Accounts Payable outsourcing

Why

​On roll employees used for processing routine transport invoices, which were not routed through Purchase Order> Goods Receipts> Two / Three Way Match in the ERP system>Supplier Invoice processing

Challenges

1.    # of invoices : over 1000 invoices in a month, 
2.    Timelines:- Target Turnaround time of 48 hours
3.    Limited availability of resources
4.    Erratic flow of invoices from Vendors 
5.    High dependency on vendor’s effectiveness to send invoices along with supporting evidence like loading slips, goods consignment notes
6.    Lack of automation of processes

Solution

Client outsourced the entire Transport Vendor invoice processing activity to us. We studied the information and document flows, current process and suggested following changes:-

• Shift the process from client location to our office

• Invoices directly being received by us

• Set up of approval flow Galactic Growth> Client> Galactic Growth

• Weekly update of invoice booking status

• Improved efficiencies as our resources could contribute with activities like follow-up with vendors, prices checking with agreed contracts etc

• Cost arbitrage

Client speak

Galactic Growth Advisors have worked with us as partners and have from time to time exceeded the remit and given suggestions for improving our internal processes. This has resulted in a reduction in un-booked invoices from 24% in June’ 2022 to less than 8% at end of Q4 2024.