Top Reasons Why You Should Automate Accounts Payable
While modern technology makes Accounts Payable payment automation a standard for numerous companies, 60 % of corporations in the United States are not aware of the numerous benefits associated with A/P automation. Leveraging software to implement the process in manner that is seamless and convenient, the following are our main 5 reasons why you should automate.
Cash Optimization
Accounts Payable automation allows A/P to correctly project its outstanding cash requirements, therefore getting rid of speculation. With increased transparency from A/P automation, awareness into the process allows your A/P department to give attention to tasks and priorities that will impact your department with value added actions.
Strengthen internal controls
A manual A/P method is vulnerable to fraud. You increase the risks of human oversight, overdue payments, missing invoices, and the dreaded rush invoices. An automated A/P process embeds controls that stop and discourage fraudulent activity.
Increase Exposure
The outdated manual process is affected with lack of visibility, in which can result in failing to realize a segment of liabilities. This may understate expenditures and therefore overstate revenue, which can result in accounting and reporting abnormalities and ultimately fraud. A/P automation produces a whole audit trail of every part of the process, and makes it possible for management to swiftly fix possible troubles.
Satisfy Customers
Your suppliers want a more beneficial payment method. Easier payments result in savings and savings for you. When you pay your clients get more info with virtual card, which is an individual issued card for a one-time use, you receive monthly cash back incentives. It’s collectively good for Accounts Payable and Accounts Receivable. Your clients experience more efficient, seamless payments and your A/P Department pivots get more info to a revenue generator.
Improve Quality
Avoid error, delay, and unnecessary costs with an automated A/P process. A/P mistakes are costly and use up many resources to manually clear up. With payment automation, you can see where, when and why problems transpired. Unlike the manual process, with automation you’ll have the ability to methodically address and get rid of problems to boost quality.
A/P payment automation can save you cash, earn you extra earnings, decrease the risks of fraud, bring check here your operations increased transparency, fulfill the customers’ needs, and boost the total quality of your A/P processes.