5 Pain Points Accounts Payable Experience With Manual Processing
In 2016 the Aberdeen Group Study indicated that 42% of respondents to their research identified that invoice automation was a key area they wished to improve.
Fast forward 4 years and it’s interesting to hear from clients that this is still an area they wish to make efficiencies in.
As defined in the Directive 2014/55/EU – Directive 2014/55/EU An electronic invoice is an invoice that has been issued and transmitted in a structured data format which allows for automation or electronic processing.
Here’s 5 pain points your accounts payable team could experience with manual processing?
#1: Recruit additional staff to process increased in invoices
As the number of invoices an organisation processes increases, the number of employees needed also expands. This increases cost in terms of the recruitment lifecycle but also has an impact on the need for training and development and staff turnover. One Unit4 customer reported savings of over £100,000 per annum in recruitment associated costs following a deployment of the Unit4 Invoice Capture. So we can see a quantifiable benefit associated with moving to an e-Invoicing solution.
#2: Missing or lost paperwork
The ability to receive invoices directly into the system ensures that invoices do not go missing or filed in the wrong place and there is a clear workflow of the progression of the invoice.
#3: Human error in processing
Inevitably when keying in data, mistakes can be made, by using the latest technology where data is automatically captured, this minimises errors or human error.
#4: Identifying fraudulent invoices
Identifying fraudulent invoices is a time consuming, manual, unloved process. Because of the power of technology, far more data from each document is captured and used to check for fraud, by validating all captured data for consistency.
#5: Manual processes and duplication of invoices
Removing lengthy and time consuming invoice processing and moving some of the initial validation to electronic means provides a smooth transition to payment and removes those blocks. If there are delays in payment processing a supplier may resubmit their invoice for payment, this can lead to duplicating work and/or duplicate payments, this is where automation and workflow processes speed up the job.
A free workshop that delves into the challenges and pain points experienced in the Accounts Payable process.
About Embridge Consulting
Since Embridge Consulting was founded, we have worked very successfully implementing, supporting and developing Unit4 ERP (Agresso Business World) for customers across multiple sectors.
If your procurement process is in dire need of review, our AP workshop will initially provide some further information, however we would be pleased to offer a free AP Audit where we can arrange for one of our consultants to work with you to look at bottle necks and define processes that deliver real business benefits. Drop us a message to firstname.lastname@example.org or chat to one of our team online.