In several contributions in the blogosphere Steve Sprague (Vice President at Invoiceware International) reflects on how Latin American e-invoicing compliance mandates have a positive impact on e-invoicing adoption and innovation. His key takeaways on mandated e-invoicing:
CONS
- Most people are more than taken back by the workload ahead when they first realise the complexity.
PROS
- There is no need for the dreaded scanning and OCR technologies, supplier tiers of capability, long roll-outs, as the government has mandated the use of an electronic invoice.
- Governments like Mexico and Brazil have defined and standardised the invoice XML and data format: so it is always the same data structure.
- European e-Invoicing is plagued by the fact that your organization must convince suppliers to move to an electronic invoice. Most EU organisations struggle to reach more than 25% of their suppliers by the end of 3 years unless they are able to mandate the use of e-invoicing (and there are few companies that can do this without seeing repercussions from the supply base). Latin American e-invoicing generates massive adoption, because it is mandated: suppliers have to make the e-Invoice available by law!
- Being able to accurately do STP creates the perfect environment for Dynamic Discounting and Supply Chain Financing.