Digital transformation has changed a lot around us. Almost every area of life owes some evolution to digitalization. It has added efficiency and accuracy to almost every job. Business is one of the earliest sectors to adopt digitalization to ease operations. Accountancy was one particular area where computerization was introduced too early and it has increased over the years.
Digitalization has not only improved the efficiency and accuracy of business processes but it has added many other advantages to the process. Some of the advantages of digitalization are
In the following lines, we will explore what are the environmental benefits of digitalization of invoice processing in general and with reference to InvoiceMate in particular.
An invoice is a very common business document. According to studies, it is the most common commercial document. Invoicing has evolved a lot since digital adoption.
InvoiceMate is an end-to-end digital platform for invoice management and invoice financing.
Let’s see how InvoiceMate is an environment-friendly invoicing ecosystem.
InvoiceMate is the world’s first blockchain-based invoice management system and invoice financing enabler. InvoiceMate covers the whole invoicing ecosystem starting from pre-procurement to payment and financing. Let’s see what makes InvoiceMate a more environment-friendly invoicing system than the existing e-invoicing solutions in the market.
InvoiceMate reduces the carbon footprint in many ways. Let’s take a look at those.
InvoiceMate is an end-to-end paperless solution. It eliminates the requirement for paper at any stage of invoice processing. It saves tons of physical resources over time.
By eliminating the paper to almost zero, a lot of energy is conserved, otherwise required for printing. Unlike traditional digital invoicing solutions, InvoiceMate uses blockchain for data storage eliminating the need for separate dedicated hardware saving a significant amount of energy.
No printing and no physical transportation means a significant reduction in carbon emissions.
Production of paper requires a lot of natural resources like trees, water, fuel, and human effort. By going paperless, InvoiceMate contributes a lot to the conservation of these natural resources.
InvoiceMate works in real-time requiring no physical transportation thus saving delays and lags of manual processing. This leads to more efficient processing requiring less time and saves energy cost per process.
Paper invoices require a transportation mechanism to reach their intended destination. InvoiceMate saves this transportation cost and environmental loss by adopting digital transportation.
No printing means no paper waste to be dumped over time. This saves a lot in terms of environmental hazards.
Unlike paper invoices, digital invoicing does not require a lot of physical space for filing and archiving. This saves precious workspace and the resources required to maintain that.
As we’ve seen InvoiceMate saves a lot of natural resources and reduces the carbon footprint significantly. Let’s try to quantify it.
A study at Aalto University School of Economics Helsinki, Finland finds that the reduction in manual work and the elimination of the use of paper products and transportation in invoicing reduces the carbon footprint of the invoicing process significantly. According to their findings, the difference is around 63% in favor of the electronic invoice life cycle. Following is the table of the carbon footprint of paper and electronic invoices in gCO2
The study also established the fact that the reduction of the manual work needed to process the invoice generated the greatest gains in terms of reducing the carbon footprint. According to the study, People are the most important source of productivity gains as well as carbon footprint.
As InvoiceMate is a paperless digital invoicing ecosystem, it brings the inherited 63% reduction in carbon footprint. On top of that InvoiceMate is a SaaS solution with blockchain-based decentralized and distributed database. This model significantly reduces the carbon footprint further as compared to the conventional e-invoicing system that requires dedicated hardware. According to studies, cloud-based systems reduce the carbon footprint by 20% over conventional on-premises models.
These factors make InvoiceMate one of the most environmentally friendly invoicing ecosystems with maximum reduction in carbon footprint. It can be safely said that InvoiceMate is a true “Green Invoicing Ecosystem”
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