Knowing where things stand in your accounts payable department means a lot more than seeing the status of an invoice. It means better controlling your organization’s cash, spending and risks.
But improving visibility requires an invoice-to-pay solution that is tightly integrated with an ERP.
In an environment where an invoice-to-pay solution is integrated with an ERP, invoices are digitized and standardized, invoice data is extracted and validated, invoices requiring approval or exceptions handling are electronically routed based on pre-configured rules, information on approved invoices is posted seamlessly to an ERP, and invoice images and data are digitally stored for instant retrieval and reporting. Importantly, authorized users have complete visibility across the invoice lifecycle.
Many stakeholders benefit from the visibility provided by automating the invoice-to-pay process:
- CFOs get insights into organizational spend, accounts payable cash flow and metrics. Invoice-to-pay solutions integrated with an ERP also provide instant access to what invoices are in the pipeline, enabling CFOs to better forecast the use of cash.
- Controllers can access approval process history, instantly retrieve any invoice image, and quickly fulfill auditor requests through instant access to supplier information.
- Finance managers can see which suppliers account for most invoices and spending.
- Accounts payable managers get insights into invoice volumes, process efficiency, accruals, payment metrics and suppliers who account most invoice exceptions. Quick access to information on whether an invoice has been received, processed or paid also brings a level of stability, control and oversight that is absent in a manual invoice processing environment. This visibility makes it easier for accounts payable managers to assess their operations and develop strategies for improvement.
- AP clerks can act on real-time metrics and have reminders sent to approvers.
- Cost center owners and line of business (LOB) managers get insights into invoices pending approval or paid, spend, budget performance and cash forecasts.
Integrating an invoice-to-pay solution with your ERP also assists with compliance by providing visibility into all activities performed in the system, enabling businesses to catch potential conflicts at the transaction level. This also fortifies the effectiveness of internal and external audits, helping to avoid financial misstatements. When audit time comes, the document image, corresponding audit trail, and history of any modifications are available to authorized users for consultation at any time.
Does your accounts payable department want to know where it stands? Contact us today!