Learn the eight ways AP transformation drives business value for manufacturing companies
1. Increase Efficiency
Manual AP processes are slow, costly, and error-prone. By replacing labor intensive processes with an automated workflow, AP processing occurs in a fraction of the time.
2. Decrease Costs
Costs mount from checks, late payment fees, and missed early payment discounts. Automating AP processes and replacing checks with digital payments eliminates costs and fees while simultaneously enabling capture of early payment discounts.
3. Drive Revenue
AP has traditionally been a cost center, but by partnering with an AP automation solution provider that offers cash back on ACH and virtual card payments, you can earn significant rebates on your AP spend.
4. Enable Scalability
As long as AP activities must be done manually, your ability to scale is restricted to the number of employees you have on staff. Automation allows you to scale effectively without increasing headcount.
5. Improve Decision Making
Digital transformation generates robust data and analytics, providing insights you need to better manage cash flow, gain leverage in contract negotiations, assess spend liability, optimize working capital management, and more.
6. Support Vendors
With expanded payment options, timely payments, status updates, fraud mitigation, and rich remittance data, digitizing AP actively strengthens supplier relationships, fueling your growth as a manufacturer.
7. Empower Employees
As time is freed up through automation, your AP staff can focus on strategic initiatives such as forecasting, cash management, auditing, contract negotiation, and more.
8. Strengthen Security
Traditional invoice-to-pay processes are riddled with vulnerabilities. Digital transformation of AP reduces fraud risk by identifying anomalies, preventing unauthorized movement of funds, and securely maintaining sensitive supplier bank information.
