The demand for accounts payable automation software tools to seamlessly automate accounts payables (AP) workflows have witnessed significant growth — from large enterprises to SMEs. AP automation process scope and intent for automation are different across most companies - depending on the underlining business requirement and process cycles.
When we imagine automation as one of the primary growth drivers towards increased profitability - we might envision the AP function, confined from manual touchpoints and within a paperless environment - where invoices are automatically processed, routed for approval and payments.
Allocating valuable resources and time on manual data entry and reconciling invoices hampers productivity. AP professionals can spend their time addressing other business-critical activities. It can transform cost centers into profit centers and contribute to bottom-line growth. Let’s find out the tools, and how does accounts payable automation work and the roadmap which organizations can leverage for building the best-case scenario.
Learn from Karan Yaramada (CEO and Founder – Kanverse.ai) about How Enterprises can Leverage AI to Make Document Processing Touchless.
1. Powering accounts payable automation with an Intelligent Data Capture tool
Accounts payable automation process involves leveraging ai document extraction solutions to extract data from invoices and other documents.
The first wave of document capture solution was driven by template-based optical character recognition (OCR) technology. However, this approach had its pitfalls. Staff members needed to create templates to extract data from invoices or other documents manually based on the incoming document layout. The templates were helpful to process invoices having similar formats; however, the whole system would fail when the business witnessed invoices bearing different formats. In such situations, the staff member had to create a newer template to accommodate the new format.
AI document extraction products combines OCR with AI capabilities which has opened a new world of opportunities in data capture technology from invoices. It has paved the way for ai invoice processing. It helps businesses process invoices with different formats seamlessly, without worrying about the language in which the invoices are printed. It is helping companies to hard-code nimbleness to process core, enhance productivity, improve customer experiences, and draw in more early-payment discounts.
Learn More about What is Optical Character Recognition Software?
2. An important tool for accounts payable automation teams -Business Rule framework
Business operations are diverse across most companies, based on which roles and responsibilities within an accounts payables (AP) function is defined and taken into consideration while driving an automation project. An organization with a global presence may witness different fulfillment requirements across AP centers to ensure processes are running efficiently, at maximum capacity, and with zero downtime.
It can be a daunting task for AP process participants to actively check and monitor the inflow of documents to detect errors and ensure seamless process continuity in a rapidly changing environment.
AP team members are required to validate the extracted data with their existing systems of records, based on which approvals and payments are sighted. The invoice reconciliation activities encompass matching invoices with the purchase order (PO), matching line-item information, troubleshooting situations where the PO is missing, calculating tax, and many more. As the company scales its operations, the volume of incoming documents will only increase and add to the AP team's woes. Manually reconciling also leads to unwanted errors.
Best AP automation software combines AI along with business rules to revolutionize invoice reconciliation process. As the data is extracted from the invoice, the system automatically checks and notifies the operator regarding mismatches. The system also guides the operators to resolve the mismatch. Previously AP teams needed to navigate multiple systems and screens to reconcile invoices, all of which were time-consuming and inefficient.
An automated invoice processing software like Kanverse combines AI and out-of-the-box business rules to help organizations validate and verify the data the moment it is extracted. Catering to changing business needs, administrators can also create custom logic to validate the extracted data. It saves time, reduces the chances of errors, and boosts productivity multiple folds.
Learn More about Why should businesses care about Intelligent Document Data Capture and AI Automation Software?
3. Automation is the major tool for accounts payable teams to digitize the invoice to payment process
Account Payables Automating projects across Oracle, Netsuite or SAP workflows involve zero-touch approach right from invoice receipt to payment, while delivering quantifiable value across several areas:
- Enhanced Resource Utilization - Eliminating the repetitive, time-consuming, and manual activities allow the accounts payable team to focus more on business-critical and strategic initiatives. It helps to reduce costs and contributes positively to the bottom line growth
- Reduced Error - Manually reconciling and processing data can lead to unwanted errors. Automating data validation activities across invoices, purchase orders, and existing systems of records can mitigate risks and bolster operational efficiency.
- Monetization Opportunities - Automating payments and approval workflows for invoices can help with the realization of early payment discounts and additional rebates
Kanverse Accounts Payable Invoice Automation approach combines AI, ML, OCR, and NLP technologies with automation. It helps organizations achieve a paradigm shift over traditional ways by which businesses read and process paper and electronic documents to unlock their value in real-time. Learn more about the 10 Things you need to know about Intelligent Document Processing (IDP) products.
Kanverse brings you the best optical character recognition software to automate Accounts Payable (AP) Invoice processing for enterprises right from ingestion, classification, extraction, validation to filing. Extract data from a wide gamut of documents with up to 99.5% accuracy using its multi-stage AI engine. Say goodbye to manual entry, reduce cycle time to seconds, optimize cost by up to 80%, minimize human error, and turbocharge productivity of your team.
AP automation software like Kanverse APIA (AP Invoice Automation) is built to do the heavy lifting across your AP cost centers while your staff can focus on productive and business-critical activities.
Kanverse can also automate insurance submission workflows and seamlessly process ACORD and supplemental forms.
Schedule a demo with us today to find out more.
About the Author
Aritro Chatterjee, Product Marketing, Kanverse.ai