← Back to glossary Category: Financiar · Acronym: P2P Procure-to-Pay (P2P) Quick answer: The end-to-end procurement cycle: request → order → receipt → invoice → payment → reconciliation. Key takeawaysPR (Purchase Requisition) — internal department requestRFQ / quoting — 2-3 suppliersPO (Purchase Order) — official order, ideally EDIGR (Goods Receipt) / GRN — physical receipt3-way match — PO ↔ GRN ↔ invoice Definition Procure-to-Pay (P2P, also Purchase-to-Pay) is the inverse of O2C, from the buyer's perspective: internal request → supplier quotes → order → receipt (GRN) → invoice → payment → reconciliation. Key stages PR (Purchase Requisition) — internal department request RFQ / quoting — 2-3 suppliers PO (Purchase Order) — official order, ideally EDI GR (Goods Receipt) / GRN — physical receipt 3-way match — PO ↔ GRN ↔ invoice Payment at due date, ideally automated Typical losses without digital P2P 4-7% invoices paid twice (duplicates, no PO) 1.5-3% cash discounts missed (invoice processed late) 30-60% procurement time spent on non-strategic activity Frequently askedIs P2P enterprise-only?No. For any company processing >50 supplier invoices/month, digital P2P pays back in under 12 months. Where Azuvio fitsSoftware OMSPortal B2B Related termsOrder-to-Cash (O2C) — The end-to-end cycle from order receipt to invoice payment. A key cash-flow health indicator.NIR / Goods Receipt Note (GRN) — Internal document confirming the physical receipt of goods in the warehouse — the pivot between supplier delivery note and invoice.DSO (Days Sales Outstanding) — Average number of days from invoice issue to cash collection. Key cash-flow indicator. Last updated: 2026-07-17