The invoice scanning module within the AP solution replaced strenuous paper-based and manual AP workflows. An AP software solution integrated with invoice scanning increases efficiency and optimize your accounting department’s productivity. The sole responsibility of invoice processing depends on the accounts payable team.
The traditional method of processing invoices is time-consuming. Moreover, manual methods of data input are always prone to various types of errors. In other words, traditional invoice processing is a bloated procedure that gives rise to fraud. Implementing an AP software solution embedded with invoice processing can make your life easy. Your accounts payable team can streamline the traditional and time-consuming process of invoice processing with AP software. Nowadays, companies rely on AP software platforms that come equipped with AI and ML functionalities. Both AI and ML offer company owners with helpful insights that allow their teams to function effectively.
Compared to a manually processed invoice, an automated invoice moves through a workflow faster. Whether it’s matching price, purchase order, or data entry, you can do it all with an AP software solution. Make a move to digitalize your workspace by implementing AP software integrated with invoice processing.
Overview of Invoice Automation
In accounts payable, invoice automation is the key to success. Automated processing of invoices typically includes the automation of the following aspects.
- Streamlining the crucial AP workflows
- Data entry
- Managing and analyzing purchase orders
- Matching price
- Transferring digital payments
Modern-day business processes are primarily digitized. Your company receives a majority of invoices in digital formats like PDFs, scanned images, etc. Thanks to AP software, there is no need for your employees to manually re-enter the data.
The invoice scanning module in AP software is an automated data entry feature. It lets you access and leverage the data in your bills and convert them into unstructured data. AP software platforms integrated with invoice scanning also allows you to be more accurate and planned.
For the overall success of your organization, automation is the primary requirement. Automating invoices can make the dealing process with suppliers and vendors more transparent.
The Working Mechanism of Automated Invoicing
The conventional method of invoice processing commences when the accounting department receives the supplier’s bill. During this time, the accounting department of your company will match and approve it. On the other hand, if the amount on the invoice is huge, your accounting team will take more time to process it.
From there, it is usually entered into the system. Based on the organization, the total time to complete the processing of a single invoice may take up to 15 days. But with the implementation of AP software integrated with invoice processing, your suppliers won’t have to wait for longer duration.
In the case of AP software, when the invoice arrives, your employees will scan it and put it in the digital accounting system. This type of data capture technique reduces hours of manual data entry. The AP software will then convert the data into a structured format that is legible to everyone. The invoice data can be mapped and extracted for further insights.
Benefits Associated with Automated Invoice Processing
Implementation of AP software embedded with invoice processing has an array of benefits like:
- Reduces the overall rate of errors associated with the processing of invoices in an organization
- Boosts the approval process and decreases processing times
- Saves on labor expenses, and your employees can focus on more important things
- Decreases the cost of manually processing invoices
- Makes the overall process transparent
- Allows you to leverage early discounts and cuts down on penalties for paying late
The invoice scanning functionality in an AP software solution is integral to your company’s growth. A proper invoice scanning and processing feature in AP software can allow you to optimize your company’s supply chain. Implement the best AP software and witness the change it brings to your company.