In what ways are account payable automated solutions are helpful?

Account payable is a department that enables an organization to pay the vendors and third party suppliers for goods and services purchased by the organization, preferably on credit. As per the standard accounting norm, the outstanding amount of money has to be recorded in the ledger book, and the money is to be remunerated after a specific time period. This process gets extremely complex for large and middle scale organizations that have presence in more than country, as well as numerous branches in each country. Account payable management services help organizations with this mammoth task. They automate the whole process, facilitating remuneration across the globe in real time. This, in turn, results in accelerating business processes, smooth functioning of processes, ensuring quality of products or services and analyzing organization’s inventory on a real time basis.

There are multiple benefits of using the account payable management system. Some of them are –

1.       An automated system saves time, hassles and efforts for incorporating unit costs, identifying inaccurate invoices, and revising terms of payments or payable sums. Usually bills are created on basis of the total amount of products/services an organization has ordered, the amount that is being received by organization in actuality, and the unit costs which are agreed upon by both the parties – i.e. the organization and the vendor. Any discrepancy in terms of fraudulent invoice, mismatch of payment terms, cases where invoice are raised twice, or cases when invoices are left out- are easily identified and rectified.

2.       Using specialized software for account payable processes lowers the cost incurred by the organization for employing human resources, supervising protocols and quality checkers. By simply deploying an advanced accounts payable automation software suite, the organization can save precious time too, as all accounting processes will be done within the blink of an eye. In the long term, timely payment saves the vendor-organization goodwill from becoming strained, and also saves the organization from getting cash-strapped at any point of time.

3.       Account payable automation software also contributes to generating reports instantly. Whether it is a vendor invoice, receiving report, confirmation of purchase order or sharing records with vendor, advanced software performs each task seamlessly within seconds across geographical locations. In case there is a bottleneck or backlog occurring with the organizational system at any given point of time, this software is capable of identifying the same, and solving the issue, thereby preventing any process choking within the organization.

 

Accounting and book keeping services have evolved greatly over the past few years and MYND solutions brings the best of them. The best engineering minds have come together at MYND to transform the payable process, ensuring minimal manual intervention from beginning to the end. As Auto initiative begins through vendor portal, it instantly reaches for auto content extraction. In the next step, it moves to auto data validation, followed by auto post and auto archive. This standard process is effective for offering 360° solutions – precisely end-to-end accounts payable functions. The chief benefits of this process are- Firstly, it offers better control of management over account payables processes. The concerned departments of an organization- namely human resource and accounting can easily track and standardize processes due to complete transparency. Secondly, for SLA based payments and TAT, this process results in improved efficiency. The flexibility in automated processes allows scope for customization of account payable functions as per specific business models of organization. Thirdly, it ensures huge savings on overboard as it contains provisions to include and execute variable transaction fee models. All these- combined, not only accelerates business activities but also help managers to monitor and control the entire AP process. Thus, the process begins at Vendors helpdesk and proceeds to Mailroom, invoice processing, payment processing and record management- one after the other in a row.

 

One of the best ways to add value to the accounts payable department is to switch to accounts payable business process outsourcing. By partnering with third party solution providers like MYND Solutions, organizations can save a copious amount of time, resources and cost as such third party providers will not only limit to providing solutions but will also offer regular maintenance, update and customization of the accounts payableautomation solutions. From management of vendors, to syncing with APIs of different banking platforms often belonging to different nations, integration of other accounting suites that are presently being used by the parent organization or will be integrated in near future, and comprehensive reporting structure for bodies within the organization as well as parties outside organization – are some of the major concerns of large and middle scale organization who have adopted account payable automated software. All of these are met by superior software solution suites offered by MYND solutions. This way, an organization can transform AP into a profit-gaining department.