Question

Performance measures on procure to pay?​

Answer 1

Answer: Efficiency

Step-by-step explanation:

1. Cost per invoice, purchase order and/or transaction.

2. Invoice cycle time – Average length of time from receipt of an invoice 3. up to payment approval.

4. Purchase order cycle time.

5. Number of invoices processed per FTE.

6. Percentage of invoices process straight-through.

7. First time match rate.

8. Number of supplier inquiries.

Answer 2

A procurement KPI or metric is a measurable value that tracks all relevant aspects of obtaining or buying goods and services. These KPIs enable the procurement department to control and optimize the quantity, quality, costs, timing and sourcing of purchasing processes.

The 10 Most Important KPIs at a Glance:

1. Cost Per Invoice.
2. Invoice Processing Times.
3. Average Payment Period.
4. First-Time Match Rate.
5. On-Time Payment Rate.
6. Realized Cash Discount Rate.
7. Duplicate Payments Rate.
8. Supplier Rate Per 1,000 Invoices.
9. Automatically Processed Invoices Rate.
10. Contactless Invoice Processing Rate.