Alliance Data reduces invoice handling costs by 50%
Alliance Data’s success with e-invoicing lies in its investment in preparation – understanding and establishing key metrics to measure the impact of the initiative – and a willingness, once the decision to go forward with e-invoicing was made, to aim for 100% enrollment of its suppliers.
Alliance Data Systems (ADS) is North America’s largest and most comprehensive provider of transaction-based, data-driven marketing and loyalty solutions serving large, consumer-based industries. It has revenues of more than $3.6 billion in 2012.
In 2010, Alliance Data worked with a third party to benchmark its invoice performance with similarly sized companies and found it was underperforming on metrics such as invoices processed per full-time employee and processing cost per invoice.
Alliance Data has already achieved some outstanding outcomes. “As a result of acquisitions and organic growth, we are processing an additional 5,500 invoices per month, but we are still delivering increased productivity through e-invoicing with no additional headcount in Accounts Payable,” says Todd.