Gone are the days of manually processing invoices, chasing approvals, and drowning in paperwork. With accounts payable (AP) software featuring approval workflow, businesses can transition to a more efficient and streamlined process. In this article, we’ll dive deep into the benefits, features, and metrics of AP software with approval workflow.
1. Why Accounts Payable Software with Approval Workflow?
Accounting departments have long been burdened with the process of managing paper invoices, often leading to inefficiencies and errors. Accounts payable software with approval workflow can help eliminate these issues, improving overall efficiency and reducing costs. By automating the AP process, businesses can harness the power of technology to:
- Go paperless from day one
- Streamline invoice processing
- Accelerate approval processes
- Gain complete visibility into spending and invoices
2. The Power of Invoice Processing Automation
Automating the invoice processing and approval workflow can significantly reduce the time and effort required to manage accounts payable. By leveraging advanced technology and machine learning, AP software can:
- Lower invoice processing costs
- Reduce processing time
- Improve accuracy and compliance
- Enhance visibility into spending and forecasting
3. Flexibility and Compliance: Customized Solutions for Your Business
One of the most significant advantages of AP software with approval workflow is its ability to adapt to your business’s unique needs. Rather than forcing you to comply with standard rules and guidelines, flexible AP software can be customized to accommodate your organization’s specific processes. This includes:
- Adhering to your existing approval rules and guidelines
- Automating invoice routing based on your business’s structure
- Ensuring compliance with industry standards, such as SOC, ADA, HIPAA, and more
4. Coding and Auto-Coding: Simplifying Invoice Tracking
Coding is a crucial aspect of non-PO invoice processing, allowing for better organization and tracking within the AP department. With accounts payable software featuring approval workflow, businesses can benefit from:
- Header- and line-level distributions and coding
- Machine learning technology that evaluates historical data to determine proper general ledger coding
- Auto-population or suggested values based on machine learning confidence levels
5. Managing a Large Number of Active Approvers
A comprehensive AP workflow system should accommodate a high number of users for efficient invoice approval. By integrating with your human resource management systems, AP software can:
- Maintain up-to-date information on hierarchies and approver details
- Ensure invoices are routed to the correct approvers, not the AP department
- Eliminate manual effort in the approval process
6. Handling a Large Number of Approvals per Invoice
An efficient AP workflow system should enforce your company’s audit rules, often resulting in multiple approvers for a single invoice. By using a robust combination of entry points, business rules, and hierarchies, AP software can:
- Ensure compliance with audit requirements
- Provide a detailed history of approvers and approval processes
- Prevent unauthorized forwarding or approval of invoices
7. Reducing the Average Number of Days for Approval Completion
An effective AP workflow system should expedite the approval process without sacrificing accuracy or compliance. By utilizing a user-friendly interface and strategic features, AP software can:
- Simplify the approval process for users
- Send escalation emails to remind users of pending approvals
- Provide administrators with analytical tools to monitor user performance and potential risks
8. Robust Functionality for Diverse Situations
The best AP software with approval workflow offers a wide range of features to accommodate various scenarios and requirements, such as:
- Vacation reroute
- Job sharing
- Passive approvals
- Next in line overrides
- Proxy approvals
9. International Compatibility
With global business operations becoming increasingly common, AP software should offer international functionality. Look for software that provides:
- Support for multiple languages
- Region-specific settings for date formatting, time placement, and currency conversions
- Proper invoice routing for international users
10. Frequently Asked Questions
Why switch to e-invoicing?
E-invoicing with accounts payable software can improve AP efficiency and simplify cash flow management. For more benefits, consult an implementation specialist.
What is the cost of accounts payable software?
While the cost varies based on organizational needs, switching to electronic invoicing with AP software can reduce costs to around $1-3 per invoice.
Do I need to install anything on my computer?
Typically, no installation is required. If you encounter technical difficulties, contact your technical support group or the software provider.
In conclusion, accounts payable software with approval workflow offers a powerful solution for businesses looking to streamline their AP processes, reduce costs, and improve efficiency. By leveraging advanced technology and customizable features, organizations can transform their AP departments and embrace the future of invoice processing automation.