Today’s global marketplace opens up tremendous opportunities for businesses of all sizes, but along with these opportunities come great challenges.
From addressing the complexity of multiple internal financial systems, to the challenges of conducting business across borders, companies need a connected approach to unlock the value across their financial operations and transact effectively with trading partners.
Despite the lower adoption levels of AP automation, there are many factors that are promoting its growth worldwide.
Companies are recognizing the benefits of automated processes. Advanced technologies, such as automated invoice processing and e-invoicing through business commerce networks, are providing companies with the visibility and control to better manage spend, working capital, and cash flow and benefit from early payment and volume discounts.
Additionally, these technologies facilitate global commerce, enabling companies to transact regardless of currency, language, tax regulations, and other factors. By communicating electronically in real-time with trading partners, invoices are transmitted in a matter of minutes, speeding up processing while reducing costs and errors. In addition, open networks enable companies to transact with trading partners anywhere, regardless of which network they use.
To meet the demands of today’s real-time environment, forward-thinking AP executives who really understand the more info value of automation—AP Change Makers—are continuing to move financial services to the “cloud” and implement mobile apps to enable managers to review and approve invoices no matter where they are. They’re also using social capabilities, such as collaboration or chat tools, available in business commerce networks to address issues in real-time with trading partners.
Cohen, B. (2015). How Automating Accounts Payable Unlocks Financial Value. Strategic Finance, 97(2), 31-34.