How often do you issue duplicate payments?.How often do you take advantage of early payment discounts?.How often are you late on your payments?.How much does it cost to process an invoice?.How long does it take to verify and approve an invoice?.How long does it take on average to pay an invoice?.increase notification frequency for that approver), you can track the effectiveness of your optimizations.Ĭonsider the following questions when outlining your key performance indicators: Once you make the appropriate adjustments (e.g. If you spot a recurring bottleneck or approver taking too long in your approval process, you can take a deeper look and figure out why that’s happening. This leaves an audit trail which is easily searchable through an Advanced Search and Reporting.Īudit trails provide more accountability and control by logging all activities in the middle feed so all users are on the same page, and actions are auditable if needed for reference at a later time.Īnother way to track KPIs is through reporting functionality available in an Invoice Management Dashboard, which provides a birds-eye view into all invoice-related activities and laggards. Paperless systems track everything and create timestamps for when actions happened. If you’re going to take steps to improve your invoice processes with the intent to streamline your AP department, you better darn well measure your efforts! The good news is that if you’re following the two best practices listed above, establishing KPIs becomes easy. Once everything is under the same roof, you can make the AP magic happen. Thereby, providing your approvers with sufficient documentation to make a faster decision on the invoice itself.īut if your data, documents, and tools all live in different systems and can’t be integrated, you’re going to be stuck with duplicate efforts and manually keying in data to ensure your invoices can be accounted for and processed. If the purchase order (PO) can be pulled from your integrated accounting system, your invoice automation software will help match your invoice data to the PO to ensure it’s valid. Let’s say you have an invoice in your system that needs verification. The beauty of a paperless AP function (beyond saving trees) is that once everything is digital, invoices are turned into actionable data for automation workflows, integration capabilities, and unified communication on top of the invoice.įor instance, consider QuickBooks accounts payable automation. The second is to scan vendor invoices into your AP automation system. The first is to convince your vendors to invoice electronically by pointing out all the benefits. Going paperless starts with the invoices you receive from your vendors, but if they’re unwilling to send electronic invoices (e-invoices), you have two options. If you’re looking to streamline your Accounts Payable department and save time and money for both your organization and your AP team, here’s your detailed invoice processing guide:įrankly, if you’re not willing to go paperless for processing invoices, your ability to streamline your AP function will be limited. In this guide, we discuss how invoice processing automation tools are enabling Accounts Payable (AP) departments to keep their current workflows and how AP technology is streamlining their existing invoice processes. These automated invoice processing systems help accounts payable teams automate the capture, coding, and sending of invoice for approval in addition to automatically assigning approvers and pushing invoices into financial systems for payment. Automated invoice processing software is akin to AP Automation. The Benefits of Automated Invoice ProcessingĪutomated invoice processing software is used by the accounts payable department to streamline invoice processes, add more control over internal processing functions with tracking functionality, and improve the speed at which vendor invoices are processed.
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