The Complete Step-By-Step Help Guide To Invoice Automation

Although manual invoice processing continues to be widely used, it's slow and could lead to mistakes and delays. Slow invoicing contributes to a higher cost of operation and invoices are often required to travel between different departments before being given full approval (and paid). Due to the delay in the transfer of information from invoices to internal systems, manual processes are more vulnerable to fraud.

Invoice automation solves key issues

Automation can be used to eliminate the human element and resolve the problems that are associated with manual procedures. Automation can also speed up workflows, reduces cost, and provides you with greater control over the outcome of your processes. A thoughtful approach to automating invoices helps the accounts payable (AP) teams fix workflow bottlenecks without making significant disruptive changes to the existing processes.

How to implement an automated system for invoice processing

These steps can help you create an automated solution for your existing process.

Review current processes and set objectives: Businesses must answer a series questions to get an understanding of their current invoice handling process. How do they manage these invoices? Do they come in electronic or printed form? What is the time it takes to prepare an invoice and how many are processed per year? Once businesses understand where bottlenecks exist It's much easier to spot opportunities to make improvements to the current processes.

Identify your organisational requirements. The business must also determine the needs that their invoice automation software needs to meet. For example, if a company is looking to increase the accuracy of payment and eliminate inefficiencies, choosing software with a streamlined invoice match process is essential. Companies should create an inventory of their key requirements and then decide on the basis of the outcomes.

Select the best automation solution: once the business has established its organizational requirements, it's now time to look at accounts payables vendors of software and choose the solution that is most compatible with the workflow for approval. The best software will automate invoice processing and integrate with the current customer relationship management (CRM) or financial system or workflow software for business. It should centrally and electronically store all data with easy and secure access. This will enable businesses to react quickly and efficiently when asked for information.

Integrate with an ERP system Once businesses have decided to choose invoice automation to use the solution, they must integrate the solution into their enterprise resource management (ERP) system. This will reduce the time required for employees to switch between applications to input the same data. This helps achieve total transparency into company expenditures and ensures all employees have access to the same information source.

Reaping the benefits of automation of invoices

Automating the manual invoicing process involves more than staying current with the latest technologies. It has many advantages which allow businesses to effortlessly expand their processes. These advantages include:

Automated workflows: Automation of invoices streamlines workflows by closing gaps and eliminating the pain points that are caused by manual processes. Automated tasks reduce financial team burden, improve accuracy, and stop unnecessary spending on late invoices.

Businesses can enhance security by automating the processing of invoices and restricting access for unauthorised employees. Automated software will also prevent the creation of duplicate invoices or overinflated ones by identifying them as urgently needing examination.

Cost reduction and higher profits: companies that have cash flow optimisation can enjoy significant savings in overhead and reduced the cost of processing invoices. Businesses can improve cash flow to find the best payment terms and capture early discount on payments.

Improved visibility and real-time data With invoice automation , companies have increased visibility into the status of their invoices and invoices. You can track every step and get real-time information to aid you in making educated decisions regarding your cash flow in the future.

Eliminating manual invoicing with automation

A company's success depends on its AP department. It's accountable for tracking what's owed to vendors and making sure that payments are approved properly before they are processed. It relies on manual invoice processing which increases the risk of human error, delay in the payment process, fraud and other mistakes.

At DespaQ We assist companies minimize invoice processing delays, cut costsand increase efficiency using our AP automation solutions. Utilizing the most advanced automation software available, businesses can instantly simplify and streamline their AP processes, eliminate the need for entry of data, and swiftly locate documents in a strong, reliable system. Our AP automation solutions seamlessly integrate with the existing finance systems and reuse the data stored in a central archive to ensure quick reliable, secure access.