Organizations are looking for methods to improve work efficiencies and reduce costs in AP and AR process with the help of RPA.
FREMONT, CA: Managing finance and accounting processes, specifically Accounts Payable (AP) and Accounts Receivable (AR), is a challenging area for businesses across industries. This is mainly because most of the accounting departments in organizations still rely on manual employee intervention and paper invoices to process payments. But today, organizations increasingly realize that manually driven, paper-and-people-based processes lead to both high transaction costs and missed business opportunities. As an increasing number of organizations continue to look for methods to enhance work efficiencies and reduce costs, one of the technologies that is growing rapidly in popularity is Robotic Process Automation (RPA). Some positive points associated with the use of RPA is here.
• Identification and Resolution of Matching Errors
Resolving errors in purchase amounts, vendor contact data between invoices and purchase orders and other detailed inaccuracies are major headaches for AP and AR staff. Software robots can reduce much of this manual work and make sure a greater level of accuracy, while also freeing up employees to spend time on more values financial activities, including budgeting and strategy.
• Easy to Scale
Best practice RPA workflows can easily be reused across various departments and locales, ensuring simple scalability. Robots from the active pool can rapidly be re-allocated to busy queues to match a company’s current circumstances, whether it be a state of ongoing growth or ad hoc fluctuations in the AP and AR workload.
• Faster Account Reconciliation
When closing the books is dependent on various employee inputs, it becomes a time-consuming, daunting procedure. However, if RPA is used to automate data transfer, troubleshoot inaccuracies and manage decision-making, the human error factor is eliminated, making account closure a quicker and more accurate process.
• Escalate Accounts
Invoice disputes are often a challenge for companies. The longer they remain in dispute, the less likely they are to be paid. To avoid delays in this process, companies can program the RPA to give priority to any account that goes into dispute instantly. The system can promptly notify and ensure that employees deal with the issue promptly. When the RPA can successfully differentiate between high-priority and low-priority issues, it is more likely to resolve the dispute beneficially.