5 key steps to P2P success - how to get started

As a CFO, you understand how important a well-functioning procure-to-pay (P2P) process is to your company's finances. Yet we often find that unnecessary manual tasks slow down work, tie up capital and introduce unnecessary risk.

Getting P2P right is one of the highest-leverage moves a CFO can make. Here's a framework for doing it well.

Step 1: Understand your current process

Start with a clear, documented picture of your P2P process as it actually runs today — not the idealised version in a process manual, but the real one, with all its workarounds and informal fixes included.

• Map the process: Create a visual overview of the entire P2P process, including all elements such as requisition, ordering, invoice matching, approval and payment. Identify areas where automation can increase efficiency, as well as where there is duplication and manual tasks.
• Identify bottlenecks: Find the areas that create challenges in the process. Where do the delays occur? What common mistakes are occurring and where do you lack visibility?
• Measure against KPIs: Benchmarking is important. How much time do you spend on purchasing and supplier agreements? How long does it take from invoice receipt to payment? Identify relevant KPIs to measure current performance.
  
  
  

Step 2: Build a business case grounded in data

P2P transformation projects gain traction when they're presented as financial decisions, because that's exactly what they are.

A strong business case does three things. It quantifies the current cost of the status quo — processing time, error rates, late payment exposure, staff hours lost to manual tasks, and the working capital tied up in slow approval cycles. It projects realistic improvement based on your baseline data and relevant industry benchmarks. And it puts a number on the risks you're carrying today: regulatory exposure, supplier friction, and fraud vulnerability.

One framing that tends to resonate with boards and executive teams: inaction has a cost too. Every quarter spent with an underperforming P2P process is a quarter of unnecessary cost, risk, and missed efficiency. Making that visible is often what shifts the conversation from "nice to have" to "let's move."

Step 3: Evaluate solutions with the right criteria

The P2P software market is mature and well-populated, which is genuinely helpful — proven solutions exist across a range of business sizes and complexity levels. The challenge is cutting through the noise when vendor capabilities can look similar on the surface.

A few areas worth scrutinising closely:

• Automation depth: What does the system actually automate, and where does human input remain necessary? Understanding the boundaries clearly will prevent surprises post-implementation.
• AI transparency: Most modern P2P platforms use AI for invoice processing, coding, and anomaly detection — and that's a real advantage. But the value of AI depends on your ability to understand and audit its outputs. Look for solutions that make their reasoning visible, so your team can validate decisions with confidence rather than simply accept them. This becomes especially important in audit and compliance contexts.
• Integration quality: A P2P solution that connects cleanly to your ERP and accounting systems multiplies its own value. One that doesn't will create new friction while trying to remove old friction. Ask vendors for specifics, not just assurances.
• Scalability: Your transaction volumes, supplier base, and organisational structure will evolve. The right solution grows with you rather than requiring replacement as you scale.

Step 4: Create an implementation plan

In order to successfully implement a new P2P solution, good planning is essential. Here's a structured approach you can follow:

• Put together an implementation team: Involve representatives from all key departments, such as procurement, accounting, IT and management. This ensures that all relevant parties are involved and supportive of the project.
• Build a phased approach: Break the implementation into manageable phases, focusing on the most critical or problematic areas first.
• Set aside time for testing and training: Make sure there is enough time to thoroughly test the system and provide training to employees.
• Address employee concerns: Demonstrate how the new P2P solution will improve their day-to-day work by removing time-consuming, manual tasks.

Step 5: Commit to continuous improvement after go-live

The success of your P2P project doesn't end with implementation. To maximize your return on investment, you need to focus on the following:

Measure: Continue to track and measure the key indicators. Typical targets include:

• Reduction in processing time
• Cost savings
• Reduction in error rates
• Improved regulatory compliance
• Increased user satisfaction
• Documented improvements in business performance
  
  

Analyze: Thoroughly review the data. Ask yourself questions like:

• Where do you see significant improvements?
• What areas still need adjustment?
• Are there processes that are still causing delays or errors?
  
  

Improve: Remember that this is a continuous process. Steady, incremental improvements will maximize the value of P2P digitization over time.

Bonus tips: Regularly benchmark against industry standards and best practices to improve and set new goals.

Want to learn more about the P2P process?

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