Getting The Most Out Of Managed Services For Source-To-Pay And Procure-To-Pay
Source-To Pay And Procure To Pay
No matter the size of an enterprise, the financial supply chain can be critical to the smooth operation and bottom line of the organization. Bringing the added element of managed services into the mix can help ensure those critical activities are executed quickly, efficiently, and economically. This article will provide step-by-step guide to using managed services for source-to-pay and procure-to-pay, with focus on the suite perspective.
When considering managed services for source-to-pay and procure-to-pay, several aspects should be kept in mind. First, this is more than just financial service, it is way to integrate process into the way company does business. It is not ?off the shelf? but tailored to each companies needs. Second, managed services require financial strategic partner that is familiar with the specific business and its goals and objectives. Finally, the services must be scalable to allow for changes in the business environment.
Executives in the finance department looking for managed services to facilitate source-to-pay and procure-to-pay activities can follow these steps to set up system that will best serve their needs:
1. Identify potential partners: Interview potential partners who can provide the services necessary to facilitate source-to-pay and procure-to-pay activities. When selecting potential partner, look for one that understands the business, its unique needs, and can provide customized solutions.
2. Finalize partnership: Once an appropriate partner is selected, contract negotiations should take place to determine the scope of services, the length of the term, fees, and payment structure.
3. Gather requisite data: Before the rollout of the service, the partner and team from the companieshould collect the data needed to accurately track changes in the business as well as capture transactional data for the source-to-pay and procure-to-pay services. The partner should be responsible for data gathering, tracking, and analysis.
4. Design process: The businesshould work with the partner to design the process required to facilitate source-to-pay and procure-to-pay activities, as well as monitor business performance with consistent and timely data.
5. Iterate model and refine process: Once the model is designed and the process established, continuous iterations and refinements must take place. As the team works with the partner to streamline the process, regular meetings should be held to ensure all parties are following the agreed upon plan.
6. Implement services: The partner should be responsible for the complete implementation of source-to-pay and procure-to-pay services. This includes not only the technical implementation but also the training and guidance for the company personnel who will be using the system.
7. Train personnel: The partner should provide ongoing training and support for the personnel tasked with managing the source-to-pay and procure-to-pay services.
8. Monitor performance: Once the system is operational, the partner should be responsible for monitoring the performance of the system and providing the company with regular performance reports.
As the financial supply chain is an integral part of the success of any enterprise, effective and efficient source-to-pay and procure-to-pay services are key. Managing these services internally can be time consuming and costly–a financial strategic partner that provides managed services tailored to the companies unique needs can provide massive cost savings and peace of mind. Executives in the finance department looking to implement managed services solution for source-to-pay and procure-to-pay activities can follow the steps outlined above to set up system that will help them reach their business objectives. When done correctly, the financial supply chain can become major asset to their organization.
