As e-invoicing becomes more prevalent around the world, partly due to mandates, but also because of the many benefits it brings, integrating ERP systems with the Peppol network is an increasingly common requirement.
To get software companies up to speed, we’ve compiled an overview of Peppol, what it is, why it matters and the steps for integration with ERP systems.
What is Peppol and how does it work?
Peppol is an open e-delivery network that enables secure and standardised exchange of e-invoices and other electronic documents. Peppol operates as a four-corner model.
Providing a common infrastructure and standards for both domestic and cross-border procurement, Peppol’s demanding technical standards, service specifications and regulations have led to it becoming the world’s most popular and reliable e-delivery network. Thanks to these attributes, Peppol is the preferred network for various e-invoicing mandates being rolled out across the EU.
Key benefits of using Peppol
While use of Peppol for compliance with various B2G and B2B e-invoicing mandates is making it non-negotiable in many cases, this is no bad thing because e-invoicing via Peppol is highly beneficial to business.
Fraud prevention
Peppol provides a secure route for the exchange of e-invoices and other electronic documents. Fake documents cannot enter the network because sending via Peppol can only be done after satisfying strict requirements and verifications. Peppol’s system is impossible to access by those who wish to intercept and manipulate documents.
Error reduction
Once integrated with an ERP system, Peppol enables seamless automation of the e-invoice transaction process. Less human intervention leaves less room for errors to creep in.
Faster, more efficient processes
Peppol integration enables processes to be streamlined, resulting in less paperwork and a lower administrative burden, which in turn leads to faster payment processing.
Enhanced interoperability
Peppol dictates the use of consistent data formats and protocols, which enable enhanced interoperability and collaboration between partners. Real-time tracking of transactions also means demands for increasing transparency in public procurement can be met.
Reasons to integrate Peppol with ERP
In countries where e-invoicing has or is about to become mandatory, Peppol integration with ERP systems is the most efficient way to achieve compliance.
Learn more: Is e-invoicing mandatory in Europe?
Integrating Peppol with ERP also delivers many automation benefits such as error reduction, time-savings and reduced costs, while facilitating seamless trade transactions both domestically and across international markets.
Peppol Access Points: what they are, why you need them, and how to get them
Peppol Access Points are the gateways into the Peppol e-delivery network. Conforming to strict, certified standards, Peppol Access Points safeguard Peppol’s security while enabling legitimate, verified users to send and receive e-invoices and other electronic documents.
Any organisation wanting or needing to connect into Peppol, to send and/or receive documents, has to do so via a Peppol Access Point. This Access Point can be provided via a software company, and software companies can permit multiple customers to use the same Access Point. There is no requirement for end-user enterprises to each have their own dedicated Peppol Access Point.
Peppol’s strict security protocols mean its Access Points can only be operational while holding valid certification. Achieving and maintaining this certification is a demanding ongoing process. For a software company, or indeed an enterprise, to build and maintain its own certified Peppol Access Point is an arduous and costly task. The easiest, fastest and generally cheapest way to connect into Peppol is to partner with an established certified Peppol Access Point provider.
How to choose a certified Peppol Access Point Provider
As well as holding and maintaining Peppol certification, a Peppol Access Point provider should be able to demonstrate a high level of security and data protection standards, service reliability, integration capabilities, interoperability, scalability and support provision. Ability to handle cross-border invoicing is important for future-proofing as wider international e-invoicing mandates come into force. Pricing structure is also an important consideration, in order to maximise cost efficiencies.
Learn more: Peppol Access Points, what they are and how to choose the right provider
5 steps for connecting an ERP system into Peppol
- Step 1: Check the ERP system’s current capabilities.
- Step 2: Choose a certified Peppol Access Point provider.
- Step 3: Run integration test
- Step 4: Configure the ERP to send and receive Peppol invoices.
- Step 5: Communicate new features to customers
Flowin, your supportive certified Peppol Access Point provider
Flowin a certified e-invoicing API that enables ERP systems to connect into Peppol via the Wolters Kluwer Access Point. While satisfying every key criterion for a good Peppol Access Point provider (as outlined above), Flowin offers a uniquely advantageous pricing structure which charges per connected enterprise, rather than by volume of documents transacted.
We are highly knowledgeable about all things e-invoicing, and are on hand to guide our customers all the way through the process, from understanding requirements to ongoing direct-from-developer support.
Learn more: 3 reasons not to develop your own Peppol access point for e-invoicing