Xign Touts Benefits of Enterprise Order-to-pay Automation

Provider sees revenues double in 2004; Web-based service settles $50 billion in spend as supplier network approaches 18,000 shared suppliers

Provider sees revenues double in 2004; Web-based service settles $50 billion in spend as supplier network approaches 18,000 shared suppliers

Pleasanton, CA — February 1, 2005 — Enterprise order-to-pay automation specialist Xign Corporation this week highlighted its 2004 results, noting the major clients that had signed on with the solution provider in the past year and the ongoing flow of transactions through the provider's Web-based order-to-pay service.

In 2004, Xign said, the company more than doubled its sales compared to 2003 as the provider signed an array of Fortune 500 enterprises across various industries, including automotive and equipment rental, insurance, telecommunications, retail, consumer-packaged-goods (CPG), pharmaceutical, and healthcare.

These new Xign customers included MetLife, Southern Company, Purdue Pharma, Sony Music USA and The Williams Companies.

Since its inception in July 2001, Xign said its "on-demand" Xign Payment Services Network has processed more than $50 billion in B2B transactions and enrolled about 18,000 shared suppliers in the network.

The provider attributes its successes to what it sees as growing recognition among large organizations of the business value of automating order-to-pay processes. "By employing on-demand order-to-pay automation, Xign customers have eliminated 99 percent of invoice exceptions and achieved on-time payment percentages of 99.8 percent," the provider said in a statement.

Xign also said that its customers also have achieved high success rates in supplier enrollment and satisfaction ratings greater than 90 percent from participating suppliers. The provider said its service delivers value to suppliers, including increased transaction visibility, delivery of detailed remittance information with every electronic payment and the opportunity to get paid faster.

In addition to realizing these business process efficiencies and operational cost savings, Xign said its customers began using the provider's discount management functionality, expanding discount opportunities to many suppliers that had never offered them in the past.

"The commercial success of electronic invoice and payment solutions is evidence of the rising importance of order-to-pay automation within procurement and corporate finance," said Jeff Pikulik, director of buy-side research at AberdeenGroup. "While the A/P cost savings associated with order-to-pay automation are well documented, what has become increasingly clear is that order-to-pay automation also enables organizations to fuel a second wave of procurement savings by closing the loop on the procure-to-pay process."

"Order-to-pay automation is attracting the attention of more corporate financial executives, who recognize the substantial earnings opportunity from early payment discounts," said Tom Glassanos, Xign president and CEO

For more information on the current state of the payment solutions market, see the article "The Analyst Corner: Payment" in the December 2004/January 2005 issue of Supply & Demand Chain Executive.

For more information regarding "on demand" computing models, see the article "Cutting Through the 'On Demand' Hype," the Net Best Thing column in the December/January 2004 issue of Supply & Demand Chain Executive.

More articles about Xign.