Top Reasons to Automate Accounts Payable
Despite the fact that technology has made Accounts Payable payment automation a standard for many organizations, 60 % of corporations in the US do not know of the many benefits associated with A/P automation. Leveraging software programs to utilize the method in manner that is seamless and trouble-free, the following are our main 5 reasons why you should automate.
Cash Optimization
Accounts Payable automation lets A/P to correctly project its pending cash specifications, accordingly getting rid of estimation. With better transparency from A/P automation, awareness into the process allows your A/P department to deal with activities and things that can impact your department with value add actions.
Strengthen internal controls
A manual A/P method is subject to fraud. You raise the risks 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.
Improve Visibility
The outdated manual process suffers from lack of visibility, wherein can result in neglecting to identify a segment of liabilities. This could understate expenditures thereby overstate income, which can cause accounting and reporting malfunctions and ultimately fraud. A/P automation provides a total audit trail of each part of the method, and allows management to swiftly handle possible difficulties.
Please Clients
Your suppliers prefer a more beneficial payment method. Easier payments result in deals and savings for you. If you pay your customers with virtual card, which is an individual issued card for a one-time use, you earn monthly cash back incentives. It’s collectively good for Accounts Payable and Accounts Receivable. Your customers benefit from more efficient, seamless payments and your A/P Department pivots to a income generator.
Enhance Quality
Prevent error, delay, and avoidable costs with an automated A/P process. A/P errors may be very costly and consume many resources to manually resolve. With payment automation, you will see where, when and why errors happened. In contrast to the manual procedure, with automation you’ll have the ability to methodically address and get rid of issues to enhance here quality.
A/P payment automation can help you save cash, earn you additional cash, reduce the risks of fraud, bring your operations increased transparency, fulfill your customers’ demands, and boost the overall quality of your A/P processes.