Top Reasons Why You Should Automate Accounts Payable
While technology makes Accounts Payable payment automation a standard for a lot of companies, 60 percent of corporations in the US are not aware of the numerous benefits of A/P automation. Leveraging software to apply the process in manner that is seamless and trouble-free, the following are our main five reasons to automate.
Accounts Payable automation allows A/P to correctly project its outstanding cash specifications, consequently removing uncertainty. With better transparency from A/P automation, visibility into the system allows your A/P department to deal with tasks and things which will impact your department with value add activities.
Reinforce internal controls
A manual A/P method is vulnerable to fraudulent activity. You add to the challenges of human oversight, late payments, lost invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that reduce and deter fraud.
Capitalize on Exposure
The outdated manual process is affected with insufficient visibility, in which can result in failing to acknowledge a portion of liabilities. This could understate expenses as well as overstate revenue, that may trigger accounting and reporting malfunctions and ultimately fraudulent activity. A/P automation offers a total audit trail of each step in the method, and allows management to swiftly handle possible troubles.
Your suppliers would like a more effective payment process. More efficient payments result in discount rates and cost savings for you. If you pay your clients with virtual card, which is a single issued card for a one-time use, you will earn monthly cash back incentives. 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 revenue generator.
Avoid error, delay, and pointless costs with an automated A/P process. A/P errors are costly and use up many resources to manually fix. With payment automation, you see where, when and why mistakes took place. Contrary to the manual process, with automation you’ll be in a position to systematically address and eliminate mistakes to increase quality.
A/P payment automation will save you cash, earn you additional income, reduce the risks of fraud, bring your operations more info increased transparency, fulfill your customers’ needs, and advance the total quality of your A/P processes.