12-Point Toolkit for E-Invoicing

26.02.2025

Topic: E-Invoicing

How to Get Ready for Mandatory E-Invoicing

E-invoicing is about to become mandatory for companies in many countries, esp. in the EU, so now is the time to act and get ready for it. The volume of invoices arriving electronically in a structured format is certain to rise dramatically in the near future. As a result, companies will experience technical bottlenecks if they have no software solution in place that can accept, process and send machine-readable XML invoices.

However, just installing software is not enough. It also takes a series of preparatory, conceptual and organizational steps to ensure readiness. Using a 12-point action list, BearingPoint and xSuite demonstrated how to ensure the successful introduction of e-invoicing. This article explains the individual steps that companies can take to prepare for their e-invoicing project at an early stage. This includes a range of points from the kick-off workshop, current-state analysis, target definition and software selection through to documenting the process and coordinating with suppliers.

1. Analyze the initial situation

The first task involves a “quick scan” to find out where your company stands in terms of e-invoicing. A custom checklist will help you structure this task. Include questions such as whether your company can already accept e-invoices, which input channels are being provided, whether an audit-proof archiving process is in place, if suppliers have already been informed and are able to generate e-invoices, whether you have up-to-date process documentation (manual) etc. This should be followed by a kick-off workshop with all internal stakeholders. The workshop will help all relevant parties to launch the required project and planning measures.

2. Determine the state of the processes

Interview relevant persons at the impacted departments to gather and document information and data on your existing invoice processing workflows. This will help you to quickly identify how and where you can further optimize the process.

3. Identify the document types

When organizing invoice processing, you need to identify and classify the document types with regard to retention and deletion obligations, relevant regulations, transmission channels and quantities.

4. Draw up the solution’s target definition

This point includes the creation of a target definition that incorporates technical requirements based on use cases and document flows. This will ensure that you end up with workable solutions.

5. Consider the economic viability

The fifth step involves an economic efficiency analysis: What alternatives are there and what is feasible? What savings can be achieved by complying with the e-invoicing obligation (fully electronic processing of structured invoices)? Only when these questions have been answered can you select the most economically viable option.

6. Select suitable software

It requires sound knowledge of the market to find a forward-looking software solution that covers all your bases. It is therefore advisable to launch an invitation to tender that includes all of your requirements. All bids should then be evaluated and prioritized based on a scoring matrix.

7. Develop the specialist concept

The next step is to plan the implementation process in detail. This includes a precise list of the software’s contents and functions.

8. Software roll-out

Prepare the introduction of the new overall solution, taking into account technical and organizational aspects. Tasks include a software roll-out strategy, preparing training courses and usability/acceptance tests as well as drafting a change management concept.

9. Technical introduction

This involves the introduction of the software solution, instruction of the specialist administrators and key user onboarding. This is the stage where you launch the tests designed previously and commence support.

10. User training

You should make technical training available for all employees involved in invoice processing to help them better understand the software and how it works. First identify and approach key users, create training documents and guidelines, and follow up on training sessions.

11. Prepare documentation

In order to properly describe and document each project, you should create procedural documentation. This documentation must include all processes and systems. It is important that you determine in detail what this entails and what exactly needs to be described. Once these questions have been answered, carefully prepare and implement the documentation.

12. Plan communication measures

The final item of the 12-point plan is campaign management, which involves the planning and implementation of communication measures aimed at external stakeholders. This includes informing and coordinating suppliers, so they can create valid e-invoices.

Best get started right away

The 12-point action list makes it clear that it takes a lot more than just purchasing new software in order to be ready for and comply with the e-invoicing regulation. On the contrary: This is an extensive project that will have a strong impact on your IT, organizational and cultural corporate processes. The project volume will be extremely high over the next years. However, there are currently only a few providers who can provide adequate in-depth technical support. It is therefore advisable to get started as early as possible.