How to Take Accounts Payable to a Higher Level of Automation
Accounts Payable (AP) is one of those business functions that is every bit as essential as it is boring to think about. It’s a critical element of business operations and yet it hasn’t kept pace with advances in technology because many people don’t realize the huge opportunity that exists within AP processing to improve overall business efficiency—and there’s nothing boring about that.
Traditional AP processing involves receiving invoices, manually entering data into accounting systems, verifying and matching invoices with purchase orders, and finally, processing payments. Each step is susceptible to human error, leading to issues such as duplicate payments, missed discounts, delayed payments, and failure to identify fraudulent invoices. The high volume of invoices can also overwhelm staff resources, resulting in bottlenecks, re-work, and low morale.
With business challenges like these, it’s surprising to learn that only 10% of businesses have fully automated their AP processes.
It Doesn’t Have to Be Like This
Without the right automation technologies in place, people who work in accounts payable have to slog through tedious and repetitive manual tasks daily. Doing it the old way leads to slow processing times, data entry errors, and lost invoices. It doesn’t have to be like this. With intelligent document processing (IDP) powered by trusted AI services, businesses today are transforming their accounts payable function to redefine business productivity and efficiency.
Our IDP Software Is Changing the Game
KODAK Info Input Solution is an advanced IDP platform that leverages artificial intelligence (AI) and machine learning (ML) to automatically extract, validate, and deliver data with near-perfect accuracy. In an automated accounts payable system, it serves as the reliable front end, ingesting documents from various sources, validating the data, and delivering it into payment management systems. When paired with our industry-leading document scanners to efficiently convert paper invoices into digital data, the entire accounts payable function becomes a strategic advantage.
Fast and Accurate AP Processing
"The reality is that IDP is not a business expense; it’s a business investment that delivers a fast ROI."
One of the most significant advantages of enhancing your accounts payable automation with IDP software is the dramatic increase in operational efficiency, speed, and accuracy. Human error is an inherent risk in manual AP processing. Data entry mistakes, incorrect coding, and lost invoices can lead to costly errors and business risk. According to research by Gartner, IDP solutions can increase data extraction accuracy by over 95%, significantly reducing errors caused by manual data entry.
Info Input addresses these challenges by ensuring high levels of accuracy in the data ingestion, extraction, and integration process. The software pulls in documents from various sources and automatically cross-checks and validates information to enable faster and more reliable payment operations. Faster processing times lead to improved cash flow management, fewer resource requirements, and happier people across the board.
Big Savings for Your Organization
Finding the right AP solution fit for your organization can help you realize big savings. Based on research by the Institute of Finance and Management, the cost to process a single invoice manually can range from $12 to $30, depending on the complexity and volume of invoices. In contrast, automated systems can reduce this cost to as little as $2 per invoice. These savings come from reduced labor costs, minimized errors, and the efficient management of paper-based processes. Over time, these cost reductions have a significant impact on the bottom line, especially for companies handling large volumes of invoices.
Enhanced Visibility and Control
Without a centralized automated system, it can be difficult to track the status of invoices and payments. KODAK Info Input Solution is managed centrally and accessible to as many team members as necessary, from any location, right from their browser. AP teams can easily process heavy invoice demand, monitor the status of invoices, identify bottlenecks, and address any issues promptly. This transparency not only improves operational efficiency but also strengthens relationships with suppliers by ensuring timely and accurate payments.
Out of the box, Info Input provides robust audit trails and automated reporting capabilities to track invoices, identify opportunities to optimize, and ensure compliance with regulatory requirements and internal policies. The software integrates with popular reporting tools such as PowerBI, for graphical dashboards that make it easy to gain insights that can improve job and revenue accounting for your business or your customers’ businesses.
For example, you can see how many invoices are processed monthly, how many export to back-end systems without human intervention, and invoices that were flagged for manual review.
Scalable and Flexible Operations
As your business grows, so does the volume of invoices that must be processed. Manual processes can’t scale efficiently and require additional headcount and resources. In contrast, automated solutions are highly scalable and can handle increased workloads without compromising efficiency or accuracy. This flexibility allows an organization to adapt to changing business needs and market conditions.
A Winning Approach to Document Intelligence
With our Open Intelligence™ approach to document AI, you’ll have peace of mind knowing you are always leveraging the most powerful and trusted AI services in the world. Info Input Solution integrates with the leading hyperscalers in the AI industry, namely Microsoft, Google, and Amazon. This integration capability means you have more control over your AI choices and automatic access to updates and advances as they are released.
Get Started Today
Automating accounts payable processing with IDP software is no longer a luxury but a necessity for businesses today. The benefits are clear: profound cost savings, vastly improved efficiency and data accuracy, and better control over the AP process. The reality is that IDP is not a business expense; it’s a business investment that delivers a fast ROI.
Now is the perfect time for businesses to embrace this transformative technology. Whether you are a small business or a large enterprise, the advantages of automating accounts payable are too significant to ignore. Contact us to start your automation journey and unlock the full potential of your AP operations.
