Cindy Kelemen
Marketing Director
DO2 Technologies
ckelemen@do2.com
DO2 Technologies, a software solutions company that optimizes financial and operational processes between energy companies and their suppliers announced the release of OpenContract EarlyPay, a new module in their OpenContractT suite of products to streamline the processing of invoices subject to early pay discount incentives.
Using OpenContract EarlyPay ensures payment turnaround in contract terms, benefiting both supplier and operating company.
Most upstream E&P companies enjoy relationships with suppliers where significant discounts are applied if invoice payment is expedited. These "early pay" discounts are a win for both sides - operating companies pay less for their goods and services; suppliers get faster access to capital. While these terms have been long established in the industry, the administrative overhead required to manage these terms has been onerous. Accounts payable personnel needed to understand tax requirements, differentiate supplier direct charges from third-party charges, as well as simply know the terms of every early pay contract the operating company managed.
With the release of OpenContract EarlyPay, operating companies can manage the discount terms (percent discount and timing) associated with an early pay contract. Suppliers select which individual items are subject to the discount. This ensures that third-party charges and freight charges not subject to the discount are not included in the calculation.
The new module has been released in conjunction with the 5.0 release of DO2's OpenInvoice™ and OpenContract applications on October 1, 2004.
"OpenContract EarlyPay marks another milestone in DO2's technology offering for the energy industry," remarked Deborah Close, Executive Vice President, DO2 Technologies. "Our industry has many specific requirements, and the opportunity for operating company savings and supplier access to capital provided through early pay contracts is material. This technology truly provides a win-win scenario for both sides of the table."
DO2 Technologies delivers Internet-based solutions that automate and integrate financial and operational processes between energy companies and their suppliers. Our products simplify complex workflow processes and enable collaboration within and between organizations. Drilling, Production, Finance, Procurement, and Purchasing departments, as well as external service suppliers and partners all use DO2 Technologies solutions.
Cindy Kelemen
Marketing Director
DO2 Technologies Inc.
(713) 260-9693
ckelemen@do2.com
http://www.do2.com