Connecting AP Automation to Your ERP System

• Introductions• Why Connect AP

Automation …• What Data to Connect• How to Connect• Q & A

Agenda

Asking Questions – Getting Answers

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Introductions

Jon Titel• Chief Technology Officer at

iPayables• Been connecting systems

for over 18 years

AP Automation• Any system that

automates a portion or all of the Account Payable Process – namely capture, workflow, payments and reporting

in·te·gra·tionan act or instance of combining into an integral whole.

Why Connect?

• ERP or AP Systems are a big investment and should remain the “Source of Truth” for corporate data

• Synchronize changes in the ERP with the AP Automation System

• Combine data from multiple systems into a single front-end

• Distribute data from a single front-end to multiple systems

Vendor Master

• Ensure AP Automation System has current vendor data – Name, Address, etc.

• Provide important Invoicing Parameters – Payment Terms, Business Units, etc

• Provide control parameters – invoice template, dynamic discounting options, etc

Invoice Extract

• Provide a channel for Invoices into the ERP or Accounting system from the AP Automation system

• May instead feed other systems such as internal workflow.

Invoice Status/Check Register

• Provide feedback on the invoice processes internal to the ERP system

• Provide remittance or other payment data

GL Account Validation Values

• Used to drive Account Coding during workflow and approval

• Can consist of a variety of distribution fields• GL Account • Cost Center• Project• Location• Etc.

Purchase Order

• Used in the Invoice Creation and Match Process

• PO data can be used to drive workflow or other processes

• Can include PO related documents• Receiving• Acknowledgements• Advance Ship Notices

User/HR

• Used to control access to the AP Automation system

• Can be used to drive workflow and final invoice approval

How?

• The Holy Grail• The Next Best Thing• Steps…

The Holy Grail

Behold – the ADAPTER• Great option for on-premise, installed ERP

systems – Dynamics GP, Sage, etc• Handles all aspects of Integrations• Data Import/Export• Connectivity to AP System

• Not a great fit for Cloud Based • Not a great fit for larger ERP systems• SAP• Oracle• PeopleSoft

The Next Best Thing

“You have customers with _____ ERP?”• Answers basic “Will this work?” question• Can provide some insight into approach• Usually does not lead to “drop in”

integration – still takes some effort to handle in’s and outs

Steps

1. Pick your format2. Pick your connectivity3. Test…Test…Test

Pick Your Format

• EDI • Many ERP have built in support for main

data types (Invoice/PO/Remittance)• Not a great fit for Account Distribution

data• Not a great fit for supporting data

(Vendor, User)• If you have EDI experience use it –

otherwise not the best first choice.

Pick Your Format

• CSV• CSV doesn’t have to use “commas” –

pick a delimiter that makes sense• Good format for straight forward

outbound data (Vendors, Accounting Codes)

• Not as straight forward for some complex data such as full invoices, purchase order but can be made to work

• Not as flexible as XML

Pick Your Format

• XML (<tag>data</tag>)• XML is very flexible• Easy to read• Can be bulky (lots of extra text)• Good XML tools make life easy – hand

programming can be problematic

Pick Your Connectivity

• Security, Security, Security• Secure FTP (FTPS/sFTP)• HTTPS (Web Services/AS2)• VPN

test..Test..TEST

• Connecting two systems can tricky• Be ready to adjust as testing reveals

additional needs/changes in the interface• Make sure that the data being passes ends

up where it should and results in the behavior you want

• A good AP Automation solution should cover any gaps you have in the interface.

Not One and Done

• Integrate what you need to get started and add connects as it makes sense

• Only automate what is necessary• Connecting to a centralized front end can

ease ERP migrations or other internal system work

• A centralize front-end can connect multiple systems into a seamless experience for end users

Asking Questions – Getting Answers

In the join.me tool bar click the “Chat” icon

Enter you question or comment in thechat window and press “Enter”

Connecting AP Automation to Your ERP System