Top Reasons Why You Should Automate Accounts Payable
Even though tech has made Accounts Payable payment automation indispensable for numerous organizations, 60 percent of organizations in the US are not aware of the countless advantages to A/P automation. Leveraging software programs to implement the method in manner that is seamless and effortless, here are our main 5 reasons to automate.
Accounts Payable automation enables A/P to accurately project its outstanding cash specifications, consequently getting rid of uncertainty. With better transparency from A/P automation, awareness into the system allows your A/P department to concentrate on tasks and things that can impact your department with value add actions.
Improve internal controls
A manual A/P method is vulnerable to fraudulent activity. You add to the issues of human error, overdue payments, lost invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that stop and deter fraud.
The outdated manual process suffers from insufficient awareness, by which can result in failing to acknowledge a part of risks. This may understate operating expenses as well as overstate revenue, which could contribute to accounting and reporting abnormalities and ultimately fraudulent activity. A/P automation offers a whole audit trail of each step in the method, and makes it possible for management to quickly resolve possible complications.
Your vendors want a more effective payment method. Easier payments result in discounts and cost savings for you. When you pay your clients by way of virtual card, which is an individual issued card for a one-time use, you will earn monthly cash back incentives. read more It’s collectively good for Accounts Payable and Accounts Receivable. Your customers experience more efficient, streamlined payments and your A/P Department pivots to a profit generator.
Prevent error, delay, and pointless costs with an automated A/P process. A/P mistakes are expensive and take many resources to manually clear up. With payment automation, you will see where, when and why errors took place. Unlike the manual method, with automation you’ll be in a position to systematically address and reduce errors to increase quality.
A/P payment automation can help you save cash, earn you extra profit, decrease the risks of fraud, bring your operations increased transparency, satisfy your customers’ demands, and improve the total quality of your A/P processes.