In this era of digitalization, organizations in different industries ranging from healthcare to manufacturing are soliciting for different ways to streamline their operations. Most forward-looking companies are embracing digital methods to increase efficiency and cut costs. Finance professionals such as those in Accounts Payable departments have witnessed the immense operational and financial benefits of using AP automation software. Regrettably, many AP departments continue to use manual methods to do their jobs resulting in increased costs, reduced productivity, costly errors, and high labor demands. Below are seven remarkable benefits organizations reap from AP automation software.
1. Improves Productivity
With AP automation, the AP professionals’ work become easier. They no longer have to spend countless hours on routine tasks that drain the organization’s labor resources. As a result, they can leave the tasks to a software and divert their effort and time to more productive roles and hence improving corporate productivity and performance. AP automation software ensures that the approval and workflow process is electronic and thus faster and convenient. It eliminates cases of invoice loss, errors, and unauthorized access that override manual processes.
2. Reduces AP related costs
AP automation software reduces the cost of accounts payable processing by more than 50%. It also reduces costly errors, storage costs, missed payments, and paper expenses. AP automation software ensures prompt payments and reduces late payment penalties. You enjoy dynamic discounting whereby you get discounts for early payment of invoices. Depending on the volume of invoices your organization processes, you can save tens, hundreds, and even millions of dollars with AP automation software.
3. Greater Oversight
With AP automation software, you can get access to the payment cycle. For instance, you can learn the status of an invoice with a single click. Information sharing among different organizational levels becomes easier because you can import and export pertinent information. Accountants, CFOs, and other decision makers get more oversight possibilities with AP automation software. They can access crucial financial data for decision-making and initiating improvements. Managers use data obtained from the software to appraise the AP department and professionals. This kind of control is priceless.
4. Prevent errors
Manual invoicing methods are error-prone. Even a simple math error can have a heavy toll on a company and cause significant financial loss. AP automation software reduces human interactionwith invoices and mistakes become a thing of the past. It comes with features to recognize errors and inconsistencies. Also, AP automation software promotes transparency, and fraud detection and audit become easy.
5. Customized Solutions
A majority of AP automation software is customizable to meet your organization’s unique needs. iPayables works with clients to design an AP automation software that complies with your workflow and authorization structure and hence meets your needs exhaustively. In addition, the software integrates with your existing accounting system, and so you don’t have to switch between systems.
6. Save Time
AP automated software saves time by eliminating time spent scanning invoices, retrieving invoices, searching for misplaced invoices, keying invoice data, printing invoices, and seeking approvals. It also reduces the time managers take to receive and approve invoices. Even though time is money may feel like a cliché, the more time an enterprise saves, the more money it retains in its pocket.
7. Improved Supplier Relationship
AP automation software helps you establish meaningful and long-term business relationships with suppliers. Fast and timely invoice approval and payment ensure you have a good standing with suppliers. Also, you spare suppliers time and effort spent on tiresome paperwork.
As organizations solicit for ways to improve their efficiency, digital technologies such as AP automation software are becoming a viable option. AP automation software helps an enterprise obtain operational and financial gains. Traditional invoice processing methods cannot deliver these benefits and are costly, time-consuming, error-prone, and labor-intensive. Begin your digital transformation journey with iPayables AP automation software to enjoy its enormous benefits.