Discover the Open Invoice Example for Enterprises with airSlate SignNow

Open invoice example for enterprises

um very excited to be here so my name is Michael Ross I've been part of the open invoice team uh for six and a half years initially as part of the product management group and now it's part of the marketing team and I'm quite excited today to talk to you about our latest offering here at oildex open invoice field ticket which we feel is a game changer for the oil and gas industry so historically and typically in most companies before you pay an invoice you need proof that the work was actually performed and in the oil and gas industry that proof is a signed and stamped field ticket paper field ticket and that paper is timec consuming and error prone it relies on the supplier to act as the information conduit from The Well site to the accounts payable office uh team in that main office to be smooth and efficient the Field Supervisor has to be available when the supplier completes the work all relevant information has to be added correctly to the ticket so that's in that handwritten stamp and the service provider must return the ticket to the account's receivable team at the supplier's office the accounts receivable team then copies all info from that ticket to an invoice often consolidating multiple tickets into a single invoice and then the invoice and all Associated tickets are submitted as a package to the buyer each step has potential for errors and delays if the field supervisor is not available the supplier can either wait chase that supervisor around the site or leave the ticket behind and pick it up at a future date incorrect tickets or tickets with missing information require follow-up visits to get corrected and the service provider may not return to the supplier's office immediately so it could be days before tickets are submitted to the a accounts receivable team that consolidation work done by the accounts receivable team to generate the invoice is repeated by the buyer's accounts payable team to reconcile the invoice so some duplicate effort between the two companies Engineers those who are responsible for the budgets and the cost associated with the all the work at that field site The Well site have no visibility into the cost that they are committed to and the costs that have occurred until that invoice arrives and the information's entered in the reporting system and so assuming there's no mistakes and no um issues with any of the documents in this whole process it can take weeks before the engineers get to see any data so oping invoice is here to help and field ticket will streamline this process tickets are automatically wred to the correct person at the time of submission and that person is able to process tickets anytime anywhere all they need is an internet enabled device when a supplier creates a invoice from a field ticket open invoice automatically copies all the data on that that field ticket into the invoice saving the supplier time and effort and making sure that the data is correct and then on the buyer side that ensures that your invoices arrive with previously approved coding open invoice automatically does compliance and Reconciliation checking and allows you to configure workflow to be automated based on the results of that compliance automation checks what that means is that the account's payable team is able to focus on it exceptions in terms of visibility to reporting you if you can associate your site and project level information immediately after the work is completed that allows your engineers to review costs and budgets in near real time all that you so as soon as the supplier submits the ticket into open invoice you're able to start reporting on it the more granular data and the better analytics that result from having that data upfront allows your engineers and those that are responsible for uh analyzing costs to have a better understanding of those costs and improve decision- making and you can accomplish that by connecting your reporting system to open invoice using our spend visibility API which is an application programming interface once your systems connected data flows automatically from open invoice to your reporting system allowing costs to be analyzed as they occur so we've done some uh data analysis of our own of clients that have processed invoices that reference paper tickets in the open invoice platform and on average we see a 22-day delay between when the service performed and when that invoice is received in open invoice and so that's 22 days of not knowing about those cost in your reporting system unless you have somebody manually typing the data in which in a lot of cases isn't necessarily happening once the data from the suppliers the ticket from the supplier is entered into the system open invoice field ticket let simplifies that process improves your visibility and reduces data entry and errors and that's done because the coded tickets flow directly to your reporting system and because the coding was done upfront on the ticket and all that coding information automatically copy to the invo you can save the 9 days of time to code the invoices which means then you are able to more easily achieve payment terms and earn additional early paid discounts because you've moved the work before the clock starts every supplier uses a different tool and a different system so what that means is when they show up and they want you to uh reconcile or they give you the tickets to sign and they then your accounts payable team was trying to reconcile them everything looks different so you're always looking at different spots for different information open invoice provides standardized layout so every ticket from every supplier looks the same making it easier for you to review code and approve those tickets and then as well review and reconcile invoices because everything is in a consistent layout for your field supervisors their job is to maintain the safety of the site not to do paperwork and so if they're able to organize tickets how they want by creating these virtual Stacks in the application whether it be by requisitioner cost object location or supplier then using any internet enabled device they are able to review code and approve their tickets anytime anywhere which means they can focus on the job at hand on the wellsite maintaining safety making sure that well site's running smoothly and then do the paperwork when they're in the office as it's convenient for them by coding the ticket that eliminates the stamp and the hard to- read handwriting because they're entering it right into open invoice and then because the data is in open invoice open invoice now manages the data flow from the field to the office not the supplier so you're no longer relying on two or three or four people outside of your company to provide the information you need for accounts payable to appropriately approve and allocate the costs of your projects we know time is money especially now more than ever the current economic Market the current uh situation with the oil industry every opportunity you have to save money helps and whether that be through reducing labor costs whether it be through improving processing times that you can achieve early paid discounts every second counts and so last year looking at the data that's in the system clients took on average 14 days to fully process invoices that reference Paper Tickets which means that typically they're not able to achieve early paid discounts you can save time and money by automating the business compliance validation and matching rules in open invoice so open invoice does most the work for you and you just focus on the exceptions from the supplier perspective open invoice is built so that supplier submits field ticket using their to Tool of choice just like they would for an invoice so they could use their existing custom Solutions and connect them to open invoice uh they could use a commercial solution that we've partnered with that's connected or they can sign in and manually enter tickets it all depends on their size and their technical ability and what they're currently using today our goal is that the supplier doesn't have to change their processes just to get tickets into open invoice field ticket is also PEX compliant so what that means is suppliers who have existing Solutions based on the PEX standards that they're already uh sending data to existing buyers they're able to use that system connected to open invoice and they don't have to redo any data mapping and it just once it's connected they're able to send those PEX tickets once a ticket comes into the system regardless of how the supplier chooses to bring it in open invoice will validate all data entered ing to the configured business rules so that's the relationships that's your um getting the data to the right place getting the tickets to the right person and then suppliers are able to track the ticket status and identify tickets that have issues and identify tickets that are ready to invoice so there's that collaboration between your field supervisor and the supplier and they're able to using the tool at their time and their schedule be able to work together instead of having to find each other at a physical location once that ticket is in open invoice like I said the field supervisors are able to review code and approve or dispute a ticket on any internet enabled device the ticket and all of its so say coding information flows to your Erp where it can be matched against invoices and it also can flow to your reporting systems where you can start doing cost analysis when the supplier's ready to do their invoice they're able to create the invoice and reference the approved ticket and all the coding information automatically copied from the ticket to the invoice and then compliance matching and validation rules are evaluated invoice processing is done ing to the workflow automation rules and so if you've configured rules to automatically dispute non-compliant invoices or automatically approved invoices that have a match that will be done and then your team focuses on the exceptions the things that are identified as warnings or things that you've configured that you want your team to look at so that is um in summary what open invoice field ticket provides at this point I'm going to give you a brief demo and I've got three little scenes that I want to do for you so the first scene is I'm a field supervisor so I'm responsible for the safety and the work performed at the wellsite and my company organizes data or organizes so that um tickets are reviewed and approved by the field supervisor so how that's accomplished is I've asked my suppliers to put my name as the requisitioner which will automatically route the ticket to the right person so I'm just signing into to open invoice in my test in my test environment and once that's in I will give you a little demo so I start by showing the when I sign in I get to see my uh desktop or my stack list and what that gives me sorry I accidentally hit my screen and what that gives me here is the stacks that I've configured so I've configured one stack which means I'm responsible for tickets that have my name on them I can see the number of tickets that are outstanding for me and I'm able to drill in and start processing them I've made this screen uh or my browser here kind of narrow and small to give you an idea of what it would look like for somebody who's working on a tablet or a phone as opposed to a desktop so once I sign in I can see I have two outstanding tickets from two different suppliers and there's a number of attachments associated with them I can see the dates and the costs associated as well when I open up a ticket I'm able to see contract information uh number of different fields so I'm able to specify super super intendent and office approver so these are individuals who the are associated with the invoices and who need to have the invoices wred to them so by entering the information here that floats the invoice and so my head office is able to um wrote the invoices appropriately so in my scenario they're both the same person I'm able to also see coding and so I'm able to code my tickets at one coding for the entire ticket or different coding for the different individual lines if I look at the lines that I've got I can see I've got one line for a senior mechanic for seven and a half hours and I've got a second line for a junior mechanic so since it's both labor and it's the same project same website I'm going to code my tickets to be all the same coding for the entire ticket so as I type in my information I get feedback that tells me whether my values are found or exist in the system so once I've got a correct value in the system it would help if I typed it correctly that feedback goes away and I have that on every field I also have the ability that I can search if I need to but I know my coding because I've been using it for quite a while so I now have all of my approved coding I'm able to approve this ticket I don't see any issues if I wanted to I'd be able to look at the attachment that the supplier put in so I can see that this one has one PDF that they've open that they've added um probably some backup about the type of work that they performed so I'm just going to go ahead and approve this ticket I have the ability to enter an optional comment and this comment goes back to the supplier so if there's any additional information I need to to know from a invoicing perspective it's also available for my account's payable team when they're looking at the invoice in because I have any additional information for them at this point I don't have any other information that I need to provide so I'm just going to confirm the ticket and I'm brought back to my list now I'm responsible for my tickets and if I had a coworker and I do have a coworker who happens to be on vacation I want to quickly and easily manage his tickets on his behalf so I can just create a new stack um by requisitioner and put in his name and I'm able to see the tickets that my co-worker is responsible for and manage tickets for him on his behalf I'm not going to do that at this point but if I needed to or I wanted to that is something I could do the second portion of the demo or my next demo is as a supplier I'm going to create the invoice so I'm now in an accounts payable person and I am going to search for all Field tickets that are ready for invoicing and then generate my invoice from those tickets so I'm just signing in to open invoice as a supplier and here I'm going to be on our our desktop version as a supplier so I come in and I see my dashboard I want to do invoice from tickets and so ordinarily what I would do is I'd probably search by buyer name uh ticket status invoice status or some other information but I've got specific tickets I want to um use so I'm going to search by ticket number and ticket status so I can see the tickets are ready for invoicing so I can see I've got two tickets here I'm going to select both of them and create my invoice once all that data comes in because I've got multiple sites that I work from I just need to configure that and then I just need to quickly pick the sites that I'm sending my invoice to enter my invoice number and confirm the rest of the information so that superintendent and the office approver that the field supervisor entered onto the tickets is automatically copied into the description I can see the two tickets that are linked if I wanted to I could click on them and view them in a popup so I can see the details here if I needed to and then I'm able to confirm I've got a contract and I'm going to apply early PID discount so that my buyer gets 2% discount if they pay me in 10 days at this point I can review the invoice and I can see that I've got um a number of different alerts so I'm on contract and I've got some red ticket alerts but I'm just going to ignore those because I'm in a hurry and I'm going to submit my invoice to this to my buyer I don't have any attachments I need to include but I'm stopped because my buyer has configured these automatic rules saying they're not going to accept any invoice that it's not compliant with the ticket and this red ticket alert is a major um a major alert so if I scroll down and I look to see what the issue is I can see oh oops I already already invoiced this ticket so open invoice is ensuring that you're not getting the same Feld ticket on multiple invoices so since I already invoiced that I will just delete these line items for that ticket and then I'll resubmit my invoice so the compliance first workflow in open invoice lets me know upfront if I've got any issues that could hold up the processing of this invoice on the on the buyer side so I know that because I've got Green Field ticket alert and a green price book alert there's no issues with this invoice it's compliant I expect my buyer to be able to just quickly and easily approve this invoice and pay me relatively quickly so now I'm going to submit this invoice and there's no issues so it's off to the supplier or off to the buyer all right the next portion of the demo is I am going to be a field or sorry the accounts payable team and the accounts payable team I just need to quickly sign out and sign in the accounts payable department has set up some automation that will ensure that the invoices are processed appropriately so you already saw what happens with the automatic disp of a non-compliant invoice so one that fails a three-way match between a red field ticket and or a red uh price book alert I've also got my invoice or my workflow configured so that it will automatically code verify invoices with previously approved coding so in this case if the invoice coding matches the coding entered on the ticket and there's no issues that is a pre approved coding and then I will skip that whole coding step the last piece of automation I have is I will automatically financially approve invoices that have a successful three-way match so that's where it matches the price book and the field ticket so I've got two invoices I want to show you and we can look at what that look what that means oops it would help if I typed my numbers correctly so I've got two invoices here so I can quickly see um the one that has outstanding early pay on it and it's got a couple of alerts and the one this is the one I just submitted here so I'm going to open this invoice and we can see that I just submitted it a couple minutes ago and the system automatically code verified it based on those workflow rules and the system automatically did the financial approval so this invoice came in and wound up being a touchless invoice because all the reconciliation was done automatically the steal supervisor approved the work I've got a contract that's in place pricing agreement in place everything matches there's no coding issues and so this has gone right through the system and it's now ready to be paid the other invoice that I've got submitted came in and it's got a couple tickets on it however there's this line of third party charges that was added that's not on a ticket and so it doesn't match to the ticket and it doesn't match to the price book either because it's not part of my pricing agreement so in this case it's a yellow alerts because it's not something that I would want to automatically dispute on but it's not something I want to automatically approve and pay either these are the exceptions that I want my team to be able to review and determine if they are valid or not and if they have to go back and forth with the supplier all right that is my demo at this point Chris I'd like to open it up for questions if you have any that have come in sure yeah so I have a couple um this question can each line in field ticket be broken down to more than one cost code so each line has one what we call an AF or project code and one uh cost center on it the individual lines can all have different codes at this point we on our plans for the future is investigating and working with uh our clients to determine do we need multiple cost objects per ticket line or not right now it's one cost object per line and each line can have a different value all right and there is another question here um you have an open API with reporting systems do you have any plans or are you open to work with some of the newer companies that provide bid management and AF building so those um the answer to that is short answer to that is yes um and we actually have the ability to have AES and cost centers and that uh automatically uploaded into open invoice it's part of our over all open invoice uh platform and so the that reporting API I was talking about is purely just to get the Field tickets out but we do have a bunch of other apis available for managing your um Master data in open invoice and Michael I do have the contact information for that individual um for a maybe a a more detailed dis uh discussion offline um we have another question can the buyer restrict suppliers to prevent them from submitting tickets until the tickets are approved so the short answer to that is yes um in that the there is an alert it's a yellow alert um that would be raised for invoice that comes in for a ticket that is not approved however we don't recommend that because it's possible that the field supervisor just hasn't completed the the that approval step um or there's some other issues other things in play and we don't want to fundamentally put roadblocks artificial road blocks into the system once so any invoice that comes in that has that yellow alert where a ticket came in that was just a submitted status um you can reach out to the field supervisor once the field super visor approves that ticket then open invoice will check and see if it's compliant in the scenario where the ticket was disputed and the supplier invoiced it anyways that is a red alert and as you saw you can configure a rule to Auto dispute for red and that really is a valid scenario you're not going to accept an invoice when the work was rejected but if the field has not um reviewed the ticket then it's up to you whether you configure to reject based on that yellow alert or not but we don't recommend doing it because it puts in an artificial road block okay and this is a followup to the question about the um breaking down uh of each line in the field ticket um and if I need to I think I can um open the the phone for for this individual so just to clarify the accounts B person cannot break down the individual line to multi to multiply cost objects either or is this just in the field ticket submission so okay good clarification so on the field ticket each field ticket line has one cost objects one a one cost Cent associated with it once an invoices created the accounts payable team is able to split invoice lines across m multiple cost objects and that functionally is already available it's in it's part of our core system um but maybe we can uh Chris I'll look into I'll follow up with the the person offline if they okay I didn't answer the question okay perfect and then we have another one here lots of questions what options are available for reducing review and approval of invoices when the field ticket is already approved in other words if an operator wants want to automatically pay invoices below 1,000 if the proper people have approved that ticket is there is there configuration for that yes so the rule the workflow rules that I uh that you can configure have that dollar threshold um for purposes of My Demo I kept everything under my configured threshold but you can configure it so that you'll do that you could always automatically code verify um but you only do the auto approval for invoices under $1,000 with the three-way match from a specific trusted supplier so it gives you a wide variety of um options as you build out those rules that gives you the flexibility to build the scenarios based on your your needs okay here's another one does the field supervisor need to manually stamp information each time or can they default some data for example default the AF number if they are working at one site for several days so we do have a little bit of functionality where based on the relationships between um the fields will automatically populate so for instance if you've got one cost center that's associated with that AF the cost center will automatically populate in the GL um if you have one portion of the GL mat to as you're entering it it'll automatically populate on our strategic road map is something that we call Smart coding and what that's going to do is it will have the system learn coding based on previously approved tickets um it's not available yet but that is something that we are working towards so that in your example where the field supervisors using the same values over and over and over again um eventually what we want is want the system to learn and default that data okay um another question and and Michael let me know if we're going over on time um and if we want to address these offline but here's another one for manual entry suppliers wouldn't it take them 22 days to send the field ticket for approval since it's taking them 22 days to submit an invoice no so that 22 days for them to submit an in invoice actually um there's a number of things that come into it so the in working with the suppliers and the research we've done is most suppliers have a work management system that they use to manage their crews out to the different sites what they're doing is before they the crew goes out to the job site they print a paper copy of their work order or their which becomes their field ticket and they take that with them to get the signature and then because they're not in the field supervisor might not be available or the there's other things that come into play in terms of how long it takes that piece of paper to get back to head office and get the invoices created by having the their work the ability for them to connect their work system into open invoice it really reduces that submission time to the same day or the next day because they're working in their system they're completing the work as they complete the job in their system and then their system just pushes it to open invoice and so what we're seeing with the clients that are are operating and that have these systems connected tickets are showing up much faster than they are today getting that invoice in okay um how are disputes handled without on-site confirmation so this really is up to you if you choose the dispute process can be the same as it is using paper however if the dispute discussion occurs after the tickets submitted to open invoice then the field ticket application provides the additional benefit of allowing the field supervisor to add comments to the ticket to capture the reasons for a dispute and it sends that dispute to the supplier so the if the supplier has their tool connected they're able to query open invoice for not only what is approved and ready to invoice but what was disputed and what's the reason for those disputes okay and I believe one more here how does open invoice reconcile invoice to a field ticket and what does it mean when a ticket is compliant so an invoice is compliant to a field ticket when the ticket is approved has only been invoiced once and there are no discrepancies between the invoice and the ticket so open invoice compares the product and service the currency the rate the quantity the unit of measure service dates and the coding between the two documents and a match a green alert occurs if all values are identical in some cases depending on which value is off you might get a red alert it's a major issue something that you want to automatically dispute or prevent submission in other cases it would be a warning so something that you might want somebody to review instead of automatically disputing you don't want to necessarily automatically approve either all right so those are the questions that we've received up to this point all right I have a couple more slides just as a summary and then so if anybody's got questions while I'm doing these last couple slides by all means keep submitting them and we'll give you a little bit of opportunity in a moment so just as a summary what does open invoice field ticket mean to you so if you're the buying organization it gives your engineers that real time spend visibility so they can make informed decisions your Field Supervisor is able to focus on the job at hand and then process their paperwork in an efficient mobile way and and your accounts payable team and your financial approvals are focused on the exceptions because you've got this automated invoice reconciliation process from the supplier side it simplifies their processes because they're able to submit tickets directly from their system they don't have to chase the field supervisor at the end of the job to get those signatures and that information because you're able to approve the tickets faster it results in them being able to submit their invoices faster which results in them being able to start their accounts receivable processes and those pre-populated invoices with the ticket being copied directly or the data being copied directly from the ticket and compliance first workflow gets them the assurance that their invoices will be approved faster so all in all it reduces their days sales outstanding and means money in their hands faster how much faster so we know it's actually going from weeks to days and so there's that 22 day average delay in visibility I've heard some clients say that they've actually got delays as high as 40 days um one client I was talking to said that uh they've got some reporting built in and when the report tells them that they are over budget they are actually 40 days of additional work and costs coming in before that over budget alerts even raised so they're really over budget with open invoice they'll have that visibility near real time the when you code the ticket and then it's approved and you use open invoices automation functions you can save a total 14 days from your invoice processing cycle and by Saving 14 days that means that the um if you have a 210 net 30 early paid discount you've missed it in the paper world but because you've cut those all that time off you're able to realize those discounts and so that saves you time and effort and it saves you big money so an independent industry analyst has done a bit of work with us to sort of DET determine how big this is and their estimate is for just the top 10 US producers the total annual savings could be $1.4 billion and that's 840 million in labor savings so that's the actual physical labor to process the Field tickets review reconcile approve the ticket based invoices and then there's they're estimating an additional 600 million in early paid discounts that can be realized by significantly reducing your invoice processing times so that's for the top 10 US producers combined that's what our uh industry analyst friends are estimating are the savings which in our opinion is a major GameChanger for the oil and gas industry all right that's everything I have for you thank you so much for taking time out of your busy day to join me Chris do we have any last minute questions that came in we actually have a couple of them um there are times when the supplier field ticket needs to be split among multiple invoices how's this managed so it is possible um and open invoice is configured so that that alert that says this ticket is on multiple invo voices um you decide if you want that alert generated or not if you turn it on it will be generated there is nothing stopping the supplier from doing it other than if you've generated the alert and you configured to stop the invoices with the red alerts then that's something you'll have to work through with the supplier but the default configuration it is absolutely able to be done great and then this last one is there way to remove pricing from the ticket yes so a number of clients a number of suppliers have said they don't want the um field person or that service provider entering the rate so they don't know the rates and so there's a couple of ways that you can do that um we allow the tickets to come in without any rates on them and then when the invoice is generated against that um ticket there is a warning saying that there was no rate on the ticket you have the option to turn off that warning which means then you basically your Field Supervisor is approving the scope and quantity and then what we would recommend is that you also configure pricing agreements and pricing contracts in the system that have the rates so that your field ticket is just the scope and quantity the invoice comes in with rates matches against your pricing agreement with your your contracted rates and you can still get that three-way match match between your ticket your invoice and your pricing agreement all right I think that does it all right once again thank you everybody I really appreciate you taking your time to join me if you have any additional questions please email info@ oildex.com and we will arrange to have somebody follow up with you