Glossary of Terms Associated with E-Billing and E-Commerce
Accounts Payable – Accounts payable is a file or account containing monies held by an organisation owed to suppliers but as yet unpaid. When an invoice is received it is added to the file and removed when the bill is paid. Thus, the A/P is effectively a form of credit that suppliers offer to their purchasers by allowing them to pay for a product or service after it has been delivered. Electronic Billing (or Electronic Invoicing) organises and automates Accounts Payable processes. For more information about WebSend-AP, our electronic payments system, click here.
Accounts Receivable – Accounts receivable is one of a series of accounting transactions dealing with the billing of customers who owe money to an organisation for goods and services provided. In most businesses this is done by generating and sending an invoice. The customer must then pay it within an established timeframe defined in agreed credit or payment terms. Delivery of invoices has traditionally been by post. Electronic delivery ('e–billing' or 'e–invoicing') offers huge cost savings over traditional methods as well as providing a rich source of invoice management and credit control data. WebSend–AR is a state–of–the–art on–line e–billing system which simplifies Accounts Receivable processes. For more information click here.
Credit control – Credit control is the process of managing payments coming into and going out of the firm. It is mainly concerned with the firm's creditors (people who the firm owes money to) and the firm's debtors (people who owe money to the firm). Tight credit control and efficient credit management are critical in maintaining cash flow and ensuring profitability. Electronic payment systems lend themselves very well to more efficient credit control by providing accurate and timely data to support better decisions. WebSend–CC is a complete credit account management package that analyses the data in WebSend–AR and WebSend–AP, maximising the effectiveness of your credit control team. For more information click here.
Credit Limit – A credit limit is the agreed maximum amount of credit that a trading company (or financial institution) will extend to a debtor for a particular line of credit (sometimes called a credit line, line of credit, or a tradeline).
Digital Signing – A digital signature is a numerical device that demonstrates the authenticity of a digital message or document. A valid digital signature verifies for the recipient that the message was created by a known sender and has not been altered in transit. Digital signatures are commonly used for software distribution, financial transactions and in other cases where it is important to prevent forgery or tampering. In some countries, including the United States, India, and across the European Union such signatures have legal significance. As such they are a vital component in the emerging world of e–commerce. E–Invoicing systems (and e–billing systems more broadly) must have this facility to be a credible business tools. WebSend–AR has a fully–featured and fully–certified digital signing capability and this is in use with a number of Data Interconnect customers delivering across Europe. For more information click here.
e–Billing – Also known as Electronic Billing is the electronic delivery and presentation of financial statements, bills, invoices, and related information sent by a company to its customers. The Data Interconnect WebSend suite is a fully integrated electronic billing and payment management system with features intended to support efficient management decisions. For more information click here.
e–Credit Control – Credit control functions can be systematised to produce usable data and clear escalation processes that maximise the efficiency of credit control teams. WebSend–CC is Data Interconnect's complete credit management solution and is a well established example. For more information click here.
e–Invoicing – Also called electronic invoicing, this term refers only to the electronic presentation of an invoice as opposed to the delivery of all financial and related documentation generally described as 'e–billing'.
e–Procurement – Also known as electronic procurement and 'supplier exchange', e–Procurement is the business–to–business or business–to–consumer trading of supplies and services through the Internet. It also encompasses other data–based information and networking systems such as Electronic Data Interchange (EDI) and Enterprise Resource Planning. Typically, e–procurement Web sites allow qualified and registered users to look for buyers or sellers of goods and services. Depending on the approach, buyers or sellers may specify costs or invite bids. Transactions can be initiated and completed. Ongoing purchases may qualify customers for volume discounts or special offers. E–Procurement software may make it possible to automate some buying and selling. Companies participating expect to be able to control parts inventories more effectively, reduce purchasing agent overhead, and improve manufacturing cycles. E–Procurement is a core element in the emerging pattern of supply chain integrations delivering efficiencies across the economy. WebSend–TRADER and WebSend–XCHANGE are highly cost–effective modules offering access to the electronic trading environment. For more information click here.
EDI – EDI can be formally defined as 'The transfer of structured data, by agreed message standards, from one computer system to another without human intervention'. Most other definitions used are variations on this theme. Despite being relatively unheralded, in this era of technologies such as XML web services, the Internet and the World Wide Web, EDI is still the data format used by the vast majority of electronic commerce transactions in the world. EDI outsourcing and EDI services can be very beneficial to a busy company. WebSend–XCHANGE supports all the major EDI formats as well as XML and other newer e–procurement standards. For more information click here.
ERP System – An ERP system is a business support system that maintains in a single database the data needed for a variety of business functions such as Manufacturing, Supply Chain Management, Financials, Projects, Human Resources and Customer Relationship Management. An ERP system is based on a common database and a modular software design. The common database can allow every department of a business to store and retrieve information in real–time. The information should be reliable, accessible, and easily shared. The modular software design should mean a business can select the modules they need, mix and match modules from different vendors, and add new modules of their own to improve business performance. Connectivity within supply chains is achieved using electronic means and the delivery and distribution of billing documentation can be achieved with maximum efficiency using electronic billing systems like WebSend–AR. For more information click here.
FTP – File Transfer Protocol (FTP) is a network protocol used to transfer data from one computer to another through a network, such as the Internet. FTP is a file transfer protocol for exchanging and manipulating files over any TCP–based computer network. A FTP client may connect to a FTP server to manipulate files on that server. As there are many FTP client and server programs available for different operating systems, FTP is a popular choice for exchanging files independent of the operating systems involved.
Invoice Authorisation – Part of the accounts payable process, where invoices are matched with purchase orders and packing slips before the invoices are paid, or marked as correct for payment by the appropriate manager. Effective invoice management demands that documents are distributed internally to the individuals charged with checking and authorising payment. This process is best handled electronically. WebSend–AP offers this and many other useful features. For more information click here.
Invoice Processing – Invoice processing and management involves the handling of incoming invoices from arrival to post. Automated invoice processing can be of value to most businesses. Invoices have many variations and types. In general, invoices are grouped into two types:
1. Invoices Associated with a Request
2. Invoices that do not have an Associated Request
Key Performance Indicators – Key Performance Indicators (KPI) are financial and non–financial metrics used to help an organization define and measure progress toward organizational goals. KPIs can be delivered through Business Intelligence techniques to assess the present state of the business and to assist in prescribing a course of action. The act of monitoring KPIs in real–time is known as business activity monitoring (BAM). KPIs are frequently used to "value" difficult to measure activities such as the benefits of leadership development, engagement, service, and satisfaction. KPIs are typically tied to an organization's strategy
Purchase Order – A purchase order (PO) is a commercial document issued by a buyer to a seller, indicating types, quantities, and agreed prices for products or services the seller will provide to the buyer. Sending a PO to a supplier constitutes a legal offer to buy products or services. Acceptance of a PO by a seller usually forms a one–off contract between the buyer and seller, so no contract exists until the PO is accepted.
PDF – Portable Document Format (PDF) is a file format created by Adobe Systems in 1993 for document exchange. PDF is used for representing two–dimensional documents in a manner independent of the application software, hardware, and operating system. The format is widely employed in electronic document delivery.
Remote Access – The defining characteristic of internet–based e–commerce systems like the WebSend suite is their independence from traditional fixed points of access. Secure Servers and the world wide web means that your customers can access data, request copy invoices, place orders and raise queries outside traditional hours and from any location. Maximising efficiency and accessibility at minimal cost via electronic delivery is the key benefit of e–billing systems like WebSend–AR. For more information click here.
ROI – In finance, rate of return (ROR) or return on investment (ROI), or sometimes just return, is the ratio of money gained or lost on an investment relative to the amount of money invested. The amount of money gained or lost may be referred to as interest, profit/loss, gain/loss, or net income/loss. The money invested may be referred to as the asset, capital, principal, or the cost basis of the investment.
Sales Order – The sales order, sometimes abbreviated as SO, is an order received by a business from a customer. A sales order may be for products and/or services. A sales order is an internal document of the company, meaning it is generated by the company itself. A sales order should record the customer's originating purchase order which is an external document. Rather than using the customer's purchase order document, an internal sales order form allows the internal audit control of completeness to be monitored as a sequential sales order number can be used by the company for its sales order documents.
Sales Order Portal – The customer access point to an Internet–driven sales order processing system. Linked directly into your existing Sales Order and Stock control systems such a portal provides your customers with the ability to place orders directly over the Internet. Transaction costs are minimal. WebSend–TRADER is a good example. For more information click here.
SMTP – Simple Mail Transfer Protocol (SMTP) is the de facto standard for electronic mail (e–mail) transmissions across the Internet.
System Integration and Reporting – An integrated system built on a common database and a modular software structure does more than provide efficiency and avoid duplication of effort. It management retrieve and analyse information in real–time and to generate reports using data sourced from traditionally separate areas of activity. The quality of data available is thus transformed and can be used to address specific business issues. For example, disputes over the validity of invoices are a major attrition on resources and modules like WebSend–CC use live data from various sources to support efficient decision–making. To find out more click here.
Web Portal – A web portal is a site that provides a single function via a web page or site. Web portals often function as a point of access to information on the World Wide Web. Portals present information from diverse sources in a unified way. Portals provide a way for enterprises to provide a consistent look and feel with access control and procedures for multiple applications, which otherwise would have been different entities altogether. WebSend–TRADER is an excellent example. For more information click here.
WebSend–AP – Data Interconnect's WebSend AP (Accounts Payable) is a modular system that links you electronically with your suppliers and manages the flow of purchasing documents around your organisation. Customers have reduced the average time for their purchase invoices to be authorised from four weeks to two days, simplifying their accounts procedures and massively reducing their costs. For more information click here.
WebSend–AR – Data Interconnect's WebSend–AR (Accounts Receivable) module is an accounts document delivery package (for invoices, statements, order acknowledgements, debt chasing letters etc) that will save you money and improve your cash flow. It's a fully integrated state–of–the–art e–billing solution for companies sending out larger volumes of documents. For more information click here.
WebSend–CC –Data Interconnect's WebSend–CC module is a comprehensive credit control system with outstanding facilities for prioritisation and a systematic approach to maximising cash recovery. For more information click here.
WebSend–P&P – An outsourcing service combining traditional 'print and post' (and fax) with electronic delivery. This service is aimed at helping customers manage their transition to e–billing while maintaining a mixed facility. For more information click here.
WebSend–DISPUTE MANAGER – A business tool designed to promote dispute resolution. It will equip your credit control team with the data and processes needed to secure early payment of disputed invoices and will improve the way you manage contentious episodes in the customer relationship. For more information click here.
WebSend–XCHANGE – A state–of–the–art portal facilitating access to the key e–procurement trading hubs. Deploy it and your company can access all the advantages of e–procurement while avoiding the substantial financial cost and IT overheads usually faced with an in house solution. For more information click here.
WebSend–TRADER – A low cost module which adapts and extends your website to provide an on–line sales facility. Integrates an order–taking function with back–office sales order processing and stock control systems and provides for credit card payment . For more information click here.
XML – The Extensible Markup Language (XML) is a general–purpose specification for creating custom markup languages. It is classified as an extensible language because it allows its users to define their own elements. Its primary purpose is to help information systems share structured data, particularly via the Internet, and it is used both to encode documents and to serialize data
