Top Reasons to Automate Accounts Payable
While technology makes Accounts Payable payment automation indispensable for a number of businesses, 60 percent of corporations in the United States are not aware of the many advantages to A/P automation. Leveraging software programs to implement the process in manner that is seamless and effortless, here are our best five reasons to automate.
Cash Optimization
Accounts Payable automation enables A/P to accurately project its outstanding cash requirements, accordingly getting rid of guesswork. With increased transparency from A/P automation, awareness into the process allows your A/P department to focus on activities and priorities that will effect your department with value added actions.
Improve internal controls
A manual A/P method is prone to fraudulent activity. You increase the challenges of human oversight, overdue payments, lost invoices, and the dreaded rush invoices. An automated A/P process embeds controls that stop and deter fraudulent activity.
Increase Awareness
The outdated manual method suffers from lack of visibility, in which can result in neglecting to recognize a segment of liabilities. This could understate expenditures and therefore overstate income, that may contribute to accounting and reporting abnormalities and ultimately fraud. A/P automation provides a total audit trail of every part of the process, and allows management to swiftly correct possible troubles.
Satisfy Customers
Your suppliers prefer a more efficient payment process. More efficient payments result in special discounts and cost savings for you. When you pay your clients by means of virtual credit card, which is a single issued credit card for a one-time use, you earn monthly cash rebates. It’s equally good for Accounts Payable and Accounts Receivable. Your customers experience more efficient, streamlined payments and your A/P Department pivots to a cash generator.
Enhance Quality
Avoid error, delay, and needless costs with an automated A/P process. A/P mistakes get more info can be very expensive and take many resources to manually correct. With payment automation, you see where, when and why problems transpired. Unlike the manual method, website with automation you’ll have the ability to methodically address and eliminate errors to enhance quality.
A/P payment automation will save you cash, earn you extra income, reduce the risks of fraud, provide your operations greater transparency, fulfill your customers’ needs, and advance the here overall quality of your A/P processes.