Many organizations are challenged by wanting to break free from slow and costly paper based systems. Accounts Payable departments are constantly being challenged to cut operating costs whilst ensuring invoices are paid promptly. Manual AP processes are costing companies on average $15.00 per invoice; that’s a staggering on-going cost for a company who may be thinking they are managing the invoice paper flow!
A typical manual AP process includes:
Invoices coming into the company from different suppliers or cost centers in different layouts and delivery formats – USPS mail, email, pdf, fax and more.
Supplier invoices are forwarded to the relevant person responsible for that invoice.
There is a longer lead time due to manual routing, processing and sign off procedures.
Inefficiencies due to time spent matching the invoice to the purchase order, verifying, approving and signing off for payment.
Inability to maximize discount benefits associated with early payments.
If it exceeds the company’s limited amount it may well have to go to senior management for a 2nd or 3rd level approval.
If approved the invoice is then manually input into the accounting system and made ready for payment.
Paid invoices are then filed away in file cabinets and boxes for archiving.
Archive costs for compliance and accounts audits.
Typically, there may well be invoice queries for a variety of reasons, is the vendor valid, is the invoice correct and does it match the PO or is it a duplicate invoice, accountants need invoice copies, auditors request copies and many more. www.bluecreeksoftware.com
Why automate the accounts payable process?
1. To give complete processing control to the accounts payable department.
2. By automating the accounts payable process you gain complete visibility of the accounts payable function using an end-to-end invoice management system of all processes and, any financial implications.
3. Capturing the invoice information at the point of receipt eliminates the need for manual data entry.
4. Automatically consolidate and reconcile purchase orders, invoices, payments which helps manage allocations, cash flow and payments.
5. Invoice processing automatically matches and verifies scanned invoices with purchase orders.
6. The process is centralized so up to date live information is made available to the accounts payable team at every stage of the AP process.
How does adopting an AP strategy reduce my paper flow?
It’s the start toward adopting an e-invoicing strategy for your organization by automating the processing of invoices and choosing to integrate a straight-forward workflow and document management software with your existing systems to remove manual and repetitive workloads. Using a centralized accounts payable process that’s integrated into your current system provides:
-Automatic allocation of the right invoice to the relevant transaction
-Automatically post invoices for payment
-Automatically queue exceptions for handling
-Deliver information on exceptions to the AP desktop
-Make payment status available to everyone instantly
What are the major benefits?
1. Reduce invoice processing costs
2. Eliminate manual data entry
3. Significant time savings
4. Exceptions resolved quickly
5. Supplier conflict resolution
6. Early payment discounts
7. Reduced supplier inquiries
8. End duplicate payments
9. Realize a significant savings in 6 – 9 months
Vision360 Enterprise helps companies of any size to improve their accounts payable process. Whether you have one accounts payable clerk to a full shared service center, entry level or global enterprise, Vision360 will help you reduce and eliminate the manual processes associated with receiving, routing, coding, approving and entering invoices. - See more at: http://www.bluecreeksoftware.com/#sthash.c7F4iwKr.dpuf
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Vision360 Enterprise Accounts Payable Automation Solution by BlueCreek Software reduces time wasted chasing down paper invoices by automating invoice approvals, eliminating manual data entry, eliminating paper invoices and reducing processing costs.