Top Reasons to Automate Accounts Payable
Despite the fact that technology has made Accounts Payable payment automation a standard for a number of organizations, 60 % of businesses in the US do not know of the numerous benefits associated with A/P automation. Leveraging software programs to apply the process in manner that is seamless and trouble-free, here are our best five reasons to automate.
Accounts Payable automation allows A/P to correctly project its pending cash requirements, consequently getting rid of guesswork. With more transparency from A/P automation, visibility into the system allows your A/P department to deal with tasks and priorities that can impact your department with value added activities.
Strengthen internal controls
A manual A/P method is subject to fraud. You add to the issues of human error, late payments, missing invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that reduce and discourage fraudulent activity.
The outdated manual method suffers from lack of awareness, in which can result in failing to recognize a part of risks. This could read more understate expenditures thereby overstate income, that may contribute to accounting and reporting abnormalities and ultimately fraud. A/P automation delivers an entire audit trail of each step in the process, and permits management to quickly deal with potential complications.
Your suppliers want a more beneficial payment method. Easier payments result in special offers and savings for you. Whenever you pay your clients with virtual card, which is a single issued card for a one-time use, you will earn monthly cash back incentives. 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 income generator.
Avoid error, delay, and pointless costs with an automated A/P process. A/P problems are expensive and consume many resources to manually remedy. With payment automation, you see where, when and why issues transpired. Contrary to the manual procedure, with automation you’ll have the ability to check here systematically address and eliminate errors to improve quality.
A/P payment automation will save you cash, earn you extra income, reduce the risks of fraudulent activity, get your operations greater transparency, satisfy your customers’ needs, and boost the total quality of your A/P processes.