Energy services company implements Verian software to replace multiple systems.
One of the top energy services companies in the Southeast is implementing Verian purchase-to-pay (P2P) software solutions to simplify and automate how they pay contractors who maintain their natural gas distribution system. Resulting benefits for the industry leader include streamlined supply orders and invoicing, improved accuracy and speed of accounting, and better overall insight into vendor performance.
In the past, field contractors for the company were required to use three different systems for every job. One system was used to order materials, one to create a work order, and yet another to enter weekly reports logging the materials and labor from the work order. Reports then had to be reconciled by field managers to verify the accuracy of charges, and again by corporate headquarters to calculate accruals.
“Disparate systems and disjointed processes were making it very difficult for the company to capture accurate spend and invoice data from their field contractors”, said a representative from Verian this week, “Their multi-system, multi-step process was proving error prone and leading to accounting inaccuracies.”
Integrating with the firm’s ERP system, PeopleSoft, Verian installed a single software platform that automates purchasing, invoice processing, vendor communications, and asset and inventory management.
Field contractors now enter work orders and materials orders into the Verian system only, greatly streamlining the process and eliminating the need for contractors to enter information in multiple systems. Weekly reports are still required, but the automated system now reconciles the data for field and corporate managers.
The company has encouraged all its vendors to work with Verian to enable e-invoicing via cXML technology. For vendors who cannot implement cXML, the company has directed them to Verian’s supplier portal to receive purchase orders (POs) and flip them into invoices in order to eliminate the need for sending paper invoices. The supplier portal is also being used by suppliers to check payment status and receive POs, regardless of how they submit invoices.
In addition, the vendor portal is used to integrate contractor billing, allowing for easy PO flip and cost capture of work order related spending for billing.
Until installation of the Verian P2P system, the company was not able to get an accurate, overall snapshot of their contractor spending. Now that they have access to historical spend data automatically organized and accumulated by the Verian system, the company expects that they will soon be able to consolidate more of their spending, giving them leverage to reduce contracting costs.
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