Why Accounts Payable Automation Solutions is important
Accounts payable automation is a financial process automation software developed to support the accounts payable department of various businesses to further upgrade, improve, and streamline processing and management of their accounts payable. The software technology created addresses the needs and requirements based on the actual AP workflow, reduce human errors due to manual processing, as well as cost-efficiency.
The Technology
AP automation allows a paperless vendor invoice processing. It improves the process of verification, invoice entries, along with immediate approval via intelligent capture system and touch free processing with electronic capabilities.
One unique feature of AP automation is the Bolt Automated Data Capture. A special key feature that enables users to be in control of the AP processing within their organization. AP data can easily be accessed, extracted, customized, and even shared with other authorized users. Indeed, labor is reduced, and resources maximized.
Majority of the AP automation features include but not limited to electronic invoicing, online monitoring, report generation, electronic invoice user interfaces, payment servicing, supplier networks, and analytics.
The Outcome
A high reduction of costs and expenses as the labor intensive and traditional practices get more efficient and way faster than how it was before. Optimization and automation of the entire process is a major challenge for finance departments but if done well, it can improve key areas like speed, efficiency, control, and visibility of operations.
This automation upgrade allows an organization to enhance monitoring their AP’s status, movement, and performance further. Areas for improvement may easily be done with the help of the analytics used for generating needed reports. The organization can earn valuable benefits such as a relatively lower processing costs, improved cash flows, and increase in revenues.
As traditional AP processes are amended, the workforce may have more time to focus on other tasks at hand that generate greater profits. Majority of the company’s AP department manually creates and processes hundreds of invoices on a daily basis.
Moving towards accounts payable automation enables various businesses to monitor the company’s efficiency. It further affects key performance areas in terms of reduced turnaround time in processing invoices, cost efficiency per invoice, and eliminate human errors due to manual data input and duplication of invoices. Suppliers and vendors get paid faster, and with accuracy, it results in a win-win situation and good relationship with your company and the former and vice versa.
The right choice of technology can address quality improvement issues and concerns. It will also enable finance managers to monitor and respond quickly to activities related to financial accounting and reporting, as well as business performance.
Keep in mind that accounts payable is getting the bills settled, but for most companies, the processes are costly, paper intensive, and time-consuming due to system complexities. Reducing this creates significant value to affect the bottom line.
Best practice workflows should be simple and straightforward. It must enable stricter internal control, improved quality, and a significant decrease in errors. Companies are encouraged to upgrade their respective accounts payable system to full automation as this is the kind of investment that is guaranteed to have a significant return in the long run.
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