How Accounts Payable Automation and Efficient Outsourcing can Save the Day.

The account payable process flow is one of the most critical tasks of any business. Accounts payable efficiency and accuracy are vital for a healthy cash flow. Many businesses are currently facing accounts payable challenges.

A past survey showed that 25.6% of companies do not have accounts payable automation software. Also, 73.1% of accounts payable teams struggle to ensure their purchase orders and invoices match. Accounts payable automation best practices streamline invoice processing. Many companies are opting for accounts payable outsourcing. Let’s learn more about this!

Automating the accounts payable processes adds value to businesses. It frees their teams to work on other critical tasks. Some of the key benefits of AP automation are given below:

1. Low-Cost Invoicing

The average monthly cost to process 5,000 invoices manually is $64,500, according to data from APP2P Network. Using automation for processing invoices, the cost would be around $8,850. This will result in savings of approximately 85%. 

2. Time Savings

Traditionally, invoices were sent to their respective desks awaiting approval. Automated routing cuts through such delays and streamlines the approval process. According to Aberdeen Group, Accounts Payable automation effectively translates to about 18% fewer days payable outstanding. This equates to savings of approximately 5.55 days on average. 

3. Data Transparency

Tracking employee productivity becomes easier with enhanced dashboards. It is also handy for employee reviews. Managers can use the tool to track individual and team performance and productivity.  

4. Enhanced Insight

Account Payable automation software includes comprehensive dashboards. It provides a clear insight into the payment cycle. Data can be exported and imported with real-time access. This is ideal for analysis and reporting, especially at the end of payment cycles.  

5. Improved Accuracy

Account Payable automation software helps in reducing errors. The invoice data is also validated against Enterprise Resource Planning information. This helps track duplicate payments efficiently.  

Outsourcing companies provide highly efficient solutions with 100% accuracy. BPO providers aim at helping companies focus on their core competencies while enhancing their accounts payable operations.

1. Outsourcing Cost Savings

Outsourcing companies help businesses avoid overhead expenses facilitating cost savings. According to the American Productivity and Quality Center, the bottom 25% of organizations surveyed paid $10 or more for each invoice they processed. Meanwhile, the top 25% could do the same tasks for $2.07 or less.  

2. Access to Resources

Outsourcing companies offer the latest tools and technologies. So, firms can manage their accounts payable processes efficiently. These technologies include:

• Advanced software for data analysis services. 
• Cloud-based solutions for enhanced accessibility and collaboration. 
• Robotic process automation (RPA) for repetitive tasks. 
• AI-powered systems for improved decision-making. 
• Machine learning algorithms for predictive insights and trend analysis.

3. Stronger Security

Many firms, especially mid-sized businesses, may not have the resources to deploy the best security methods. Accounts Payable outsourcing experts help provide data security.  They provide cybersecurity measures to protect sensitive information.  

4. Efficient Processes

Errors in the accounts payable processing can lead to serious troubles. Even small errors in the accounts payable processes can lead to compliance issues. Also, overpaying a vendor or making inaccurate payments can land the firm in problems, especially during audits. Business process outsourcing takes care of all accounts payable challenges.  

ARDEM is one of the leading accounts payable outsourcing companies in the US. We offer comprehensive accounts payable outsourcing solutions. Thus, we help you streamline your accounts payable processes. Our expert services focus on optimizing every aspect of your accounts payable functions.

Accounts Payable Outsourcing Services by ARDEM

Our accounts payable outsourcing services include:

1. Vendor invoice processing and management 
2. Payment processing and disbursements 
3. Vendor management and communication 
4. Compliance and regulatory adherence 
5. Data entry and document management 
6. Purchase order matching and verification 
7. Exception handling and resolution 
8. Cash flow management and forecasting 
9. Utility bill management for payment 
10. Accounts payable invoice processing best practices 
11. Accounts payable automation best practices 

Benefits of Business Process Outsourcing with ARDEM

Here is an overview of how ARDEM can help businesses with accounts payable processing services:

1. ARDEM aims to offer efficient results with cost optimization.  
2. ARDEM provides numerous services, including the latest technological tools. These include cloud and collaboration platforms, automation, machine learning, robotic process automation, OCR and ICR technology, and much more.  
3. ARDEM facilitates a strong security system at multiple levels. We use VPNs, SSLs, and PGP encryptions as a standard practice for securing client data.  
4. ARDEM focuses on providing clients with efficient processes with 100% accuracy and cost-efficient solutions.

Companies can benefit considerably from accounts payable outsourcing. They can benefit from accounts payable automation and expert solutions. ARDEM provides BPO cost-effective solutions to provide 100% accuracy. We adhere to the best practices in accounts payable. Partner with ARDEM to streamline your financial processes and cut costs. Reach out to us to boost your accounts payable efficiency and accuracy.