The Complete Step-By-Step Help Guide To AP Invoice Automation

While manual invoice processing is still widely used, it's slow and could lead to mistakes and delays. Invoicing delays result in more expensive cost of operation, and invoices frequently have to be transferred between different departments before being approved in full (and paid). In addition manual processes are more susceptible to risk of being fraudulent due to the length of time needed to transfer information from invoices into internal systems.

Invoice automation solves key issues

Automation is an effective method to tackle the challenges associated with manual processes by eliminating the human element. Automation also speeds up processes, decreases costs, and provides you with greater control over the outcome of your processes. Accounts payable (AP) teams can eliminate the bottlenecks in their workflow by adopting an intelligent approach to invoice automation without having to make huge disruptions to their processes.

How to implement an automated solution for processing invoices

These steps will help you implement an automated solution to your existing process.

Analyse current processes and define goals: Businesses should be able to answer a series of questions to gain an understanding of the current process of handling invoices. What is the way they handle them? Are they in print or electronic format? What is the average amount of time required to complete an invoice? How many are processed each year? Once businesses understand the bottlenecks that exist it is easier to identify opportunities to improve existing processes.

Determine the requirements of your organization: from there, companies must determine the specifications which their automated invoice system has to fulfill. If a company is looking to improve accuracy and reduce inefficiencies, it's essential that they choose software that allows for seamless invoice matching. To help identify key needs, companies must create a checklist that separates the needs from the wants and make their decision based on results.

Choose the right automation tool: after businesses have established their organisational requirements, it's time to look at accounts payables vendors of software and select the one that best fits their workflow for approval. The software should be able to automate the processing of invoices, connect with financial systems already in place as well as customer relationship management (CRM) software as well as allow the integration with other business workflow software. It will also centrally and digitally store all information with easy and secure access. It should also streamline auditing and compliance so businesses are able to respond quickly and effectively to inquiries for information.

Integrate the ERP System Once businesses have decided to choose invoice automation to use the solution, they must integrate the software to their existing enterprise resource management (ERP) system. This will reduce the time it takes employees to switch between applications to input the same data. This will allow for complete transparency of company expenses, and ensures that all employees are working from one data source.

Reaping the benefits of automated invoices

The automation of manual invoices is more than just keeping current with latest technology. It offers many benefits which allow businesses to effortlessly expand their operations. Its benefits include:

Automated workflows: Automation of invoices streamlines workflows by closing gaps and reducing issues caused by manual processes. Automating tasks reduces the workload on finance teams, improves the accuracy of invoices, and eliminates unnecessary spending because of late invoices.

Better security: companies can reduce their fraud risk by automating the invoice process and restricting access to unauthorised personnel. Automated software will also prevent duplicate or inflated invoices by alerting them for immediate examination.

Cash flow optimization can help businesses reduce overhead and lower costs. Optimizing cash flow can also help businesses identify the best terms for payment and also how to take advantage of early payment discounts.

Invoice automation gives businesses greater insight into their invoices and payments. They are also able to track every step with real-time data to make informed, timely decisions about future cash flow.

Automating manual invoices to eliminate manual work

A company's success depends on the performance of its AP department. It is responsible for tracking vendors' owed money and ensuring that the payment approval is granted before they're processed. It is dependent on the manual process of processing invoices that increases the possibility of human error, delays in the payment process, fraud and other blunders.

At DespaQ We help companies minimize invoice processing delays, reduce expenses, and boost efficiency using our AP automation solutions. Utilizing the most advanced automation software available, businesses can instantly simplify and streamline their AP processes, eliminate labour data entry, and easily find documents within a robust solid system. Our AP automation solutions seamlessly integrate with existing finance systems , and reuse data in an archive that is centrally located to provide rapid and free access.