Top Reasons Why You Should Automate Accounts Payable
Even though tech has made Accounts Payable payment automation simple for numerous organizations, 60 percent of companies in the US do not know of the many advantages of A/P automation. Leveraging software applications to apply the process in manner that is seamless and easy, the following are our major five reasons why you should automate.
Accounts Payable automation enables A/P to accurately project its outstanding cash requirements, consequently eliminating guess work. With greater transparency from A/P automation, visibility into the system allows your A/P department to concentrate on tasks and things which will effect your department with value add activities.
Strengthen central controls
A manual A/P process is at risk of fraud. You raise the threats of human error, late payments, lost invoices, and the dreaded rush invoices. An automated A/P process embeds controls that prevent and discourage fraud.
The obsolete manual process is affected with insufficient visibility, in which can result in neglecting to realize a segment of risks. This may understate expenditures thereby overstate earnings, which can contribute to accounting and reporting abnormalities and ultimately fraud. A/P automation produces a total audit trail of every part of the method, and lets management to promptly resolve possible problems.
Your suppliers would like a more efficient payment process. Easier payments result in discounts and savings for you. When you pay your customers by way of virtual credit card, which is an individual issued card for a one-time use, you will earn monthly cash back incentives. It’s jointly good for Accounts Payable and Accounts click here Receivable. Your customers benefit from more efficient, seamless payments and your A/P Department pivots to a revenue generator.
Prevent error, delay, and unneeded costs click here with an automated A/P process. A/P errors can be very expensive and consume many resources to manually remedy. With payment automation, you can get more info see where, when and why problems transpired. Unlike the manual process, with automation you’ll have the ability to methodically address and reduce problems to improve quality.
A/P payment automation will save you cash, earn you extra cash, decrease the risks of fraud, provide your operations more transparency, satisfy your customers’ needs, and enhance the overall quality of your A/P processes.