How does IRS work?
IRS enables data to be electronically exchanged with suppliers, airports and the appropriate authorities and for invoices to be automatically verified. This enables airlines to substantially reduce process-related costs and monitor the legitimacy of incoming invoices more reliably.
An interface from the client operational system is applied to actual supplier contracts in order to produce the expected invoice from a given supplier for a specified time period.
Rebates, discounts or credit notes can also be reconciled electronically (enhanced service).
Electronic interfaces with suppliers can reduce the manual entry by up to 75% significantly streamlining the process. IRS is able to handle around 40 »EDI-ready«-suppliers (including fuel and ground handling suppliers).
Not all suppliers are able to support invoices electronically. For paper invoices IRS offers a very efficient process for comparing expected and actual charges. The IRS service means that the invoice checking activities are focused more towards challenging incorrect charges from suppliers, rather than the actual invoice processing task per se. According to clients using this functionality on average more than 85% of faulty invoices are not caused by incorrect rates but by incorrect charge drivers like block-hours, flight times or uplift volumes. Our service uploads loads these performance figures direct from the flight-logs and compares them automatically with the charged service.
Major features provided by IRS:
- Processing of specified flight related services, costs and invoices
- Automated reconciling of electronic (EDI) and paper invoices
- Automated identification of most reasons (>95%) for deviations, e.g. incorrect rate, service, charge driver or exchange rate
- Direct access to contracts, flights, flight logs etc. from the reconciliation screen
- Calculation of outstanding DOC accruals / monthly / annual reserves. Reserves can be printed or exported to the accounting system
- The easiest way to save money!... We connect the customer to our data centre, where we operate a powerful IT system, based on the Airpas® technology. Many major airlines such as Air Berlin, TUIfly, Condor, TNT Worldwide are Airpas® customers. They have realized that checking DOC invoices earns easy money! Achieving credit notes of around 1% of the checked DOCs is realistically possible