There are many challenges, such as dealing with the growing threat of fraud, but by focusing on the essential accounts payable trends for 2019, the benefits of automation, AP has the potential to become highly influential within the overall organization.
FREMONT, CA: In the age of digitization, modern and advanced technologies and pressure from CFOs to improve processes and cut costs, having a growing influence across the globe. Accounts payable (AP) has generally been seen primarily as a cost focus, concentrated on strict procedures, the new year offers the chance to reflect and evaluate regions with the possibility to change the manners by which your AP department works.
Here are three accounts payable trends in rage for 2019 so far.
Trend - 1: Increased Possibilities with Automation
According to a recent report by Paystream Advisors, the top two most significant challenges within AP are the manual routing of invoices for approval and manual data entry. When institutions are striving for enhanced efficiency and productivity, AP automation becomes one of the most influential accounts payable trends for the present year. A report of IOFM reveals that actions are already being taken by organizations to develop their levels of automation within AP. A suitable solution should be provided for the organization which does not have an automated AP process in place. Some advantages to accounts payable automation include quicker approval of invoices, increased productivity, increased visibility over the entire AP process, and lower processing costs. Robot Process Automation basically can automate low-skill jobs, for example, invoice matching and data entry. Working under a standard-based system, twenty-four hours every day, with mistake-free results, the advantages incorporate less processing costs, expanded productivity, and improvement of worker time.
Trend – 2: Procurement and Accounts Payable Synergies
As institutions keep on concentrating on decreasing costs, improving procedures, and guaranteeing compliance, a coordinated effort between accounts payable and procurement is turning into even more significant. It is one of the accounts payable trends for 2019. In order to take any institution to the next level, one has to adopt automation. This process will leverage the company in several manners like optimizing employee time, improving supplier relationship management, providing better control over non-trade spend, and others.
Trend - 3: Fraud Prevention
Strategic Treasurer Report reveals that approximately 86 percent of organizations had experienced at least one type of fraud in the last two years. The report also says that most of the institutions have started giving more importance to fraud prevention. If the organizations switch to digital payments from paper, it will help in specific ways but will not remove the threat entirely. Institutions should plan to invest in a fully automated procure-to-pay solution.
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