Improving Order To Cash Processes With An Eipp Solution
Eipp Definition
Order to Cash (OTC) processes are cornerstone of financial strategy in any organization. To succeed in the modern business landscape, enterprises need to maximize their OTC performance and operational agility. Enter EIPP (Electronic Invoice Presentment and Payment), powerful solution used to streamline the process of sending and tracking invoices and receipts to customers.
In its most basic form, EIPP enables companies tosave time in their OTC process. Through electronic transmission, business can avoid manual paperwork and automate the process of billing customers and collecting remittances. Consequently, EIPP offers unique set of benefits, ranging from lowered administrative expenses to improved customer experience.
This article aims to provide executives with an introduction to the principles behind EIPP and step-by-step guide on how to use the solution. Presenting everything from the terminology to the software installation process, this guide hopes to offer clarity on the often-confusing subject of Electronic Invoice Presentment and Payment.
Understanding the Principles of EIPP
Before implementing an EIPP solution, it is important to familiarize oneself with the principles behind the technology. By utilizing the latest advances in software engineering, EIPP solutions can process invoices and receipt in an entirely automated manner, similar to B2B payment solutions. From the sender’s perspective, the EIPP process is typically broken down into four distinct steps:
1. Pre-invoice: In this stage, the automated system pulls up detailed information from the recipients and performs series of database checks.
2. Invoice In this stage, the system constructs and formats digital invoice based on that information and sends the invoice to the recipient.
3. Communication Once the invoice arrives, the recipient can enter in any comments or clarifications related to the transaction.
4. Payment: Upon agreement, both recipient and sender can initiate payment transfer through the EIPP platform.
For companies looking to leverage EIPP in their accounting processes, these four steps must be thoroughly understood. Failing to do so may lead to software issues or, more problematically, significant delays in the OTC process.
Getting Started with an EIPP Solution
Now that the principles of EIPP are understood, executives can move on to the technical side of the equation. In this section, we will walk through the steps of selecting, installing, and managing an EIPP solution.
Step 1: Identifying the Best Solution for Your Requirements
Before moving forward with the implementation, executives need to choose the best Softwaresolution for their companies EIPP needs. Distinct vendors offer different types of services, from on-premise solutions to SaaS platforms. To minimize the risk of investing in service that is ill-suited to their needs, executives should thoroughly research the top EIPP solutions, using both online resources and referrals.
Step 2: Developing an Implementation Strategy
Once suitable solution has been selected, executives should clearly outline their implementation strategy. This includes formulating timeline, budget, and personnel needs. For smoother EIPP implementation, it is best to create cross-functional team of personnel. This team will be tasked with implementing, maintaining, and evaluating the EIPP solution.
Step 3: Installation of the Software
After the team is ready, executives can move on to the installation process. Depending upon the type of solution chosen, this process can range from downloading pre-packaged solution to manually configuring the software. It is strongly advisable to seek outside help to complete this step, in order to minimize the risk of implementation mistakes.
Step 4: Testing/Debugging
After the software is installed and running, extensive tests ought to be performed to identify any potential bugs. During this debugging stage, the team can customize certain features in order to maximize the usefulness of the software for the companies needs.
Step 5: Training of Personnel
The final step of the EIPP process is training staff in the intricacies of the software. Personnel will need to understand how to send and retrieve invoices, resolve customer queries, and any other tasks that are necessary for successful EIPP management. By providing them thorough understanding of the EIPP process, companies can ensure that their EIPP installation runs smoothly.
Conclusion
EIPP is an invaluable tool for companies that are looking to maximize the efficiency of their OTC process. By leveraging the power of automation and software engineering, firms can enjoy significant savings in both time and money. With the instructions outlined in this article, executives can develop and execute successful EIPP strategy.
