Straight-Through Processing (STP)
Invoices that are processed from receipt to payment-ready without any manual intervention.
Definition
Straight-through processing (STP) refers to invoices that flow through the entire AP workflow—capture, validation, matching, coding, and approval—without requiring manual intervention at any step. STP rate is a key efficiency metric for AP departments.
Why It Matters
STP rate directly measures AP automation effectiveness. Each percentage point increase in STP reduces processing costs and cycle times. Best-in-class organizations achieve 80%+ STP rates.
Examples
Full STP invoice
A PO-based invoice is captured via email, data extracted, matched to PO and receipt, auto-coded, auto-approved (under threshold), and queued for payment—all without human touch.
Measuring STP rate
Of 1,000 invoices processed this month, 750 required no manual intervention. STP rate = 75%.
How Nexus AP Helps
Nexus AP achieves 80%+ STP rates through AI-powered capture, intelligent matching, auto-coding, and configurable auto-approval rules.
Start Free TrialFrequently Asked Questions
What is a good STP rate?
Average is 30-40%, good is 60-70%, and best-in-class is 80%+. The rate varies by invoice type—PO invoices achieve higher STP than non-PO.
How do you improve STP rates?
Improve PO compliance, standardize vendor invoice formats, use AI-powered matching with appropriate tolerances, and implement auto-approval rules.
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