Invoice Processing Systems Save Costs And Time

By Author: Karen. Zecy
Total Articles: 1
Comment this article

Invoice processing is an entirely manual process in most accounts payable departments. This means that the accountants often struggle to stay up-to-date with all the bills and vouchers.

Invoice processing is an entirely manual process in most accounts payable departments. This means that the accountants often struggle to stay up-to-date with all the bills and vouchers. There are plenty of invoices that are received in a paper form every day. There is also a lot of correspondence that needs to be dispatched every day, both inside and outside the company. These documents also need to be filed under the appropriate sections so that they can be found at a later date. A company needs to hire many employees just to deal with all the paperwork. The problem with such a large amount of paperwork is that some of these vouchers might get misplaced and not get paid on time.

Thankfully for these accountants computers and modern software has provided some relief from these cumbersome tasks. Many firms these days are trying to buy systems that will reduce the amount of paperwork that they have to deal with. They want systems ...
... that can automate these processes so that they can reduce the number of employees that they have to hire for these tasks. Good systems will also lead to a reduction in the number of errors.

Good purchase to pay solutions scans all the orders before they enter the automated workflow. This includes things like purchase orders, invoices, shipping information, cancelled checks and correspondence to both internal as well as external parties. The clerks who work in the accounts payable department are notified by email when their invoices are ready to process. They can then match them with the process order in the accounting system or enterprise resource planning application. They can then apply the correct ledger codes to the order. The supervisor who is in charge of invoice processing is notified when the invoices are ready for approval. In case the supervisor finds any issues in the invoice, he sends it back to the clerk for addressing them. Once all issues with the invoices have been addressed, the supervisor approves the payment as part of the next check run. The software also has excellent document management systems. All the invoices and other documents are filed electronically in the system.

Workflow automation has been known to cut invoice processing costs considerably. They eliminate the problem of duplicate payments. They can manage the payment needs of multiple offices with ease. The amount of time taken to get approvals for each invoice has been known to decrease. The system will automatically route all the invoices to the personnel who are required to see it. Filing and retrieval of documents is done quickly and efficiently. This also allows the top management to take a look at the vouchers if they wish to see it for any reason. Companies can also enroll in an automated clearing house for making their payments. Reconciling receipts and payments becomes a lot easier when software like this is inducted into an organization. With the help of such modern software, invoice processing has become a lot easier in many firms.
Resource: http://www.americanmicrokc.com/accounts-payable-scanning-automation