Top Reasons to Automate Accounts Payable
Even though technology has made Accounts Payable payment automation indispensable for many corporations, 60 % of corporations in the US do not know of the many benefits of A/P automation. Leveraging software to apply the method in manner that is seamless and convenient, listed here are our top five reasons to automate.
Accounts Payable automation allows A/P to correctly project its pending cash specifications, consequently getting rid of guess work. With greater transparency from A/P automation, awareness into the process allows your A/P department to deal with activities and priorities that can impact your department with value added activities.
Reinforce central controls
A manual A/P process is susceptible to fraud. You multiply the pitfalls of human error, late payments, lost invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that stop and deter fraudulent activity.
The obsolete manual method suffers from insufficient awareness, in which can result in neglecting to recognize a portion of liabilities. This can understate expenses and therefore overstate income, that may lead to accounting and reporting irregularities and ultimately fraud. A/P automation delivers an entire audit trail of each and every part of the process, and allows management to promptly resolve possible troubles.
Your vendors want a more efficient payment process. More efficient payments result in discount rates and cost savings for you. Whenever you pay your clients by way of virtual credit card, which is a single issued credit card for a one-time use, you generate monthly cash back incentives. It’s equally good for Accounts Payable and Accounts Receivable. Your customers experience more efficient, streamlined payments and your A/P Department pivots to a revenue generator.
Prevent error, delay, and needless costs with an automated A/P process. A/P problems are costly and use up many resources to manually handle. With payment automation, you see where, when and why mistakes happened. Contrary to the manual procedure, with automation you’ll be able to systematically address and eliminate problems to boost quality.
A/P payment automation more info will save you cash, earn you additional revenue, reduce the risks of fraud, provide your operations greater transparency, satisfy the customers’ needs, and enhance the total quality of your A/P processes.