Procure to Pay Process Review

P2P process review case study.

BACKGROUND

The client was a provider of residential & home based aged care services with 15 sites throughout Victoria & NSW. While purchases of clinical products were managed through their ERP, indirect purchases could not be managed through the ERP & needed to be managed through an alternative system. The system for indirect purchases was manual, cumbersome & time consuming, leading to errors, inefficiency & general dissatisfaction. The client wanted to investigate whether the process could be improved & what options were available to improve it.

PROJECT OVERVIEW

Spend Solutions were engaged to provide procure to pay consulting services by reviewing the current procure-to-pay process (P2P) for indirect purchases, identify opportunities to improvement & provide recommendations & options for the clients consideration.

Spend Solutions conducted site visits & spoke with key stakeholders to obtain their input & feedback regarding perceptions on the process & opportunities for improvement. By mapping out the current P2P process, Spend Solutions was able to then conducted a gap analysis against best practice, allowing process gaps & issues to be identified. Spend Solutions then researched available options to improve each gap based on guidance from the client, which were then costed, risk assessed & documented. This information was then prepared into a report that clearly showed the client the current state of the process, the issues & what practical options were available to address each issue.

PROJECT OUTCOMES

The P2P review provided the client with clarity regarding the issues, solutions & options to improve the current process. With this process the client was able to make informed decisions regarding developing an improvement plan, including mapping out the strategy, actions, resources, costs & timeframe.