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Zycus Enables Home and Office Product Manufacturer to Slash Cost per Invoice by 62%

Reduce invoice cost by 62%
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In today’s competitive business landscape, companies across industries are constantly seeking ways to optimize their processes and reduce costs. One such success story is the partnership between Zycus and a leading Home and Office Product Manufacturer. By addressing their challenges and implementing innovative solutions, Zycus empowered the manufacturer to streamline their Accounts Payable operations, enhance visibility, and achieve remarkable cost savings. Let’s delve into the journey and discover how Zycus brought about this transformative change.

AP Challenges that the customer faced:

1. A lack of structured workflows and approval processes in Accounts Payable created bottlenecks and hindered efficiency. Manual handling of invoices and payments resulted in delays and reduced visibility into the payment process.

2. The company lacked visibility into its indirect spending, which made it difficult to identify potential areas for cost optimization and savings. The absence of data-driven insights hindered their ability to make informed decisions and control expenses effectively.

3. The absence of Key Performance Indicators (KPIs) and scorecards for suppliers hindered effective vendor management. This led to difficulties in evaluating supplier performance, identifying areas for improvement, and leveraging strategic partnerships.

4. The manufacturer was grappling with inefficient and time-consuming manual procurement procedures. These not only increased cycle times but also hindered centralized sourcing efforts, impacting overall productivity.

Read our blog- 5 ways your Accounts Payable function can help curb recession

Accounts Payable Solutions Offered by Zycus:

To overcome these challenges, Zycus implemented a comprehensive AP automation solution with the e-procurement module and merlin AI for invoice extraction. These cutting-edge solutions brought the following benefits to the Home and Office Product Manufacturer:

1. Manual handling of invoices and payments was replaced with automation, reducing errors and delays. The automation of Accounts Payable processes enhanced efficiency, accuracy, and compliance, resulting in faster payments and improved supplier relationships.

2. Zycus enabled the manufacturer to leverage early payment discounts from vendors. By optimizing payment terms and taking advantage of discounts, the company significantly reduced payables and improved its cash flow management.

3. With the automation of routine AP tasks, the manufacturer’s Accounts Payable staff were freed up to focus on more value-added activities. This not only improved employee satisfaction but also enhanced productivity and allowed for more strategic initiatives.

4. Zycus introduced modernized procurement practices that streamlined the procure-to-pay process for indirect goods and services. By automating various steps, the manufacturer experienced increased efficiency and reduced cycle times.

Read our blog- How to Increase Accounts Payable productivity Without Increasing Headcount

Key results achieved by the customer:

The partnership between Zycus and the Home and Office Product Manufacturer yielded remarkable results, demonstrating the effectiveness of the implemented solutions:

1. $13 Million worth PO processed:

By streamlining and automating the procurement process, Zycus enabled the manufacturer to process purchase orders worth $13 million seamlessly. This not only reduced manual errors but also improved operational efficiency.

2. 99% compliance of spend under PO:

With Zycus’ implementation, the manufacturer achieved an impressive compliance rate of 99% for spend under purchase orders. This ensured greater control over expenditures and enhanced transparency in procurement activities.

3. 62% reduction in cost per invoice:

The implementation of Zycus’ AP automation solution resulted in a significant 62% reduction in the cost per invoice. This drastic reduction in costs led to improved profitability and a positive impact on the company’s bottom line.

4. 75% volume of merlin AI processed invoices:

Zycus’ merlin AI played a pivotal role in invoice extraction, processing an impressive 75% of the total invoice volume. The accuracy and efficiency of AI-driven invoice extraction contributed to time savings and improved data accuracy.

5. 6200 suppliers onboarded:

Zycus successfully onboarded 6,200 suppliers, enhancing the manufacturer’s supplier base and expanding their options for sourcing products and services. This broader supplier network offered increased competitive advantage and improved negotiation power.

6. 600 active users:

With Zycus’ Accounts payable solution in place, the manufacturer had 600 active users benefiting from the streamlined procurement processes. The user-friendly interface and efficient workflows facilitated collaboration, resulting in enhanced productivity and seamless operations.

Zycus’ partnership with the Home and Office Product Manufacturer transformed their procurement operations, enabling them to overcome challenges and achieve remarkable results. By implementing cutting-edge AP automation solutions, Zycus empowered the manufacturer to modernize their procure-to-pay process, enhance visibility, and significantly reduce costs. Through this successful collaboration, the manufacturer experienced increased efficiency, improved supplier management, and enhanced profitability. This success story serves as a testament to Zycus’ commitment to driving innovation and helping businesses achieve excellence in procurement.

Related Read:

  1. Measuring Your Accounts Payable Operational Metrics Effectively
  2. Transforming AP: Collaboration Connects Accounts Payable to Strategic Business Processes
  3. Accounts Payable – Central to Strategic Financial Reporting
  4. How to Increase Accounts Payable productivity Without Increasing Headcount
  5. Zycus Enables Home and Office Product Manufacturer to Slash Cost per Invoice by 62%
  6. Three ways AP automation can help organizations reduce costs
  7. Setting Up Internal Controls in Accounts Payable Processes
  8. Top 7 reasons to Digitize Accounts Payable
  9. 5 Key Benefits of Enhancing Your Business with an e-Invoice Generation Tool
  10. White paper – Account Payables Report Card: Survey Findings
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