e-Invoicing helps Obama achieve his goals
One of President Obama’s long-held goals has been to make the US government more efficient. When he signed the Improper Payment Elimination and Recovery Act (IPERA) in 2010 he may not have had electronic invoicing in mind, but as different parts of the Federal Government have explored ways to cut waste, erroneous payments and fraud it has become an obvious solution.
In response to IPERA, the Department of Veterans Affairs is not only rolling out e-Invoicing to its contractors and suppliers, but it is also set to mandate it as a submission method for vendors.
As part of its latest communications informing suppliers of the coming mandate, the VA offered a number of compelling benefits in return for making the transition:
- Delivery of invoices directly into its Financial Services Center’s payment system and routed nationally for approval
- Elimination of mail processing time, postage, and invoice receipt enquires
- Elimination of data error and lost or misplaced invoices
- Verification of invoice receipt and rejection through automated notification reports
- No installation of hardware or software required
The response has been positive and has even had suppliers not included in this enrolment wave asking to convert to electronic.
While writing this post I spotted this piece by Pete Loughlin from Purchasing Insight on the approach being taken by the European Commission towards e-Invoicing. Pete rightly recommends that the commission build on the lessons from the private sector, but perhaps it should also look across the pond.