Integrating PISP services into the ERP system: invoice and payment reconciliation on a single platform 

In many organizations, the ERP system already acts as the system of record for accounting, procurement, sales, and core financial processes such as accounts payable and accounts receivable. The issue is that when the process reaches its most sensitive phase — paying, collecting, and reconciling — the operational flow often breaks down. 

Invoices are managed within the ERP, approved through workflows and internal rules, but payment execution frequently happens outside the system, via home banking portals or file-based processes. As a result, the ERP manages outgoing and incoming invoicing, while banks remain the execution layer, creating a structural gap in ERP–bank integration. Information only flows back into the ERP later, via bank statements, when real-time decision-making is no longer possible.  

This gap is also reflected in executive priorities. An international study found that 85% of CFOs would be willing to switch banks to obtain a direct ERP integration with banking systems, confirming the strategic importance of ERP-native payment execution.² 

Open Banking in Europe: from PSD2 to ERP-integrated payments 

The European regulatory framework already supports this evolution. PSD2 opened the market to authorised third parties and introduced Open Banking APIs, including account information services (AIS) and payment initiation services provided by a PISP (Payment Initiation Service Provider), within a model based on strong customer authentication (SCA) and strict security requirements. 

Despite this, many organisations still operate with a dual architecture: the ERP system records financial events, while banks execute payments. This separation is particularly evident in accounts payable processes, where payment files are exported from the ERP and uploaded to banking portals, and in accounts receivable, where reconciliation relies on delayed bank statements. 

As a result, many enterprise treasury processes remain batch-based rather than real-time, limiting visibility and control over cash positions. 

PISP payments: closing the loop with ERP-native payment initiation 

This is where PISP (Payment Initiation Service Provider) services become central. A PISP enables ERP-native payment initiation, allowing organisations to trigger Pay by Bank (account-to-account) payments — such as SEPA credit transfers, including instant payments — directly from the ERP system, without accessing home banking. 

Via API, the ERP sends a pre-filled payment instruction containing IBAN, amount, and remittance information. The user authorises the transaction through SCA, and the payment is executed securely, with real-time status updates returned to the ERP. 

This approach closes the loop between accounts payable, payment execution, and reconciliation. If the ERP already holds supplier, invoice, amount, due date, and references, payment initiation naturally belongs within the same workflow, transforming Pay by Bank into a native component of ERP-integrated corporate payments. 

Integrated payments and automatic reconciliation across accounts payable and receivable 

In modern corporate finance, direct ERP–bank integration is becoming a baseline capability. Integrating the ERP system with Open Banking and PISP services enables a unified flow across outgoing and incoming invoicing, payments, and reconciliation. 

This represents a concrete step towards Embedded Finance in corporate ERP systems, where financial services are embedded directly into operational workflows. 

• More automated reconciliation and fewer errors 
  Payments initiated from the ERP carry the correct accounting context from the start, simplifying matching across invoices, payments, and bank movements in both accounts payable and accounts receivable. 
• Faster Pay by Bank flows and improved cash visibility 
  Using Pay by Bank account-to-account payments within ERP environments reduces settlement delays and improves real-time visibility of cash positions linked to receivables and payables. 
• Less manual work, greater finance team efficiency 
  Replacing file-based processes with API-driven ERP integration reduces manual intervention across payment initiation and reconciliation, freeing finance teams from repetitive tasks and improving scalability.
• Governance, security, and auditability 
  PISP-based payments operate within a regulated Open Banking framework, with SCA, no credential sharing, and full traceability — aligning banking-grade security with stronger ERP-level control. 

From ERP integration to Embedded Finance 

ERP systems have long structured core financial processes, from invoicing to approvals and due dates. The next step is embedding financial services directly into these workflows. Payments, reconciliation, and verification become Embedded Finance capabilities activated in context, across accounts payable and receivable. 

Moving from a model where the ERP system records and the bank executes to one where financial services are embedded in ERP workflows is becoming a defining trend in corporate finance. Pay by Bank, initiated directly from ERP-connected journeys, is one of the clearest examples of this evolution. 

In this scenario, Fabrick can act as a strategic partner by combining Open Banking infrastructure with an Embedded Finance approach, enabling PISP payment initiation and Pay by Bank directly within the systems enterprises already use. The result is fewer point-to-point integrations, stronger control over corporate payment flows, and a scalable foundation for future financial use cases.