Top Reasons to Automate Accounts Payable
Despite the fact that technology has made Accounts Payable payment automation indispensable for many corporations, 60 percent of companies in the United States are not aware of the countless benefits associated with A/P automation. Leveraging software programs to apply the method in manner that is seamless and trouble-free, the following are our major 5 reasons to automate.
Cash Optimization
Accounts Payable automation enables A/P to accurately project its outstanding cash requirements, therefore removing uncertainty. With increased transparency from A/P automation, visibility into the process allows your A/P department to focus on activities and things that will impact your department with value added actions.
Improve central controls
A manual A/P method is subject to fraud. You raise the challenges of human error, overdue payments, lost invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that reduce and discourage fraudulent activity.
Enhance Exposure
The obsolete manual process suffers from lack of awareness, in which can result in neglecting to recognize a portion of liabilities. This may understate operating expenses as well as overstate revenue, that may contribute to accounting and reporting irregularities and ultimately fraudulent activity. A/P automation produces an entire audit trail of each and every step in the process, and lets management to swiftly deal with potential troubles.
Satisfy Clients
Your suppliers would like a more efficient payment process. More efficient payments result in special offers and savings for you. If you pay your ap automation customers with virtual card, which is an individual issued credit card for a one-time use, you generate monthly cash back incentives. It’s collectively good for Accounts Payable and Accounts Receivable. Your clients benefit from more efficient, streamlined payments and your A/P Department pivots to a profit generator.
Improve Quality
Avoid error, delay, and avoidable costs with an automated A/P process. A/P errors can be very expensive and take many resources to manually correct. With payment automation, you see where, when and why mistakes took place. Contrary to the manual procedure, with automation you’ll be in a position to methodically address and reduce errors to boost quality.
A/P payment automation more info can save you cash, earn you additional revenue, reduce the risks of fraudulent activity, provide your operations more transparency, fulfill your customers’ demands, and improve the total quality of your A/P processes.