Top Reasons to Automate Accounts Payable
Even though modern technology makes Accounts Payable payment automation a standard for many organizations, 60 percent of companies in the United States are unaware of the countless benefits associated with A/P automation. Leveraging software programs to utilize the process in manner that is seamless and easy, listed here are our top five reasons to automate.
Accounts Payable automation enables A/P to accurately project its outstanding cash requirements, consequently removing uncertainty. With better transparency from A/P automation, visibility into the system allows your A/P department to deal with activities and priorities that will impact your department with value added actions.
Enhance internal controls
A manual A/P method is susceptible to fraudulent activity. You multiply the issues 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.
Capitalize on Visibility
The obsolete manual process suffers from insufficient awareness, wherein can result in failing to identify a portion of liabilities. This may understate expenditures as well as overstate earnings, that may cause accounting and reporting irregularities and ultimately fraudulent activity. A/P automation produces a total audit trail of each and every step in the method, and allows management to swiftly solve possible problems.
Your vendors prefer a more effective payment process. Easier payments result in special discounts and cost savings for you. When you pay your clients with virtual card, which is a single issued card for a one-time use, you will earn monthly cash back incentives. It’s collectively beneficial for Accounts Payable and Accounts Receivable. Your clients experience more efficient, seamless payments and your A/P Department pivots to a profit generator.
Avoid error, delay, and pointless costs with an automated A/P process. A/P problems are expensive website and use up many resources to manually clear up. With payment automation, you can see where, when and why mistakes happened. In contrast to the manual method, with automation you’ll be in a position to methodically address and reduce issues to improve quality.
A/P payment automation can save you cash, earn you additional revenue, reduce here the risks of fraudulent activity, provide your operations better transparency, satisfy the customers’ demands, and boost the overall quality of your A/P processes.