1 Focus on eInvoicing Goal 2006: 1,2 M Investment in eInvoicing will improve competitiveness by 50 M per year and it will be the first step to digitialize the hole procurement Regional business case in South-Karelia by Technology Centre Kareltek

2 Regional business dirvers Technology Centre Kareltek with 85 Companies 800 employees Lappeenranta University of Technology with Students South-Karelia Region with inhabitants and companies

3 Customer Retail Large Enterp SME Supplier Inter-Company eDOCS & eProcesses Product Management and Publication Network Management >>>> Offers Orders Order Confirmations eInvoices Cover Letters Inventory Status Product Documents Planning Production Sales After Sales Spare Parts eBusiness for SMEs Internal Applications and Processes eBusiness Networks CRM Customer Service Sales Marketing ERP Office Environment Management Personnel SCM Supply Production Deliveries Order – Delivery Chain Activity on the net Accurate Deliveries Process Deviations Process Status Monitoring Business Models Controlled Orders Project Business HOW to Raise Penetration eDocs + PDM Digital Control of Networks eInvoice

4 Savings in handling costs Savings in handling costs New business eGovernment Service providers Banks & operators ePioneers SMEs Stakeholders and benefits Automation of book keeping Accounting companies

5 Case 1: Estimated Personnel Work Load of the Process of Financial Management (3 737 man years) of Finlands State Treasury 50 %

6 Impact on one invoice Sources: Procountor 2004; Elma 2004; Kareltek 2004 Sales Invoice Sales Invoice Purchase Invoice

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8 Top 10% companies send 50% of the invoices Top 20% companies send 80% of the invoices Regional focus on top invoicers

9 Interoberability Connectivity table updated constantly ( )

10 Test Results Overall Success Ratio of Interoperable eInvoicing Services - Technology is not a problem - The problem is usability

11 eInvoicing services provided by banks growing rapidly

12 Results: Amount of companies starting to use eInvoicing in South-Karelia Source: Pulli Hennariina, LUT research 2005

13 Results: Source: Pulli Hennariina, LUT research 2005

14 Rough idea of eInvoices used in each sector IMPACT POTENTIAL IN FINLAND Source: Kari Korpela variation +/- 10%

15 Lessons to learn follow the money, start where there is biggest input to B2B and B2G competitiveness SME´s needs to have easy and cost-effective service Build up the demand, make the timing at the same time with all stakeholders connectivity needs to be in a high level standardize the usability

16 Thank you Technology Centre Kareltek Inc Mob: