Top Reasons Why You Should Automate Accounts Payable
Although technology has made Accounts Payable payment automation a standard for numerous corporations, 60 % of corporations in the US are unaware of the numerous benefits associated with A/P automation. Leveraging software programs to apply the method in manner that is seamless and convenient, the following are our major 5 reasons to automate.
Cash Optimization
Accounts Payable automation enables A/P to accurately project its outstanding cash requirements, consequently getting rid of uncertainty. With increased transparency from A/P automation, awareness into the process allows your A/P department to focus on tasks and priorities that can effect your department with value added actions.
Reinforce internal controls
A manual A/P process is vulnerable to fraudulent activity. You multiply the risks of human oversight, overdue payments, missing invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that stop and discourage fraud.
Improve Visibility
The obsolete manual practice suffers from lack of awareness, in which can result in neglecting to realize a segment of risks. This could understate operating expenses and therefore overstate earnings, which could result in accounting here and reporting malfunctions and ultimately fraud. A/P automation produces a complete audit trail of every step in the process, and lets management to promptly solve potential troubles.
Please Clients
Your vendors would like a more beneficial payment process. Easier payments result in special discounts and savings for you. When you pay your customers by means of virtual card, which is a single issued card for a one-time use, you will earn monthly check here cash rebates. It’s equally good for Accounts Payable and Accounts Receivable. Your clients benefit from more efficient, streamlined payments and your A/P Department pivots to a revenue generator.
Enhance Quality
Prevent error, delay, and pointless costs with an automated A/P process. A/P problems may be very costly and use up many resources to manually remedy. With payment automation, you will see where, website when and why faults happened. Unlike the manual procedure, with automation you’ll be in a position to systematically address and eliminate issues to increase quality.
A/P payment automation can save you cash, earn you additional profit, reduce the risks of fraudulent activity, provide your operations more transparency, meet your customers’ needs, and advance the total quality of your A/P processes.