Product: BEA AquaLogic® Business Process Management Suite
Industry: Utilities/Energy
Business Challenge:
With annual sales of $262 billion, over 28,000 retail locations, 19 refineries in operation, and exploration activity in 26 countries, BP is a very large and complex company. As such, it is easy for routine tasks, like invoice processing, to become cumbersome and inefficient. Following a series of mergers and acquisitions in recent years, the lines of business within BP found themselves using a hodgepodge of invoicing systems and approval processes. With an average of 15,000 invoices in play at any one time, BP knew the current situation was not sustainable. BP had 40 people working full time to handle the task manually. As one might expect with a manual process, it was difficult to track where an invoice was at any given time. There were lots of job codes to remember, data had to be re-keyed into a master SAP system and, in general, there were many opportunities for human error and duplication of effort.
Solution
Using AquaLogic BPM Suite, BP implemented the "Electronic Approval Process" (e-AP) within seven months. BP handled the design and development of e-AP, with BEA consultants providing product training and integration and design expertise. BP personnel were involved in the entire project, with representatives from each affected business unit consulted at each stage of development to ensure that business needs were being met.
Results
Within seven months, BP had implemented a highly automated e-AP system powered by BEA. BP's staffing level was cut from forty people to five, saving BP millions annually in outsourcing costs. Integration between e-AP and SAP has nearly eliminated the need for data re-entry, which increases data accuracy and eliminates processing bottlenecks. Reporting is now available in real time to provide visibility into the payment process. The e-AP system is flexible and standards-based, allowing it to evolve with the changing needs of the business. And, BP is improving its relationships with key vendors by processing invoices in a timely manner and being able to tell vendors the exact status of any invoice.