Digital procurement process in SAP
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Do you use SAP? Then you have the perfect foundation for a complete digitization of your procurement process. What is the benefit?

The procurement process is complex and consists of five separate steps – from purchase to payment (Purchase-to-Pay). The diagram shows the individual parts of the process.

On the surface, this process may seem simple but in each subset of the process your organisation needs to deal with incoming documents such as orders, delivery notes and invoices. Each of these documents creates administrative overhead in the form of manual processing, approval and storage. That overhead affects many employees across different departments.

SAP offers rudimentary solutions for some of the component steps. However, the standard SAP solution is not holistic and fails to take the entirety of the procurement process into account. The separate processes are not combined into a consistent whole and defacto inconsistencies are preprogrammed.

Failure to effectively manage and structure such a complex process automatically creates unnecessary impediments in day-to-day business operation:

  • – Insufficiently structured ordering processes result in out of control purchasing behaviour (“maverick buying”) that bypasses the purchasing department.
  • – Long processing times for accounts payable invoices and the resultant forfeiture of early payment discounts are a direct result of time wasted waiting for invoice approvals.
  • – Lack of process transparency prohibits effective oversight and impedes compliance with internal guidelines.
  • – Conventional, manual paper-based processing in the P2P process costs employees unnecessary time and effort, often resulting in frustration.

These impediments have both a negative effect on company profits, as well as on employee satisfaction. Make the most of the competitive advantage inherent in process improvement before your competitors beat you to the punch!

Advantages of a purchase to pay process:

  • Reduce process costs. Electronic procurement reduces process costs in purchasing by 30% on average (according to a study by the Association for Supply Chain Management, Procurement and Logistics).
  • Receive early payment discounts and avoid late payment fees.
  • Complete transparency in all ordering processes. Overview of all orders, invoices, goods received and payments.
  • Create space to breathe. Routine tasks fall by the wayside.
  • Purchase prices are reduced by by putting an end to “maverick buying,” purchase prices are lowered by an average of 7% (according to a study by the Association for Supply Chain Management, Procurement and Logistics).
  • High degree of process automation. Preliminary posting directly in the SAP system makes manual data transfer unnecessary.
  • Expedite invoice processing. Individual responsibilities are clearly defined, as are substitution rules in the case of employee absence.
  • Audit-compliant archiving. All important information such as purchase requisitions, approvals and orders are archived automatically in compliance with the law.

“Our internal processes were rigid and flawed. d.velop helped us define our purchase to pay processes more clearly and dramatically improve our processing time.”

Bernd Raabe

Messer Information Services GmbH

Four solutions that make your procurement process more effective

Creating a consistent procurement process necessitates digital solutions that seamlessly combine individual process steps.

d.velop augments your SAP environment with the necessary components. How? Four software solutions specifically designed for SAP provide the necessary extensions for your SAP system.

process-digital-purchase-to-pay-process

d.velop’s SAP expertise

Are you looking for a team of experts that has operated successfully in the SAP ERP environment for years? Then you have come to the right place. SAP activities are strategically integrated at d.velop and are handled by our very own SAP center.

  • d.velop is a long-standing SAP partner
  • Over 700 customers use d.velop products in the SAP business environment
  • Some of our customers in the SAP business environment: Zentis GmbH & Co. KG, Westfleisch SCE mbH, Weber GmbH & Co. KG, Eismann Tiefkühl Heimservice GmbH
  • Our own SAP Center with experienced SAP advisors and developers

Request a free demo!

Learn why over 700 SAP customers rely on d.velop products and how you can increase employee satisfaction and save costs with a digital purchase to pay process.

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