Top Reasons to Automate Accounts Payable
Although technology makes Accounts Payable payment automation simple for a lot of companies, 60 percent of corporations in the US are unaware of the numerous benefits associated with A/P automation. Leveraging software programs to apply the method in manner that is seamless and convenient, listed here are our top five reasons to automate.
Cash Optimization
Accounts Payable automation allows A/P to correctly project its pending cash specifications, consequently getting rid of guesswork. With more transparency from A/P automation, visibility into the system allows your A/P department to give attention to activities and things that will effect your department with value add actions.
Strengthen central controls
A manual A/P process is susceptible to fraudulent activity. You increase the threats of human error, overdue payments, missing invoices, and the dreaded rush invoices. An automated A/P process embeds controls that prevent and deter fraudulent activity.
Increase Exposure
The outdated manual practice suffers from lack of visibility, by which can result in neglecting to recognize a portion of risks. This can understate expenditures as well as overstate income, which could contribute to accounting and reporting irregularities and ultimately fraud. A/P automation provides a whole audit trail of each and every step in the process, and lets management to promptly fix possible complications.
Satisfy Customers
Your suppliers prefer a more effective payment method. Easier payments result in discount rates and savings for you. Whenever you pay your clients by way of virtual credit card, which is an individual issued credit card for a one-time use, you will earn monthly cash back incentives. It’s mutually good for Accounts Payable and Accounts Receivable. Your clients benefit from more efficient, seamless payments and your A/P Department pivots to a profit generator.
Improve Quality
Avoid error, delay, and needless costs with an automated A/P process. A/P mistakes are expensive and use up many resources to manually handle. With payment automation, you will see where, when and why faults occurred. Unlike the manual procedure, with automation you’ll be able to methodically address and reduce problems to enhance quality.
A/P payment automation can help you more info save cash, earn you extra revenue, lessen the risks of fraudulent activity, get your operations greater transparency, meet the customers’ needs, and boost the overall quality of your A/P processes.