Founded in 1958, Greenthal currently manages more than 300 properties in five boroughs in the New York Metropolitan Area, including New York City, Long Island and Westchester County. The company manages a range of different types of properties, from four units to 2,000 units, and delivers a full-service experience. Greenthal has grown quickly in the past few years, and the IPS AP Automation has played a big role.
The company formerly employed 17 full-time AP staff that would manually key in data from paper and email invoices into their MDS property management software, as well as manually track any exceptions found in invoicing. The process was time-consuming, taking between three to five days for invoices to be processed. Because invoices were not visible in the system before the invoice data was keyed, it was difficult to track invoice status or confirm whether it was received. In 2017, the company moved from Manhattan to Long Island, which complicated matters. In addition to the usual problems associated with moving a business, the company experienced issues with slower mail delivery, causing invoice processing delays. The delays resulted in late payments to suppliers, and soon Greenthal was flooded with supplier complaints.
AP Benefits of Switching to IPS
To improve its AP invoice processing capabilities, Greenthal switched to IPS in 2019. The situation turned around quickly. One of the first imperatives was to gain visibility to the data behind the operations. “We had automated the processing of payments in our accounts receivable department,” said Greenthal IT Director Ramon Reynoso. “We wanted our payables staff to be more analytical, too.” As part of the implementation, IPS integrated with Greenthal’s MDS system. The process went well, and Reynoso summed up the entire implementation and integration experience as “easy.”
The IPS AP Process
The IPS invoice processing solution drastically improved the effectiveness of the AP process. IPS’ solution automatically retrieves Greenthal’s invoices from an email box, extracts the data from each invoice, validates the extracted invoice information against data residing in Greenthal’s property management software, uploads matching invoices directly to the property management software, and digitally routes any invoices that require additional review to Greenthal’s invoice approval platform.
Greenthal has achieved immediate, tangible benefits from the IPS SaaS-based platform:
- Growth: The solution has enabled the company to grow, thanks to the extra time the company now has to identify new opportunities, and also thanks to the scalability of the solution, which can easily accommodate the increased invoice volumes associated with growth.
- Reduced Staffing Requirements: AP headcount has actually decreased while the company continues to grow, from the original 17 staff members down to only 10.
- Speed: The invoice cycle time of five business days has now been reduced to only one day. With 500-600 invoices arriving per day, invoice processing speed is vital to Greenthal.
- Data Visibility: Greenthal can now track invoices from the time they are received through approval and payment.
- Exception Handling and Accuracy: In the past, Greenthal needed to review every incoming invoice. Now, only 10 percent need to be reviewed, drastically increasing cycle time and improving supplier satisfaction.
- Business Continuity: Greenthal has found IPS indispensable during the COVID-19 epidemic because of the ability of employees to work from home. “Nobody had to be in the office to get the mail. All you need is a browser and a laptop,” Reynoso explained.
Moving to IPS has produced rewarding outcomes for Greenthal. “Property management firms would be foolish to not take advantage of IPS,” Reynoso concluded.
Hear for yourself how Greenthal automated its AP process. Join us for a free webinar with Ramon Reynoso.