Magasin du Nord, generally known as Magasin, opened its first store in 1868. Today, the company is Scandinavia’s leading retail chain. Its headquarters and flagship store are in Kopenhagen, Denmark. Magasin is owned by Debenhams, the British department store enterprise. Magazin attracts millions of domestic and international visitors for its stores, and aims to bring consumers their most favorite brands at attractive prices. Many brands and products are exclusive to Magasin, which also runs a thriving online business.
Magasin handles more than one million vendor invoices every year. Posting and approving them was a time-consuming task that exhausted company resources. Often, approval lead times were longer than two weeks. Invoices were in every case processed individually and distributed manually. Employees spent a large amount of their time requesting invoice approvals. Locating invoices sent around the company was problematic, and approving them before they were due was challenging.
Timely invoice approvals and automatic reminders
Magasin explored available solutions and chose To-Increase Invoice Workflow to approve, post, and store invoices electronically. The product integrates completely with Magasin’s ERP system, Microsoft Dynamics AX. Today, employees responsible for invoice approvals receive an electronic notification when an approval is needed. They can review invoices on their own screens. Finance managers have a complete overview of how many and which invoices are due for approval at any time. Invoice Workflow automatically sends email reminders to approvers to ensure approvals before invoices fall due.
Fast ROI and less busywork for employees
Invoice registration and approval at Magasin drastically improved after the company deployed Invoice Workflow. Many invoices are approved on the same day as they come in. The finance department now requires far fewer resources to manage invoice processing and secure approvals, and a number of employees can do more valuable work instead. Only one employee is still handling exceptional invoices manually.
Magasin achieved an approximate 40 percent reduction in time and cost of invoice processing, including automatic entering of account details and bookkeeping. This saves the company close to €200,000 annually, resulting in a rapid, large return on investment (ROI). Søren Andersen, IT Manager at Magasin, comments, “We started with vendor invoices and have now added over one million product invoices. I have never before taken part in an implementation of an IT system that has made users so happy. It is manageable and effective.”