App
ENG
NLe-Invoicing 2.0: Effective, Paperless and therefore Extremely Sustainable and Efficient.
To improve VAT compliance, governments worldwide are implementing e-Invoicing, however, since e-Invoicing requires
significantly more time to be spent on Procurement Administrations, it became clear that a mechanism was needed
to reduce the administrative burden for companies in order to compensate the extra time needed for the implementation
of e-Invoicing, and thereby serving as the Adoption Motor for e-Invoicing.
We developed the: Procurement Document Manager (abbreviated PDM) webapplication, which is designed to Automate and Digitize the Procurement Administration, an administration that virtually every company deals with.
The Procurement Administration is an administrative gateway to the accounting system of companies, where purchase invoices are prepared for posting in the accounting system and sales invoices are prepared for invoicing. The Procurement Administration is the place where the many tens of thousands of procurement documents, such as purchase orders, sales orders, order confirmations, waybills, delivery notes, and so on, exchanged between suppliers and customers are recorded, in order to initiate, monitor, and manage the mutual trade, and ultimately to be able to Validate the resulting Purchase Invoices and to Prepare Sales Invoices to be invoiced.
Procurement Administrations can turn into large, labor-intensive puzzles, especially when companies have hundreds or even thousands of pending purchase and sales orders, each of which can consist of three to four separate procurement documents, meaning companies have to really go all out to manage their procurement administration properly.
The Procurement Administration is the only part of business administrations, that have never been Digitized or Automated, and is therefore still managed in a very old-fashioned Paper way, which means the many tens of thousands of procurement documents have to be: printed, sorted, collected in folders, organized by number and alphabetically, and stored for many years in binders and archives, manually. This implies that there is a huge Efficiency potential to be gained in Digitizing and Automating this old fashioned managed Procurement Administration.
When using the PDM App, procurement documents NEVER need to be printed on paper again; instead, they are uploaded to the PDM App, where they are stored in the PDM database. To explain how the PDM App works, we divide the App's functionality into two parts:
1. The Digitization component and
2. The Management component.
1. The Digitization component is the part of the PDM App where procurement documents are uploaded and subsequently stored in the PDM database, effectively Digitizing and Archiving them permanently, and where they remain until you choose to delete them from the database. Uploading procurement documents to the PDM App serves as an alternative to printing them out; this means that when using the PDM App, procurement documents NEVER need to be printed on paper again, as was previously common practice, but instead are uploaded to the PDM App.
About which documents to uploaded to the PDM App, we can be brief: these include All conceivable purchasing and sales procurement documents exchanged between trading companies From Quotation to Invoice including UBL and PDF purchase and sales invoices and photos, as well as procurement documents exchanged via channels other than the Peppol network, such as email.
All procurement documents stored in the PDM database are preserved indefinitely, remaining easily traceable and accessible without the need to dig through dusty archives. Furthermore, procurement documents stored in the PDM database can never go missing, a common occurrence in traditional Procurement Administrations.
2. The Management section of the PDM App contains the digital functions required to handle procurement administration Digitally; these functions are:
A. Dossier creation: All procurement documents uploaded to the PDM App are assigned to shared dossiers containing related documents, by the PDM user. PDM Users create dossiers based on criteria of their own choosing; however, for Procurement Administration purposes, it is practical to organize dossiers by purchase and sales orders, much like the way paper dossiers were handled in the past.
B. Approval: Purchase invoices are submitted to staff members, acting as Budgetholders for approval, via the PDM WEB App.
During the approval process, PurchaseInvoiceSequenceNumbers are assigned to purchase invoices and they are alsolinked to the Current Financial Year.
-C. Coding: Following approval, PDM users code invoices, based on the supporting documents in the dossier for booking into the accounting system ;
Unlike automated invoice posting, when using the PDM App, invoices are only entered into the accounting system after they have been validated and coded based on the underlying documentation.
With the PDM App, the time saved stems not from skipping essential Procurement Administration tasks, but from the Digitization and Automation of the Procurement Administration. As stated on our homepage, The Procurement Administration is the one area of business administration that has never been Digitized or Automated, and still handled using an antiquated Paper-based process. Consequently, there are massive gains to be made in Efficiency and even Sustainability by Digitizing and Automating this administration, as outlined below:
-Significant savings in time and personnel costs, as documents that are not printed eliminate associated tasks such as printing, sorting, collating, and filing documents in binders and archives.
-Elimination of paper and printer costs.
-Space savings, as the cabinets and rooms previously used to store and archive these documents are no longer required for that purpose.
-A Dramatically lower Environmental impact, as there is no longer a need to print the tens of thousands or, for many companies, hundreds of thousands of procurement documents.
Procurement dossiers can be located within the PDM App in seconds by searching by name or date. This offers a massive efficiency advantage over the old-fashioned method of manually searching through paper folders, where finding the right folder often takes many minutes.
Another feature that boosts the PDM App's efficiency is the Incomplete Dossiers function. Incomplete dossiers are those to which no purchase or sales invoice has yet been added. The "Incomplete Dossiers" overview can be used to identify sales orders awaiting invoicing, thereby reducing the risk of missed invoicing. It is also used to identify purchase invoices that are still pending receipt.
Journal entries created with the PDM App are digital, meaning they can potentially be automatically imported by ERP applications for posting, which further enhancing the PDM App's efficiency. Naturally, this function is only available if the ERP applications support it.
The fact that PDM is a Web App brings additional efficiency benefits. Certain tasks—such as approving purchase invoices, can be handled online, preventing bottlenecks in procurement administration caused by having to wait for the relevant approvers to be physically present in the office.
Furthermore, other parties, such as bookkeepers, administrative service providers, accountants, and even tax inspectors, can also perform their work online using the PDM App.
This represents a major breakthrough, particularly for Bookkeepers; although ERP applications have been accessible via the web for many years, this profession was previously largely confined to working from the office because the procurement documents they frequently handle were not yet accessible online.
With the rise of digital photography, photos have become an increasingly important part of our daily lives, and this certainly applies to Procurement Administrations as well. For instance, the handover or receipt of goods is often photographed to document how the delivery was carried out. It is incredibly efficient that photos, just like other procurement documents, can be uploaded to the PDM App and linked to the relevant dossiers.
Thanks to these efficiency gains and more, the Procurement Document App can act as a powerful Adoption Motor to facilitate the easy adoption of e-Invoicing.
We estimate that using the PDM App, can lead to savings of as much as 30 to 40 percent in procurement administration, including the processing of UBL invoices.
We developed the: Procurement Document Manager (abbreviated PDM) webapplication, which is designed to Automate and Digitize the Procurement Administration, an administration that virtually every company deals with.
The Procurement Administration is an administrative gateway to the accounting system of companies, where purchase invoices are prepared for posting in the accounting system and sales invoices are prepared for invoicing. The Procurement Administration is the place where the many tens of thousands of procurement documents, such as purchase orders, sales orders, order confirmations, waybills, delivery notes, and so on, exchanged between suppliers and customers are recorded, in order to initiate, monitor, and manage the mutual trade, and ultimately to be able to Validate the resulting Purchase Invoices and to Prepare Sales Invoices to be invoiced.
Procurement Administrations can turn into large, labor-intensive puzzles, especially when companies have hundreds or even thousands of pending purchase and sales orders, each of which can consist of three to four separate procurement documents, meaning companies have to really go all out to manage their procurement administration properly.
The Procurement Administration is the only part of business administrations, that have never been Digitized or Automated, and is therefore still managed in a very old-fashioned Paper way, which means the many tens of thousands of procurement documents have to be: printed, sorted, collected in folders, organized by number and alphabetically, and stored for many years in binders and archives, manually. This implies that there is a huge Efficiency potential to be gained in Digitizing and Automating this old fashioned managed Procurement Administration.
When using the PDM App, procurement documents NEVER need to be printed on paper again; instead, they are uploaded to the PDM App, where they are stored in the PDM database. To explain how the PDM App works, we divide the App's functionality into two parts:
1. The Digitization component and
2. The Management component.
1. The Digitization component is the part of the PDM App where procurement documents are uploaded and subsequently stored in the PDM database, effectively Digitizing and Archiving them permanently, and where they remain until you choose to delete them from the database. Uploading procurement documents to the PDM App serves as an alternative to printing them out; this means that when using the PDM App, procurement documents NEVER need to be printed on paper again, as was previously common practice, but instead are uploaded to the PDM App.
About which documents to uploaded to the PDM App, we can be brief: these include All conceivable purchasing and sales procurement documents exchanged between trading companies From Quotation to Invoice including UBL and PDF purchase and sales invoices and photos, as well as procurement documents exchanged via channels other than the Peppol network, such as email.
All procurement documents stored in the PDM database are preserved indefinitely, remaining easily traceable and accessible without the need to dig through dusty archives. Furthermore, procurement documents stored in the PDM database can never go missing, a common occurrence in traditional Procurement Administrations.
2. The Management section of the PDM App contains the digital functions required to handle procurement administration Digitally; these functions are:
A. Dossier creation: All procurement documents uploaded to the PDM App are assigned to shared dossiers containing related documents, by the PDM user. PDM Users create dossiers based on criteria of their own choosing; however, for Procurement Administration purposes, it is practical to organize dossiers by purchase and sales orders, much like the way paper dossiers were handled in the past.
B. Approval: Purchase invoices are submitted to staff members, acting as Budgetholders for approval, via the PDM WEB App.
During the approval process, PurchaseInvoiceSequenceNumbers are assigned to purchase invoices and they are alsolinked to the Current Financial Year.
-C. Coding: Following approval, PDM users code invoices, based on the supporting documents in the dossier for booking into the accounting system ;
Unlike automated invoice posting, when using the PDM App, invoices are only entered into the accounting system after they have been validated and coded based on the underlying documentation.
With the PDM App, the time saved stems not from skipping essential Procurement Administration tasks, but from the Digitization and Automation of the Procurement Administration. As stated on our homepage, The Procurement Administration is the one area of business administration that has never been Digitized or Automated, and still handled using an antiquated Paper-based process. Consequently, there are massive gains to be made in Efficiency and even Sustainability by Digitizing and Automating this administration, as outlined below:
-Significant savings in time and personnel costs, as documents that are not printed eliminate associated tasks such as printing, sorting, collating, and filing documents in binders and archives.
-Elimination of paper and printer costs.
-Space savings, as the cabinets and rooms previously used to store and archive these documents are no longer required for that purpose.
-A Dramatically lower Environmental impact, as there is no longer a need to print the tens of thousands or, for many companies, hundreds of thousands of procurement documents.
Procurement dossiers can be located within the PDM App in seconds by searching by name or date. This offers a massive efficiency advantage over the old-fashioned method of manually searching through paper folders, where finding the right folder often takes many minutes.
Another feature that boosts the PDM App's efficiency is the Incomplete Dossiers function. Incomplete dossiers are those to which no purchase or sales invoice has yet been added. The "Incomplete Dossiers" overview can be used to identify sales orders awaiting invoicing, thereby reducing the risk of missed invoicing. It is also used to identify purchase invoices that are still pending receipt.
Journal entries created with the PDM App are digital, meaning they can potentially be automatically imported by ERP applications for posting, which further enhancing the PDM App's efficiency. Naturally, this function is only available if the ERP applications support it.
The fact that PDM is a Web App brings additional efficiency benefits. Certain tasks—such as approving purchase invoices, can be handled online, preventing bottlenecks in procurement administration caused by having to wait for the relevant approvers to be physically present in the office.
Furthermore, other parties, such as bookkeepers, administrative service providers, accountants, and even tax inspectors, can also perform their work online using the PDM App.
This represents a major breakthrough, particularly for Bookkeepers; although ERP applications have been accessible via the web for many years, this profession was previously largely confined to working from the office because the procurement documents they frequently handle were not yet accessible online.
With the rise of digital photography, photos have become an increasingly important part of our daily lives, and this certainly applies to Procurement Administrations as well. For instance, the handover or receipt of goods is often photographed to document how the delivery was carried out. It is incredibly efficient that photos, just like other procurement documents, can be uploaded to the PDM App and linked to the relevant dossiers.
Thanks to these efficiency gains and more, the Procurement Document App can act as a powerful Adoption Motor to facilitate the easy adoption of e-Invoicing.
We estimate that using the PDM App, can lead to savings of as much as 30 to 40 percent in procurement administration, including the processing of UBL invoices.