It pays to have good payment processing software
Paying is as challenging as billing. Not the actual payment, but the calculation of what has to be paid. For example, where earlier payments need to be subtracted, or when the payment changes over a period of time. For complex calculations you need adjustable algorithms, because every business and every payment process have their own demands. And let’s not forget about the high volumes involved. And the need for speed.
To be clear, the software we’re referring to here is not about bills received from suppliers. This is about the payment amounts that have to be calculated and shared with persons and organisations, who don’t claim themselves.
The basis of payment processing software
For the payment calculation processes to work, you need a solid basis. That starts with the registration of business partners who are entitled to payments. Then there’s their network, like a company or agent representing them. Even more complicated, heirs that have taken over certain entitlements. And so it goes on.
A second level of registration can be found in contracts and addendums. Including the exact agreements, in the form of a multitude of variables which you can use for calculation purposes. Transaction-wise you need to know about the performances, they form the input for the calculations. These are quite dynamic because they increase over the years.
“Rights” are not always the basis of payments. Often, other transactions are involved, like parcel deliveries where a courier gets paid per stop. The rate might then be determined by whether the area is rural or urban, less or more congested. The paperwork for this kind of payment is sometimes referred to as a self-billing invoice.
ICORP provides exactly the right tooling
Parties that have to pay, can do so based on the performance data they have at their disposal. However, payment data can also be received from partner organisations, both domestically and abroad. In a rich form, raw, or as a semi-finished product. This demands exactly the right tooling and that’s what ICORP DataBridge provides, along with the ICORP Rules Engine. Also, perfect for delivering performance and payment data to partners.
The calculation algorithms themselves can be extremely complex. Sometimes the law states what has to be taken into account and what the actual calculation must be. Even when that’s not the case, other (complex) regulations define how to calculate what the organisation owes and to whom.
Perfectly suited to complex payment processes
The intricacies involved mean that high demands rest on the communication features of a payment system. The payment letters being a main point of attention. They must be clear, especially in the appendices. In other words, why the receiving parties receive what they receive and how the calculations are made.
The ICORP product suite is a range of software products that are perfectly suited to complex payment processes. That includes the ICORP DataBridge, the Rules Engine, Master Data Management, the Correspondence Module and the Posting Engine.