{"id":163662,"date":"2022-05-17T14:27:56","date_gmt":"2022-05-17T12:27:56","guid":{"rendered":"https:\/\/easy-software.com\/?post_type=glossar&#038;p=163662"},"modified":"2025-02-27T09:45:59","modified_gmt":"2025-02-27T08:45:59","slug":"three-way-match","status":"publish","type":"glossar","link":"https:\/\/easy-software.com\/en\/glossary\/three-way-match\/","title":{"rendered":"Three-Way-Match"},"content":{"rendered":"<div class=\"gb-container gb-container-bff3e728\">\n<div class=\"gb-container gb-container-21f239a0\">\n<div class=\"gb-grid-wrapper gb-grid-wrapper-21d3b66e\">\n<div class=\"gb-grid-column gb-grid-column-8f04805b\"><div class=\"gb-container gb-container-8f04805b\">\n\n<p>Firstly, 3-way matching is the corrective measure in procurement and subsequently in the purchase-to-pay process. Secondly, this three-way matching also provides the basis for automating the P2P process.<\/p>\n\n\n\n<h2 class=\"gb-headline gb-headline-be760d6a gb-headline-text gb-headline-medium\">How does a three-way match work?<\/h2>\n\n\n\n<p>Which criteria are used as the basis for determining matches or discrepancies between the purchase order, delivery and incoming invoice? Three checkpoints for this three-way match are on hand in any properly designed procurement\/purchase process.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>The data of the order itself \u2013 order quantity<\/strong>: Ideally, an <strong>order<\/strong> has been generated from a requisition, so we know what we wanted to procure and what we ordered. The order is the basis for the first checkpoint.<\/li>\n\n\n\n<li><strong>The data of the delivery \u2013 delivery quantity<\/strong>: An order is generally followed by an order confirmation from the supplier. However, this confirmation is only a statement of intent. This means it is preferable to rely on the data in the <strong>goods receipt<\/strong>, i.e. on the actual delivery shown on the delivery note, which forms the second checkpoint.<\/li>\n\n\n\n<li><strong>The invoice data of the incoming invoice \u2013 invoice quantity<\/strong>: According to the VAT Act (Section 14), all quantities, totals and values to be paid for a delivery are mandatory details of an invoice in the <a href=\"https:\/\/easy-software.com\/en\/accounts-payable\/\">invoicing process<\/a> \u2013 they form the basis for the third checkpoint in the three-way match.<\/li>\n<\/ul>\n\n\n\n<figure class=\"gb-block-image gb-block-image-dd582580\"><img decoding=\"async\" width=\"1024\" height=\"477\" class=\"gb-image gb-image-dd582580\" src=\"http:\/\/easy-software.com\/wp-content\/uploads\/three-way_match_grafik_01_eng_kr-1024x477-1.jpg\" alt=\"Three-Way-Match Process\" srcset=\"https:\/\/easy-software.com\/wp-content\/uploads\/three-way_match_grafik_01_eng_kr-1024x477-1.jpg 1024w, https:\/\/easy-software.com\/wp-content\/uploads\/three-way_match_grafik_01_eng_kr-1024x477-1-300x140.jpg 300w, https:\/\/easy-software.com\/wp-content\/uploads\/three-way_match_grafik_01_eng_kr-1024x477-1-768x358.jpg 768w, https:\/\/easy-software.com\/wp-content\/uploads\/three-way_match_grafik_01_eng_kr-1024x477-1-1x1.jpg 1w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>It is essentially a matter of comparing the order quantity with the delivery quantity and lastly with the invoice quantity. That is the basic concept of the three-way match.<\/p>\n\n\n\n<h2 class=\"gb-headline gb-headline-5daa93c7 gb-headline-text gb-headline-medium\">The three-way match in practice<\/h2>\n\n\n\n<p>This idea can also be refined in practice, of course. A three-way match can also be made down to the item level. However, this raises the question of practicability. The goal is to have a running business process and not a process that is constantly interrupted by a workflow. To ensure a smooth purchase-to-pay process, it is also advisable to consider and use tolerances and margins for under- and over-deliveries. Appropriate tolerances must especially be taken into account in the case of material deliveries, where prices fluctuate on a daily basis.<\/p>\n\n\n\n<p>For simple <a href=\"https:\/\/easy-software.com\/en\/easy-invoice\/\">invoice processes<\/a>, this three-way match can also be broken down to a two-way match (in which only the data from the order and the incoming invoice are compared). Conversely, the three-way match can also be expanded, in a five-way match, for example. This way, two additional data checkpoints are included: such as data from the order confirmation and from a manual quality check of the delivered goods during the incoming goods inspection. In larger organizations with multiple delivery points, it is also necessary to clarify which delivery point the goods were delivered to \u2013 and whether this was intentional. Even partial deliveries can be checked in a three-way match to make sure they are correct.<\/p>\n\n\n\n<p>It all depends on the requirements of the company itself and the available capabilities of the systems used in the procurement\/invoice\/purchase-to-pay process. When properly planned and implemented, three-way matching creates transparency and helps to automate the process line.<\/p>\n\n\n<div class=\"gb-container gb-container-b860e3f3\">\n\n<p class=\"gb-headline gb-headline-dabaf045 gb-headline-text gb-headline-small\">Whitepaper: Purchase-to-Pay in three steps<\/p>\n\n\n\n<p class=\"gb-headline gb-headline-7768e61d gb-headline-text\">In the whitepaper, we show you how to combine this multi-layered conglomerate of upstream and downstream sub-processes into a meaningful whole using easy P2P ECM &#8211; for a smooth, transparent and accelerated purchase-to-pay process.<\/p>\n\n\n\n<a class=\"gb-button gb-button-14c027ff gb-button-large-btn content-cta-banner\" href=\"https:\/\/microsite.easy-software.com\/en\/whitepaper-the-purchase-to-process-from-demand-to-procurement-to-purchase-order\" target=\"_blank\" rel=\"noopener noreferrer\"><span class=\"gb-button-text\">free whitepaper<\/span><span class=\"gb-icon\"><svg version=\"1.1\" id=\"Ebene_1\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" xmlns:xlink=\"http:\/\/www.w3.org\/1999\/xlink\" x=\"0px\" y=\"0px\" viewBox=\"0 0 48 48\" style=\"enable-background:new 0 0 48 48;\" xml:space=\"preserve\"><path d=\"m29.95 39.1-3.25-3.2 9.6-9.65h-33V21.7h33l-9.6-9.65 3.25-3.2L45.05 24Z\"><\/path><\/svg><\/span><\/a>\n\n<\/div>\n<\/div><\/div>\n<\/div>\n<\/div>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>As an inspection concept, the three-way match is one of the central elements of the invoice and purchase-to-pay process. How do you ensure that the items on the incoming invoice match the original purchase order? It all comes down to a comparison of the data at three checkpoints know as \u201cmatching,\u201d and as soon as these data match, we have a three-way match.<\/p>\n","protected":false},"author":64,"featured_media":0,"parent":0,"menu_order":0,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":"","_links_to":"","_links_to_target":""},"class_list":["post-163662","glossar","type-glossar","status-publish","format-standard","hentry","no-featured-image-padding"],"acf":[],"_links":{"self":[{"href":"https:\/\/easy-software.com\/en\/wp-json\/wp\/v2\/glossar\/163662","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/easy-software.com\/en\/wp-json\/wp\/v2\/glossar"}],"about":[{"href":"https:\/\/easy-software.com\/en\/wp-json\/wp\/v2\/types\/glossar"}],"author":[{"embeddable":true,"href":"https:\/\/easy-software.com\/en\/wp-json\/wp\/v2\/users\/64"}],"version-history":[{"count":0,"href":"https:\/\/easy-software.com\/en\/wp-json\/wp\/v2\/glossar\/163662\/revisions"}],"wp:attachment":[{"href":"https:\/\/easy-software.com\/en\/wp-json\/wp\/v2\/media?parent=163662"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}