Every business, regardless of size, works with suppliers and vendors who regularly send invoices, often on a monthly basis. Many of these supplier invoices still arrive as paper documents through the mail. Manually processing these invoices can result in errors, missed early payment discounts, or even worse, late payment penalties. The solution to this cumbersome process is accounts payable automation, which can save both time and thousands of dollars by streamlining invoice processing activities.
By integrating accounts payable automation solutions with document management systems like infoRouter, businesses can easily automate invoice capture, approval workflows, and payment processing. Invoice scanning and converting them into digital files allows for seamless integration with AP automation software, enabling businesses to automate repetitive tasks, reduce errors, and accelerate payment cycles. Automation also improves visibility and control over the entire accounts payable process, ensuring timely and accurate payments, better vendor relationships, and the opportunity to take advantage of early payment discounts. Additionally, automated accounts payable solutions help with compliance and audit readiness by providing a secure, traceable record of every transaction.
Managing Incoming Invoices in Various Formats
- Paper invoices received in the mailroom, waiting to be routed through interoffice mail
- Paper invoices received in the mailroom, awaiting scanning for digital processing
- Invoices received electronically via email
- Invoices received through electronic data interchange (EDI) systems
- Invoices submitted via vendor portals or procurement systems
- Invoices received through fax, converted to digital formats for processing
- Invoices generated by mobile apps or online payment systems
Handling supplier invoices in paper form is one of the riskiest methods of invoice processing, as they can easily be lost or misfiled, leading to payment errors and inefficiencies. Even when invoices remain intact, manual processing is highly inefficient. The appropriate person must be tracked down for approval, and when multiple parties are involved, the process becomes even more cumbersome, often leading to delays and inefficiencies.
Instead of having to chase the right person down to get their approval, you can easily route invoices to the right people using the infoRouter workflow feature. A simple workflow can be quickly created to add steps and tasks necessary to approve or reject an invoice. This can lead to very efficient and speedy invoice processing.
Then there are invoices sent through email which can get stuck in someone’s inbox for a long time before it is processed. This too could lead to embarrassing situations and late payment penalties.
Accounts Payable Automation and Invoice Processing Workflow with infoRouter
infoRouter offers an easy interface to quickly build custom workflows that fit your needs, enhancing operational efficiency and improving accuracy in the invoice approval process. By leveraging infoRouter's workflow capabilities, you can design workflows with multiple steps, each containing tasks to be performed by the right users and/or user groups to get the job done quickly.
An invoice comes in through one of many channels and gets routed into an infoRouter folder where the initial handling is automatically assigned to a designated user. After a manual review of the invoice, this user routes the invoice to an appropriate workflow.
Depending on the invoice, it may be automatically routed to one or more users. The invoice is then finally approved or rejected by a designated user at the last step. The last step of the workflow is capable of making an API call to an external system (Accounting System) to pass along detailed processing information. This integration with your Financial Systems is where the invoice is paid.
Because all invoices go through the same set of processes, the progress and workload can be tracked and audited, ensuring compliance with internal and external compliance rules. This automation solution enhances operational efficiency and provides improved accuracy throughout the invoice approval process.
Find out more about infoRouter Workflow Processing.
Why is Accounts Payable Automation Important?
- Speeds up the entire invoice processing cycle, reducing the time spent on manual tasks
- Minimizes human errors, such as incorrect data entry or misplaced documents
- Helps avoid late payment fees, penalties, and interest charges
- Enables businesses to take advantage of early payment discounts, improving cash flow
- Eliminates paper handling by allowing faster electronic routing and approval processes
- Enhances auditing and tracking capabilities with detailed audit trails of each transaction
- Provides near-instant search results for invoices, streamlining retrieval and access
- Improves overall visibility into the payment process, enabling better decision-making and financial control
- Increases compliance with regulatory and internal policies by standardizing processes and adherence to compliance rules
Enhancing Operational Efficiency with infoRouter's AP Automation Solutions
Implementing an AP automation solution like infoRouter significantly enhances operational efficiency by streamlining manual processes involved in handling supplier invoices and payments to vendors. By leveraging advanced automation software and technology, businesses can process high volumes of invoices with improved accuracy, reducing payment errors and ensuring accurate payments.
infoRouter integrates seamlessly with existing in-house applications using the infoRouter Web Services API facilitating the transition from paper-based or electronic invoices to a fully automated invoice approval process. The system's invoice scanning capabilities convert paper documents into digital formats, enabling efficient processing and reducing the risk of misplaced invoices.
With infoRouter's payable automation software, organizations benefit from enhanced audit trails and compliance with regulatory and internal compliance rules. The automation technology not only improves vendor management but also provides real-time visibility into the accounts payable process, leading to improved efficiency and better decision-making.
By automating the invoice approval process, companies can handle increased volumes of invoices without adding additional staff, significantly reducing operational costs. infoRouter's AP automation software ensures timely and accurate payments to vendors, which not only strengthens supplier relationships but also allows companies to take advantage of discounts and avoid penalties.
How can infoRouter help with Accounts Payable Automation?
Invoice processing can be a drag, bogged down by manual processes, but it doesn’t have to be. Using built-in infoRouter tools can help reduce the time it takes to process invoices.
- infoRouter Scan Station to perform invoice scanning and route invoices to infoRouter Workflows
- infoRouter Email Scanner to catch incoming electronic invoices
- infoRouter Workflow Module
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