Daikin Applied Americas accelerates and automates check payment
Fortune 1000 Company Daikin Applied Americas is the largest air conditioning company in the world, with 2013 revenues of $18 billion and 51,000 employees around the globe. Daikin was recently named one of the world's most innovative companies by Thompson Reuters and one of the 100 most sustainable corporations three years in a row by Corporate Knights, Inc.
Daikin Applied Americas needed to upgrade its time-consuming manual paper check payment system to meet rapid business growth demands and corporate “cost down” initiatives. The solution had to work with its existing Oracle ERP system and support domestic and international payment processes.
Bottomline’s Cloud-Based Payments Network Solution
Daikin Applied Americas selected Bottomline Technologies Paymode-X payments network and cash management solution for its rapid system migration, operating cost financing model and robust check automation capabilities.
Daikin began by converting almost $400 million in U.S. check-based AP spend to Paymode-X’s secure portal for automatic Automated Clearing House (ACH) delivery. Daikon earns cash back on the minimal network fee each of its vendors pay in exchange for faster, more convenient electronic payments and remittance information. As a result of the smooth integration, Daikin is enrolling international vendors into its Paymode-X system to maximize efficiency and savings.
Bottomline’s cloud-based payments and cash management solution increases AP productivity by automating check payments and eliminating the need to manage vendor bank account data. Within months of beginning the implementation, Daikin automated nearly 15,000 check transactions. The solution also helps Daikon optimize its working capital and recoup significant financial returns due to cashbacks and more efficient, cost-effective payment programs. This impressive automation not only drove financial results, it helped change the image of Accounts Payables to being more than a cost center, drawing applause from the Daikin executive team.
In the Customer’s Own Words
“Thanks to the high levels of payment automation, cashback payments and early payment discounts we capture,AP is no longer viewed as a cost center, and I can focus on strategic financial initiatives.”
Jerry Johnson, Senior Director of Finance, Daikin Applied Americas