Accelerate Accounts Payable With Automation Software
How To Streamline Accounts Payable Process
Every finance executive should consider whether accounts payable automation software can accelerate operational performance and streamline their accounts payable process. Not only could this assist in cost savings, but it could also improve the accuracy and integrity of accounts payables data, as well as ensure better, more efficient processes are in place for accurate control of the trading network.
When implementing accounts payable automation, it is important to bear in mind that the software must have the functionality to perform the tasks required. Generally, this means having the ability to capture and validate invoice data, facilitate non-PO invoicing and partial payments, generate payments and manage vendor reconciliation. it ishould also offer suitable matching capabilities that allow automatic or manual query resolution; and generate invoices in multiple formats, such as PDF, CSV, amongst others.
The primary objective of this type of automation is to increase the speed, usability, accuracy and security of the accounts payable process. By automating the process, companies will be able to clearly identify key areas of negotiation, proactively track invoices, take advantage of successful discounts, and reduce manual processing and error rates.
At the same time, automation will also enable company to gain better control over the accounts payable process and be in position to make accurate decisions on delinquent payments and incoming invoices. It will also allow them to track and analyze vendor performance, as well as monitor net terms and payments against credit rating thresholds.
Before implementing automation, it is wise to undertake an internal review to ensure that accounts payables processes are defined and control systems are in place. Undertaking baseline review of the existing system performance is also an important step. This will enable the finance executive to have clear understanding not just of current systems and process, but of the objectives that need to be achieved with the implementation of automation.
Most accounts payable automation software packages are flexible and configurable, meaning that the software can be tailored to the requirements of the individual business. This can include custom reporting, access control, user preferences and much more.
Ultimately, by utilizing accounts payable automation software, companies can expect to see improved efficiencies across the accounts payable process, along with increased automation, data accuracy and control. This in turn translates into cost savings, improved vendor relationships and more cost-effective business operations.
