For companies looking to optimize and automate their financial invoicing processes, OpenText VIM gives users the ability to approve invoices before they are created in the SAP database. This approval system is simple and allows for high amounts of customization with a multi-level approval approach.
The tool processes both PO and non-PO based invoices. Multi-level approvals are supported by non-PO natives. PO invoices, however, only have one step approval but are capable of multi-level approvals with the right customization. Approval can be delayed by first sending it to VIM’s AP Processor. The approval process ends when the invoice is posted, deleted, or rejected.
Key Roles in the Invoice Approval Process
Some key roles involved with the invoice approval process are the person responsible for entering the data, a business user who requests goods or services, a person responsible for approving the invoices once they are sent, and a member of the AP team responsible for dealing with invoices. Whether you are implementing Vendor Invoice Management (VIM) or are an existing customer, it is important to get the best value out of your investment.
Sounds obvious right? Well, when implementing any new technology, it gives organizations the opportunity to review and optimize business process efficiencies. Don’t invest in new technology and run your business as usual. This is a trap that many fall into which results in poor adoption and fails to leverage the anticipated as well as the expected value of the product.
When considering and embarking on VIM solutions, it is important that good disciplines and best practices are adopted. Take this as an opportunity to streamline your business process. VIM handles both PO and Non-PO invoice processing, so identifying the respective workflow and approvals will be different.
But here’s the thing: Reviewing your business invoice approval process is important. Understanding and implementing an efficient workflow is key. VIM is configured to handle the approval and disposition of your invoices.
Organizations need to identify the roles required and the workflow for approvals: Identify business users assigned, set up the roles required, and configure the workflow and approval process.
Basic Workflow When Utilizing VIM
Step 1. Enter the invoice, whether that be through email, paper, or fax.
Step 2. As soon as the invoice is entered by an end user, the invoice goes into the FIN system.
Step 3. Once it enters the system, a workflow is created, and you will be able to see that the invoice gets posted.
Step 4. After the invoice is posted inside the system, the Accounts
Payable team will be allowed to process the information.
For non-PO invoices, VIM leverages the Chart of Authority. It allows for the setting up of approvals that may differ from PO generated invoices. For example, the requester may also be the user that enters the data.
Consider These Vendor Invoice Management Best Practices:
- To optimize your operations, streamlining your organizational structure should be a top priority, especially by reducing your labor footprint through automation and more efficient workflows. Simplified routing and approval processes not only improve speed but also increase satisfaction within your AP department.
- Remote approval capabilities further accelerate turnaround times, while enhanced invoice change controls offer greater flexibility and customization. Automating invoice processing and receiving frees up your team’s time, allowing them to focus on higher-value tasks.
- By digitizing invoices and integrating them directly into SAP, your financial system will become more connected and efficient. This leads to improved financial controls and processes, delivering a faster return on both time and investment.
- Faster processing also helps prevent costly penalties due to delays or errors, while robust reporting tools give you a complete view of your invoice lifecycle, from processing to approval and final completions, supporting better financial decision-making overall.
What Comes Next?
The first step in implementing VIM is to understand your current business financial invoicing process and work with an experienced company to help you with your project. Auritas is geared with data and content experts to help you at any phase of your project.
Learn how companies like NVIDIA successfully implemented a global standardization of its indirect invoice processes.
