The role of the Chief Information Officer (CIO) in business has never been more important. The sweeping digital transformation in the corporate world has been further accelerated since the COVID-19 pandemic and IT security is ever more paramount since the war in Ukraine too.

CIOs are no longer confined to the roles of technical experts and enforcers of IT practices, but they have become craft-persons for the transformation affecting every business unit in a company. Accelerated automation of the Procure-to-Pay (P2P) and Order-to-Cash (O2C) processes are at the heart of these transformative challenges. Paperless automated solutions, providing full visibility whether at home or in the office, have improved overall company performance by reducing processing times, improving cost control and achieving full traceability.
For many companies who had to adapt extremely quickly to teams working remotely, those who had started their digital transformation journey were more resilient and able to adjust their working practices more efficiently. Those visionary CIOs had the necessary equipment to weather the storm.
In addition, there continues to be many other demands placed on CIOs: security, change management and the continuous optimisation of the information system.

Lessons learnt

Beyond the drama caused by the COVID-19 pandemic, an excellent learning experience emerges: 76% of CIOs believe that remote working due to lockdowns boosted the use of collaborative apps, such as company social networks, project and meeting management tools, and team messaging platforms¹.
A CIO is in charge of equipping teams with efficient automation tools and collaborative solutions such as SaaS, AI and RPA technologies. As cybersecurity and data security should take a prime position among the core values of a company, CIOs need to opt for solutions that are reliable, stable and resilient.
This also includes the adoption of automation solutions suitable for effectively managing and optimising customer and supplier invoicing and order management processes. Companies that had already adopted automated solutions for P2P and O2C processes were able to continue business activities and thereby contribute to keeping the economy going, whereas those that hadn’t, had to scramble and admit to themselves that they had squandered a valuable resource and opportunity.

If the CIO does not offer employees the professional tools they need to perform their jobs, they will often adopt workaround solutions that endanger a company’s security strategy. Because cybersecurity and data security should take a prime position among the core values of a company, CIOs need to opt for solutions that are reliable, stable and resilient.

The CIO: a catalyst of transformation

Digitisation is no longer a choice, it’s a strategic necessity that affects every line of business in a company. Going digital means rethinking all internal processes, with an explicit emphasis on management processes. Digital transformation is based on different organisational, human and technical factors. These are subject to constant decision-making processes and adjustments in order to ensure durable performance while simultaneously interrupting day-to-day operations as little as possible.

CIOs and their IT teams are the key strategists and coordinators of an effective, pragmatic and uniform approach to the digital transformation process. Listening skills, critical analysis and the ability to convey relevant instructions and recommendations are all essential qualities when the involvement of corporate Executive Committees (COMEX) comes into play.

The decisions made by the information systems team have very real ramifications throughout all of the business units. This demands a real awareness of the CIO to the needs of all business units as well as the ability to communicate effectively, constituting a multifaceted and fascinating mission for the CIO.

There are three key arguments for adopting automation solutions for P2P and O2C processes:
• Acceleration of document processing times, such as invoices, orders, remittances and delivery notes
• Visibility and traceability that can limit legal disputes and resolve them faster
• Simplified processes so employees can focus on higher-value tasks

A CIO’s experience of working with Esker

Jean-Luc Vielmont, CIO France at Algeco, says,
“The key factors leading to the success of the project were the close collaboration with Esker, effective change management and the ability to measure operational efficiency at every stage:
• Facilitation of interdepartmental cooperation
• Comprehensive change management strategies that involved end users from the onset of the project
• Reporting and dashboards providing clarity on the data flow results”

A CIO can turn challenges into opportunities by speeding up and facilitating digital transformation.
By meeting up with all business units on both a formal and informal basis allows the CIO to take charge of the process by listening to all stakeholders and advocating for the project.

Nicolas Bragard, CIO at Esker says,
“The CIO’s advantage is an ability to detect and measure the return on investment of each action to advance a company’s digital transformation. To meet this challenge, they need to step away from the day-to-day operations. Support ticket fatigue is a real risk. This is why opting for solutions with built-in ergonomics that are reliable, resilient and secure gives the most effective launch pad for a company-wide digital transformation project.”

The future – digital transformation … and then what?

Going faster, being more efficient and responsive. This is the essence of an Esker-designed digital transformation. Automation of P2P and O2C processes continue to accelerate with businesses facing tight deadlines. Regulations regarding mandatory e-invoicing are being enacted worldwide in the next few years, which will push businesses to automate their cash flow processes.
By utilising the experience and expertise of partners like Esker, CIOs will be able to ensure a smooth and stable transition to automation.

Contact us today to discuss your requirements.

¹ JDN survey/Club Décision DSI/IT Research. https://www.journawwldunet.com/solutions/dsi/1495671-lastrategie-it-des-moyennes-et-grandes-entreprises-francaises-face-au-covid

Alistair Nicholas

Alistair is the Managing Director of Esker Northern Europe

Read more insights from Alistair Nicholas

Accounts Payable: The Past
From a decade ago when invoicing was completely paper-based, AP has come a long way in the last 10 years, mostly thanks to significant and prolonged improvements in technology.
With the manual processes of old, AP staff time was taken up chasing physical signatures and tracking invoice copies.
Automation platforms paved the way for new efficiencies, and AP teams were driven to adapt and embrace these new technologies.
A continued increase in e-invoicing and the pandemic-driven move to remote working have paved the way for digital AP taking a huge leap forward.
Listen to AP: The Past by clicking here

Accounts Payable: The Present
The COVID-19 pandemic has been the most significant disruption to ever hit office-based working and AP teams have largely been able to embrace new ways of working remotely.
With lockdowns giving no choice but to work at home, finance leaders have had to place an increased level of trust in their AP staff, allow for flexibility, and embrace the use of online approvals and requisitions. For companies who haven’t already embraced AP automation, there has been an increased need to do so, in order to avoid hold-ups in the P2P cycle and damage to suppler relationships. What’s more, remote working has created an increased demand for secure, compliant systems to manage sensitive documents and transactions.
Listen to AP: The Present by clicking here

Accounts Payable: The Future
As was discussed when looking at the present state of AP, Supplier Management will continue to be a big focal point going forwards. The mass disruption to the global economy has made it more important than ever to nurture and maintain a healthy supply chain.
Increased visibility, KPIs and reporting capabilities driven by automation solutions have given way to AP becoming a more analytical department. By utilising Big Data, AP teams can now become even more strategic and ‘value-adding’ to their organisation overall.
Technology of course will continue to evolve and play an ever-increasing role in the day-to-day activities of AP teams. Technologies such as Artificial Intelligence (AI) will further reduce repetition and manual tasks, furthering business agility and allowing AP teams to do more with less.
Listen to AP: The Future by clicking here

Alistair Nicholas

Alistair is the Managing Director of Esker Northern Europe

Read more insights from Alistair Nicholas

1. What’s influencing and possibly changing BPA in the marketplace at present?
   Obviously the ‘big’ buzzword for influencing BPA at present is digital transformation and how evolving technologies impact the way in which organisations can compete through automating internal processes and streamlining business practices across multiple areas of the business. When I’m asked to highlight what are the specific main influences, I would have to say that it’s a combination of 3 main factors; people, process and technology.
   
2. How are these influencing factors impacting the way organisations are using and adopting BPA?
   The speed at which people can manage and absorb even wider ‘big data’ requirements is becoming more and more difficult, so implementing automated solutions that allow this to happen more easily are now business critical. Employees can then be empowered to concentrate on better supplier and customer relationships. Having the right automation technology in place helps eliminate the almost impossible task of manually handling masses of information involved in daily processes from all aspects of the Order-to-Cash and Procure-to-Pay cycles.
   
3. What are the main benefits with having BPA implemented and what are the impacts if you don’t?
   BPA is at the heart of allowing an organisation to maximise their competitiveness in the marketplace. Rigidity is detrimental to a dynamic business that wishes to take advantage of being able to make quick changes when required due to continuously demanding customer requirements. Therefore, BPA should enable this through being easily customisable and collaborative between different systems within the organisation such as custom business rules, web portals and chat tools, to name a few. Having simple integration with existing software is also beneficial when implementing BPA meaning reduced upfront costs, downtime or interference with day-to-day operations. BPA will also enable data to be much more visible through intuitive user dashboards giving more control for smarter and more strategic decisions.
   
4. What are some of the challenges when implementing BPA?
   Obviously when talking about any process automation within a business you have to buy in from your employees. Any new process change can be difficult to on-board, let alone one that may be perceived as a threat to a person’s job function such as automation. What needs to be conveyed is an understanding of this perceived threat and reassurance that automation is simply a means to enable that person to spend less time on non-value add tasks and more time on those that will help improve relationships internally as well as externally to help grow the business.
   
5. Where is BPA heading over the next year in terms of changes in technology, implementation and capability?
   BPA will become increasingly important and effective with the continued advancements in robotic process automation, machine learning and artificial intelligence. Collaborative networks will continue to grow and information will strengthen between suppliers, organisations and customers.
   
6. What advice would you give to an organisation when considering BPA?
   Make sure before any implementation goes ahead that your employees and all stakeholders involved in the process, are informed and engaged with the positive changes that the technology will have to their roles, both as individuals and as part of a wider team throughout the organisation. Look at current processes and pinpoint where quick gains can be made through process automation and don’t try to bite off more than you can chew! Finally, embrace new technologies such as those using the latest AI-driven advancements to help your organisation’s processes to become faster, more visible, scalable and compliant in order to reach your goals.

If you would like more information about Esker and how we can help your organisation to automate your business processes, please contact us today.

Alistair Nicholas

Alistair is the Managing Director of Esker Northern Europe

Read more insights from Alistair Nicholas

In an age of constant change the core objectives of credit management have remained unchanged for decades; maintain healthy cash flow, minimise bad debt and reduce exposure to risk.

However, in the eternal race to find better, faster and cheaper ways of working, businesses must constantly improve how they deliver these objectives. The arrival of ERP systems several years ago fuelled and supported the growth of financial systems to deliver such improvements, and it’s the case today with AI to take this to the next level.

There is much debate surrounding AI and it’s a subject that can certainly divide opinion. While some view development with excitement and optimism, others deem it a threat; a dangerous endeavour that will take over the world.

The fact is that we are witnessing a profound transformation that is affecting markets, companies, our world and our own personal lives. Technologists predict that AI will bring about the greatest step-change to the global economy since the last Industrial Revolution. Yet AI, machine learning and robotic automation are already affecting the way we live and do business, and to a far greater extent than we may realise. So, perhaps the future heralds an evolution, rather than an AI revolution?

A brief history of artificial intelligence
The phrase ‘Artificial Intelligence’ was first coined in the 1950’s by John McCarthy, when he held the first academic conference on the subject. But interest in AI and robotics began well before then. Examples of independent-thinking artificial beings have been staples of pop culture for decades — from Mary Shelley’s Frankenstein (1818) to Stanley Kubrick’s 2001: A Space Odyssey (1968) and James Cameron’s The Terminator (1984).

In the 1960’s and 70’s there were steady improvements to AI capabilities. Computers became cheaper, more accessible and had greater computational power (computer storage and processing speed). There were high hopes for AI; it’s commonly cited that in 1970 Marvin Minsky told Life magazine that ‘In from three to eight years we will have a machine with the general intelligence of an average human being’.

This proved optimistic as, nearly half a decade later, human level machine intelligence is still to be realised. But since then machine-learning algorithms have significantly advanced, as the memory and speed of modern computers can retain and process vast amounts of data.

Varying degrees of intelligence
So, whilst the question of whether a computer can truly think remains unknown, a computer’s ability to process logic is undeniable. One technology with roots in the application of programmable logic is RPA.

RPA drives innovation within financial processes by automating repetitive, manually-intensive tasks and workflows. It is particularly effective in automating data entry and processing of invoices, due to its ability to quickly recognise and extract data within structured documents.

Since its introduction in the early 2000’s the RPA market has developed rapidly as businesses explore new ways to apply the technology to processes and workflows in a bid to optimise business performance. By 2022 Gartner research estimates that 85% of large companies will have deployed some form of RPA, and spending is on pace to reach $2.4bn.

RPA isn’t a new concept though, at its core is a pre-defined set of algorithms to allow the automation of high-volume, structured tasks with the goal of increasing efficiency. Exceptions can be managed by ‘teaching’ the software new ways of handling specific circumstances, but it has no in-built intelligence, relying on human input to tell it what action to take.

AI that utilises deep learning is a more complex technology than RPA, but also more powerful in terms of understanding process complexities and discovering the optimal solution required.

Deep learning is learning based on a multi-layered neural network as opposed to task-specific algorithms. For example, with deep learning you can train computers to build algorithms that know how to deal with complex issues or make decisions with an expected outcome in a given situation. It’s AI that makes it possible to develop autonomous cars, automatically detect medical anomalies, or even win a game of chess against a human champion.

Solutions being developed within the area of credit management such as Esker, a worldwide leader in AI-driven process automation and pioneer in cloud computing, will see increasingly improved processes within an organisation. For example, using data available on a specific company (such as that sourced from credit bureaux) and then analysing this in relation to the behaviour of how a specific company has paid its invoices previously (over a set time frame and possibly using other departmental data within the company such as orders or claims) can prove to be very beneficial. Basically, this would allow the most appropriate credit limit to be proposed and recalculated automatically in the future through a deeper learning of the information.

Deep learning also allows Esker’s platform to sort messages received from multiple channels based on the nature of the document (e.g. invoice, order form, spam, etc.) or the language used. Plus, it can open a document to check if it contains one or more invoices and send them to the correct approval workflow – all such non-value-added tasks previously undertaken by finance professionals.
AI and deep learning today are located on the perimeter between research and applications, however their diffusion into the real world will be rapid and profoundly change the nature of back office functions.

Technology’s impact on financial operations
AI automation can transform credit management, increasing the speed and accuracy in which routine tasks can be undertaken allowing real-time visibility with customisable dashboards and built-in KPIs. By freeing up people from low value and repetitive tasks, RPA and AI can lead to increased employee empowerment to focus on strategic accounts to improve customer relationships or generate high-level reporting for more precise decision making. Furthering professional development can also be gained through the opportunity to access a broader skill set.

Credit management therefore gradually shifts from an operational, task-oriented function to one of analysis, management and fraud control. Technology allows financial operations to not only measure performance in real time, but also identify problems or opportunities as they arise and thus become a key player and partner in a company’s strategic development.

Bringing together human and artificial intelligence
Even with the many benefits that RPA and AI can bring, technology does not replace the need for people, because it cannot replicate what are truly human skills. It cannot think creatively or imagine solutions by itself, it cannot apply social or emotional intelligence to a situation.

So, whilst AI and its role in the workplace continues to evolve, the alarm bells are fading as a more balanced view emerges. The robots are coming, but they will bring neither an apocalypse nor a utopia. At Esker we believe intelligent automation is the combination of AI and human intellect – the melding of the best the two have to offer.

About Esker
Esker is a worldwide leader in cloud-based document process automation software, helping financial and customer service departments digitally transform their order-to-cash (O2C) and purchase-to-pay (P2P) cycles. Used by more than 6,000 companies worldwide, Esker’s solutions incorporate technologies like artificial intelligence (AI) to drive increased productivity, enhanced visibility, reduced fraud risk, and improved collaboration with customers, suppliers and internally. Esker operates in North America, Latin America, Europe and Asia Pacific with global headquarters in Lyon, France, and U.S. headquarters in Madison, Wisconsin. For more information on Esker and its solutions, visit https://www.esker.co.uk. Follow Esker on LinkedIn at Esker – Northern Europe, or on Twitter at @EskerNEurope and join the conversation on the Esker blog.

Read full press release here.

Alistair Nicholas

Alistair is the Managing Director of Esker Northern Europe

Read more insights from Alistair Nicholas