Standardizing Procure-to-Pay Processes Today Means Savings Tomorrow
ScottMadden frequently helps clients achieve organizational efficiencies and cost reductions. Contact us to learn how we can help support your operational effectiveness projects.
At a Glance
End-to-End Support
In collaboration with company stakeholders, ScottMadden helped to:
- Design a new P2P delivery model
- Evaluate supporting technologies
- Determine steps for execution
- Identify change implications
Improvement Opportunities
Identified improvement opportunities in four key P2P areas:
- Price reduction
- Compliance
- Invoice errors
- Dynamic discounting
Financial Impact
Expected internal rate of return for project in excess of 200%
Challenge
This best-selling food manufacturing brand engaged ScottMadden to help develop and integrate an end-to-end procure-to-pay (P2P) model. Prior to this engagement, the company’s procurement and accounts payable processes were managed by two separate internal organizations and suffered from decreased efficiency and low stakeholder satisfaction. ScottMadden was asked to design a tiered service delivery model that would take advantage of cost savings and process efficiencies.
Process
- Conducted our work activity assessment to measure the type and magnitude of work across the company for a comprehensive set of P2P activities
- Developed a detailed performance metrics analysis that quantified company performance against established benchmarks
- Collaborated with company stakeholders to design a new P2P delivery model, evaluate supporting technologies, determine steps for execution, and identify change implications
- Provided a thoroughly documented analysis of the costs and benefits associated with the projected performance of the new model
Result
- Identified improvement opportunities in four key P2P areas: price reduction, compliance, invoice errors, and dynamic discounting
- Expected internal rate of return for project of more than 200% and a payback period of two years
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Let’s Work Together
We don’t solve problems with canned methodologies. We help you solve the right problem in the right way. Our experience ensures that the solution works for you.