|Primary causes of non-compliance
||Actions to address each of the causes
|1. Delays in the invoice matching and approval process.
- Development of prompt payment 'heat maps' created to drive achievement of targets.
- Review and improvement of purchase to pay processes, including automation and streamlining.
- Roll out of invoice "straight-through-processing" where appropriate.
- Implement additional supplier catalogues to improve invoice matching.
|2. Delays in receiving a valid invoice.
- Increase receipt of EDI supplier invoices, from c70% in 2019, to over 80% in 2020 and target of 90%+ by end of 2021.
- Improved invoice rejection reports sent to suppliers (if applicable) to allow rapid fixing and resubmission of incorrect invoices.
|3. Delays in resolving invoice queries.
- Enhanced business intelligence for invoices on hold.
- Additional resource dedicated to resolving invoice queries.
|4. Poor quality invoices, including missing or incorrect PO numbers quoted, invoices addressed to the incorrect legal entity.
- Circulating 'Supplier Golden Rules' guidance on how to get paid promptly, and making the 'rules' available on our supplier portal.
- Driving use of invoice EDI with automated validation rules.
- Improved supplier collaboration through our "Advantage through Alignment" initiative.
|5. Supplier payment terms in excess of 60 days from receipt of invoice.
- The Group plans to review supplier payment terms with a view to reducing terms further.