Five Reasons to Consider Accounts Payable Automation

Reduce per invoice processing costs by automating your accounts payable function

  • Would you like to reduce the cost of processing each invoice?
  • Does your accounts payable process begin with a paper invoice?
  • Would you like to reduce invoice processing time and better manage cash flow?
  • Would you like to optimise AP resources by improving their productivity?
  • Are you worried you are not retaining invoices long enough to avoid being fined for non-compliance?

If you have answered yes to any of the questions above, your organisation has a definite case for adopting accounts payable automation. Automating accounts payable cuts the large trail of paper work and associated exception handling which in-turn helps reduce the per invoice processing cost considerably.

According to a recent report published by Financial Operators Networks LLC, it costs companies with best-in-class AP processes £3.20 to process each invoice and the processing cost can go up to £20 depending on the inefficiencies in the accounts payable processes. Accounts payable automation:

  • Increases the visibility of invoices – By enabling front end capture of invoices, AP departments achieve clear visibility of all invoices as they progress in the payment workflow.
  • Improves the accuracy of actionable information available – Errors in accounts payable can cost a lot in pounds, in terms of the company’s reputation with suppliers and also in terms of department productivity. Accuracy of invoice information available through to payment can be improved by cutting out the manual keying in into backend ERP or accounting systems.
 accounts payable automation brochure from Data Capture Solutions   Download the brochure - Reducing per invoice processing costs with accounts payable automation >>
  • Increases the productivity of the accounts payable function – The accounts payable function has many complex processes with many manual internal controls along with enquiry handling scenarios such as “where’s my payment”, “the PO is missing” and “this requires quick resolution” which can seriously affect the productivity of the accounts payable team. Accounts payable automation better equips AP staff to handle exceptions.
  • Helps organisations embrace best practices and meet compliance needs – The absence of standard best practices results in increased cost of compliance, inefficiencies and sloppiness leading to late payments and lost opportunities for discounts. In a recent IOMA report, Transforming AP Management: Taking Your Department to the Next Level, over 60% of the respondents cited clear and better AP procedures not only reduce the risk of non-compliance, but also improve functional performance.
  • Reduces the cost of processing payments – According to The Hackett Group, “World-Class companies are able to complete the accounts payable process at as little as one-tenth the cost of the least performing companies. By reducing errors, duplicate payments and improving the productivity of accounts payable staff, organisations can significantly reduce per invoice processing costs.

To discuss your accounts payable automation needs, please talk to one of our business consultants on 01753 616720 or send an enquiry using our Contact Form.

Savills reduces processing costs with an Outsourced Invoice Processing and secure storage solution