Top Reasons to Automate Accounts Payable
While modern technology has made Accounts Payable payment automation indispensable for a lot of companies, 60 percent of corporations in the United States are unaware of the many advantages to A/P automation. Leveraging software to implement the method in manner that is seamless and convenient, the following are our main five reasons to automate.
Accounts Payable automation lets A/P to correctly project its outstanding cash requirements, therefore getting rid of speculation. With increased transparency from A/P automation, visibility into the system allows your A/P department to deal with activities and things that can impact your department with value added activities.
Strengthen central controls
A manual A/P process is at risk of fraudulent activity. You raise the challenges of human error, late payments, lost invoices, and the dreaded rush invoices. An automated A/P process embeds controls that prevent and discourage fraudulent activity.
Capitalize on Visibility
The obsolete manual process is affected with lack of awareness, wherein can result in failing to identify a part of liabilities. This may understate expenses as well as overstate income, which can trigger accounting and reporting malfunctions and ultimately fraud. A/P automation offers a complete audit trail of each step in the process, and permits management to promptly fix possible difficulties.
Your suppliers want a more beneficial payment process. More efficient payments result in special discounts and cost savings for you. If you pay your clients via virtual card, which is a single issued card for a one-time use, you will earn monthly cash accounts payable automation back incentives. It’s mutually beneficial for Accounts Payable and Accounts Receivable. Your customers benefit from more efficient, seamless payments and your A/P Department pivots to a profit generator.
Prevent error, delay, and unnecessary costs with an automated A/P process. A/P errors can be very expensive and consume many resources to manually clear up. With payment automation, you can see where, when and why issues took place. Contrary to read more the manual procedure, with automation you’ll be able to methodically address and reduce mistakes to enhance quality.
A/P payment automation can save you cash, earn you additional revenue, reduce the risks of fraudulent activity, get your operations increased transparency, meet the customers’ needs, and boost the overall quality of your A/P processes.