Top Reasons Why You Should Automate Accounts Payable
Despite the fact that technology makes Accounts Payable payment automation indispensable for numerous companies, 60 percent of companies in the USA are unaware of the numerous benefits associated with A/P automation. Leveraging software applications to implement the process in manner that is seamless and easy, the following are our top five reasons why you should automate.
Accounts Payable automation lets A/P to accurately project its pending cash specifications, accordingly removing uncertainty. With more transparency from A/P automation, visibility into the process allows your A/P department to focus on tasks and priorities that can impact your department with value added activities.
Reinforce central controls
A manual A/P method is vulnerable to fraud. You increase the challenges of human oversight, overdue payments, lost invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that avoid and discourage fraudulent activity.
The obsolete manual practice suffers from insufficient awareness, through which can result in failing to identify a portion of risks. This could understate expenses thereby overstate income, which could cause accounting and reporting abnormalities and ultimately fraud. A/P automation produces a total audit trail of each and every step in the process, and allows management to quickly correct potential difficulties.
Your vendors want a more beneficial payment process. Easier payments result in deals and cost savings for you. When you pay your customers by way of virtual credit card, which is a single issued card for a one-time use, you receive monthly ap automation cash back incentives. It’s mutually beneficial for Accounts Payable and Accounts Receivable. Your customers benefit from more efficient, streamlined payments and your A/P Department pivots to a website cash generator.
Prevent error, delay, and unnecessary costs with an automated A/P process. A/P errors can be very expensive and use up many resources to manually resolve. With payment automation, you can see where, when and why problems took place. 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, get your operations more transparency, fulfill your customers’ demands, and improve the overall quality of your A/P processes.