Quadrem Invoicing Case Study

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• Quadrem Invoicing Case Study

Agenda
Objectives Overview Issues
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Invoicing Via Quadrem

• Targeted Objectives Of XML Based Invoicing
• Reduced administrative costs and overhead
• Increased data accuracy
• Improved visibility to invoicing issues
• Workflow enabled process
• Tighter payment controls relative to other
  automated payment processes
• Increased satisfaction of AP customers (suppliers)

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Invoicing Cycle Time Comparison
Manual Invoice Process
Quadrem Invoice Process
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Invoicing Via Quadrem
Ongoing Deployment

• Supply Centre focused first, integration second
• First deployed in Australia at Hamersley Iron
  (SAP) and RTCA (Ellipse)
• Expanding to other units in Australia and North
  America
• Live with over 150 suppliers
• Processing 3200 invoices per month and growing
• North America entering pilot this month

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AustralianInvoicing Challenges
Issues Encountered In Australian Deployment

• Specific requirements of the Australian Tax
  Office year long process to obtain approval
• SAP integration via IDOC, Ellipse required 3rd
  party software, adding time complexity
• Taxes on additional charges- SC did not
  originally support, fine tuning of this is
  ongoing
• Perception by suppliers of double work
• Supply Centre performance issues over dial-up
  connection
• Supplier training and support

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N. American Invoicing Challenges
Issues Encountered In North American Deployment

• Tax calculation rounding differences between
  Ellipse and SC- evaluating options
• Use Tax- not encountered in AUS required some
  adjustments to data sent to suppliers
• Business unit specific rules for exception
  handling had to be documented and dealt with
• Workflow and interaction between AP and buyers
  evolves and requires re-training
• Business Unit reliance on pay-on-receipt
  process
• Canadian Taxes?

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Invoicing Comparison
Quadrem Invoicing vs. Pay On Receipt
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Questions?