Top Reasons Why You Should Automate Accounts Payable
Although modern technology makes Accounts Payable payment automation a standard for many businesses, 60 % of corporations in the United States are unaware of the numerous benefits associated with A/P automation. Leveraging software to utilize the method in manner that is seamless and trouble-free, here are our major 5 reasons to automate.
Cash Optimization
Accounts Payable automation allows A/P to accurately project its outstanding cash specifications, therefore removing speculation. With better transparency from A/P automation, awareness into the system allows your A/P department to give attention to tasks and priorities which will effect your department with value add actions.
Strengthen central controls
A manual A/P process is vulnerable to fraudulent activity. You multiply the issues of human error, late payments, missing invoices, and the dreaded rush invoices. An automated A/P process embeds controls that reduce and deter fraudulent activity.
Capitalize on Exposure
The outdated manual method is affected with insufficient visibility, through which can result in failing to recognize a segment of liabilities. This could understate operating expenses thereby overstate earnings, which can trigger accounting and reporting abnormalities and ultimately fraudulent activity. A/P automation offers a complete audit trail of each and every part of the process, and enables management to rapidly resolve possible troubles.
Please Customers
Your vendors want a more efficient payment process. More efficient payments result in special discounts and savings for you. If you pay your customers via virtual card, which is an individual issued card for a one-time use, you generate monthly cash rebates. It’s jointly beneficial for Accounts Payable and Accounts Receivable. Your customers benefit from more efficient, streamlined payments and your A/P Department pivots to a cash generator.
Enhance Quality
Prevent error, delay, and unnecessary costs with an automated A/P read more process. A/P problems are expensive and use up many resources to manually correct. With payment automation, you can see where, when and why issues took place. Contrary to the manual method, with automation you’ll be in a position to methodically address and get rid of problems to increase quality.
A/P payment automation can help you save cash, earn read more you extra revenue, lessen the risks of fraudulent activity, bring your operations greater transparency, fulfill your customers’ demands, and enrich the total quality of your A/P processes.