When your organization’s accounts payable processes are functioning optimally, the benefits include cost savings, efficiencies, smoother customer and vendor relationships, and even enhanced employee satisfaction. How can your company achieve this level of accounts payable nirvana? Adopt these top habits, used by other highly-efficient finance and accounting departments:
1. Eliminate (or reduce) manual processes.
Continued reliance on paper and spreadsheets can seriously hamper your accounts payable function’s success. When staff has to print and file documents, spend time hunting them down when something needs to be retrieved, and spend time and money photocopying and distributing paper records, your department is not functioning optimally.
Switching to an electronic document management solution with automated workflows can reduce your reliance on paper, speed up processing, improve accuracy and improve productivity.
2. Improve transparency and visibility.
In many companies, invoices that go to accounts payable might as well be going into an abyss; there’s zero transparency into the process. That lack of visibility breeds frustration; fortunately, there’s a better way.
Highly-effective accounts payable teams use electronic document management and automation to provide continued visibility throughout the process for invoices due and payable. Authorized submitters can track the status and progress of their documents at any time. Similarly, management has real-time metrics available and can generate reports allowing them to reassign work as needed so the department can function at peak efficiency.
3. Focus on internal controls.
With enhanced insight into the accounts payable lifecycle, companies that use automated processes are also able to strengthen internal controls.
While every company is potentially vulnerable to fraud, using document management and automated workflows can significantly reduce fraud risk. With real-time visibility and audit trails, there is simply less of an opportunity for fraud, saving both money and companies’ reputations.
4. Reduce costly mistakes.
Highly-effective accounts payable teams are also able to save their companies money by reducing error risk. With complex processes at play, requiring input and action from multiple people, there is too much at stake to leave accounts payable tasks to spreadsheets, paper documents and files and manual processing.
In companies that have implemented and adopted electronic records and automated workflows, there is no need for invoices or other related documents to languish on someone’s desk or become buried in someone’s email inbox. Instead, documents and records are tracked and passed along in the process to designated approvers automatically. System reminders notify users when activities require their input or when other action is necessary. These steps can save businesses considerable amounts of money, ultimately, adding to the bottom line.
Discover How Automated Workflows Can Improve Your Accounts Payable Processes
Adopting Treeno Software’s Electronic Document Management (EDM) solution and automating your finance and accounting department’s workflows can go a long way in making your accounts payable processes more effective and efficient. Not only can your team save time and money, accuracy and work quality are also improved with automation, eliminating potentially costly errors and disputes with customers, vendors or others.
To learn more about improving your accounts payable processes with EDM, contact Treeno Software today.