As a Co-operative owned by 10,000 farming families, we recognise the enormous contribution small and medium-sized businesses make to New Zealand’s economy and we want to play our part in supporting our country’s economic recovery.
We’re able to do this as a result of a significant overhaul of our vendor payment system in the last few years which has seen us move all vendors onto electronic invoicing and encouraging them to use a NZ Business Number. This has improved the accuracy of the invoices in our system which enables their invoices to be paid on time.
There are quite a few things that have to be in place to ensure invoices are paid quickly – for example, vendors need to submit correct invoices, we need to check in a timely manner that the invoices match the services which were delivered and sometimes the services delivered or final costs differ from what was originally quoted. We also need to make sure we process and approve the invoices on time too.
We are working with our vendors to provide practical tips on what is required to ensure their invoices are submitted accurately the first time. And we’re impressing on our team the importance of prompt processing of invoices and the flow-on effect this has for our vendors.
I’m proud of the way our farmers and employees have all pulled together to support our communities during COVID-19. Accelerating payments to the 3,000 SMEs we do business with is another way we can do our bit.