How Windmill NI, A Burger King Franchise Made 5 Digit Savings With AP Automation

The Challenge: A Mission To Manage Costs

Prior to automation, the Windmill finance team relied entirely on manual processes. A large volume of invoices for Windmill (1,500 to 2,000 per month) meant extensive paperwork storage and significant manpower and time. 

‘'Most of the work involved opening envelopes, photocopying and filing stuff. Plus, we had an entire room purely for paperwork storage. It was manpower, and it was time,'' says Bernie.

The costs of these resources and the difficulty accessing documents further compounded these challenges.

''There's also the issue of ease of access. Somebody would set something down, and it wasn't maybe where you wanted it to be, and you know, it was very difficult."

Margins are typically very tight in the restaurant and hospitality industry. For Windmill, this has led to an increased focus on identifying areas where costs can be reduced to maintain the business's viability.

"Behind the scenes, I made it my mission to make sure that our costs are right. Lightyear has helped in that regard."

The Solution: Time and Cost Savings on The Menu

One of the standout benefits Windmill experienced with Lightyear was the significant reduction in time spent chasing invoices. The cloud-based system with a login portal allowed multiple team members to access it simultaneously.

"Our Operations Director would need to look at something occasionally, which he can get now directly through Lightyear." highlights Bernie.

Previously, Bernie and her team spent a lot of time manually entering invoice data into Sage 200. This led the team to often manage Sage’s suspense account for discrepancies due to data entry errors, causing unnecessary complexity and errors in cost allocation. However, with Lightyear’s automated keyword rule, the errors have been reduced, and the process has become quick.

''I don't do many journals out of suspense anymore. A lot of the data that is exported to Sage is automatically and accurately populated by Lightyear.''

Bernie explains how automation has helped the business reduce labour costs while maintaining the necessary staffing.

"We're at a good point where the manpower is at an optimum level. One member of staff's wages could be £25,000, but for Lightyear, we pay only £500 a month. So there's a 5-digit saving."

Keeping Tabs on Every Pound

After implementing Lightyear, Bernie’s team has a higher visibility of their spending.

 ''We can compare 27 stores at a glance and see who is spending too much and have a chat with them. You get a degree of that on Sage but not in the same detail.''

The reporting capabilities of Lightyear have turned Windmill’s data into profit-driving strategies.

"You can use invoices, sort it all out, and produce a report from Lightyear. We can group invoices and search any of the data, even by nominal codes.’'

Bernie further highlighted Lightyear's automatic price-checking ability. 

As the supplier invoice arrives in the system, it recognises the product code, checks the prices against the agreed pricing and flags any variance.

"Within Lightyear, keeping an eye on supplier pricing is automated. Once the price list is uploaded, it automatically checks that we are being priced correctly," emphasises Bernie. 

Additionally, to ensure that the finance team has received all the invoices from their suppliers, the team uses Lightyear’s automatic statement reconciliation.

Bernie stated, "Just by looking at a statement, will we know we've got all the invoices."

Seamless Set Up & Support Served Hot

Despite their initial lack of experience with automated systems, the team found the transition and onboarding process very easy. 

"When we started with Lightyear, the support that we got was second to none. We've been a user for five years now, and I know if I have an issue, I can lift the phone, and somebody will look at it really quickly."

This level of support was invaluable, especially during the early stages when the team was still getting accustomed to the new system. With Lightyear’s dedicated customer service team at their side, the business quickly overcame any hurdles and began seeing the benefits of automation in action.

It's crucial to plan the setup of your invoice automation system before you dive in. Taking the time to ensure that everything is configured properly from the beginning pays off significantly down the line. “When set up properly, it's incredibly effective. I truly believe that anyone who embraces it will see clear, tangible benefits,” Bernie adds.

The Solution: Automation of 80% of AP Documents

Since implementing Lightyear, the business no longer faces the pressure of employee shortage. This eases the strain on resources and saves money in the long term.

"With people changing jobs, it takes the pressure off having to replace that person, and then we see the savings. We're talking thousands of pounds saving. Across 25 different restaurants for cost management, we could be saving them £500 every so often, which totals to £2500. And if you do that 10 times, that becomes £25,000." says Bernie.

Bernie also highlighted how Lightyear handles 80% of their documents, which helps avoid month-end delays. This allows the team to focus on running the business and generating savings in other areas.

When asked what advice Bernie would give to anyone thinking of automating their AP processes through Lightyear integration with Sage, she emphasised:

"It's important to give some thought to the setup before you actually run into it. When set up properly, it's very effective. And then, definitely, I can't see anyone who wouldn't reap benefits."