Invoice management solutions had been initially observed because the preserve with the giant mega-sized corporations, the huge multinationals and international conglomerates stretching around the world and criss-crossing the nation with branches and offices. Get far more information and facts about invoice management software
However – and though these bigger organisations are continuing to streamline their Accounts Payable (AP) processing with automated solutions – a lot of other businesses are recognising the advantages of implementing an automated invoice management solution.
They are established, flourishing businesses, commonly with turnovers of £30m to £500m, usually independent, at times family-owned, and operating across a number of locations or could be based at one. From across the board industry-wise, these organisations represent various markets, from retail and finance, to hospitality, manufacturing concerns, delivery and logistic companies, educational establishments, health and service providers.
The unifying issue is that these expanding organisations want effective AP processing.
The Accounts Payable department remains one on the most paper-rich and process intensive in any organisation.
Implementing an invoice management solution means those paper-based invoices could be converted to electronic type, eliminating the troubles related with processing paper – threat of loss, cumbersome storage needs, access and security problems, plus the connected expenses.
An invoice management solution also enables effective processing of your expanding number of e-invoices sent and received – presently many companies have to print these to continue processing.
Utilising an invoice management solution also means that all invoices is usually processed regularly, within the identical system and irrespective of original format.
Invoices are automatically matched to orders and receipts, queries resolved, invoices coded accurately and authorisation completed based on business guidelines anywhere within the business by way of the internet.
Automated workflow brings additional key benefits – enhanced visibility and control, alerts set to ensure deadlines are met, the automatic processing of repetitive tasks to free AP staff for more strategic work, plus the connected reduction in processing charges.
And ‘enhanced visibility and control’ aren’t just buzz-words. One in the main business issues facing an organisation is that of late payment – and evidence points in most cases to this resulting not from a deliberate policy but on account of poor practice and inefficient and slow manual invoice processing procedures on the part in the payer.
Inside a report last year Bacs, the not-for-profit organisation accountable for ‘maintaining the integrity of payment related services’ stated: ‘Frustratingly, when chasing late payment, pretty much one in five SMEs (18 per cent) were simply told the consumer had either forgotten to pay or just hadn’t got about to settling the bill.’
With calls for the government to take even more stringent action to shield businesses against late payment and toughen the government’s Prompt Payment initiative late payments are going to become an increasingly big headache for the late payers as well as these organisations owed money.
Enhanced visibility and control also assists organisations remove duplicate payments.
The marketplace for invoice management solutions is absolutely increasing with companies also attracted by the potential to extend the benefits of document management in the AP division to other business regions, leveraging on their initial software investment.