BASF automates global P2P process in the Cloud

Mar 14, 2022

BASF shortens processing time for 3.5 million incoming invoices per year by 50 percent and reduces effort by 40 FTE thanks to AI. smart INVOICE excels in detailed document reading, excellent data quality, deep validation, and low maintenance effort.

Insiders implemented the smart INVOICE solution for BASF worldwide. This has enabled the chemical company to automate the purchase-to-pay(P2P) process for accounts payable processing to a much greater extent and further improve its quality. Overall, automation with artificial intelligence has more than halved invoice processing time and saved 40 full-time equivalents (FTE) of effort.

Every year, BASF receives around 3.5 million documents with a total volume of about 10 million pages from more than 80 countries. An extensive market review led the company to Insiders Technologies’ smart INVOICE solution as a cloud service. In selecting a new solution, it was essential for BASF to use state-of-the-art AI for the best possible data extraction and to enable rapid rollout and easy scaling with cloud services. Additionally, fully automated detailed document reading and validation were required for a holistic increase in the degree of automation across the entire process chain.

“Our process was already largely optimized in terms of its flow. It was obvious that to increase efficiency further, we would have to rely on new technologies from artificial intelligence to achieve more automation”

says Rita Lampasona-Hornung, Head of Accounts Payable EMEA at BASF. “The intelligent cloud services from Insiders Technologies – specifically smart INVOICE for invoice processing – quickly convinced us with their innovative concept and outstanding performance.”

With year-end closing as a fixed deadline, the design, planning, implementation, and global rollout of the Insiders solution had to be fully completed within just ten months. Today, around 400 employees at BASF’s three service hubs worldwide are working with this solution. The document reading process has been significantly improved in terms of the scope and quality of the data, which is reflected in a high proportion of fully automated read and verified documents. This level of quality has also led to a significantly improved ratio of documents with fully automatic posting in SAP. Using the smart ACT business analytics tool integrated into the solution, BASF can evaluate extensive usage data in various levels of detail and so are able to improve the entire process in a data-driven manner continuously.

BASF is so convinced of the performance of Insiders Technologies’ cloud services that it is already piloting other application areas in the P2P process, such as order confirmation processing and advanced shipping notifications.

Read the detailed project report now!