CASE 2

Faster processing time and fewer errors using eInvoicing for Íslenskir Aðalverktakar

Íslenskir Aðalverktakar (IAV) specializes in a wide range of projects, including construction of buildings, roads and tunneling. IAV has embraced digital business documents, particularly eInvoicing, to streamline its bookkeeping and administrative processes.

IAV is the constructor of Harpa, the award-winning concert and conference hall in Reykjavík, Iceland.

IAV has combined their general bookkeeping system with an app to handle the full lifecycle of eInvoices. This includes importing, OCR-processing, registering, approving, and archiving invoices and other business documents.

Currently, IAV sends and receives eInvoices from its customers and vendors. The company estimates that 85–95% of its invoices are electronic, reflecting the growing shift towards eInvoicing in Iceland. Most of the invoices IAV receives are already electronic, and the company has automated much of the process. This has significantly reduced manual data entries and improved efficiency across its finance department.

Automation and efficiency gains

Extracting and mapping critical data from eInvoices, such as vendor numbers, prices, and due dates through automatically reading and categorizing this information, have reduced the need for manual data entries.

In many cases, IAV's finance team only needs to review the data that has been digitally mapped before sending the invoice for approval, rather than manually entering the data or searching for project-related information from other sources.

Future opportunities for cross-border eInvoicing

While IAV primarily operates within Iceland, the company acknowledges the potential for using eInvoicing for cross-border transactions within the Nordic region and sees a potential in the NSG&Bs pilot on cross-border eInvoicing. Ásbjörn Guðmundsson points out that:

Currently, when we do cross-border trade, we are not using digital business documents. I’m optimistic that we will be able to do so soon, because we see many advantages in using eInvoicing when we work with Nordic partners. It provides faster processing time, fewer errors, and more transparency when we manage both incoming and outgoing payments. We are optimistic about the future of cross-border eInvoicing, especially because more and more people in the Nordics are adopting electronic invoicing standards.
Ásbjörn Guðmundsson, Chief Financial Officer, IAV in Iceland

Learn more about NSG&B’s pilots on cross-border eInvoicing and other digital business documents at https://nordicsmartgovernment.org/digital-business-documents