Top Reasons to Automate Accounts Payable
Despite the fact that modern technology makes Accounts Payable payment automation a standard for many businesses, 60 % of businesses in the USA are not aware of the countless benefits of A/P automation. Leveraging software to utilize the process in manner that is seamless and effortless, here are our main five reasons to automate.
Accounts Payable automation lets A/P to accurately project its pending cash specifications, therefore eliminating speculation. With more transparency from A/P automation, visibility into the system allows your A/P department to give attention to activities and things which will impact your department with value added actions.
Reinforce internal controls
A manual A/P method is vulnerable to fraud. You increase 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The outdated manual process is affected with lack of awareness, through which can result in neglecting to recognize a portion of risks. This may understate expenditures as well as overstate income, which could lead to accounting and reporting malfunctions and ultimately fraudulent activity. A/P automation delivers a total read more audit trail of every step in the process, here and allows management to quickly fix potential problems.
Your suppliers want a more effective payment process. Easier payments result in deals and cost savings for you. If you pay your customers with virtual card, which is a single issued card for a one-time use, you will earn monthly cash rebates. It’s mutually beneficial for Accounts Payable and Accounts Receivable. Your customers benefit from more efficient, streamlined payments and your A/P Department pivots to a profit generator.
Avoid error, delay, and unnecessary costs with an automated A/P process. A/P errors can be very expensive and take many resources to manually correct. With payment automation, you see where, when and why errors happened. In contrast to the manual procedure, with automation you’ll have the ability to methodically address and eliminate issues to enhance quality.
A/P payment automation can save you cash, earn you extra revenue, decrease the risks of fraudulent activity, bring your operations more transparency, satisfy the customers’ needs, and improve the total quality of your A/P processes.