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Agnostic Finance
Use Case

Three-Way Match Validation Automation

AI agent that automatically matches purchase orders, goods receipts, and invoices, flagging discrepancies and routing exceptions to appropriate personnel.

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Process Details

Inputs

PDF invoices (Email attachments, Sharepoint Folder)

Outputs

Match status reports, exception lists with specific discrepancies, buyer notification emails

Systems

SAP S4/HANA, Oracle EBS, Oracle NetSuite, Microsoft Dynamics 365, Microsoft Outlook

The Challenge

Manual processes
create real problems.

  1. 1

    High potential for costly errors from manual data handling.

  2. 2

    Significant time and resources are spent on repetitive, low-value work.

  3. 3

    The manual process is difficult to scale without increasing headcount.

  4. 4

    Process bottlenecks lead to delays and missed deadlines.

The Solution

Describe it in English.
It runs deterministically.

  1. 1

    Extract Invoice Data

    Parse invoice number, vendor, amount, line items, dates

  2. 2

    Retrieve PO Data

    Pull matching purchase order from ERP system

  3. 3

    Find Goods Receipt

    Locate corresponding goods receipt/delivery confirmation

  4. 4

    Perform Line-Item Matching

    Compare quantities, prices, descriptions across all three documents

  5. 5

    Calculate Tolerance Variances

    Check if differences fall within acceptable limits (e.g., ±1%)

  6. 6

    Route Exceptions

    Send mismatched invoices to buyers/managers with specific discrepancy details

Primary Benefits

What you gain with
Kognitos automation.

Increase Efficiency

Dramatically reduce the time and manual effort required to complete the process.

Enhance Accuracy

Eliminate human error to ensure data integrity and reduce financial risk.

Empower Employees

Free your team from monotonous tasks, allowing them to focus on strategic work that requires their expertise.

Improve Scalability

Handle growing volumes of work without a proportional increase in operational costs.

Ensure Transparency

Maintain a complete, auditable trail of every action the AI agent takes, described in plain English.

FAQ

Common questions
answered.

The agent understands one-to-many relationships, such as:
Partial Shipments: It can match a single PO line item against multiple goods receipts until the full quantity is accounted for.
Multiple Invoices: It tracks the invoiced quantities and amounts against the PO, allowing for multiple invoices to be processed against a single PO until the order is fully billed.
Within the agent's configuration, you can set acceptable variance limits for both price and quantity. These can be set globally (e.g., ±1% on all items) or customized with more granular rules, such as setting different tolerance levels for specific vendors or total invoice value.
The agent is smart enough to identify an invoice that does not have an associated purchase order. It can be configured to handle these exceptions automatically by bypassing the three-way match logic and routing the invoice directly to the appropriate department head or budget owner for GL coding and approval based on predefined rules (e.g., based on vendor name or keywords on the invoice).
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Challenges

Solution

This use case solution follows these general steps at a high level:

  1. Extract Invoice DataParse invoice number, vendor, amount, line items, dates
  2. Retrieve PO DataPull matching purchase order from ERP system
  3. Find Goods ReceiptLocate corresponding goods receipt/delivery confirmation
  4. Perform Line-Item MatchingCompare quantities, prices, descriptions across all three documents
  5. Calculate Tolerance VariancesCheck if differences fall within acceptable limits (e.g., ±1%)
  6. Route ExceptionsSend mismatched invoices to buyers/managers with specific discrepancy details

Ready to automate this process?

See how Kognitos handles three-way match validation automation with zero hallucination.

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