Source-to-pay best practices

For oil and gas

woman-with-laptop-2

Payment

Best Practice #6

Streamline and automate payments
  • The most efficient payment process is an integrated platform that manages the three most prevalent forms of payment – Virtual Card, ACH and checks. 
  • The ideal solution will take one payment file from the ERP and decide the form of payment based on the rebate opportunity, efficiency and security. 
  • Normally this order is Virtual Card, ACH, and then checks. A virtual card can only be used once, making them far more secure.  Checks are the most expensive way to process payments and least secure.  
  • Virtual cards are single-use credit card numbers generated for a single specific transaction.
  • Payment data is linked to the virtual card number, enabling users to identify a transaction to the exact date, amount, purchaser, and item for easier reconciliation. 
  • Using virtual cards saves money by eliminating manual processes, plus they generate monthly rebates on all virtual card spend.

True or False

On average, operators earn 2% of their ap spend back from rebates by paying with virtual card.

You're incorrect. It's false!

Operators paying suppliers with Enverus Virtual Card commonly monetize 6-8% of their AP spend. If you’re annual virtual card spend is $20 M, at a 6% rate, you earn $1.2 million back!

← Back to the question

Correct. It's false!

Operators paying suppliers with Enverus Virtual Card commonly monetize 6-8% of their AP spend. If you’re annual virtual card spend is $20 M, at a 6% rate, you earn $1.2 million back!

← Back to the question

Why OpenInvoice?

  • Enverus partners with Corporate Spending Innovations to provide a virtual card payment option for buyers using the OpenInvoice network. 
  • CSI makes it easy to convert to virtual card payments. Through a few short phone calls, they handle most of the setup and vendor enrollment. 

  • CSI has over 70,000 vendors that accept payments through our system. These are existing relationships CSI has with vendors and they contact and enroll them on. CSI conducts a vendor match for operators and can provide how many of their vendors already accept cards. 

  • Rebates on spend create revenue in the accounts payable process for operators. An amount of 6-8% of spend in common for operators using Enverus Virtual Card.

Virtual card benefits for buyers

Save Time

Transitioning from printing, signing, approving and stuffing envelopes for 100 checks per week yields an average time savings of 7-8 hours per week.

Lower Costs

Virtual card payments reduce payment processing costs up to 80% compared to manual or paper-based payment methods.

Strengthen supplier relationships

Faster approvals, better communication, and shorter payment cycles strengthen vendor relationships.

Virtual card benefits for suppliers

Easy reconciliation

Virtual cards provide detailed remittance information for easy reconciliation.

More Secure

Virtual cards are more secure, reducing exposure to fraud.

Preferred vendors

Operators can provide the option for preferred vendor status to vendors that accept virtual cards.

Want to learn more?

Are you ready to increase your capital efficiency to turbo-boost your Shale 3.0 growth strategy? Request a meeting with our digital transformation experts today!

Let’s get started!

We’ll follow up right away to show you a quick product tour.

Let’s get started!

We’ll follow up right away to show you a quick product tour.