In the SAP ERP system—both SAP ECC and SAP S/4HANA, and more specifically within the SAP MM module—there is full integration of processes spanning from purchase requisition to final vendor payment. This end-to-end flow directly connects functions such as procurement and inventory management, enabling greater efficiency across the business’s integrated operations.
This comprehensive process covers all stages: from the request and selection of goods and services, approval and issuance of purchase orders, to goods receipt, verification, invoicing, and vendor payment.
However, although the Procure-to-Pay (P2P) process is standard in SAP, inefficiencies and bottlenecks often arise in one or more stages during day-to-day business operations. In this article, we will explore the main challenges of the P2P process in SAP and present the most suitable technological solutions for each issue.
Challenges of the Standard P2P Process in SAP
Below, we outline some of the most common issues faced by procurement managers, advanced users, and finance teams when managing P2P processes in SAP. If you’re reading this article, chances are that one or more of these situations have already occurred within your organization.
Fragmented View of the End-to-End Process
One of the main challenges in SAP P2P processes is the lack of a holistic view. Each area involved in the cycle only has access to the information relevant to its specific stage: the requester can see their requisition but not the purchase order it generated; the buyer sees the order but not the goods receipts; logistics manages the goods receipt but is unaware of the invoice status, and so on.
This disconnect leads to a breakdown in operational coordination. Since P2P processes in SAP are composed of tightly linked steps, the lack of cross-functional visibility results in inefficiencies, errors, and poorly informed decisions.
Delays and Errors in Goods Receipt Posting
In SAP P2P processes, goods receipt is typically performed from a fixed workstation, usually located in an office, which forces warehouse staff to manually record data—often on paper—and later transcribe it into SAP. This sequence introduces delays in goods receipt posting, increases the risk of stock discrepancies, and can negatively impact subsequent stages, such as invoice verification and vendor payment.
Lack of Cross-Document Traceability
One of the most frequently reported issues in SAP P2P processes is the absence of traceability across the different documents involved in the flow. Purchase orders, goods receipts, invoices, and payments often follow separate paths. The system lacks a consolidated view showing the complete journey of a transaction—from the initial requisition to the final payment.
As a result, much of the information is scattered across various channels, manually recorded, or lost, making follow-up difficult. Without a unified channel, there’s no reliable or up-to-date status view of the P2P process in SAP.
Difficulty Identifying Bottlenecks
The absence of a unified, real-time dashboard makes it challenging to pinpoint critical points or bottlenecks within SAP P2P processes. Since the standard system does not offer an integrated interface for this type of analysis, stakeholders must navigate multiple transactions, reports, and requests. This complicates identifying, for example, a stalled requisition, a delayed delivery, or a blocked invoice.
Lack of Structured Communication with Vendors
Another major challenge in managing SAP P2P processes is the absence of a direct and structured communication channel with suppliers. In practice, interactions typically occur via email, leading to disorganized and poorly traceable exchanges. Without a centralized portal, communications are fragmented, negatively impacting visibility, transparency, and collaboration with vendors.
Innova’s Solutions to Transform the P2P Cycle in SAP: Value Propositions and Key Benefits
To comprehensively address the challenges of managing P2P processes in SAP—or to target specific stages within the cycle—Innova has developed a suite of solutions that integrate natively with both SAP ECC and SAP S/4HANA, optimizing every phase of the source-to-pay process.
Below, we explain how each tool addresses the issues mentioned earlier and the unique value it brings.
For Lack of End-to-End Visibility in the SAP P2P Process
Our SiTRACK solution is designed to provide comprehensive procurement management with full traceability. It delivers complete visibility over the entire procurement process, centralizing information within a user-friendly interface that simplifies operational control. Thanks to its ability to automatically link requisitions, purchase orders, goods receipts, and invoices, it gives all stakeholders—from requesters to finance—a unified, real-time view of the P2P cycle in SAP.
It also includes alerts and notifications, enabling proactive management rather than reactive tracking. Moreover, its end-to-end tracking vision extends to shipment tracking through seamless integration with platforms like Searates, enabling real-time visibility of logistics and transportation of containers in import processes.
For Warehouse Mobility Challenges
To address warehouse-related challenges within the SAP P2P cycle, we offer SIMA, a dedicated solution tailored to optimize these operations. It enables real-time goods receipt posting using mobile devices, leveraging technologies like barcode or QR code scanning.
This approach eliminates manual errors, and redundant tasks, ensuring that inventory and associated financial processes are updated directly in SAP without delays or reliance on fixed workstations.
For Detecting Bottlenecks or Stalled Processes
SiTRACK, by providing full process traceability, allows users to filter and identify unapproved requests, unreceived orders, or blocked invoices—facilitating rapid response before supply chain operations are impacted.
In parallel, our SiLI tool accelerates approval workflows with an intelligent release system, supporting informed decision-making from any device. It displays all the data an approver needs in one view: available budget, purchase history, deviation alerts, and more. Automatic notifications help prevent unnecessary delays.
Together, SiTRACK and SiLI work in tandem to actively unblock process bottlenecks and reduce operational downtime.
For Efficient Communication with Vendors in the SAP P2P Process
To enhance vendor communication in SAP P2P processes, we developed SiPRO, a self-service portal that allows suppliers to view their purchase orders, upload documents such as invoices, and communicate directly with the procurement team. Suppliers can also track the status of payments, deliveries, and invoicing online, significantly reducing email dependency and improving traceability and efficiency.
Another useful tool for vendor interactions, specifically in bidding and tendering processes, is SiGO. This solution digitizes and centralizes bid and tender management. It enables users to issue RFQs and RFPs directly from SAP and receive structured proposals via a web portal, making it easier to objectively compare offers and generate purchase orders directly in SAP environment. Both tools transform supplier engagement into a seamless, frictionless digital interaction.
