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Improve Your Payments Processing

Your 6-step guide to optimize payments in Adyen
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Improve Your Payments Processing
Challenges (10) Goals (10) 6 Steps Preview Outcomes Data FAQs (5)

Optimize Payments Processing in Adyen for Enhanced Efficiency

Payments processing often faces delays, compliance challenges, and reconciliation errors. Our platform helps you precisely identify where your process slows down and uncovers compliance risks. We guide you through practical improvements that reduce cycle times, minimize errors, and enhance financial transparency.

Download our pre-configured data template and address common challenges to reach your efficiency goals. Follow our six-step improvement plan and consult the Data Template Guide to transform your operations.

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Why Optimize Payments Processing in Adyen?

Efficient Payments Processing is the lifeblood of any modern enterprise, especially for e-commerce businesses relying on platforms like Adyen. Delays, errors, and compliance issues in your payment workflows directly impact your bottom line, customer satisfaction, and financial reputation. Imagine a scenario where a significant percentage of your transactions, despite being initiated through a robust platform like Adyen, face unexplained hold-ups between 'Payment Authorized' and 'Funds Transferred' activities. These seemingly minor delays accumulate, affecting your cash flow, straining vendor relationships, and potentially leading to lost revenue from abandoned carts or frustrated customers.

The cost of inefficient Payments Processing extends beyond direct financial losses. It includes the labor hours spent manually investigating errors, the resources dedicated to resolving disputes, and the potential fines for non-compliance with financial regulations. Optimizing this critical process is not merely about speeding things up, it is about creating a resilient, transparent, and compliant financial operation that supports your business growth and enhances your overall financial health.

How Process Mining Enhances Adyen Payments Processing

Process mining offers a revolutionary approach to understanding and improving your Payments Processing within Adyen. Unlike traditional methods that rely on assumptions or manual audits, process mining uses event log data, such as that generated by your Adyen platform, to reconstruct the actual journey of every payment transaction. By leveraging the 'Payment Transaction ID' as a case identifier, you gain an objective, data-driven visualization of your entire payment lifecycle, from the moment a 'Payment Request Created' to 'Payment Reconciled'.

This analytical power allows you to pinpoint precisely where bottlenecks occur, identify deviations from your intended process, and uncover the root causes of delays and errors. For example, you can visually trace why specific payment methods consistently lead to longer 'Payment Details Validated' times, or why a certain 'Approval Authority' group is associated with extended 'Payment Approved' durations. Process mining helps you move beyond guesswork, enabling you to discover the real state of your Payments Processing workflow and identify opportunities for optimization that were previously invisible.

Key Improvement Areas Identified Through Process Mining

Applying process mining to your Adyen Payments Processing can uncover several critical areas for improvement:

  • Cycle Time Reduction: Analyze the duration between key activities like 'Payment Authorized' and 'Payment Settled'. Identify specific steps or handoffs that disproportionately extend the overall payment cycle time, allowing you to streamline workflows and accelerate cash conversion.
  • Error Prevention and Resolution: Pinpoint where 'Payment Error Identified' activities frequently occur and analyze their associated 'Error Code' attributes. Understand the preceding process steps that lead to these errors, enabling proactive measures to reduce their incidence and improve 'Payment Error Resolved' efficiency.
  • Compliance and Auditability: Ensure that all payment transactions adhere to internal policies and external financial regulations. Process mining can highlight unauthorized process deviations or skipped approval steps, bolstering your audit trails and enhancing regulatory compliance.
  • Resource Optimization: Understand the workload distribution among 'Processing User' or 'Approval Authority' roles. Identify bottlenecks caused by specific users or teams, enabling better resource allocation and task balancing to prevent delays.
  • Enhancing Customer Experience: Faster, more reliable payments translate directly into happier customers. By reducing payment delays and errors, you improve trust and satisfaction, crucial for recurring business in the competitive e-commerce landscape.

Expected Outcomes of Optimizing Your Payments Processing

By embracing process optimization for your Adyen Payments Processing, you can expect tangible, measurable benefits:

  • Reduced Payment Cycle Times: Significantly shorten the duration from payment initiation to final settlement, leading to faster access to funds and improved working capital management.
  • Lower Operational Costs: Decrease manual effort associated with error resolution, investigations, and reconciliation discrepancies, freeing up valuable resources.
  • Enhanced Compliance Posture: Strengthen adherence to financial regulations and internal controls, minimizing risks of fines and reputational damage.
  • Fewer Payment Errors: Proactively identify and eliminate the root causes of payment failures, chargebacks, and reconciliation issues.
  • Improved Financial Transparency: Gain deeper insights into your financial operations, fostering better decision-making and strategic planning.

Getting Started with Payments Processing Optimization

Embarking on the journey to optimize your Payments Processing in Adyen does not require extensive prior process mining experience. By utilizing dedicated tools and guided templates, you can quickly begin to uncover valuable insights into your payment workflows. Start transforming your financial operations today by leveraging the power of data to achieve greater efficiency, compliance, and control over your Payments Processing.

Payments Processing Payment Approval Financial Compliance Transaction Efficiency Payment Reconciliation Accounts Payable Treasury Management Working Capital Optimization

Common Problems & Challenges

Identify which challenges are impacting you

Delays in the payment approval stage directly impact working capital and can strain vendor relationships. These bottlenecks mean funds are not disbursed promptly, potentially incurring late fees or missing early payment discounts.ProcessMind analyzes the Payments Processing lifecycle in Adyen to pinpoint exactly where approval delays occur, who is involved, and which specific types of payments are most affected. This insight allows for targeted process improvements.

High rates of failed payments lead to significant rework, additional transaction fees, and a poor experience for payers and payees. Identifying why payments fail is crucial for maintaining financial health and operational efficiency.ProcessMind maps the entire Payments Processing journey in Adyen, highlighting paths leading to Payment Error Identified and Payment Error Resolved activities. It uncovers the root causes of these failures, enabling proactive prevention and faster resolution.

Manual and fragmented payment reconciliation processes are time-consuming, prone to errors, and delay the financial close. This lack of automation creates a drain on resources and impacts the accuracy of financial reporting.ProcessMind visualizes the complete Payments Processing flow within Adyen, specifically tracking the Payment Reconciled activity. It reveals bottlenecks and deviations in the reconciliation process, exposing opportunities to streamline and automate.

Deviations from regulatory requirements or internal policies in Payments Processing can lead to severe fines, reputational damage, and increased audit scrutiny. Ensuring every transaction adheres to compliance standards is paramount.ProcessMind provides an x-ray view of all payment transactions in Adyen, identifying every instance where the process diverges from the defined compliant path. This allows organizations to proactively address non-compliance before it becomes a major issue.

Long durations from Payment Request Created to Payment Settled directly tie up working capital and reduce liquidity. Understanding what prolongs these cycles is critical for financial agility and optimizing treasury management.ProcessMind analyzes the end-to-end Payments Processing journey in Adyen, measuring the precise duration of each stage. It clearly highlights bottlenecks and delays, showing where the process can be accelerated to improve cash flow.

Payments that deviate from the standard processing path, often due to unforeseen circumstances or errors, can become untracked, leading to delays, financial losses, or compliance breaches. Proper management of these exceptions is vital.ProcessMind automatically discovers all actual process variants within Adyen's Payments Processing, including those representing exceptions. It quantifies their frequency and impact, allowing organizations to standardize or improve their handling.

Cycles of rework, such as re-validating details or re-sending payment instructions due to initial errors, consume valuable resources and incur additional operational costs. Minimizing rework is key to efficiency.ProcessMind visualizes all loops and repetitions within the Adyen Payments Processing flow, pinpointing where rework occurs most frequently. It helps identify the root causes of these inefficiencies, leading to significant cost savings.

Without clear insight into the real-time status of individual payment transactions, it's difficult to respond to inquiries, manage expectations, or proactively address potential issues. This impacts customer service and internal operations.ProcessMind provides a comprehensive, transparent view of every Payment Transaction ID in Adyen, from Payment Request Created to Payment Confirmed and Payment Reconciled. This visibility enhances operational control and stakeholder communication.

The path a payment takes can significantly influence transaction fees, speed, and reliability. Without clear insight, payments may be routed through more expensive or slower channels unnecessarily, impacting profitability.ProcessMind analyzes the actual paths taken by payments within Adyen, comparing them against optimal routes based on criteria like Payment Type and Currency. It highlights deviations and opportunities for more cost-effective routing strategies.

When a Payment Error Identified event occurs, slow resolution prolongs the time until funds are correctly transferred or reconciled. This delay can negatively affect cash flow, working capital, and vendor relationships.ProcessMind precisely tracks the duration between Payment Error Identified and Payment Error Resolved within the Payments Processing in Adyen. It exposes bottlenecks in the error resolution workflow, enabling faster recovery and improved liquidity.

Typical Goals

Define what success looks like

This goal aims to significantly decrease the time taken for payment approvals. By shortening approval durations, organizations can process payments faster, improve vendor relationships, and prevent late payment penalties. Faster approvals directly enhance working capital efficiency and reduce operational bottlenecks in Payments Processing.
ProcessMind analyzes event logs from Adyen to pinpoint where approval delays occur, identifying specific steps, user groups, or authorization levels that extend the cycle. It reveals the root causes of holdups, enabling targeted interventions to streamline approval workflows, potentially cutting approval times by 30-50% and improving overall financial fluidity.

Reducing the frequency of failed payment transactions is crucial for cost control and operational reliability. Each failure incurs additional processing costs, requires manual intervention, and can negatively impact payee trust. Achieving this goal improves the reliability of your Adyen Payments Processing.
ProcessMind examines transaction flows to identify common failure points, such as specific payment methods, geographical regions, or system integration issues contributing to failures. By understanding these patterns, ProcessMind helps implement preventive measures, potentially decreasing transaction failure rates by 15-25% and saving significant operational expenses.

This goal focuses on speeding up the reconciliation of payments, a critical step for financial accuracy and closure. Delayed reconciliation leads to discrepancies, hinders financial reporting, and ties up resources. Achieving faster reconciliation enhances financial transparency and operational efficiency.
ProcessMind maps the entire reconciliation journey within Adyen, highlighting activities that cause delays or require excessive manual effort. It uncovers process variations and non-conformant paths, allowing for standardization and automation, which can reduce reconciliation time by 20-40% and free up finance team resources.

Ensuring all Payments Processing activities strictly adhere to regulatory and internal compliance standards is paramount to avoid fines, reputational damage, and legal issues. This goal aims to proactively identify and rectify compliance gaps within the Adyen payment ecosystem.
ProcessMind provides full visibility into every payment transaction path, allowing for automated compliance checks against predefined rules. It flags deviations from compliant processes, such as missing approvals or incorrect data entries, enabling organizations to achieve near 100% compliance and strengthen their audit trail.

The objective is to shorten the entire duration from payment request creation to final settlement and reconciliation. A shorter end-to-end cycle improves working capital management, enhances supplier relations, and reduces the cost of holding funds. This goal directly impacts the liquidity of the organization.
ProcessMind offers a comprehensive view of the Adyen Payments Processing journey, identifying the longest paths and most significant bottlenecks across all stages. It reveals opportunities to streamline the entire process, leading to a potential reduction in overall cycle time by 10-20% and improved cash flow.

Untracked or inconsistently handled payment exceptions can lead to significant delays, increased costs, and compliance risks. This goal seeks to establish clear, efficient, and consistent processes for managing all payment exceptions, ensuring predictability and reducing chaos.
ProcessMind uncovers all variations in how exceptions are currently handled in Adyen, exposing the most common, costly, or non-compliant exception paths. It provides data-driven insights to design and enforce standardized workflows, minimizing manual intervention and reducing exception resolution time by 20-30%.

Rework in Payments Processing, such as correcting erroneous entries or reprocessing failed transactions, consumes valuable resources and inflates operational costs. This goal aims to identify and remove the root causes of rework, ensuring processes run correctly the first time.
ProcessMind visualizes activity repetitions and loops within the Adyen process flow, precisely identifying where and why rework occurs. By analyzing the preceding activities that lead to rework, ProcessMind enables organizations to implement targeted process improvements, potentially reducing rework by 25-40% and saving staff time.

Lack of clear visibility into the current status of payments leads to numerous queries, manual tracking efforts, and uncertainty for stakeholders. This goal focuses on providing accurate, up-to-date information on every payment transaction, enhancing transparency and reducing communication overhead.
ProcessMind maps the actual journey of each payment within Adyen, from initiation to completion, providing a definitive single source of truth for its status. It highlights deviations from the standard path and accurately predicts future states, giving stakeholders immediate answers and reducing inquiries by 15-20%.

Suboptimal routing of payments, particularly for international transactions or different payment types, can lead to higher transaction fees and unfavorable exchange rates. This goal aims to analyze current routing decisions to identify and implement more cost-effective payment channels.
ProcessMind analyzes the paths of various payment types and methods processed through Adyen, correlating them with associated costs and fees. It identifies instances where more economical routing options could have been used, enabling data-driven decisions to reduce transaction fees by 5-15% without compromising speed or reliability.

Delays in resolving payment errors can lead to liquidity issues, missed deadlines, and customer dissatisfaction. This goal focuses on significantly reducing the time it takes to detect, diagnose, and resolve any errors encountered during Payments Processing.
ProcessMind quickly identifies the stages and activities where errors frequently occur and maps the subsequent resolution paths within Adyen. It highlights inefficient error resolution workflows and provides insights to streamline them, potentially cutting error resolution times by 20-35% and minimizing financial impact.

The 6-Step Improvement Path for Payments Processing

1

Download the Template
2

Export Your Adyen Data
3

Upload Your Dataset
4

Analyze Your Payments Process
5

Implement Improvements
6

Monitor Payments Performance
1

Download the Template

What to do

Get the Excel template specifically designed for Payments Processing. This template ensures your Adyen data is structured correctly for analysis.

View Data Template Guide Download Template
Why it matters

A standardized data structure is crucial for accurate process mining, laying the groundwork for meaningful insights into your payment flows.

Expected outcome

A ready-to-fill Excel template optimized for Adyen Payments Processing data.

WHAT YOU WILL GET

Unlock Payments Processing Secrets, Maximize Efficiency

ProcessMind reveals the true flow of your Adyen payments, showing you precisely where delays and errors occur. Gain clear visualizations and actionable insights to streamline operations and enhance financial transparency.
  • Pinpoint exact payment processing delays
  • Detect compliance risks in Adyen payments
  • Optimize reconciliation, reduce errors
  • Accelerate payment cycles, cut costs
Discover your actual process flow
Discover your actual process flow
Identify bottlenecks and delays
Identify bottlenecks and delays
Analyze process variants
Analyze process variants
Design your optimized process
Design your optimized process

TYPICAL OUTCOMES

Achieving Excellence in Payments Processing

These outcomes demonstrate how organizations enhance the efficiency and accuracy of their payments processing, leveraging data-driven insights to streamline operations and reduce manual effort.

0 %
Faster Payment Approvals

Average reduction in approval time

Streamline the approval workflow by identifying and eliminating bottlenecks, leading to quicker payment processing and improved liquidity.
0 %
Lower Transaction Failures

Reduction in failed payment attempts

Pinpoint root causes of transaction errors and implement corrective actions, significantly reducing operational costs and enhancing customer trust.
~ 0 days
Expedited Reconciliation

Shorter payment reconciliation time

Optimize the reconciliation workflow by identifying delays and manual steps, improving financial transparency and accelerating month-end closing processes.
0 %
Stronger Compliance

Decrease in compliance incidents

Gain insights into non-compliant activities and enforce consistent adherence to regulatory requirements, mitigating risks and avoiding penalties.
0 %
Reduced Payment Rework

Decrease in payments requiring rework

Identify and eliminate the causes of payment rework, freeing up valuable resources and significantly reducing operational costs associated with manual corrections.

Results in payments processing vary based on the existing process complexity, data quality, and specific business goals. These figures illustrate typical improvements observed across various implementations.

FAQs

Frequently asked questions

Process mining provides an x-ray view of your actual payment flows in Adyen, revealing bottlenecks like slow approvals or inefficient routing. It helps identify root causes for common problems, such as frequent failures or extended payment cycles. By analyzing real transaction data, you can pinpoint exact areas for improvement to increase efficiency and compliance.

To begin process mining, you primarily need event logs detailing each step of your payment transactions within Adyen. Key data points include a unique Payment Transaction ID, activity descriptions, timestamps for each event, and potentially resource identifiers. This information allows for reconstruction of the complete payment journey.

You can expect reduced payment approval cycle times and a lower transaction failure rate. Process mining also leads to accelerated payment reconciliation, improved financial compliance adherence, and optimized overall payment cycle times. These improvements directly contribute to cost savings and enhanced liquidity management.

The initial setup, including data extraction and model configuration, usually takes a few weeks, depending on data availability and complexity. Once configured, you can often see initial insights and identify key bottlenecks within days. Further optimization and detailed analysis will then refine these findings over subsequent weeks.

Yes, absolutely. Process mining is highly effective at pinpointing the exact stages where slow approvals occur and identifying the reasons behind frequent payment failures. It visually maps out all payment paths, highlighting deviations from the ideal process and showing where rework or inefficiencies are most prevalent, allowing for targeted intervention.

While a basic understanding of your payment process and data structure is beneficial, modern process mining tools are designed to be user-friendly. Most platforms offer integrations or connectors to simplify data extraction, and many provide visual interfaces that do not require extensive coding knowledge. Some level of data engineering support might be needed for initial data transformation.

No, process mining is scalable and beneficial for organizations of all sizes, regardless of their Adyen setup complexity. While it shines in complex environments, even simpler payment processes can reveal unexpected inefficiencies and optimization opportunities. The value comes from understanding the actual process flow, which applies universally.

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