Inefficient, paper based accounts payable systems plague businesses. Employees must match invoices and purchase orders manually in order to approve purchases and the release of funds, as well as combing through large filing cabinets or sorting through piles of paper on their desks. As such, this is the process of finding a single document needed for processing an invoice. A single invoice takes several weeks to process and costs your company in both time and money. But an automated AP solution cuts costs by reducing the time required to process that same invoice. In addition, the capture rate for available early discounts can increase exponentially with an automated AP system.
Automated AP solutions save you money, and in turn lead to better cash management decisions for your organization. Reportedly, the four largest problems of paper-laden AP systems are:
For this reason, an automated AP solution eliminates and significantly reduces these problems.
Through automated processes, document visibility increases. Document integration with suppliers becomes more streamlined and reduces costs associated with searching for specific documents. Incoming purchase orders, invoices, statements and other vendor documents can be scanned and indexed with MaxxDocs Electronic Document Management Solutions (EDMS). The indexed documents can be easily searched and linked to invoices on file and then quickly processed.
Equally beneficial, employees can search the system in seconds, instead of spending minutes combing through large filing cabinets to find a single document. Easily locate important documents with an automated system while also greatly reducing the number of invoices to search, compare, verify and pay manually. This allows Accounts Payable employees to spend time on more productive tasks. This is human capital management at its finest, making the most of the employees core competencies instead of wasting valuable time.
In addition to saving money on paper expenses, your employees are able to sort payments and cut late fees from overdue invoices, thus allowing you to take advantage of vendor early payment discounts. Imagine the savings from prioritizing payments to vendors who offer the best early payment discounts. As a result, corporate directives to lower costs are reduced because automation is already saving the company money.
MaxxDocs’ secure document trail offers more control over the Accounts Payable process. It allows ease of sharing across your organization. The end result is greater control of cash flow with accounts that are consistently up-to-date. Management has access to timely reports, which results in more sound cash management decisions.
Bottom line, automated AP solutions save you money. Documents are more streamlined and searchable through indexing, allowing AP employees spend time on human intelligence tasks instead of repetitive data entry and filing. Not only this, but you can also take advantage of early payment discounts and prioritize payments according to your needs. Most importantly, your leaders make better cash management decisions that lead to a more robust company.