AP automation enhances the efficiency of accounts payable operations with improved information accuracy, complete visibility into AP department performance, and better consistency with business and industry guidelines. AP automation offers benefits such as improved invoice data entry speed, enhanced accuracy, complete visibility into AP department performance. Read a blog to find more.https://aavenir.com/6-reasons-to-consider-automating-accounts-payable-invoice-processing/

1. 6 Reasons to Consider
Automating Accounts
Payable Invoice Processing

2. Challenges
As per Ardent Partners’ Accounts Payable Metrics
that Matter in 2020, several sizable barriers exist that
hold AP back are:
• Too much paper (40%)
• Exceptions Rate (62%)
• Lengthy invoice approval times (51%)
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3. 6 Reasons to
Consider
Automating AP
Invoice
Processing

4. #1 Working Capital Optimization
Many businesses work with increasing payables
as their core strategy by extending payables if
possible, to maximize free cash flow.
Unfortunately, this approach is not always the right
one. In some cases, delaying payment can erode
supplier goodwill, resulting in slower delivery
times, less willingness to fix defects, slower
responses to queries and more onerous payment
terms.
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5. #2 Faster and Accurate Invoice
Data Entry
In the traditional workflow, invoices data are being
manually entered and passed from business units
to accounts payable team for review and
approvals.
This manual invoices payment cycle often
introduces data inaccuracy, delayed responses,
and lack of visibility, leading to late payments,
duplicate payments, erroneous payments, and
sometimes invoices are left unprocessed at all
because they’ve somehow gotten lost in the
manual process.
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6. #3 Improve Invoice Processing
Accuracy
While managing accounts payable, errors are
costly and take time to fix. Exceptions are often
caused by discrepancies in PO and invoice data,
missing/incorrect POs, and bottlenecks in the
approval workflow.
When there’s a problem with an invoice—pending
of approval or routing errors—an invoice exception
occurs. This can lead the payable process to a
screeching standstill, and without verification or
centralized information access, can also give
chances to duplicate payments and other payment
errors.
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7. #4 A Simpler Way to Spend
Analytics
Spend visibility and planning is a critical issue,
especially with paper-based invoices. Replacing
manual processes with automation prevents
delays. Lost or misplaced invoices become a thing
of the past when you have easily accessible digital
archives.
Greater spend visibility also improves planning by
allowing for more accurate budgeting and
forecasting. It provides transparency and greater
insight into where cash is spent.
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8. #5 Increase Productivity
Exceptions are often caused by discrepancies in
PO and invoice data, missing/incorrect POs, and
bottlenecks in the approval workflow.
When there’s a problem with an invoice—pending
of approval or routing errors—an invoice exception
occurs. This can lead the payable process to a
screeching standstill, and without verification or
centralized information access, can also give
chances to duplicate payments and other payment
errors.
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9. #6 Reduce Invoice Processing
Costs
AP departments that automate invoice processing
can cut their processing costs and save money
from day one.
Switching from manual to automation of AP can
access invoices, extract information, sort, scan,
validate, match, archive with the goal of reducing
manual handling, cycle time, and costs.
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10. “
AP automation can decrease the average
cost to process a single invoice (all-
inclusive, including labor, overhead,
technology, etc.) by nearly 13%. This
suggests that it improves the day-to-day
operations that support invoice processing
and enterprises that are not focusing on AP
performance are falling behind.

11. Automate Accounts Payable
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AI-enabled invoice approval workflow with
automated invoice data extraction and verification
to improve accuracy and efficiency.
Aavenir Invoiceflow
Download Product Brief

12. Get Free Resources
Accounts Payable
Automation Value
Kit
Free Download
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Payable ROI
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Invoiceflow
Accounts Payable
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Resources
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14. Delivering Future
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