Case Study: Capita Group plc achieves 70% invoice processing cost reduction with Lexmark

Capita cuts over 70% off the cost of processing an invoice

Capita Group plc, a UK-based business process outsourcing and professional services company, was handling a high volume of paper invoices through a labor-intensive purchase-to-pay process that required manual keying into SAP. The process was slow, error-prone, and costly, with poor visibility, late payments, and a per-invoice cost of around £8. Capita turned to Lexmark, using ReadSoft INVOICES and ReadSoft WEB CYCLE to modernize invoice handling.

Lexmark implemented centralized invoice scanning, OCR-based data capture, and electronic workflow integrated with SAP, enabling invoices to be automatically classified, validated, and routed for approval. As a result, Capita cut invoice processing costs to just over £2 per invoice, reduced back-office resources from 40 staff in the UK to 20 in India, and saved more than £1 million per year. The company also achieved ROI in the first year and improved controls, visibility, and on-time payment performance while processing more than 400,000 invoices annually.

Capita Group plc

Richard Good

SAP Programme Manager