Top Reasons Why You Should Automate Accounts Payable
Even though modern technology makes Accounts Payable payment automation indispensable for a number of corporations, 60 % of corporations in the US do not know of the numerous advantages to A/P automation. Leveraging software to apply the method in manner that is seamless and convenient, here are our top 5 reasons to automate.
Accounts Payable automation lets A/P to accurately project its pending cash requirements, consequently getting rid of guesswork. With more transparency from A/P automation, awareness into the process allows your A/P department to focus on tasks and things that can impact your department with value add activities.
Strengthen central controls
A manual A/P process is at risk of fraudulent activity. You multiply the pitfalls of human oversight, overdue payments, missing invoices, and the dreaded rush invoices. An automated A/P process embeds controls that stop and deter fraudulent activity.
The obsolete manual process is affected with insufficient visibility, through which can result in neglecting to realize a portion of risks. This can understate operating expenses and therefore overstate revenue, which can contribute to accounting and reporting malfunctions and ultimately fraudulent activity. A/P automation offers a complete audit trail of each step in the process, and makes it possible for management to rapidly deal with possible problems.
Your vendors would like a more effective payment method. Easier payments result in savings and cost savings for you. Whenever you pay your clients by means of virtual card, which is a single issued credit card for a one-time use, you earn monthly cash rebates. It’s mutually beneficial for Accounts Payable and Accounts Receivable. Your customers benefit from accounts payable automation more efficient, streamlined payments and your A/P Department pivots to a cash generator.
Prevent error, delay, and unnecessary costs with an automated A/P process. A/P problems may be very get more info costly and use up many resources to manually handle. With payment automation, you will see where, when and why problems happened. In contrast to the manual process, with automation you’ll be able to systematically address and reduce issues to increase quality.
A/P payment automation can help you save cash, earn you extra revenue, lessen the risks of fraud, bring your operations greater transparency, satisfy the customers’ demands, and improve the total quality of your A/P processes.