Grow Your Bottom Line with AP and Invoice Automation


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Learn how AP and Invoice Automation can help improve your Accounts Payable processes. For more information please visit or follow our company page on LinkedIn:'s-document-management

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Grow Your Bottom Line with AP and Invoice Automation

  1. 1. Grow YourBottom Linewith AP andInvoiceAutomationAP Presentation 1
  2. 2. Did YouKnow?• For best in class AP professionals, it takes on average3.8 days to process an invoice and costs $3.09• For the bottom 30% of professionals it takes over 20days at a cost of $38.77• For a medium sized organization processing 100,000invoices per year, the cost is over $3.5 million• International Accounts Payable Professionals (IAPP)found that it costs – on average - $8 to process aninvoice manually; other firms report processing costsare as high as $10-$20 for a single paper, fax or emailinvoice• 83% of invoices are still paper based• 60% of the clerical effort in a typical financeorganization is spent on inefficient paper processes thata company financial transactions such as bill paymentsand collections management.• Data entry errors average 1.6% of the total APtransactions• AP Benchmarking Survey of over 450 AP departmentsreveal that 20 percent of respondents say 4 percent ormore of vendor payments have errors• According to a survey, 75.8% of vendors and 59.5% ofbusinesses reported invoice processing error rates of atleast 1%, while 14.2% of vendors and 2.8% ofbusinesses reported error rates of at least 5%.Did You Know? 2
  3. 3. What Are theBenefits?Dramatically improve the way your company processesincoming invoices. You will lower costs, process invoiceinformation faster with less staff and take advantage ofmore early-pay discounts. No matter how many invoicesyou process—or where you process them—it willminimize manual data entry and automatically captureand deliver accurate invoice data into your financial,enterprise content management, enterprise resourceplanning and document management systems.With AP automation, managing your AP process getseasier, too. It’s easier to find past invoices with accuratelyindexed images in your document management system.Accounts payable clerks can focus on higher value-added tasks, such as resolving vendor invoicediscrepancies. It becomes easier to monitor and controlprocessing and payments with timely and accurate datadelivered automatically. And your entire AP departmentwill accomplish more in less time.• Reduce manual data entry costs• Capitalize on early pay discounts• Increase invoice data accuracy• Improve cash flow cycle management• Shape it around your business rules• Automate accounting distribution of your line-itemcharges• Deliver accurate invoice data fasterWhat Are the Benefits? 3
  4. 4. Just ThinkAbout ItReduce Cycle TimesPrompt payments enable early payment discounts,eliminate late fees and reduce duplicate paymentscaused by suppliers resending overdue invoices. Theresult is increased supplier satisfaction and maximizedcash flow.Eliminate Lost or Misfiled DocumentsInvoices are captured online immediately so they neverget lost or misfiled. The copying, faxing and resending ofinvoices is eliminated.Reduce Document Transport and Storage CostsEliminates mailing invoices for review and approvalreduces need for physical storage space.Improve ProductivityReduced AP invoice preparation, manager approval andback office processing times increases efficiency.Instant AccessAll this can be stored in a centralized location and can beaccessed instantly, so any invoice or delivery disputescan be settled with a touch of a button or the click of amouse. Just Think About It 4
  5. 5. The Keyto APAutomation:InvoiceConversionPhysical & Digital PO Boxes Provided• Physical Pickup / Digital Mail Retreival• Mail & Email Processing and SortingInvoice Handling• Preparation• Scanning• Quality ControlData Capture & Extraction• Pertitent invoice information captured - summary/detail• Matching extracted invoice information to vendormaster fileFinal Output - Digital Files Returned• File for import into existing ERP/MRP system• File for import into EDMSConversion is Key 5
  6. 6. Full OnIntegrationProviding EDMS• Server or Cloud-based EDMS to manage digital fileswithin Accounts PayableAP Automation• Automating purchase orders and receiving documentsdirectly from ERP/MRP and into EDMSDirect Integration• Ability to retreive documents (via EDMS) through tightintegration right within your current ERP/MRP system• Create AP Invoice Workflows and Approval/PaymentRouting - elimination of inefficient paper-based workflowIntegration 6
  7. 7. How DoWe Do It?Kelley HartmanBiel’s Document ManagementProject ManagerData Capture & Extraction MethodsBlanket PO• Full OCR• Template for Vendor• Line Item DetailNon-PO• Utilities, Expense Reports, etc.• Line Item Detail• Point & Click Processing• Master Vendor File Lookup• Smaller VendorsHow Does it Work? 7
  8. 8. Why ShouldYou Do It?Success Story• Client averaged 1,500 invoices per month• They calculated their cost to process an invoice was$3.69 (this includes costs to retreive/open mail, dataentry, shredding, etc.)• Biel’s was able to complete replace their invoiceprocessing with our AP Invoice Automation system at acost of $2.50 per invoiceWhy Should You Do It? 8ClientMonthly Cost = $5,535Yearly Cost = $66,420Monthly Savings = $1,785Total Yearly Savings = $21,420Biel’sMonthly Cost = $3,750Yearly Cost = $45,000