Back in the eighties, accounts payable professionals spent their entire workday on time-consuming, manual tasks like compiling, processing, and filing invoices and check copies. In addition to spending quality time with the photocopier and the filing cabinet, they got plenty of exercise by chasing down elusive approvers to get their signatures on checks that should have been mailed out weeks prior.
Well, believe it or not, a lot has changed since the Age of Aqua Net. Like shoulder pads, “flock of seagulls” hairdos, filing cabinets, paper invoices and checks are relics of the past. In today’s blog, we’ll look at three reasons why you shouldn’t live in the past when it comes to accounts payable processes, and how AP automation helps you work in the future instead of traveling back in time.
1. eInvoicing
In 2017, the Accounts Payable process has been revolutionized by AP and payment automation solutions. Our desks are uncluttered and our lives are simplified in this new era of productivity – smartphones and tablets give us the freedom to work remotely, replacing fax machines, filing cabinets, and Rolodexes.
When it comes to processing invoices, your eInvoicing software receives an electronic version of the vendor’s invoice. The system pulls information from the invoice and uses it to auto-populate electronic documents, which checks it against sources including the master vendor file, the IRS TIN matching program, and the OFAC list.
2. ePayments
In 2017, electronic payments, also known as ePayments, are preferred over paper checks. Producing checks is expensive and inefficient when you consider the costs of check stock, toner cartridges, and specialized printers, as well as mailing expenses. With ACH, suppliers need to be manually setup and managed. There’s also a lack of readily available, detailed data and reports for buyers when paying through check or ACH.
3. SaaS Solutions
Innovative SaaS (Software-as-a-Service) solutions automate the accounts payable process and increases visibility and control, as well as reporting and analytics capabilities, when settlement is done electronically through VCN (virtual card number). The electronic, VCN-based system automatically routes the payment to the appropriate approval sources and records it within the general ledger, which eliminates more than half the steps that traditionally delay payment flow.[vc_text_separator title=”Free eBook: Is Your Accounts Payable Department Stuck in 1982? ” css=”.vc_custom_1488816148052{padding-top: 20px !important;}”]Oh, the glorious year of 1982. The Commodore 64 8-bit computer took video games to the next level, and Time Magazine named the Personal Computer as its first Machine of the Year! In the year 2017, the accounts payable process has been revolutionized by AP and payment automation solutions. Our desks are uncluttered and our lives are simplified – smartphones and tablets give us the freedom to work remotely, replacing fax machines, filing cabinets, and Rolodexes.
If you’re interested in learning more about the accounts payable department of the future, download our free eBook, Is Your Accounts Payable Department Stuck in 1982?