Connecting AP Automation to Your ERP System
Agenda
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Introductions
Why Connect AP Automation …
What Data to Connect
How to Connect
Q&A
Asking Questions – Getting Answers
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Introductions
Jon Titel
• Chief Technology Officer at
iPayables
• Been connecting systems for
over 18 years
AP Automation
• Any system that automates a
portion or all of the Account
Payable Process – namely
capture, workflow, payments
and reporting
in·te·gra·tion
an act or instance of combining into an integral whole.
Why Connect?
• ERP or AP Systems are a big investment and
should remain the “Source of Truth” for
corporate data
• Synchronize changes in the ERP with the AP
Automation System
• Combine data from multiple systems into a
single front-end
• Distribute data from a single front-end to
multiple systems
Vendor Master
• Ensure AP Automation System has current
vendor data – Name, Address, etc.
• Provide important Invoicing Parameters –
Payment Terms, Business Units, etc
• Provide control parameters – invoice template,
dynamic discounting options, etc
Invoice Extract
• Provide a channel for Invoices into the ERP or
Accounting system from the AP Automation
system
• May instead feed other systems such as internal
workflow.
Invoice Status/Check Register
• Provide feedback on the invoice processes
internal to the ERP system
• Provide remittance or other payment data
GL Account Validation Values
• Used to drive Account Coding during workflow
and approval
• Can consist of a variety of distribution fields
• GL Account
• Cost Center
• Project
• Location
• Etc.
Purchase Order
• Used in the Invoice Creation and Match Process
• PO data can be used to drive workflow or other
processes
• Can include PO related documents
• Receiving
• Acknowledgements
• Advance Ship Notices
User/HR
• Used to control access to the AP Automation
system
• Can be used to drive workflow and final invoice
approval
How?
• The Holy Grail
• The Next Best Thing
• Steps…
The Holy Grail
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Behold – the ADAPTER
Great option for on-premise, installed ERP
systems – Dynamics GP, Sage, etc
Handles all aspects of Integrations
• Data Import/Export
• Connectivity to AP System
Not a great fit for Cloud Based
Not a great fit for larger ERP systems
• SAP
• Oracle
• PeopleSoft
The Next Best Thing
“You have customers with _____ ERP?”
• Answers basic “Will this work?” question
• Can provide some insight into approach
• Usually does not lead to “drop in” integration –
still takes some effort to handle in’s and outs
Steps
1. Pick your format
2. Pick your connectivity
3. Test…Test…Test
Pick Your Format
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EDI
• Many ERP have built in support for main data
types (Invoice/PO/Remittance)
• Not a great fit for Account Distribution data
• Not a great fit for supporting data (Vendor,
User)
• If you have EDI experience use it – otherwise
not the best first choice.
Pick Your Format
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CSV
• CSV doesn’t have to use “commas” – pick a
delimiter that makes sense
• Good format for straight forward outbound
data (Vendors, Accounting Codes)
• Not as straight forward for some complex
data such as full invoices, purchase order but
can be made to work
• Not as flexible as XML
Pick Your Format
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XML (<tag>data</tag>)
• XML is very flexible
• Easy to read
• Can be bulky (lots of extra text)
• Good XML tools make life easy – hand
programming can be problematic
Pick Your Connectivity
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Security, Security, Security
Secure FTP (FTPS/sFTP)
HTTPS (Web Services/AS2)
VPN
test..Test..TEST
• Connecting two systems can tricky
• Be ready to adjust as testing reveals additional
needs/changes in the interface
• Make sure that the data being passes ends up
where it should and results in the behavior you
want
• A good AP Automation solution should cover
any gaps you have in the interface.
Not One and Done
• Integrate what you need to get started and add
connects as it makes sense
• Only automate what is necessary
• Connecting to a centralized front end can ease
ERP migrations or other internal system work
• A centralize front-end can connect multiple
systems into a seamless experience for end users
Asking Questions – Getting Answers
In the join.me tool bar click the “Chat” icon
Enter you question or comment in the
chat window and press “Enter”
Connecting AP Automation to Your ERP System