Procure-to-Pay (P2P)

Procure-to-Pay is the downstream half of procurement: purchase requisition, approval, purchase order, invoice matching, and payment. It assumes the supplier and price have already been decided upstream, in sourcing.

P2P is often bundled into ERP systems as a purchasing module, but many organizations use a dedicated P2P or Source-to-Pay platform for finer workflow control and a clearer audit trail.

A typical P2P flow is requisition, approval, purchase order, goods receipt, invoice, three-way match, and payment. Each step creates a record that the next one checks against.

P2P assumes the supplier has already been chosen. How the supplier was selected is the job of the sourcing stage in Source-to-Pay.