Unlock Operational Excellence With Accounts Payable Automation Software
3 WAY MATCHING PROCUREMENT
Organizations across verticals have striven to increase operational effectiveness and minimize human error. As part of this journey, accounts payable (AP) departments have been looking for ways to streamline the three-way matching procurement process to reduce administrative overhead, fraud, and uneven cash flow. In such cases, the use of accounts payable automation software can help improve the process and significantly reduce the time taken for reviewing and approving supplier invoices and transactions.
In order to drive AP process improvement and unlock operational excellence, the accounts payable automation software should offer customizable workflows and automated rules, easy invoice review and reporting functionalities to ensure seamless data flow, and complete visibility into invoice payment. Furthermore, strong search capabilities will enable users to easily locate and access the relevant documents quickly.
The automation process should also incorporate human touchpoints such as manual match criteria and approvals. Integration with existing purchasing, treasury and ERP systems helps ensure that the right levels of control are established and maintained. The key idea is to optimize the finance and purchase processes in an automated and connected way.
Automating the three-way matching process significantly streamlines the invoicing and payment process, allowing finance teams to access accurate and up-to-date data quickly. Additionally, capturing data at the time of invoice entry leads to minimal discrepancies between the order, receipt, and invoice. Having integrated matching criteria between different systems provides single version of the truth, helping to spot discrepancies and manage costs in the reconciliation process.
Reconciliations are automated with the help of accounts payable automation software. This helps to avoid mis-postings, preventing any mistakes from flowing through the system. The software also helps compare the pre-defined tolerances and alert the presence of any discrepancies at an early stage itself. Automatic payments and remittances also take place through this software which leads to faster payments and best discounts at the same time.
Having standardised process with visibility into all data also provides users with complete overview of the AP operations. This helps to quickly identify any financial risks and manage them proactively. Having this level of insight and control should help finance professionals harness their cash flow to gain competitive advantage.
Accounts payable automation software undoubtedly increases efficiency and accuracy in an AP department. Taking advantage of such software solution will not only reduce manual workload but will also help to improve the overall health of the accounts payable ecosystem. In short, organisations should look to optimise their back end processes with the help of accounts payable automation software to unlock their full potential and drive operational excellence.
