So, you’re looking to up your business’s finance game. But where do you start?
Well, in the current digital age there’s an obvious solution. By switching from manual invoicing processes to a digital platform you can see some major benefits across the board. From productivity to cost-savings, accounts payable automation software can give your business a major boost.
Accounts payable (AP) automation utilizes digital tools to make the invoicing process paperless and touchless from start to finish. The software streamlines e-invoicing, taking the work out of routine tasks including coding, routing for approval and payment.
Not only that, with all the key data in one place you have a far better overview of how the accounts payable process is functioning and can quickly identify any problem points. Some AP automation software packages include analytics tools which can get deeper into the details of how things are flowing.
The benefits of adopting the software don’t end there, so let’s take a closer look at a few of the best things that making the switch from manual to automated can do for your business.
Reducing costs
AP automation software can cut costs in two key areas – time and money. Obviously, it’s a good thing for your business to save on either of those and by utilizing the proper digital tools, you can save on both at once.
In terms of time, automation takes a lot of the workload off your finance team by shouldering a lot of the more repetitive day-to-day tasks.
Being able to set up processes within the software to handle incoming invoices lets you cut down on the time it takes for each invoice to get approved, even with a reduction in the direct involvement of team members.
Another significant saving is the reduced amount of money spent on paper when you no longer need to print off invoices in order to send them to suppliers or put them on file. However, the cost savings go even further than that. Time is money, after all, so if your team are spending less time per invoice then you are getting greater value per full-time equivalent (FTE).
Improving visibility
Paper invoices are a little lacking when it comes to transparency. Unless someone wants to go through your business’s filing cabinets, it’s going to be difficult for them to find information on any given payment.
If all of that data is instead stored on a cloud platform, though, it becomes much simpler to track any individual file. By channeling all incoming invoices through AP automation software, you will have a far better oversight of the whole process and the shape of your current financial flow.
All of the digitized paperwork can be filed and sorted according to your needs – no cabinet needed – making it simple to find any given document with nothing more than a few clicks of the mouse.
Increasing efficiency
When your team is able to spend less time doing repetitive tasks, they are freed up to turn their productivity to other areas of their job instead. Eliminating the need for tedious data entry and similar admin creates time for more engaging, value-adding tasks.
Instead of spending hours inputting data into spreadsheets and monitoring invoices, your accounts payable team can focus on enhancing the customer experience. Making sure that clients and suppliers alike have positive interactions with the team will only improve the chances of repeat business in the future.
And, with AP automation software able to turnover work at faster speeds, the system will be able to handle a higher volume of invoices and more business.
There are so many benefits to using AP automation tools, many of which are likely to lead to greater growth and productivity. If you properly optimize your finance team’s workflows today you can expect to see major returns down the line.
