An accounts payable (AP) department is responsible for purchases and payments on behalf of a company. AP offices are frequently one of the largest hubs for data entry, deadlines, and paperwork in an organization. At the same time, many AP offices are using archaic technology and paying the price for outdated methods. Because of the critical role AP plays in revenue management, it is clear that future success and quality document management go hand-in-hand. Here are four ways that document management for accounts payable enables organizations to save money while becoming more efficient.
The automation of AP workflow will drastically improve the quality and quantity of work a department delivers. Instead of manually entering invoices into a system when they arrive, the data is scanned in and cataloged. The system then tracks all invoices from the moment they arrive until payment, ensuring each essential step happens in order. Not only does this ensure accountability and oversight, it also provides organization across departments.
Because document management for accounts payable provides web-based solutions, AP departments can access necessary data quickly and from anywhere with internet. Purchase orders, invoices, and signatures are captured in real time, allowing employees to keep projects moving regardless of the location of the parties involved. This improves communication and collaboration across departments and companies, keeping everyone connected and on the same page.
Many AP offices find that duplicate payments, missed deadlines, and lost invoices are not unusual. Document management services eliminate the potential for those errors by removing the manual processes where mistakes are made. Invoices move across departments electronically, alerting each relevant individual when documents require action or approval. Instead of spending time on rote paper-based tasks, AP staff can focus on more important projects.
One of the greatest challenges of a paper-based approach to accounts payable is inefficiency. When paper touches so many hands and crosses so many desks, there is a wide margin for error or delay. In the case of AP departments, time truly is money, and delay or distraction leads to higher costs. Document management offers an opportunity to restore lost time. By taking over tasks like data entry, routing invoices, faxing, filing, copying, and mailing, the system facilitates hands-free work. Employees focus on the day-to-day business while the system completes the daily tasks.
Choosing document management for accounts payable reclaims time and revenue for other parts of your organization. The future of AP departments is a digital one. In fact, you can solve the majority of challenges facing accounts payable offices almost instantly through the automation and efficiency of a document services platform. To learn more about how MaxxVault document services can benefit your accounts payable department, contact us today!