Top Reasons to Automate Accounts Payable
While technology has made Accounts Payable payment automation a standard for a number of corporations, 60 % of corporations in the United States are not aware of the many advantages of A/P automation. Leveraging software applications to apply the method in manner that is seamless and trouble-free, the following are our major five reasons why you should automate.
Cash Optimization
Accounts Payable automation lets A/P to accurately project its outstanding cash specifications, accordingly removing estimation. With increased transparency from A/P automation, visibility into the process allows your A/P department to focus on tasks and priorities that will effect your department with value added activities.
Enhance central controls
A manual A/P process is prone to fraud. You add to the threats of human error, overdue payments, missing invoices, and the dreaded rush invoices. An automated A/P process embeds controls that avoid and deter fraudulent activity.
Maximize Visibility
The outdated manual process suffers from insufficient visibility, in which can result in neglecting to recognize a segment of liabilities. This could understate expenses thereby overstate income, which could result in accounting and reporting abnormalities and ultimately fraud. A/P get more info automation produces a total audit trail read more of each and every step in the method, and enables management to promptly handle possible difficulties.
Please Clients
Your suppliers want a more beneficial payment process. More efficient payments result in special discounts and cost savings for you. If you pay your customers by means of virtual credit card, which is an individual issued credit card for a one-time use, you earn monthly cash rebates. It’s equally good for Accounts Payable and Accounts Receivable. Your clients benefit from more efficient, streamlined payments and your A/P Department pivots to a income generator.
Enhance Quality
Prevent error, delay, and pointless costs with an automated A/P process. A/P errors are expensive and use up many resources to manually clear up. With payment automation, you can see where, when and why mistakes happened. In contrast to the manual method, with automation you’ll be in a position to methodically address and reduce issues to boost quality.
A/P payment automation will save you cash, earn you additional cash, lessen the risks of fraudulent activity, provide your operations more transparency, fulfill the customers’ demands, and boost the overall quality of your A/P processes.