Ardent’s FinTech Influencer Series highlights innovative voices in the world of ePayables automation. This series is the go-to spot for progressive thoughts on how technology, transformational thinking, and revolutionary ideas are changing how AP work gets done. Continuing our FinTech Influencer Series, today we are speaking with Bill Wardwell, Chief Operating Officer, Paymode-X Business Solutions, at Bottomline.
Ardent Partners: Welcome Bill and thank you for joining me today. Let’s get started. Please tell me about your background, your company, and how you ended up in the FinTech industry?
Bill Wardwell: As chief operating officer of Paymode-X Business Solutions, I help drive strategy, product and business operations for Bottomline’s business that is focused on providing accounts payable automation solutions, and a payments network, to banks and businesses. Bottomline is a leading provider of financial technology (fintech) that makes complex business payments simple, smart and secure. Our other core businesses include digital banking, global payments and cyber fraud and risk management solutions. Over the years, I’ve focused on operations, sales consulting, product management, business development and strategy. My career in the industry began more than 15 years ago when I joined Bank of America top be part of a business unit that was at the forefront of payments automation for businesses. It was a small group, which allowed me to learn various parts of the payments business. That started me on a journey which has allowed me to be right in the middle of developing and delivering technology that helps customers solve significant pain points in their financial processes. As we approach 2021, I believe the industry is at a critical moment as businesses are learning that digital transformation of their payment and related financial processes is a must.
AP: The coronavirus has disrupted business operations and supply chains on a scale that few ever thought possible, in your view, what has the impact been on Accounts Payable (“AP”) departments, and buyer/supplier relationships, in particular?
BW: Accounts Payables’ importance and role in the supply chain cannot be understated, and the pandemic has certainly made it challenging for AP and other teams to keep a supply chain running smoothly. While this challenge was heightened in certain industries that experienced lulls or spikes in demand due to COVID-19, all AP teams dealt with new issues. In many businesses AP is traditionally an “in the office” function. It’s part of the proverbial back-office, with manual, paper-based processes, and often doesn’t receive tremendous technology investment. In our discussions with clients, we continue to hear them talk about how the pandemic exposed the cracks in operating that way, forcing process disruptions and creating liquidity challenges. Not only did employees have to figure out on the fly how to manage their processes in totally different ways, but their suppliers had to do the same. Couple that process disruption with the fact that most organizations immediately had to rethink cash flow management, meaning impacts to payment terms and methods. These process related changes can bleed into Buyer and Supplier relationships in a negative way, especially when cash flow is slowed between parties.
AP: Recent events have taught us many things, what should companies be paying attention to now, in the short-term, as well as in the future? (Automation, technologies, remote work, B2B payment trends, etc.)
BW: We’ve all seen our daily lives dramatically shift. Life is digital, virtual and touchless in many areas. In some, with speed which we never expected to happen so fast. Yes, most of us were using technology for deliveries, communication and curbside pick-up. Now it’s how the majority of things get done, and likely to stay that way. Business payments transformation is no different. What we expect from technology as we use it to manage our personal lives—digital access, simplicity, ease of experience, and safety— is now one and the same with our expectations for technology at work. It is hard to envision a business that will say, “Let’s go back to paper when things get back to normal.” They’re not going to say, “let’s stay with a process or software that might require employees to be in the office opening paper invoices, or take a day or two longer to process payments to critical suppliers.” In the short-term companies need to continue the investment and push to digital and cloud technologies for their financial processes, enabling easy remote access, improved security, and business continuity. Longer-term as companies have embraced those concepts as a baseline it will allow for the next phase of transformation, which can include experiences and services that go far behind moving money electronically. For example, the ability for payment applications to make better use of data to provide actionable insights, move money faster, or prevent payment fraud is predicated on operating in a digital world. This is a B2B money movement trend that businesses can no longer afford to ignore. The likelihood of ongoing remote working means that the need to automate and digitize securely looms large for many businesses of all sizes.
AP: Is the need for invoice and B2B payment automation viewed differently now than in the past?
BW: Most business always knew of the importance and need for automation in their B2B invoice to pay workflow. What’s happened now is that businesses are seeing all of those contingency plan case studies come to life—they’ve actually happened. Not automating, not digitizing, not securing is only going to create ongoing business continuity issues. The old way of doing things that “worked” no longer works, fraud risks have accelerated dramatically, and the economic environment has really highlighted the need for business to be more cost effective and efficient. Again, the virtual environment that we’ve been operating in for most of this year underscores the need to improve technology deployment within financial processes. Access for so many AP/AR and treasury functions, regardless of device or location, is critical to protect business continuity for so many businesses. Most see that more clearly than ever before.
AP: Bottomline was one of the first FinTech companies to offer its technology to financial institutions to help them originate Paycheck Protection Program (PPP) loans to small businesses. Can you elaborate on this initiative and why Bottomline chose to get involved?
BW: By mid-March, virtually all of our personal and professional lives had been turned upside down by the pandemic. Financial challenges were exacerbated for many who lost their jobs, and for women, men and families running small businesses. For Bottomline, this was an opportunity to help banks helping these small businesses. Our CEO said it best when he said that we were not set up to sew masks or to manufacture ventilators. As developers, digital banking experts and creative technologists, we did have technology to help provide funding to the 30 million impacted small businesses that are a backbone of our country’s economy and employment. As plans for PPP emerged, and knowing that physical access to banks would be limited or not available, an idea was born internally at Bottomline. That idea was to speedily develop a layer on our online account opening technology that would allow any financial institution wanting to originate loans under PPP to do so with through an easy small business experience—completely digitized, secure and specifically tailored to the U.S. Small Business Administration (SBA) application requirements. We offered that enhanced platform, at no cost, to any bank—customer or not—looking to originate PPP loans. The response from customers and non-customers alike was incredible. We’re privileged to have onboarded many financial institutions, which collectively originated more than $100 million in loans for main street businesses, whose employee counts typically numbered in the low double-digits.
AP: As an executive at a FinTech solution provider, what advice would you offer enterprises to help position themselves for an economic recovery as well as future uncertainties?
BW: Focus on your customers, suppliers, employees and business strategies, while looking to technology partners who can help better position your business to digitize and future-proof your payment and financial processes. FinTech is evolving quickly. It’s easier than ever to leverage new solutions to reduce costs, optimize your working capital, protect your business from fraud and provide easy ways for your suppliers and employees to get paid. However, understanding and adopting these ever-evolving solutions can seem more challenging or overwhelming than it needs to Find trusted partners to help you navigate the landscape so you can focus on customers, suppliers, employees and strategies, and eliminate the headaches and issues that result from inefficient processes that don’t scale. That’s a strategy that supports business continuity. It can also help you sustain and grow your business even in the face of uncertainty.
AP: On a personal note, what is your favorite book or movie and what about it appeals to you?
BW: Great Question! For my favorite movie, would have to go with Gladiator. It is fantastically made picture that blends a look into ancient history with a great story about the strength, courage and love in the human spirit. On the book front, not sure if I would say my favorite, but recently read The Outsiders, which compiles the stories of 8 unconventional CEOs and how they drove tremendous success for their employees and investors using outside-the-box tactics.
AP: Bill – thank you for your time and market insight.
