Direct Insite: Offering End-To-End Capabilities to Simplify the Financial Supply Chain

Banks have enhanced many of their customer-facing, front-end operations with digital solutions. However, many bank processes still rely on people and paper. The high degree of manual processing is costly and slow, and it can lead to inconsistent results, high error rates and customer dissatisfaction. Accounts receivable (AR) and accounts payable (AP) services are two areas where banks are looking to eliminate paper to add value for themselves and their clients.

Automating AR and AP processes with a unified working capital management platform can help financial institutions create new revenue streams, improve visibility into customer cash flows, and meet rising customer demand for expanded treasury services.

Ft. Lauderdale, FL-based Direct Insite has a developed a unified working capital management platform especially designed to be private-labeled by banks. One of the largest banks in the world is rolling the platform out to its treasury management clients.

“AR and AP cost too much, take too long and generate too many exceptions. Corporations are looking for banks to help them automate AR and AP to optimize their working capital management. Direct Insite offers a first-of-its-kind platform that enables banks to take a larger role in their clients’ financial supply chain,” says Matthew E. Oakes, CEO and Chairman, Direct Insite.

Direct Insite’s unified working capital management platform, called PAYBOX, provides end-to-end capabilities that enable corporations to reduce Days Sales Outstanding, reduce operational costs, and improve financial visibility. Banks benefit by providing a lucrative, and increasingly in-demand service to their corporate treasury customers. “We not only streamline AR and AP business processes, we enable visibility that drives better decision-making,” adds Oakes. Direct Insite markets its unified working capital management platform through banks and directly to corporations.

“PAYBOX is a ‘Reverse Lockbox’ solution that integrates with legacy lockbox and treasury systems to provide an important building block for a bank’s integrated receivables strategy. Direct Insite helps banks grow—and not just preserve—their lockbox business with PAYBOX,” explains Oakes.

PAYBOX combines invoice presentment, enabling billers to post invoices to a secure website. The solution replicates a payer’s workflow to allow online review, adjustment, and approval of invoices. In addition, the billers receive real-time updates on adjusted invoices for faster resolution through PAYBOX. The platform enables payers to control the amount they pay, the payment type, and the settlement date, providing a remittance file for reconciliation and posting.
Leveraging a depth of industry expertise and an unmatched track record in supporting global shared services organizations, Direct Insite drives best-in-class AP, AR and payments automation performance at Fortune 1000 and Global 3000 companies, including Siemens, HP, IBM, Saint-Gobain, BE Aerospace, and Shell Oil.

Based on an evaluation of its solutions in the market, IBM selected Direct Insite to automate its order-to-cash processes. IBM was particularly concerned about the results of two customer surveys regarding its invoicing, showing dissatisfaction with the company’s summary invoices. The problem lied with the inability for customers to dispute an invoice online, and the limited number of options for providing invoices along with compliance attachments that supported or explained a line item or invoice total. Direct Insite’s solution for IBM incorporated capabilities for e-invoicing, including web-based line item detail presentment for all invoices, in addition to summary cost data. IBM conducted a survey six months after the Direct Insite solution went live that put overall customer satisfaction with IBM’s invoicing at 72 percent—a significant improvement in an extremely short time period.

Direct Insite has built a successful record of accomplishment of automating some of the most demanding financial environments. The company believes its PAYBOX solution provides a foundation for the company’s future growth.