Demystifying Automated ARFlow For C-Suite Order To Cash Solutions
Automated Ar Flow
Navigating through the complexities of automated AR flow can be an arduous task for any Finance executive looking to implement an Order To Cash solution. Many find the task so daunting they struggle to even understand the processes they are attempting to automate.
A C-Suite professional in the Finance Department looking to facilitate automated AR flow will first want to understand the four typical components: invoice capturing and approval, cash application, dispute management, and collections and analytics. From there you can assess your current technology infrastructure, consult your operational team, and develop plan of action to automating your process.
Invoice Capturing and Approval
The automated tool you choose should first capture invoices from customers. The system should have the ability to receive invoices from vendors in variety of formats, including printed and digital. The second step for any successful automation is the approval of invoices for payment. The AR flow solution will route approved invoices to the payment system for processing.
Cash Application
Ensuring receivables credits and debits are properly updated can be challenge, but the automated system can make the task easier. The tool should have the ability to apply payments from customers from multiple sources to appropriate open invoices and automatically update the ledger accordingly.
Dispute Management
Dispute management is key part of the automated AR flow. The right Softwareshould effectively manage disputed items, including handling customer correspondence, credit holds and various payment adjustments. Ensuring customers are billed accurately and processing disputes in timely manner can be greatly aided by smart Softwaresolution.
Collections and Analytics
Analyzing companies receivables performance and identifying areas for improvement is necessary, and the right automated AR flow solution should do this with ease. Any good Softwareshould enable an organization to execute follow-ups, apply dunning strategies and handle difficult cases. Scanning and integrating data into reporting and analytics serves to provide further insight and promote collections performance management.
Conclusion
Automated AR flow can be an important step for any Finance executive in implementing an Order To Cash solution. However, with so many pieces and parts to consider, it can be daunting. Understand the four typical components: invoice capturing and approval, cash application, dispute management and collections and analytics. Assess your current technology, consult operational teams and develop plan for automating your process. The right automated AR flow Softwaresolution will help make your entire order-to-cash process far easier and more efficient.
