Top Reasons to Automate Accounts Payable
Although technology makes Accounts Payable payment automation simple for a lot of companies, 60 percent of companies in the USA are not aware of the countless benefits associated with A/P automation. Leveraging software to implement the method in manner that is seamless and convenient, the following are our main five reasons to automate.
Accounts Payable automation allows A/P to correctly project its outstanding cash requirements, consequently getting rid of guesswork. With greater transparency from A/P automation, awareness into the process allows your A/P department to concentrate on tasks and things that will effect your department with value add actions.
Improve central controls
A manual A/P process is prone to 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 stop and discourage fraud.
The outdated manual method is affected with lack of visibility, by which can result in neglecting to realize a part of liabilities. This could understate operating expenses and therefore overstate earnings, that may lead to accounting and reporting malfunctions and ultimately fraud. ap solutions A/P automation offers an entire audit trail of every step in the process, and allows management to rapidly correct potential troubles.
Your suppliers prefer a more efficient payment process. Easier payments result in discount rates and savings for you. When you pay your accounts payable solutions customers by means of virtual card, which is an individual issued card for a one-time use, you receive monthly cash rebates. It’s mutually beneficial for Accounts Payable and Accounts Receivable. Your customers experience more efficient, seamless payments and your A/P Department pivots to a cash generator.
Avoid error, delay, and unneeded costs with an automated A/P process. A/P mistakes may be very costly and take many resources to manually clear up. With payment automation, you see where, when and why errors occurred. Contrary to the manual process, with automation you’ll be in a position to methodically address and get rid of mistakes to boost quality.
A/P payment automation can help you save cash, earn you extra earnings, reduce the risks of fraudulent activity, bring your operations greater transparency, meet the customers’ needs, and advance the total quality of your A/P processes.