E‑Invoicing Obligation 2027: SAP DRC for Digital Outbound Invoicing

In Germany, the e‑invoicing obligation lays the foundation for standardized digital invoicing between companies and enables extensive process automation to achieve efficiency gains. In the long term, it is also intended to serve as the basis for a transaction‑based reporting system.

Comprehensive information on the required formats and transitional periods can be found in our overview article on e‑invoicing.

Sending digital invoices in PDF format alone does not meet these requirements. Companies need a digital end‑to‑end process: invoices must be automatically generated in the required structured formats, such as XML, correctly validated from a technical perspective, transmitted via approved networks, and continuously monitored. In addition, clearly defined processes for error detection and correction are essential.

Companies operating internationally should not focus solely on the German e‑invoicing obligation when adapting their processes. Comparable requirements are already in place—or currently being introduced—in other EU countries. Italy and Romania have had mandatory e‑invoicing regimes in place for several years. More recently, Belgium, Poland, and France have also decided to introduce e‑invoicing obligations:

• Belgium: E‑invoicing has been mandatory since January 1, 2026. Invoices must be sent and received via the PEPPOL (Pan‑European Public Procurement OnLine) network.
• Poland: Mandatory e‑invoicing has applied to large companies since February 1, 2026, and will apply to all companies with a domestic establishment as of April 1, 2026.
• France: Large and medium‑sized companies will be required to issue e‑invoices starting September 1, 2026. From September 1, 2027, this obligation will apply to all companies with a domestic establishment.

It is therefore essential to adopt digital solutions that can meet different country‑specific requirements—for example with regard to formats, transmission channels, or reporting obligations.

SAP Document and Reporting Compliance is currently one of the most widely discussed solutions for e‑invoicing—and for good reason.

What Is SAP DRC?

SAP Document and Reporting Compliance is a cloud‑based SAP solution for creating and managing electronic documents, including invoicing documents. It enables the legally compliant creation, validation, transmission, and monitoring of digital business documents directly from SAP systems.

The solution is built on the SAP Business Technology Platform (SAP BTP), providing a future‑proof setup aligned with SAP’s current technology standards. In SAP S/4HANA Cloud, Public Edition, SAP DRC is already included at no additional license cost for basic functionality. This includes 10,000 documents per year, with additional documents billed in increments of 10,000.

Compared with alternative third‑party solutions, SAP DRC is more cost‑effective, easier to integrate, and requires less long‑term maintenance.

• Standard‑based integration with SAP systems:
  SAP DRC integrates seamlessly into existing SAP processes and leverages standard functionality, minimizing the need for custom development. This reduces complexity, lowers operating costs, and simplifies ongoing maintenance.
• Cloud‑based deployment:
  No on‑premises infrastructure is required, helping to reduce both capital and operating expenses. Updates are delivered automatically, and with a managed service, system availability is ensured even in the event of disruptions.
• Support for national and international requirements:
  SAP DRC supports country‑specific invoicing regulations and dedicated transmission channels. This enables companies to significantly reduce compliance risks and efficiently meet international reporting obligations.
• Integrated PEPPOL access:
  SAP DRC supports standardized e‑invoice exchange via PEPPOL in Germany and in more than 90 countries worldwide. In an increasing number of countries—such as Italy, Belgium, and Poland—e‑invoicing is already mandatory in various formats.
• Fast implementation:
  Thanks to preconfigured content and standardized processes, SAP DRC can be implemented with Consolut in around 30 days—allowing companies to benefit quickly from optimized invoicing processes.

consolut supports companies with a structured and experienced approach to implementing SAP DRC for outbound invoicing—from license provisioning through to productive use of SAP DRC. In addition to process design and go‑live support, licensing is also included in our service offering. This gives companies a single point of contact, reduces coordination effort, and typically enables project completion within around 30 days.

After the successful implementation of SAP DRC, the solution runs in the cloud, typically on hyperscaler infrastructure. But who manages interfaces and certificates, monitoring, error analysis, and update control? With our managed services, customers are not left to handle this responsibility on their own. Clear responsibilities and continuous support ensure that e‑invoicing processes remain stable, high‑performing, and compliant over the long term.

The 2027 e‑invoicing obligation will fundamentally change outbound invoicing in Germany’s B2B landscape. Many companies will then be required to issue structured, legally compliant e‑invoices—starting in 2028, this requirement will apply to all businesses.

With SAP Document and Reporting Compliance, an integrated SAP solution for outbound invoicing is available, including PEPPOL connectivity and international scalability. When combined with an invoice automation solution, SAP DRC enables the creation of a highly efficient end‑to‑end invoicing process that is future‑proof and easy to maintain.

consolut supports companies in establishing a robust operating model by addressing processes, technology, and governance holistically. Organizations that have not yet aligned their outbound invoicing processes with the new requirements should take action now to avoid time pressure and project delays.