Top Reasons to Automate Accounts Payable
While technology makes Accounts Payable payment automation a standard for many companies, 60 percent of companies in the USA do not know of the many benefits associated with A/P automation. Leveraging software applications to utilize the process in manner that is seamless and effortless, here are our best 5 reasons to automate.
Cash Optimization
Accounts Payable automation enables A/P to accurately project its outstanding cash specifications, accordingly getting rid of estimation. With increased transparency from A/P automation, visibility into the system allows your A/P department to give attention to tasks and things which will impact your department with value added activities.
Improve central controls
A manual A/P process is at risk of fraud. You increase the risks of human oversight, late payments, missing invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that reduce and deter fraudulent activity.
Improve Awareness
The obsolete manual method is affected with insufficient visibility, by which can result in neglecting to identify a portion of risks. This can understate expenditures and therefore overstate revenue, which could cause accounting and reporting abnormalities and ultimately fraudulent activity. A/P automation provides a complete audit trail of every step in the method, and enables management to promptly handle possible difficulties.
Please Customers
Your suppliers would like a more efficient payment process. More efficient payments result website in discount rates and cost savings for you. Whenever you pay your clients with virtual card, which is a single issued card for a one-time use, you receive monthly cash rebates. It’s collectively good for Accounts Payable and Accounts Receivable. Your clients benefit from more efficient, streamlined payments and your A/P Department pivots to a cash generator.
Enhance Quality
Prevent error, delay, and pointless costs with an automated A/P process. A/P errors are expensive and use up many resources to manually resolve. With payment automation, you will see where, when and why issues occurred. Contrary to the manual procedure, with automation you’ll be in a position to methodically address and get rid of problems to boost quality.
A/P payment automation can save you cash, earn you additional profit, decrease the risks of fraud, get your operations increased transparency, meet the customers’ demands, and advance the total quality of your A/P processes.