Risks Of Ignoring Accounts Payable Automation Software
AUDIT PROGRAM FOR ACCOUNTS PAYABLE
With financial landscape that is constantly changing, finance executives must take extra care to ensure their firm is not overlooking crucial precautions. One such crucial measure is the implementation of accounts payable (AP) automation software. As the proliferation of digital business increases, the risk of not automating the accounts payable process quickly dwarf any purported benefits of manual solutions.
The development of complex regulations and the increased sophistication of fraud and finance crime present unique conundrum for businesses. To maintain financial control, organizations must be on alert for any discrepancies before they become an issue. With documents in the AP department often running into hundreds per month, manual inspections are painstakingly time-consuming and can result in not catching vital clues.
By investing in an appropriate AP automation software, organizations may significantly reduce the workload immensely, while ensuring any discrepancies are quickly identified. Such system will provide the hierarchy of engagement with reliable and comprehensive picture of their accounts payable into single portal where all merchant requests, accounts, payments and audit reviews are performed.
The most effective accounts payable automation software will also have litany of features designed to minimize risk. These can include up-to-date auditing and approval tracking, as well as advanced data analytics for spotting any irregularities. This is combined with real-time invoice processing, such as automated account transfers, to eliminate any delinquent payments.
Another threat presented by manual accounts payable processes is that of cyber security. As technology advances, so too do the techniques of malicious hackers. Any organization that relies on manual advanced has an additional risk of data breaches and network hacking. Automation software reduces this risk due to its defense-in-depth measures, such as data loss prevention, encryption and two-factor authentication.
In conclusion, the risk of ignoring accounts payable automation software far outweighs any potential pay-off from manual processes. These automated systems provide detailed audit logs, as well as secure payment methodologies that are vastly more efficient than outdated manual solutions.
Investing in an accounts payable automation software is no longer an optional luxury, but rather crucial measure in retaining optimal financial control and preventing fraud. Any finance executive who underestimates the risk of not doing so could potentially be jeopardizing the reputation and finances of their organization.
