Procure to pay (P2P) is a complex process that often spans multiple departments. Procure to pay is a process that integrates both purchase accounts and accounts payable systems for greater operational efficiency. It encompasses several key operations in the procurement process, including purchase requisitions, purchasing and PO generation, and processing supplier invoices.
Procure to pay analytics simply refers to the analytical data that’s collected throughout the procure to pay process. Steps must be taken sequentially throughout the P2P process, starting from identifying the need for supplies, to invoice approvals, and eventually payments to vendors.
P2P analytics are used by businesses to identify inefficiencies, risk, trends, and other insights. These help businesses streamline or reinvent existing business processes and improve decision making.
P2P analytics help businesses generate more accurate reports and get granular insights into how their procurement processes are working. P2P analytics can be derived with the help of an analytics tool. Procurement automation tools offer real-time reporting and analytical data to decision makers.
P2P analytics can be analyzed at different levels, including categories, supplier, or product level.
P2P analytics provide insights into the business’ procurement processes, including any bottlenecks or slow-downs that may create a negative impact on the business’ overall performance.
Procure-to-pay software can give you better insights into your company’s P2P analytics. It helps improve vendor relationships by offering full transparency over the status of their invoices.
It offers complete visibility over the entire P2P process, presenting information in real-time, including graphical reports detailing accruals, total spend, contracts, and vendor management.