Creating a clear Future-State Vision is the real start to P2P Transformation.

P2P transformation does not start by attempting to fix a list of problems - It starts with a clear Future-State Vision.

Many Healthcare organizations try to improve P2P by fixing one issue at a time.
-         Workflow automation shortcomings.
-         Supplier data issues.
-         Transaction digitization adoption gaps.
-         Payment problems.
-         Policy compliance gaps.
-         Supplier onboarding and adoption challenges

Each issue may be real — but solving them individually often creates a patchwork model.
-         More tools
-         More workarounds or customizations
-         More disconnected solutions.

And often, the first instinct is to look to the ERP system as the one-stop fix.
ERP is important. It is the foundation and system of record.

But in many P2P transformation efforts, ERP enhancements alone can become clunky, rudimentary fixes that do not fully reflect leading practices or address the specialized needs across the entire P2P lifecycle.

The better approach is to first define the future-state P2P model - which requires exploration.
-  Exploring industry best-in-class operating models.
-  Exploring leading practices.
-  Exploring the latest advanced technologies, Automation tools, RPA and AI.
-  Then determining what actually fits the organization’s goals, structure, supplier base, risk profile, and financial objectives.

The question is not simply:
“What problem are we trying to fix?”
The better question is:
“What should this model become?”

That vision allows you to evaluate ERP capabilities, best-in-class solutions, automation, data, policies, supplier onboarding, payment strategy, controls, and organizational alignment as one connected model. There is an art to balancing the ERP foundation with targeted best-in-class solutions, RPA, and AI where they create the greatest value.

And when a true best-in-class model is created, some problems no longer need to be patched. They disappear because the conditions creating them are removed.
-         Clean data governance becomes part of the operating model.
-         Policies and leading practices are enforced by design.
-         Supplier onboarding becomes structured and intentional.
-         Payment strategy becomes connected to working capital, cost, risk, and supplier experience.
-         Finance, Supply Chain, IT, and the business align around the same outcomes.

The takeaway:
- Fixing individual problems may improve pieces of the P2P process.
- Building the right future-state model transforms how P2P performs and the outcomes it can achieve.
- ERP should support that model.  It should not define the limits of it.

This is the thinking behind our AP Profit Center Roadmap — define the future-state model, quantify the opportunity, and build the path to capture it.

Learn More about P2P Transformation

If you would like to learn more about the Financial Impact true P2P Transformation could have on your organization schedule a consultation with us.

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