Top Reasons to Automate Accounts Payable
While modern technology makes Accounts Payable payment automation simple for a lot of organizations, 60 percent of organizations in the USA do not know of the numerous benefits associated with A/P automation. Leveraging software applications to utilize the process in manner that is seamless and effortless, here are our best five reasons why you should automate.
Accounts Payable automation enables A/P to accurately project its outstanding cash requirements, consequently removing uncertainty. With increased transparency from A/P automation, visibility into the process allows your A/P department to deal with activities and priorities that will impact your department with value add actions.
Reinforce central controls
A manual A/P method is prone to fraudulent activity. You increase the challenges of human oversight, late payments, missing invoices, and the dreaded rush invoices. An automated A/P process embeds controls that stop and discourage fraud.
Capitalize on Visibility
The outdated manual method suffers from insufficient visibility, through which can result in failing to recognize a portion of liabilities. This may understate expenses and therefore overstate earnings, which could trigger accounting and reporting irregularities and read more ultimately fraud. A/P automation offers an entire audit trail of every step in the process, and makes it possible for management to swiftly resolve potential complications.
Your vendors prefer a more effective payment process. More efficient payments result in special discounts and cost savings for you. If you pay your clients via virtual card, which is a single issued card for a one-time use, you generate monthly cash rebates. It’s jointly good for Accounts Payable click here and Accounts Receivable. Your clients benefit from more efficient, streamlined payments and your A/P Department pivots to a cash generator.
Prevent error, delay, and avoidable costs with an automated A/P process. A/P problems click here may be very costly and use up many resources to manually clear up. With payment automation, you can see where, when and why issues took place. Unlike the manual process, with automation you’ll have the ability to systematically address and reduce errors to boost quality.
A/P payment automation will save you cash, earn you additional earnings, reduce the risks of fraudulent activity, get your operations increased transparency, meet the customers’ demands, and advance the overall quality of your A/P processes.