Just the Facts: A Side-by-Side Comparison of the Latest AP Automation Solutions in the Market

Agenda

Is E‐invoicing Right for My Organization?In-house vs. Outsourced Scan and CaptureStrengths & Weaknesses of AP Automation SolutionsWhat is SaaS AutomationSummaryCOR360 DemoQ&A

IS E-INVOICING RIGHT FOR MY ORGANIZATION?

E-invoicing Benefits

Benefits of e-invoicing– Eliminate lost invoices– Same day receipt when supplier submits invoice– More accurate than manual data entry– Automated invoice validation– Line item data for spend analysis– Automated line item matching– Image rendering– Improved dispute resolution– Go “Green”

Supplier Networks

Supplier Networks provide a network for transmitting e-invoices– Suppliers can submit electronic invoices, view invoice

status, or payment information via a dedicated self-service portal

– Provides 24/7 customer service to your suppliersBenefits– Saves time– Eliminates cost of paper scanning and data capture– Less time spent responding to supplier inquiries and

internal departmental questions

Types of Models

MODEL SUPPLIER RESISTENCELEVEL

SUPPLIER % OF SPEND MODEL• Buyer pays implementation fee• Supplier pays a % of spend• Buyer pays a per invoice fee

HIGH

SUPPLIER FLAT FEE MODEL• Buyer pays implementation fee• Supplier pays flat monthly fee• Buyer pays a per invoice fee

MODERATE

SUPPLIER FREE MODEL• Buyers pays NO implementation fee• Supplier pays nothing• Buyer pays a per invoice fee

LOW

Tips for Supplier Onboarding

Number of Suppliers on Network– Success rate is not equal to the number of suppliers

listed on a network– The number of suppliers who have submitted invoices

in the past 12 months is more relevant to the success rate

– Reference calls to ask suppliers how easy/hard the integration process was is critical

– Having a supplier on a given network does not mean that supplier is easier to onboard for your specific company

Integration Methods– Specific format (i.e. XML, CXML, etc.)– Variable format

50

50

100%

0%

50%

25%

75%

1 Year 2 Year

E-invoicing

Paper Conversion

10

90

30

70

Paper to Electronic

E-invoicing

Paper Conversion

SCAN AND CAPTURE- INSOURCE VS. OUTSOURCE

Scan and Capture Overview

Intelligent Scanning

Data Extraction

Data Validation

Scan and PrepDocument sortingDocument classification

•Invoice•Backup•Expense report•Junk mail

Scan and PrepDocument sortingDocument classification

•Invoice•Backup•Expense report•Junk mail

Data CaptureInvoice: 12345Date: 12/20/2010Amount: $8,532.00Vendor: VerizonAttention: 1101PO #: 98765

Data CaptureInvoice: 12345Date: 12/20/2010Amount: $8,532.00Vendor: VerizonAttention: 1101PO #: 98765

Quality Assurance• Validate

discrepancies• Cleans data so you

do not have to

Quality Assurance• Validate

discrepancies• Cleans data so you

do not have to

Internal Scan and OCR SaaS Outsourcing

Investment in equipment required No investment in equipment

Maintenance costs No maintenance costs

Interruptions if equipment breaks No equipment interruptions

Training required No training required

Correct OCR exceptions No OCR Exceptions to validate

AP manages paper, not tasks; why manager paper to go paperless? NO PAPER TO MANAGE!

STRENGTHS & WEAKNESSES OF AP SOLUTIONS

Types of AP Automation Models

Hosted / ASP• 3rd party provider hosts and maintains your dedicated software

True SaaS• Delivered as a subscription service over the Internet

• Multi-tenant• Configurable Solution

In-house• Build your own• Install software and maintain with internal IT

Hybrid SaaS• Delivered as a subscription service over the Internet

• Single tenant• Packaged Solution

Banks & Financial Institutions

Typically have an existing relationship with Treasury or Finance

Tends to lack AP functionality

Goal is to expand banking relationship

In House Software Providers

Very customizable but at a cost

Large upfront and consulting costs. Long implementation time frame.

Keeps your IT department employed to support

Enterprise Content Management (ECM)

Offered as both SaaS and in house

Frequently leveraged for multi department document retention

Generic workflow capability not focused on AP

SaaS Automation

Pay as you go model provides low risk, low cost of ownership and fast ROI

Short implementation timeframe

Cloud hosting eliminates buying infrastructure and needing IT support

Internet

WHAT IS SaaS AUTOMATION?

SaaS in Our Personal Lives

SaaS vs. the Cloud

Software

Platform

Infrastructure

SaaS – business model Cloud – hosting option

SaaS

PaaS

IaaS

Internet

Mobile

Office

PDA / Smartphone

Home OfficeCloud Provider

SaaS MythsSaaS Myth SaaS Reality

SaaS is a trend SaaS in AP is growing at 40% per year vs. declining growth for in-house solutions.

SaaS offers skinnier pre-built versions of in-house solutions

True SaaS models allow for clients to customizesolutions as if they were in-house models.

SaaS is only for small and medium-sized businesses

SaaS offers the same features and functionality as in-house applications, and large enterprises are realizing that SaaS gives them the bigger ROI.

SaaS is less reliable and less secure

Disruptions with Google or Amazon get plenty of attention, but are more infrequent and do not last as long as in-house outages.

SaaS is opposed by IT professionals SaaS eliminates in-house maintenance and can help

IT streamline their own IT operations.

SUMMARY

Summary

E-invoicing is not futuristic anymore as suppliers are adoptingOutsourced Invoice Virtualization has cost advantages over purchasing OCRWith many AP Automation models to choose from, knowledge of the benefits of each will help in choosing the right modelIf your company is not using SaaS and cloud to save money……beware your competitors are

ABOUT CORCENTRIC

PO Requisition

Electronic Invoice Network

Invoice OCR Capture & Extraction

Approval Workflow

Invoice Matching

ERP Integration

Payment & Remittance Mgmt

Cloud-based AP automation solutions

Corcentric is a leading provider of financial process automation solutions, specializing in Accounts Payable automation.

Corcentric compliments existing systems, while providing cutting-edge workflow efficiencies

Corcentric helps you transform your AP from a cost center to a strategic asset

About Corcentric

COR360 PRODUCT DEMO

PORequisitions

Approval Workflow

Automated Invoice

Matching

StraightThrough

Processing

Dashboard Reporting

Document Archive

Platform

Convert any invoice format into electronic data at the

Invoice Virtualization Center.

AP / ERP System

Send and receive invoices with direct integration through the Corcentric supplier network.

HOW INVOICES ARE SENT TO CORCENTRIC

Invoicing Methods

Scan/Upload

E-invoices

MailE-Mail

Web Form

Fax

Intelligent Scanning

OCR Extract Data Validation

AP Workflow

Location Scanning

Online Indexing

Virtualization Options

Purchase Order Requestor

Attention Name or Department

Vendor Based

Invoice AmountsBalance Due: $992.53

SmartRouting

Invoice Notification

Approval-based Workflow

Approved Invoice / AP Review

Electronic Interface

ERP / AP System

First Level Approval

Higher Level Approval

Purchase Order

Three Way Matching

No Human Intervention

Straight Through

Processing

To see a live demo of COR360, visit corcentric.com or call 703.962.9474