The Case for AP Automation 

“If it isn’t broken, then don’t fix it” – It’s an adage that we hear all too often in businesses all over the world, particularly when it comes to conversations about processes and workflows.  It stems from a mindset that’s rooted in the idea that if you do what you’ve always done then your outcomes will remain the same.   It’s a warm safety blanket that gives us the comfort that everything will be okay if we just keep on doing things the same way.

However, it’s also a dangerous idea as it can lead to complacency, it can prevent innovation, and in the modern business environment it can allow you to lose the competitive edge you have over your competition.

When it comes to AP Automation the idea of sticking with the status quo is an idea that’s fraught with risk and if you catch yourself thinking along these lines then that should jolt you into action.  Don’t get me wrong, I’m not advocating you keep your business in a constant state of flux.  However declining opportunities to learn about how innovative technologies can help your business is a fast way to be outpaced.  What was once ‘common practice’ in past years is fast becoming the anecdote of a dying era.

AP Automation is more than just taking away manual data entry.  It’s an end-to-end business process that can deliver multiple benefits.  As an example, here are just 4 of the many benefits, apart from reduced labour costs, you could realise in your organisation:

1. Transparency
   Having multiple levels of sign off in an AP Process is fairly common, however often this makes it more difficult to keep track of the individual transactions.  With AP Automation the various documents can be tracked in real time, so you have current information when you need it.  You can also generate reports to find those roadblocks in the approval process and come up with solutions to them.

2. Efficiency
   Approvals and routing can happen at the speed of a mouse click.  No more misplaced invoices to chase down, no more wasted time searching for a misplaced document, and no more wondering whose desk an invoice is on waiting to collect a signature.  Having a single system control the flow of AP Invoices means not only will invoices get processed quicker, but it also means each individual action item can be addressed faster as well.

3. Savings
   Avoid the risk of paying an invoice twice. Suppliers may resubmit invoices for corrections or as payment reminders. AP Automation can compare incoming invoices with those already received to identify duplicates. However, even if a double payment or overpayment is detected, correcting it can be a time-consuming process.

4. Accountability
   Electronic audit trials make auditing and fraud prevention simple.  No-one can approve things beyond their delegated authority levels and every action can be captured in a full audit trial to show each step an invoice went through on its way to payment approval.

Next time you find yourself thinking or saying “If it isn’t broken, then don’t fix it” or something along those lines, it might be time to take another look because you might be falling further behind than you thought.

If you’d like some fresh eyes to take a look at your AP Processes, get in touch with us as we’d be only too happy to help

If you have any questions or would like to have a chat about how we can help, please contact us today.