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Industry: Water Supply (Utilities) | Source systems: 5 | Invoices per year: 22 million

Streamlining eInvoice Compliance in Malaysia: Real-Time Integration with MyInvois through Taxilla's Middleware

Introduction

A leading water supply company in Malaysia, managing operations across multiple regions, faced a significant challenge with their invoicing process. The company used five different ERP systems, each designed to cater to different business needs but without the necessary capabilities to support the country's evolving eInvoicing requirements. As a result, the company found itself grappling with the complexities of eInvoice compliance, including self-billed and consolidated invoices, without a unified solution.

Business Challenges

  • High Customization Costs: The cost and time involved in customizing each of the five ERP systems to accommodate the various eInvoice types, including self-billed and consolidated invoices, were prohibitive. This left the business with a maintenance nightmare, as multiple systems required constant updates for compliance with regulatory standards.
  • Lack of API Integration Support: The company’s existing ERP systems did not have built-in API integration capabilities, making it difficult to streamline processes like automatic submission of invoices to the Inland Revenue Board of Malaysia (IRBM) via the MyInvois portal.
  • Timely Submission to MyInvois Portal: The company needed a reliable solution to ensure that all eInvoices were submitted in real time to the MyInvois portal, preventing delays that could lead to penalties and compliance issues.
  • Monthly Consolidated eInvoices: Generating consolidated eInvoices at the end of each month across multiple ERP systems was a complex and manual process that consumed significant time and resources.
  • On-Demand Conversion of Invoices: The business needed a solution that could convert non-eInvoice formats into IRBM-compliant eInvoices based on demand, without requiring changes to their existing systems.
  • Real-Time Analytics for Invoice Status: With multiple ERPs in play, gaining visibility into the real-time status of submitted invoices was challenging. The company needed a comprehensive dashboard to track invoice submissions and identify any issues early.

Solution: Taxilla’s eInvoice Middleware

To address these challenges, the water supply company implemented Taxilla’s eInvoice Middleware—a comprehensive solution designed to integrate with multiple ERP systems and ensure compliance with Malaysia's eInvoicing requirements, without the need for expensive ERP customization.

  • Seamless Integration with Multiple ERPs: Taxilla’s middleware integrated with the company’s five ERP systems using API and SFTP integrations, allowing it to capture and process invoices in various formats. The middleware handled the automatic conversion of invoices from customer systems in XML, JSON, and CSV format into the IRBM-compliant eInvoice XML format, ensuring seamless compliance across all business divisions.
  • API-Enabled Submission to MyInvois Portal: The solution provided a built-in API integration capability, enabling real-time submission of eInvoices to the MyInvois portal. This eliminated the need for manual intervention, ensuring timely submissions and reducing the risk of non-compliance.
  • Self-Billed and Consolidated eInvoices: The middleware automated the generation of both self-billed and consolidated eInvoices, ensuring that the company could meet its end-of-month reporting requirements with minimal effort. This streamlined the invoicing process and reduced manual errors.
  • On-Demand Conversion: The company could now convert non-eInvoice formats into IRBM-compliant eInvoices whenever required, without altering the source ERP systems. This flexibility allowed the business to adapt to different invoicing needs as they arose.
  • Real-Time Invoice Tracking and Analytics: The solution included a real-time analytics dashboard that provided visibility into the status of all submitted invoices. The company could now track pending, accepted, and rejected invoices across all systems, ensuring full control over their invoicing processes.

Results and Benefits

  • 80% Cost Savings on ERP Customization: By avoiding extensive customizations to their existing ERP systems, the water supply company saved approximately 80% of the costs they would have otherwise incurred.
  • 100% Compliance with IRBM Regulations: The middleware ensured that all invoices were submitted in an IRBM-compliant format in real time, reducing the risk of penalties due to late submissions.
  • Improved Efficiency and Accuracy: The automated generation of self-billed and consolidated invoices significantly reduced manual effort, improving operational efficiency and accuracy.
  • Enhanced Flexibility: With the ability to convert non-eInvoices to eInvoices on demand, the company gained greater flexibility in managing its invoicing processes without system overhauls.
  • Real-Time Insights: The real-time analytics dashboard enabled the finance and accounting teams to monitor invoice statuses, identify bottlenecks, and ensure smooth submission workflows.

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