The demands of modern living have changed the way organizations operate. Convenience, speed, and customer satisfaction have become increasingly more important, and enterprises that fail to meet these demands are quickly fading into obscurity.
Touchless processing streamlines and automates accounts payable processes that are carried out by humans. AI-based technology reduces errors, eliminates manual data entry, simplifies workflows, and more, giving businesses and organizations more time and resources to devote to more strategy functions.
What are the benefits of touchless accounts payable processing?
Touchless accounts payable processing enables companies to quickly gain process efficiencies, reduce risk, and scale without adding more people. Automating invoice processing provides more accuracy with less work, eliminating expensive mistakes that can lead to late supplier payments. This automation also allows the AP department to mitigate risk by spending more time on high-dollar invoices and detecting fraud.
Along with reducing the frequency of human error, touchless processing offers numerous benefits to businesses. Let’s take a look at some of the advantages it can provide:
1. Fewer Mistakes and Delays Caused by Human Errors
When processing invoices, complicated and tedious manual processes can result in frequent mistakes and delays in the AP department. Regardless of an employee’s experience level, errors are inevitable and can lead to late payments, overpayments, underpayments, or even damaged partnerships with important suppliers. Automating these accounts payable tasks can save a company valuable time and money.
AP automation gives employees more time to carry out more complicated tasks that require their attention.
2. A Reduction in Exceptions and Faster Exception Processing
An exception occurs when an invoice doesn’t match an order for a variety of reasons—a difference in price or quantity, taxes, shipping charges, lack of receipt, and more. When this happens, the accounts payable department must find the person who can resolve the discrepancy, which can delay invoice processing for days.
The right AI solution can help identify the people who need to resolve the exception, reducing the number of touches required for approval. This lowers AP’s workload dramatically, along with the time it takes to reach resolution.
A software platform like Vroozi handles exceptions quickly by assigning the invoice to the right person to resolve the exception. That means that invoice processing that once took up to 20 days or longer on average can be reduced to just 1-2 days.
This is especially important during times of economic uncertainty. Typically, suppliers don’t have leverage when it comes to payment terms. They’re forced to take longer payment terms (an average of 60 days) when negotiating contracts with buyers, simply because they want the business. Processing an invoice faster allows the buyer to determine the best use of their cash – pay early to receive a discount, pay early to help the supplier, or pay on time to keep the cash.
3. Reduces Manual Work and Costs
Automating accounts payable tasks can help a company reduce manual labor and overall costs, leading to better and more informed decisions.
Digitization and touchless processing can lead to more savings for both buyers and suppliers. Automating can eliminate time-consuming manual and paper-based processes, allowing organizations to. These streamlined processes can positively impact your company’s bottom line.
A software platform like Vroozi gives accounts payable employees access to important financial information in near-real time, helping them make important decisions.
Get started today!
Is your business taking advantage of all that touchless processing has to offer? Vroozi Invoice + Intelligence eliminates paper invoices, allowing your team to focus on higher-value and more complex work.
Vroozi Invoice reduces your cost per invoice, reduces cycle times, and increases spend control through budget, invoice, and PO checks. Learn more and see Vroozi in action by booking a demo now!
