Top Reasons to Automate Accounts Payable
While modern technology makes Accounts Payable payment automation simple for many corporations, 60 % of organizations in the USA are unaware of the countless advantages of A/P automation. Leveraging software applications to implement the process in manner that is seamless and easy, here are our major five reasons to automate.
Cash Optimization
Accounts Payable automation enables A/P to accurately project its outstanding cash specifications, consequently getting rid of uncertainty. With increased transparency from A/P automation, visibility into the process allows your A/P department to deal with activities and priorities that will effect your department with value add actions.
Improve central controls
A manual A/P process is susceptible to fraudulent activity. You multiply the pitfalls of human error, overdue payments, missing invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that stop and discourage fraudulent activity.
Capitalize on Exposure
The outdated manual practice suffers click here from lack of awareness, through which can result in failing to acknowledge a portion of risks. This may understate expenses thereby overstate revenue, which can cause accounting and reporting abnormalities and ultimately fraud. A/P automation provides an entire audit trail of each and every step in the process, and lets management to swiftly solve potential complications.
Satisfy Customers
Your suppliers want a more effective payment process. Easier payments result in discount rates and savings for you. Whenever you pay your customers by means of virtual card, which is an individual issued card for a one-time use, you will earn monthly cash rebates. It’s jointly good for Accounts Payable and Accounts Receivable. Your customers experience more efficient, seamless payments and your A/P Department pivots to a cash generator.
Improve Quality
Avoid error, delay, and unneeded costs with an automated A/P process. A/P mistakes can be very expensive and use up many resources to manually remedy. With payment automation, you see where, when and why faults transpired. In contrast to the manual method, with automation you’ll have the ability to systematically address and eliminate issues to boost quality.
A/P payment automation will save you cash, earn you extra income, reduce the risks of fraudulent activity, provide your operations more transparency, fulfill your customers’ needs, and enhance the overall quality of your A/P processes.