Leveraging An Automated Receivables Solution To Streamline The Order To Cash Process
Receivables Automation
Interbranch dealings and customerservices departments are essential cogs in any businessesupply chain. big part of their success depends on the accuracy of their bookkeeping, where monies from each order are tracked from purchase to being paid to the vendor. Unfortunately, the process of collecting, distributing and reconciling payments can be cumbersome manual task, necessitating the implementation of an automated receivables solution to ensure accuracy and optimize the order to cash (OTC) process.
The first step towards implementing an automated receivables solution for business OTC process begins with recognizing the need for it. Having an understanding of the various steps and requirements of the process and being able to identify the areas that require optimization is paramount in properly implementing an automated receivables solution. Taking the necessary time and energy to thoroughly assess the payment process and recognize where an automated process can improve and even replace the manual tasks is required to properly design receivables solution.
Once this has been achieved, the following steps should be considered to further refine the design of the automated solution.
1. Define the Business Requirements
The initial requirements of the receivables process need to be thoroughly understood and specified in detail. This should include the information and data that needs to be captured from each transaction and how it will be captured. thorough inventory of the procedures and processes should also be taken, and these should be mapped as part of the requirements definition.
2. Integrate with Existing Networks
Configuration and integration with existing customer networks need to be done to ensure that any data collected is efficiently communicated and shared by everyone involved in the network. This may require an additional layer of data validation to ensure the accuracy of the information being recorded and enables quick resolution of any discrepancies between customer and vendor accounts.
3. Choose Suitable SaaS
Choosing suitable SaaS to provide the core of the receivables automation solution is perhaps the most important task. As the data being collected and shared constitutes the customers or vendor?s finance and bookkeeping information, it is of utmost importance that the SaaS chosen is secure and compliant with data privacy regulations. In addition, the interface of the SaaS should be user friendly and be customizable according to the business particular needs.
4. Test and Validate
Once the solution has been configured and the core SaaS implemented, it is important to test and validate the results to ensure the effectiveness of the implementation. This should involve both the technical and operational aspects of the implementation and where necessary may require additional modifications and/or training as needed.
5. Monitor and Improve
The automated receivables solution should also be monitored and evaluated, particularly in the early stages. Any issues noted should be promptly addressed, and appropriate changes made as needed. This ongoing process should ensure that the efficient use of the automated solution is maximized, resulting in accuracies and cost savings for the business.
The automation of the receivables process is an essential component of ensuring successful OTC process. Companies that while it is relatively simple to configure and implement an automated receivables solution, the sensitive nature of the transaction data requires due diligence when selecting and deploying the technology, lest the integrity of the information be compromised. Nonetheless, with the right technology and careful management, the benefits of utilizing an automated receivables solution to the order to cash process can be substantial, are often immediate, and will have positive effect on the efficiency of the process.
