Benchmarking for Continuous Improvement in AP With Microsoft

Benchmarking for Continuous Improvement in AP With Microsoft Dynamics AX & AX 365 Jeff Green Regional Sales Director

“What cannot be measured cannot be met!”

Cost per Invoice

Invoice Lead Time Average: 23 – 12. 2 days/invoice Source: Paystream Advisors, 2016; Ardent, 2016

Invoices Processed per AP FTE

Touchless Processing (%) Definition: % invoices that require no manual intervention between receipt and posted in financial system

Automatic Distribution (%) Definition: % invoices that require no manual intervention to distribute to relevant approver

Benchmarking: How to Achieve Best Practices 1. Build a baseline 2. Implement your AP automation tool 3. Use KPIs to measure AP process efficiency 4. Compare performance to relevant benchmarks 5. Identify areas of improvement 6. Monitor KPIs

Building a Baseline

Implement your AP Automation Tool

Measure KPIs Cloud and big data analytics to enable KPI reporting & benchmarking Touchless ratio Manually connect ratio Processing lead time

Analyst KPIs Metric Novices Mainstream Innovators 45 days 23 days 5 days $12. 26 $6. 86 $2. 67 % of electronic invoices 3% 9% 32% % of discounts captured 18% 40% 75% Average processing time (invoice to approval) Average processing cost/invoice (combination of paper and electronic) Source: Pay. Stream Advisors + Medius “Your Path to True Straight-Through AP Processing”, May 2015

KPI’s for Continuous Improvement PO Based Invoices http: //benchmarks. mediusflow. com/index. html Current as of 9/6/17

KPI’s for Continuous Improvement Non-PO Based Invoices http: //benchmarks. mediusflow. com/index. html Current as of 9/6/17

Benchmark your KPIs vs. Industry Leaders Continuously Improve you’re AP KPIs Touchless Rate Manual connection 3 Way Match Exception Analysis % Total lead time Exception Management lead time Averag e 69% 25% 26% 7 days 3. 5 days YOU R KPIs 75% 8% 22% 0. 9 days 0. 4 days <1 day 0. 25 days Leader s 90% 7% 3% Real client example from Q 2, 2017

Implement Best Practices for Success § Ongoing reviews of software deployment § Sharing of best practices to maximize AP performance § Ensure corporate compliance controls are being adhered to § Product Roadmap Voting review § New feature and enhancements immediately available in a true-cloud solution § Genuine partnership with customers § Participate in Customer Conference

Deliver results with Microsoft AX Over 100 Microsoft AX and AX 365 customers are using Medius for Accounts Payable Automation & Benchmarking

“We now have the right tools and infrastructure to keep growing and we’ll be able to handle additional volume with the same staff. ” - Amando Rodriquez, AP Manager 250, 000 invoices with integration to Dynamics AX

“We have much better control over supplier invoices during our restructuring process while acquiring 80 stores around the country. “ - Pontus Petersson, CFO Over 250, 000 expense and PO-based invoices annually with integration to Dynamics AX

Case Study: In any given week, Marc Jacobs engages 50 new vendors in work that, over the course of 1 year generates more than 54, 000 invoices. Marc Jacobs cut invoices processing time from 45 to 11 days. 93% of invoices are now routed without any human intervention. “Medius. Flow was up and running in less than 4 weeks and we realized an ROI within 7 months. ” - Regis Litre, CIO http: //customers. microsoft. com/en-us/story/marcjacobs

About Medius 100% Focus on AP automation since 2001 North American HQ in NYC, 200+ staff, 10 global offices, global partner network PO-based Workflow: Experts in automated matching Maximizing touchless, straight through processing of PO-based invoices Non-PO Workflow: Accurate coding and real-world approval routing Sequential & parallel routing, flexible approval hierarchies True-cloud company, true-cloud solution Product-based solution with continual enhancements and new features Point and click configuration, packaged best practice workflows Giving business the control, eliminating IT bottlenecks and resource demands Performance metrics and unique peer benchmarking Actionable business intelligence for ongoing improvement Built to scale for SMB to global companies 2000+ clients, 40+ countries, 45+ million invoices per year Future-proof investment Integration capability for Microsoft AX and other Microsoft Dynamics tools, multi-ERP, disparate systems…

Benchmarking Next Steps Additional Resources 1. AP Automation Benchmarks Overview http: //www. mediusflow. com/en/Medius. Flow-advantages/Benchmarks 2. Benchmarks: How to Compare Against Your Peers http: //benchmarks. mediusflow. com 3. Benchmark your way to Invoice Processing Excellence (Blog Post) http: //www. mediusflow. com/en/Knowledge/Blog/Benchmark-your-way-to-invoiceprocessing-excellence 4. Benchmark Yourself: 5 KPIs you need to know (On-demand Webinar) http: //www. mediusflow. com/en/Knowledge/Webinars

Contact Information Jeff Green Regional Sales Director Jeffrey. Green@medius-group. com +1 (706) 273 -9995