Top Reasons Why You Should Automate Accounts Payable
Although modern technology has made Accounts Payable payment automation simple for numerous organizations, 60 percent of businesses in the United States are not aware 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.
Cash Optimization
Accounts Payable automation enables A/P to accurately project its outstanding cash requirements, consequently removing guesswork. With more transparency from A/P automation, visibility into the system allows your A/P department to concentrate on tasks and priorities which will effect your department with value add activities.
Enhance internal controls
A manual A/P process is prone to fraudulent activity. You multiply the challenges of human error, overdue payments, missing invoices, and the dreaded rush invoices. An automated A/P process embeds controls that stop and discourage fraud.
Enhance Awareness
The outdated manual process suffers from insufficient visibility, in which can result in neglecting to recognize a segment of liabilities. This may understate expenses thereby overstate earnings, that may result in accounting and reporting malfunctions and ultimately fraudulent activity. A/P automation produces an entire audit trail of each and every part of the process, and makes it possible for management to rapidly resolve possible problems.
Satisfy Customers
Your vendors prefer a more efficient payment method. Easier payments result in deals and savings for you. Whenever you pay your customers with virtual card, which is an individual issued credit website card for a one-time use, you receive monthly cash back incentives. It’s equally beneficial for Accounts Payable and Accounts Receivable. Your clients experience more efficient, streamlined payments and your A/P Department pivots to a cash generator.
Enhance Quality
Prevent error, delay, and website pointless costs with an automated A/P process. A/P errors may be very costly and consume many resources to manually clear up. With payment automation, you can see where, when and why errors transpired. Contrary to the manual procedure, with automation you’ll be in a position to systematically address and eliminate issues to enhance quality.
A/P payment automation can help you save cash, earn you extra profit, lessen the risks of fraudulent activity, get your operations more transparency, fulfill your customers’ needs, and advance the total quality of your A/P processes.