provider of Next Generation Trust Protection, will exhibit at @DevOpsSummit at 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Venafi is the Immune System for the Internet™ that protects the foundation of all cybersecurity – cryptographic keys and digital certificates – so they can’t be misused by bad guys in attacks...
SYS-CON Events announced today that 910Telecom will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Housed in the classic Denver Gas & Electric Building, 910 15th St., 910Telecom is a carrier-neutral telecom hotel located in the heart of Denver. Adjacent to CenturyLink, AT&T, and Denver Main, 910Telecom offers connectivity to all major carriers, Internet service providers, Internet backbones and ...
It’s 2016: buildings are smart, connected and the IoT is fundamentally altering how control and operating systems work and speak to each other. Platforms across the enterprise are networked via inexpensive sensors to collect massive amounts of data for analytics, information management, and insights that can be used to continuously improve operations. In his session at @ThingsExpo, Brian Chemel, Co-Founder and CTO of Digital Lumens, will explore: The benefits sensor-networked systems bring to ...
Security, data privacy, reliability and regulatory compliance are critical factors when evaluating whether to move business applications from in-house client hosted environments to a cloud platform. In her session at 18th Cloud Expo, Vandana Viswanathan, Associate Director at Cognizant, In this session, will provide an orientation to the five stages required to implement a cloud hosted solution validation strategy.
"Avere Systems is a hybrid cloud solution provider. We have customers that want to use cloud storage and we have customers that want to take advantage of cloud compute," explained Rebecca Thompson, VP of Marketing at Avere Systems, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.