The healthcare sector faces numerous challenges. Ranging from rising costs to healthcare regulatory challenges, and maintaining efficient operations, these challenges can be overwhelming. Healthcare leaders are seeking AP solutions and turning to technologies such AP automation. AP automation has proved to be a viable means for health institutions to achieve cost savings, increased efficiency, and greater compliance. Importantly, it helps health organizations implement document control by managing and tracking electronic documents.
AP departments are responsible for all invoices in any company. They receive invoices, process them, issue payments, and maintain good relationships with vendors. Also, AP solutions must provide payment processes and procedures, and document invoices for accountability and transparency purposes. Nevertheless, in some instances, AP departments encounter lost or misplaced invoices which can often get into the wrong hands resulting in data breaches. Consequently, lost and misplaced invoices will take a toll on a health institution’s bottom line. They lead to missed early payment discounts, late payment penalties, and time wasted searching for the documents. All these things create massive inefficiency in a health institution and drive up operational costs.
Healthcare AP departments, like other accounting departments, have to comply with government regulations and laws on accounting. For instances, in the US, the Sarbanes Oxley obliges all accounting professionals to guarantee financial data accuracy and embrace safe record keeping.
Around the globe, accounting professionals are required to adhere to accounting regulations such as Bill 198 in Canada and J-SOX in Japan. All these regulations require accounting systems and processes –including AP- to attain high standards of transparency and accountability in document management. Failed audits emanating from lost documents and poor documentation can lead to hefty fines and penalties. Additionally, it results in a poor reputation among the public and lost investor confidence.
AP Solutions with Automation
Software like that found with iPayables AP automation, helps health organizations implement document control. System users can easily access, review, and approve invoices and other documentation. Additionally, AP automation provides document security. You can control access to sensitive documents and see who accessed, edited, and copied a document.
Additionally, you can get automated alerts when documents are accessed or modified. With multiple levels of security, AP automation ensures that documents are safe and secure. Cases of unauthorized access and data theft become a thing of the past.
Seeking Better Compliance
AP automation ensures health document compliance. It enhances health organizations ability to comply with federal and state regulations on documentation. Also, AP solutions reduce cases of non-compliance that attract fines, revoked licenses, and criminal liability. By preventing these enormous expenses, health institutions can channel their resources to improving patient outcomes.
AP automation ascertains that all payment procedures and processes are adhered to and can be audited. It leads to greater efficiency, visibility, and accountability in AP. That being said, all invoices can be traced and hence promoting transparency. When data is easily accessible, audits –whether internal or external- become easier and faster. Besides, AP solutions found with automation offers the following benefits:
- It keeps track of all invoices and related documents such as PO’s and disputes. These documents can be retrieved anytime when need be with just a single click.
- It ensures the timely payment of invoices and a company can enjoy dynamic discounting and avoid late payment penalties. Also, it eliminates cases of overpayments and duplicate payments because the purchase order amount is compared to the amount payable.
- It reduces data entry errors by reducing human interaction with invoices. AP professionals don’t need to enter invoices manually on the computer hence no entry mistake can be encountered.
- It ensures compliance with organizational policies and procedures for payment and approval.
As the healthcare sector continues to face numerous challenges, AP automation is proving to be beneficial to APs and organizations as a whole. Health institutions are using AP automation to reduce costs, increase efficiency, prevent costly errors, and ensure healthcare document compliance. Do not let this healthcare revolution leave you behind, implement AP automation solutions with iPayables and enjoy their many gains.