Step 1 - An email account ([email protected]) is monitored for incoming purchase invoices. Inevitably, suppliers send a variety of documents to this email address, so its important to remove non-invoice documents at the start of the process. This is achieved using an email monitoring service (using Formate eVo software) which automatically extracts invoices based on a set of pre-configured rules.

Step 2 -Incoming invoices are automatically processed by ABBYY FlexiCapture, which identifies the document and extracts key details such as invoice number, PO number, date, and total amount.

If the invoice doesn’t specify the branch that raised the order, the system performs a database lookup using the PO number to match it to the correct branch.

When the software detects missing information, uncertain data, or potential issues—such as an unrecognised supplier, missing PO, or changes to supplier bank details—the invoice is automatically flagged and sent to a human verifier for review.

Step 3 - Once the invoice data has been captured and the branch identified, the invoice needs approving. This is achieved using the infoRegister application. infoRegister takes a PDF copy of the invoice and routes it the appropriate branch for approval - as this stage the branch can check the items order have been delivered, the totals are correct, add notes, raise a query with colleagues , before rejecting or approving the invoice for payment.

Step 4 - Now invoice has now been approved by the branch, it's ready to be registered on the Merlin ERP system for payment. Finally, a copy of the invoice is saved with meta-data (in the infoRouter DMS) for for VAT/TAX compliance.

Benefits

The invoice automation system has been a real success, with benefits in the following areas:

- Electronic routing of invoices speeds up approval

- Shortens times from receipt to payment

- Uses AI/OCR to extract invoice data and allocate to branches

- Reduces the risk of duplicate or fraudulent payments

- Handles increasing invoice volumes without needing extra staff

- Supports remote and hybrid teams

- Centralised dashboard for tracking invoice status in real-time

- Provides audit trails for compliance and accountability

- Improves cashflow forecasting with up-to-date reporting

Matthew Yorke - Accounts Payable (AP) Lead at Cromwell Tools has this to say about the system:

"We're a really busy AP team and anything we can do to focus staff on added value activities is a real bonus. In the past we've spent a massive amount of time keying invoice data and routing invoices for approval at our remote branches. The new system saves our staff hundreds of hours each month, which means as our business grows we don't need to employ more people. We've also got far more information at our finger tips - for example, if a supplier is chasing an invoice we can quickly find where it's got to in the system and provide a timely update. The improved reporting also means we can quickly spot any bottlenecks in the process and address then......and the accurate data means we can improve our cashflow forecasting. Day one the system worked well, but we're still working with Document Genetics to finetune it, and if we do need help, we've been delighted with the support they've given us".