App
ENG
NLThe Application that brings e-Invoicing to life in an Extreme Sustainable and Extremely Efficient way.
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.
There were many countries involved in deciding which Adoption Motor to use and there was a desire to avoid favoring specific nations, and therefore a technology-neutral mechanism was choosen as the Adoption Motor for e-Invoicing, which is: The Automatic posting of invoices in customer's accounting system, upon receipt of the invoices from the Peppol network.
However, as previously discussed in detail on our homepage, while Automatic posting Invoices does save labor, these savings are achieved by skipping essential steps in the Procurement Administration, such as invoice validation. Consequently, unvalidated invoices are posted to the customer's accounting system, causing the accounting system to lose it's relevance and as a result, companies often reject automatic invoice to be posted in their accounting systems.
However, even before it became entirely clear that this "Adoption Motor" would not work, legislation regarding e-Invoicing, based on the Automated booking of invoices, had already been drafted. The date for this legislation to take effect is now rapidly approaching; for instance, e-Invoicing for cross-border trade within the EU, will become mandatory starting in 2030.
To prevent companies from having to spend significantly more time on their Procurement Administration from 2030 onwards, we developed our web application: Procurement Document Manager (abbreviated PDM). This tool is designed to Automate and Digitize the Procurement Administration, an administration that virtually every company deals with.
Procurement Administration, involves managing the large quantities of procurement documents exchanged between trading partners, such as quotations, purchase orders, sales orders, order confirmations, bills of lading, packing slips, goods receipt notes, delivery notes, invoices, and even photographs. These documents are collected and organized into dossiers of related items to initiate, monitor, and manage trade, and ultimately to validate the resulting Purchase invoices and to enable the generation of Sales invoices.
The traditional method of managing Procurement Administrations, involves printing out every procurement document and gathering them in paper dossiers, until the dossiers are complete, after which, the validation and coding of purchase invoices or the generation of sales invoices can proceed.
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.
There were many countries involved in deciding which Adoption Motor to use and there was a desire to avoid favoring specific nations, and therefore a technology-neutral mechanism was choosen as the Adoption Motor for e-Invoicing, which is: The Automatic posting of invoices in customer's accounting system, upon receipt of the invoices from the Peppol network.
However, as previously discussed in detail on our homepage, while Automatic posting Invoices does save labor, these savings are achieved by skipping essential steps in the Procurement Administration, such as invoice validation. Consequently, unvalidated invoices are posted to the customer's accounting system, causing the accounting system to lose it's relevance and as a result, companies often reject automatic invoice to be posted in their accounting systems.
However, even before it became entirely clear that this "Adoption Motor" would not work, legislation regarding e-Invoicing, based on the Automated booking of invoices, had already been drafted. The date for this legislation to take effect is now rapidly approaching; for instance, e-Invoicing for cross-border trade within the EU, will become mandatory starting in 2030.
To prevent companies from having to spend significantly more time on their Procurement Administration from 2030 onwards, we developed our web application: Procurement Document Manager (abbreviated PDM). This tool is designed to Automate and Digitize the Procurement Administration, an administration that virtually every company deals with.
Procurement Administration, involves managing the large quantities of procurement documents exchanged between trading partners, such as quotations, purchase orders, sales orders, order confirmations, bills of lading, packing slips, goods receipt notes, delivery notes, invoices, and even photographs. These documents are collected and organized into dossiers of related items to initiate, monitor, and manage trade, and ultimately to validate the resulting Purchase invoices and to enable the generation of Sales invoices.
The traditional method of managing Procurement Administrations, involves printing out every procurement document and gathering them in paper dossiers, until the dossiers are complete, after which, the validation and coding of purchase invoices or the generation of sales invoices can proceed.
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.