For Accounts Payable to truly be automated, streamline invoice processing must be exception-free. Exceptions are leftover problems remaining from previous attempts at accounts payable automation. These invoice failures reflect a lack of integration involving vendor information and the ERP or Enterprise Resource Processing system.
This procedure, which many companies still use, is oddly called integration. The method involves taking an invoice with information that does not match the database and handing it over to ERP personnel. They now must manually process the invoices, which slows down payment, possibly missing deadlines, and losing previously agreed upon discounts.
Build Efficiencies in Your System
Staying on top of technology, like AP automation or streamline invoice processing, should be the goal of all organizations. The new starting point is real-time INTERACTION with an ERP system. With approved access and an internal communication application, Accounts Payable clerks can look at their information, determining differences while making necessary adjustments. Both groups can work together to resolve each issue before an invoice enters into the system. If there is a processing failure, they can work together to fix the problem, without having to resort to manual processing.
Utilize Cloud Processing
Recent technological advances like cloud processing and mobile applications give each AP department the ability to make changes 24/7 and implement them within seconds after updating the system. AP clerks and vendors can resolve issues instantly, streamlining the AP process even more.
Implementing an ERP system (with AP automation) gives vendors and AP personnel access to deal with data issues before they affect invoicing. This method creates an exception-free process that gives each company the most flexibility possible when it comes to dynamic discounting.
To streamline invoice processing there are barriers to be hurdled. However, don’t let your exceptions with old technology be your reason to not advance with greater technology. The companies overcoming exemptions are at the forefront of this growth. Where will you be?