Top Reasons to Automate Accounts Payable
While technology has made Accounts Payable payment automation indispensable for a lot of businesses, 60 % of organizations in the US do not know of the many advantages of A/P automation. Leveraging software programs to utilize the process in manner that is seamless and easy, listed here are our best 5 reasons to automate.
Accounts Payable automation allows A/P to correctly project its outstanding cash requirements, accordingly eliminating uncertainty. With more transparency from A/P automation, awareness into the process allows your A/P department to focus on tasks and things which will impact your department with value added activities.
Strengthen central controls
A manual A/P method is subject to fraudulent activity. You multiply the risks of human oversight, late payments, missing invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that reduce and deter fraudulent activity.
The obsolete manual process is affected with lack of awareness, wherein can result in failing to realize a portion of liabilities. This can understate expenditures and therefore overstate earnings, which can trigger accounting and reporting irregularities and ultimately fraudulent activity. A/P automation delivers a whole audit trail of every step in the method, and enables management to promptly fix possible issues.
Your suppliers want a more beneficial payment process. More efficient payments result in discounts and savings for you. Whenever you pay your clients via virtual card, which is a single issued credit card for a one-time use, you will earn monthly cash rebates. It’s collectively beneficial for Accounts Payable and Accounts Receivable. Your clients experience more efficient, seamless payments and your A/P Department pivots to a profit generator.
Avoid error, delay, and needless costs with an automated A/P process. A/P mistakes may be very costly and take many resources to manually fix. With payment automation, you will see where, when and why faults transpired. Contrary to the manual procedure, with automation you’ll be in a position to methodically address and reduce issues to boost quality.
A/P payment automation can save you cash, earn you additional revenue, lessen the get more info risks of fraudulent activity, provide your operations better transparency, satisfy the customers’ demands, and boost the overall quality of your A/P processes.