What is Invoice Lifecycle Management and How Does it Improve Cost, Control and Compliance?

Many organizations still manage invoices across disconnected tools, systems, formats, and teams, preventing finance from operating as one connected process.

95% still rely on spreadsheets, leaving critical invoice data trapped outside core systems and workflows.

These gaps have serious consequences: 56% of organizations report missed invoicing or indirect tax deadlines while fragmented processes make real-time , consistent invoice and tax compliance extremely difficult.

Invoice Lifecycle Management (ILM) addresses this challenge by connecting every stage of the invoice process into a single, end-to-end flow that improves cost control, visibility, and compliance.

What is Invoice Lifecycle Management (ILM)?

This short video introduces Invoice Lifecycle Management (ILM) and explains why connecting the entire invoice process matters for modern finance teams.

Invoice Lifecycle Management brings every stage of the invoice journey into one integrated, end-to-end process, from invoice creation and capture through approval, payment, and reconciliation.

By replacing fragmented systems and manual handoffs with a single, connected platform, ILM gives organizations:

• Greater control over invoice-related costs
• Real-time visibility across invoice status and spend
• Built-in compliance and risk management across the business

The video provides a high-level overview of how ILM helps finance teams move from disconnected processes to a more controlled, automated, and compliant invoice lifecycle.

The business benefits of Invoice Lifecycle Management

Connecting the invoice lifecycle delivers clear, practical benefits for finance teams by reducing manual work, improving visibility, and embedding compliance directly into everyday processes.

Lower invoice processing costs

A fully connected invoice lifecycle means fewer manual handoffs, less rework, and less exception handling. Automation replaces spreadsheets and disconnected tools, lowering the cost per invoice and freeing finance teams to focus on higher-value work.

Greater control and visibility

ILM creates a single, end-to-end workflow and a single source of truth for invoice data. Finance teams gain real-time visibility into invoice status, bottlenecks, and risk, making it easier to manage performance and stay in control.

Built-in invoice and tax compliance

With compliance embedded directly into the invoice process, ILM validates invoices in real time and maintains audit-ready records. This reduces reliance on manual checks and helps ensure consistent compliance across regions and regulations.

Improved cash flow

By connecting invoice creation, approval, and payment into a single flow, ILM helps invoices move faster and more predictably through the business. This reduces late payments, improves payment timing, and gives finance teams better control over working capital and cash flow forecasting.

Why connecting the invoice lifecycle matters

Disconnected invoice processes make cost control, visibility, and compliance harder than they need to be.

Invoice Lifecycle Management brings every stage of invoicing into one connected flow, helping finance teams operate more efficiently and with greater confidence.

Watch the video to see how ILM works in practice, or speak to a Basware expert to learn how it can support your organization.