The Perils Of Not Utilizing Automated A/R Collections Solutions
AUTOMATED A/R COLLECTIONS SOLUTION
Regardless of the past success of an order-to-cash system, company must be ever mindful of the risks associated with not taking advantage of the available software for automated A/R collections solutions. While the benefits of utilizing comprehensive software solution such as this are numerous, failure to implement automated systems can create number of problems that warrant the attention of C-suite executive.
For starters, without an automated solution in place, organizations may be placing their accounts receivable at considerable risk. When manual processes are relied upon to track and manage accounts, the chance of human-error creates significant likelihood that an invoice may be overlooked or incorrectly entered, resulting in delay or complete failure of payment. Moreover, without an automated process, audits of accounts or individual invoices are extremely cumbersome.
Another risk of not embracing automated solutions is the increased opportunity for fraud. As organizations rely on paper-based processes, data is vulnerable to inappropriate access and even denial of service attacks. An automated system reduces the chance of such data intrusion, thus reducing the chance of abuse or manipulation of accounts.
Customer service is also concern when automated solutions are not employed. Without centralized and consistent system, systems are likely to be less accurate and more difficult to maintain. In addition, customers may be left waiting for answers and updates, creating negative experience that could result in diminished loyalty and lost business.
Finally, audit trails and compliance remain difficult to monitor when manual processes are in use. Organizations risk violating industry and governmental regulations if they cannot track or prove they are enacting procedures that satisfy applicable obligations. Without clear system of documentation, any organizations run the risk of astronomical fines or even criminal charges.
In conclusion, automated A/R collections solutions are no longer optional. By taking advantage of the software options available, organizations can greatly reduce their risk of human-error, fraudulent activity, customer dissatisfaction and non-compliance, thus assuring secure and successful order-to-cash system.
