Top Reasons Why You Should Automate Accounts Payable
While technology has made Accounts Payable payment automation indispensable for many organizations, 60 percent of organizations in the US are unaware of the countless advantages of A/P automation. Leveraging software programs to utilize the process in manner that is seamless and easy, here are our main five reasons to automate.
Accounts Payable automation lets A/P to correctly project its outstanding cash specifications, therefore removing guess work. With greater transparency from A/P automation, awareness into the process allows your A/P department to concentrate on tasks and things that will impact your department with value added actions.
Improve central controls
A manual A/P process is at risk of fraudulent activity. You add to the threats of human error, overdue payments, missing invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that reduce and deter fraudulent activity.
The obsolete manual process is affected with insufficient awareness, by which can result in neglecting to identify a portion of risks. This can understate operating expenses as well as overstate revenue, which can trigger accounting and reporting abnormalities and ultimately fraud. A/P automation offers an entire audit trail of every step in the process, and makes it possible for management to quickly deal with possible issues.
Your suppliers want a more beneficial payment process. Easier payments result in deals and cost savings for you. If you pay your clients with virtual credit card, which is an individual issued credit card for a one-time use, you earn monthly read more cash rebates. It’s mutually beneficial for Accounts Payable and Accounts Receivable. Your customers benefit from more efficient, seamless payments and your A/P Department pivots to a revenue generator.
Prevent error, delay, and unnecessary costs with an automated A/P process. A/P errors are expensive and use up many resources to manually handle. With payment automation, you see where, when and why problems occurred. Contrary to the manual method, with automation you’ll be in a position to methodically address and eliminate issues to enhance quality.
A/P payment automation can save you cash, earn you extra earnings, lessen the risks of fraud, get your operations better transparency, fulfill the customers’ demands, and boost the total quality of your A/P processes.