Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

AP Automation and Invoice Processing: Removing Paper Pain

1,220 views

Published on

Creating a paperless invoice processing/AP Solution can add efficiency and reduce costs.

Published in: Technology
  • Be the first to comment

  • Be the first to like this

AP Automation and Invoice Processing: Removing Paper Pain

  1. 1. Accounts Payable Automation: Solving the Paper Pain
  2. 2. Accounting = Paper •The analyst firm Gartner believes that, in the United States, about 75% to 80% of invoices are still paper-based. Source: Gartner, Accounts Payable Invoice Automation, Gartner RAS Core Research Note G00163833, December 2008
  3. 3. The Costs of Paper •Companies spend $20 to file a document (Time, materials, copy, etc.) •$120 in labor to find a misfiled document •$220 to reproduce a lost document Association for Information and Image Management (AIIM)
  4. 4. Shipping and Mail •Branch to HQ Shipping Costs •Regional offices send all their invoices to HQ for centralized processing •Even those that scan have image management issues •Time delay
  5. 5. Payment Cycles •According to IOMA, 25% of all invoices are paid late •Increased cycle times with paper •Data entry errors can lead to added time to search and find invoices Institute of Management Administration
  6. 6. Searching and Locating •Audits and legal issues can cost $$$ •Physical file searching is painful •Costs of finding, removing, copying and replacing files •Customer service issue
  7. 7. Archive and Storage •Long term storage costs •File cabinet space •Disaster recovery
  8. 8. Top Benefits of Digital AP 0.26 0.29 0.34 0.34 0.36 0 0.05 0.1 0.15 0.2 0.25 0.3 0.35 0.4 Reduced Cycle Times Audit Process Improvement Improved Visibility of Process Lower Processing Costs Fewer Lost Invoices Accounting and Finance Survey Imaging Adoption Survey by Paystream Advisors
  9. 9. Filing Time/Cost Comparison •Storage Costs for Paper –Time to File: 5 minutes –Cost of Filing Invoice: $1.67 •Scanning and Imaging Costs –Time to File: 30s to 1.5m –Cost: $ .50 *based on $20 per hour
  10. 10. Summary Paper processing is expensive Digital AP provides a variety of benefits Efficiency Productivity Gains Reduced Costs Invoice Processing Solutions by inFORM

×