In this section, we’ll look at how we at SAP and SAP Taulia help businesses unlock payables benefits. We combine advanced AI and analytics with expert advisors to help clients identify opportunities, strengthen working capital, and achieve continuous financial improvements.
- We drive customer success through advanced analytics and at the centre of this is the SAP Taulia AI and Advanced Analytics Platform. This platform provides insights that help clients assess opportunities and deliver continuous benefits. It’s an ongoing process that supports long-term financial success.
- We follow an expert-led, data-driven approach, guiding clients step by step. We align on the business case strategy and create flexible scenarios based on their goals and KPIs. We generate predictions using SAP Taulia network and third-party data, then walk through results with clients, combining our tools with expert insights. Finally, we help clients prioritise opportunities, build a roll-out plan and optimise finances by securing liquidity and third-party funding when needed.
- By combining client data with extensive enrichment we achieve a broad and reliable foundation for analysis. Clients provide spend data such as supplier IDs, payment terms, currencies and annual spend. We then enrich this with public sources, benchmarks, our supplier network, ESG ratings and compliance checks.
- We turn data into predictions that matter, using advanced analytics tools. We deliver comparative analysis, supplier engagement insights, and financial impact predictions including working capital potential, discount acceptance and benefits from virtual cards. Scenario planning allows clients to model outcomes, and global coverage ensures applicability across countries and currencies.
Together, these steps give clients a clear view of opportunities and the confidence to take action.
In summary, our approach combines data, AI-driven analytics, and expert advisory support. It enables clients to turn raw spend data into measurable results in working capital, discount capture, and overall financial performance.
Next, we’ll take a look at screenshots of the SAP Taulia analytics platform in action, showing how these insights are delivered to you and your users.
Analysis Output Examples
Here’s a look at how buyers in the selected group are paying their suppliers. The chart shows the average number of days it takes for payments, and compares that to two reference points: the third quartile Days Sales Outstanding, or DSO, from the SAP Taulia Network, and the public average DSO for the supplier’s industry, as reported by CapIQ (S&P Capital IQ Pro | S&P Global). The bars let you see at a glance whether these companies are paying faster or slower than their industry peers.
In the chart below, we see how dynamic discounting and program adoption are performing. At the top, there are four key metrics for dynamic discounting: discount capture, average return on capital, the impact on days payable outstanding, and accounts payable balance.
- Discount capture: Projected gross discounts from buyer-funded early payments powered by SAP Taulia (excludes traditional and DPT discounts). Rule of thumb: Aim for $1M of discount capture for each billion of spend.
- Average RoC: Expected blended program APR (Annual Percentage rate) for Dynamic Discounting early payments calculation: Gross Outreach Yield (DD only) / Funding Asset Required (DD only).
- Impact on DPO: Average terms reduction resulting from the funding of the DD program. Calculation: Funding Asset Required (DD only) / Total Annual Spend. Rule of thumb: Balance the discount capture with the DPO impact you are willing to take or utilize SAP Taulia Liquidity Controls to minimize negative DPO impacts.
- AP balance impact: Required treasury from your own working capital to fund (the DD program).
In the middle, the chart shows liquidity demand, broken down by annual percentage rate. At the bottom, we have four measures of program adoption: total early payment adoption, cash from treasury, cash from other funders, and the net impact to suppliers.
- Total early payments adoption: Shows the volume of early payment offers made and accepted by suppliers. Tracks trends in early payment adoption over time.
- Cash from treasury: Your own cash used for the early payment program.
- Cash from other funders: Cash from other funders used to fund the DDSupply Chain Financing (SCF) program. Equals the net impact to suppliers only if no 3rd party funders are involved.
- Net impact to suppliers: The amount of money impacted by your DD program on supplier side Net working capital impact to supply chain from movement of supplier terms and predicted adoption of early payment offers.
Together, the chart gives a clear view of the financial and operational effects of these programs.
In the chart below, we see working capital benchmarks and related insights.
At the top, the chart shows current average terms, target average terms, estimated payables, and the impact on target working capital.
- Liquidity Demand by APR: Predicted liquidity demand (in terms of working capital impact to Supplier) at each APR
- Current average terms: The spend-weighted average effective payment term for all suppliers.
- Target average terms: The resultant average term (‘DPO’) for the entirety of the spend file (in scope and excluded suppliers) based on improvements from Target Payment Terms x Target Term Adoption. A higher number is generally more attractive for you (as it means more working capital for you), but less for your suppliers (as it means less working capital for them), so finding a good balance is key.
- Estimated payables: Total payables volume based on the current spend and terms.
- Target working capital impact: Predicted impact on your working capital if the target average terms become your average terms.
Next, it highlights strategic scenarios, including standard scenarios for easy comparison and customer-specific scenarios based on prospect requirements. We also see current and target terms side by side for clear benchmarking.
The chart notes out-of-scope spend, which Taulia systematically excludes based on historically low early payment adoption or specific requests from the buyer or analyst.
Finally, the payment terms descriptions show the distribution of current payment terms by spend. If payment term codes are provided, the chart will display these codes instead of the converted term days.
All of this enrichment and analysis eventually feeds into an Outside-In Business Case. This is a simple, structured way to show the value of SAP Taulia from the client’s perspective. The goal is to give finance teams a clear, data-driven view of potential impact and spark interest in a deeper conversation. This approach allows the client to see real value using their own data and demonstrates how SAP Taulia solutions can even help self-fund broader digital transformation initiatives. Account teams can request a business case template from SAP Taulia Value Advisors.
| Impact Areas | Benefits |
|---|---|
| Reduced Operational Cost | $1.19M |
| EBIDTA Improvement | $10.43M |
| Working Capital Improvement | $231.93M |
| Average DPO extension | 23 days |
| Average DSO improvement | 5 days |
With it, they can:
- Capture client interest with clear, actionable insights.
- Provide a high-level, finance-focused analysis.
- Open discussions about working capital improvements and wider transformation opportunities.