Case Study
Memorial Hermann Takes Advantage of Early Discounts with Faster Processing Times
Memorial Hermann Health, a large hospital and healthcare system with 6,400 physicians and 26,000 employees, faced challenges in managing their Accounts Payable process for more than five dozen facilities using a completely manual process. To streamline their AP process and reduce costs, they chose to partner with Ascend, a user-friendly AP automation software.
Solution
Ascend's AP automation software enabled efficient automated processing, which greatly reduced labor cost and increased visibility throughout the invoice lifecycle. The software uses automated routing and coding to identify and prioritize invoices with the shortest approval times, helping to eliminate late fees and potential disruptions in business and supply chain.
Moreover, the implementation of OCR, workflows, and automated ERP integration enabled Memorial Hermann to reduce their average invoice payment cycle from 28 days to just 2 days. Priority work queues for invoices with early payment discounts were also implemented, alerting AP team members so they could quickly identify potential discounts and make faster decisions.
Benefits
With Ascend's AP automation software, Memorial Hermann was able to fully automate their AP process, greatly reducing labor costs and increasing visibility throughout the invoice lifecycle. The implementation of automated routing and coding helped to eliminate late fees and potential disruptions in business and supply chain. Additionally, with OCR, workflows, and automated ERP integration, Memorial Hermann was able to reduce their average invoice payment cycle from 28 days to just 2 days. Furthermore, the implementation of priority work queues for invoices with early payment discounts allowed them to capture $500,000 in early-pay discounts in the first year after partnering with Ascend.
Conclusion
By partnering with Ascend and implementing their AP automation software, Memorial Hermann was able to fully automate their AP process and realize a substantial return on their investment in less than six months. With the implementation of automated routing and coding, OCR, workflows, and automated ERP integration, Memorial Hermann was able to greatly reduce labor costs, increase visibility throughout the invoice lifecycle, and reduce their average invoice payment cycle from 28 days to just 2 days. The implementation of priority work queues for invoices with early payment discounts allowed them to capture $500,000 in early-pay discounts in the first year alone.