Top Reasons to Automate Accounts Payable
While tech makes Accounts Payable payment automation simple for many organizations, 60 % of corporations in the US are unaware of the countless advantages of A/P automation. Leveraging software applications to apply the method in manner that is seamless and trouble-free, the following are our main 5 reasons why you should automate.
Accounts Payable automation lets A/P to accurately project its outstanding cash requirements, consequently removing uncertainty. With increased transparency from A/P automation, visibility into the system allows your A/P department to concentrate on tasks and priorities that can impact your department with value added activities.
Enhance internal controls
A manual A/P method is susceptible to fraudulent activity. You increase the threats of human error, overdue payments, missing invoices, and the dreaded rush invoices. An automated A/P process embeds controls that prevent and deter fraudulent activity.
Capitalize on Visibility
The outdated manual practice suffers from lack of awareness, in which can result in failing to acknowledge a portion of risks. This may understate expenses thereby overstate revenue, which can trigger accounting and reporting irregularities and ultimately fraud. A/P automation offers an entire audit trail of every step in the process, and makes it website possible for management to quickly handle possible problems.
Your suppliers want a more effective payment process. Easier payments result in savings 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 earn monthly cash rebates. It’s collectively beneficial for Accounts Payable and Accounts Receivable. Your customers benefit from more efficient, streamlined payments and your A/P Department pivots to a revenue generator.
Prevent error, delay, and unnecessary costs with an automated A/P process. A/P mistakes can be very expensive and consume many resources to manually fix. With payment automation, you will see where, when and why problems happened. Unlike the manual process, with automation you’ll be able to methodically address and reduce problems to enhance quality.
A/P payment automation can help you save cash, earn you extra revenue, lessen the risks of fraudulent activity, get your operations increased transparency, meet the customers’ needs, and boost the overall quality of your A/P processes.