An example of a Procure to Pay process might involve a manufacturing company needing raw materials for production. Here’s how it works: Need Identification: The production department identifies needs for a specific quantity of raw materials. Requisition: A purchase requisition is created detailing required materials and specifications. Supplier Selection: The procurement team selects suitable supplier based on price, quality and other factors. Purchase Order: A purchase order is generated and sent to the chosen supplier. It specifies quantity and price as well as delivery date. Goods Receipt: Upon delivery, the receiving department checks the received materials against the purchase order. Invoice Processing: The supplier sends an invoice for the delivered materials, which is matched with the purchase order and goods receipt. Payment Authorization: Once the invoice is validated, it is approved for payment. Payment: The finance department makes the payment to the supplier, completing the Procure to Pay cycle.