Top Reasons to Automate Accounts Payable
While technology has made Accounts Payable payment automation a standard for a number of companies, 60 percent of organizations in the US do not know of the numerous advantages to A/P automation. Leveraging software to implement the method in manner that is seamless and trouble-free, the following are our major five reasons why you should automate.
Accounts Payable automation lets A/P to accurately project its outstanding cash specifications, accordingly eliminating speculation. With better transparency from A/P automation, visibility into the system allows your A/P department to give attention to tasks and priorities that will impact your department with value add actions.
Improve central controls
A manual A/P method is subject to fraudulent activity. You multiply the issues of human error, overdue payments, missing invoices, and the dreaded rush invoices. An automated A/P process embeds controls that stop and discourage fraudulent activity.
The outdated manual practice is affected with lack of awareness, by which can result in neglecting to recognize a part of liabilities. This could understate expenditures thereby overstate income, that click here may result in accounting and reporting abnormalities and ultimately fraud. A/P automation produces a total audit trail of each part of the check here method, and enables management to quickly correct potential issues.
Your suppliers prefer a more efficient payment process. Easier payments result in discount rates and cost savings for you. Whenever you pay your customers with virtual credit card, which is a single issued credit card for a one-time use, you will earn monthly cash back incentives. It’s equally good for Accounts Payable and Accounts Receivable. Your customers experience more efficient, seamless payments and your A/P Department pivots to a income generator.
Avoid error, delay, and avoidable costs with an ap automation automated A/P process. A/P errors are expensive and consume many resources to manually fix. With payment automation, you see where, when and why faults happened. Unlike the manual method, with automation you’ll have the ability to methodically address and get rid of mistakes to enhance quality.
A/P payment automation will save you cash, earn you extra earnings, reduce the risks of fraud, get your operations greater transparency, satisfy the customers’ demands, and advance the overall quality of your A/P processes.