So how does AP invoice automation help?
1. It gives you control and visibility into cash flow and spending
You have the information you need to close AP before the end of the month and your books on time every month. What is the quickest and least painful way to improve cash flow and your bottom line? Reduce and control indirect spend.
“Cash flow and visibility are much more important today than 15 years ago.” (Andrews Distributing)
2. It allows you to forecast with a true picture of costs, to control P&L and gain predictability
This means you have predictability and confidence in your financial predictions and reporting, with no surprises. You also want predictability in your processes, such as being able to close the books within 5 days of month-end or knowing how many people are needed to manage operations. Ultimately, having to explain unforeseen swings in numbers or forecasts undermines credibility in a financial organization.
“Before we automated everything was unclear. We knew there was a problem but not the reason.” (G3 Enterprises)
3. It ensures you take advantage of all opportunities for savings, early payment discounts and volume rebates
All of a sudden, you have the opportunity to contribute to your organization’s profit and loss statement through reducing late payment fees and capturing available early payment discounts. This can amount to significant tangible savings. PayStream Advisors research reports that on average automated solutions captured up to 75% of discounts, vs 18% for manual systems.
4. It supports rapid growth, with no additional headcount
You can get more out of your AP team – and they are hungry for better projects and more analytical work. This is especially important when involved with acquisitions, or when coping with attrition or reduced headcount.
“With AP automation, we were able to expand by 10 new sites per year with no additional AP staff, while saving an estimated 4,000 labor hours per year”. (Stadium)
5. It allows you to get more out of your existing systems
A cloud deployment – completed in just 2-3 months – creates easy integration with back-office systems and creates a “hub” of visibility and intelligence that extends your financial control and visibility across the entire enterprise and supply chain. Ideally, invoice approvals and P&L reporting – key elements of AP invoice automation – is also simplified for the business, with an outstanding user experience and mobile capabilities.
CFOs need to be strong strategic players, responsible for the financial well-being of the organization, providing projections and assessments of fiscal health, preparing growth plans and directing staff. The CFO is the financial face of the company, a confident, results-driven executive who lives and breathes profitability and compliance. Addressing and fixing these key issues are important to a CFO, and the business.
It’s time you had the conversation with your CFO.
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