Accounts Receivable Automation: Automating The Order To Cash Process
Automating Invoicing And Accounts Receivable
As finance executives look for efficiencies across their business, Accounts Receivable processes and procedures can benefit from automation. Accounts Receivable (A/R) automation enables organizations to streamline the process from when an invoice is sent through to receiving payment. This order to cash process can significantly impact the health of cash flow. To ensure that this process is managed as effectively as possible, using Software as Service (SaaS) to automate the A/R process can be great solution.
For finance departments looking to move to an automated solution, there are certain steps to take. This guide presents an overview on how to make the transition from manual A/R processes to automation.
Step 1: Choose SaaS solution for automation
The first step for SaaS automation is to identify and research solutions that are available to automate A/R and Accounts Payable processes. Consider the size and complexity of the organization and what features are required for an effective solution. Different solutions may offer variety of features from credit and collections tools to automated payments and invoicing software.
Step 2: Integrate the solution with existing processes
Once the SaaS solution is selected, integrating the solution within existing technology and processes should take place. This process includes updating legacy systems and software with the necessary integrations and information. Consider if new collaboration and communication tools need to be added and what the organizations budget is like for such projects.
Step 3: Set-up the system
Set-up is the next step within the process, which includes configuring the software to suit the organizations particular needs. This step will require consistent communication and oversight to ensure the system is configured as needed. Teams within the organizationsuch as the IT department and finance teams should work together to create system workflows and refine the software for optimization.
Step 4: Train staff
It is important that staff are educated and trained on how to use the system. This can be done online or in-person and will involve training both new and existing staff on how the system works and how to benefit from it. Providing user support, should issues arise, is also an important part of the system?s success.
Step 5: Monitor performance
Regularly monitor the performance of the software to ensure efficiency gains are being achieved. This will involve policing that staff are complying with the new SaaS system and if procedures need to be modified. Feedback should be invited and addressed, to ensure that users are satisfied with the performance of the system.
Conclusion
The process of transitioning to an automated order to cash solution may take time, however the long-term gains are ultimately beneficial. It is important to undertake the process in stages, so as to ensure the system is optimized and staff are trained correctly. In the end, automating Accounts Receivable processes can improve accuracy and efficiency across the organization, leading to improved cash flow.
