Top Reasons to Automate Accounts Payable
Although modern technology makes Accounts Payable payment automation a standard for many corporations, 60 percent of corporations in the USA do not know of the countless advantages to A/P automation. Leveraging software programs to implement the method in manner that is seamless and effortless, listed here are our top 5 reasons to automate.
Accounts Payable automation allows A/P to correctly project its pending cash specifications, consequently getting rid of estimation. With greater transparency from A/P automation, awareness into the system allows your A/P department to concentrate on activities and priorities which will impact your department with value add activities.
Enhance internal controls
A manual A/P process is vulnerable to fraudulent activity. You raise the threats of human error, overdue payments, missing invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that put a stop to and deter fraud.
The outdated manual practice suffers from lack of awareness, in which can result in failing to recognize a segment of risks. This can understate operating expenses as well as overstate earnings, that may cause accounting and reporting irregularities and ultimately fraud. A/P automation offers an entire audit trail here of every step in the method, and enables management to swiftly solve possible issues.
Your suppliers want a more effective payment method. More efficient payments result in special discounts and savings for you. When you pay your customers by way of virtual card, which is an individual issued credit card for a one-time use, you receive monthly cash back incentives. It’s collectively good for Accounts Payable and Accounts Receivable. Your clients accounts payable automation experience more efficient, seamless payments and your A/P Department pivots to a cash generator.
Prevent error, delay, and unnecessary costs with an automated A/P process. A/P problems may be very costly and take many resources to manually remedy. With payment automation, you see where, when and why faults transpired. Unlike the manual method, with automation you’ll have the ability to methodically address and get rid of issues to increase quality.
A/P payment automation can save you cash, earn you extra income, reduce the risks of fraudulent activity, bring your operations more transparency, meet the customers’ needs, and enhance the overall quality of your A/P processes.