The Benefits of Automation: Payables to Receivables
Presented by KwikTag & Nodus Technologies
KwikTag has teamed up with Nodus Technologies to discuss common challenges that come from manual processing and how automation can improve business processes in both accounts payable and accounts receivable.
Accounts payable and accounts receivable are often considered two very different facets of a business’ accounting process. However, when it comes to inefficiencies and lack of visibility in manual processes, AP and AR often face the same problems. For both AP and AR, manual processes create bottlenecks, create compliance risks and cost a lot of time.
The bottlenecks that occur with manual processes negatively impact accounts receivable in a variety of different ways, including an increase in data entry errors. Mistakes on invoices tend to cause delayed payments and increase the possibility of disputes over payments. Based on a study conducted in 2020 by American Express, companies with manual AR processes have a 30% longer DSO average (Days Sales Outstanding). The work load accompanied by manual processes depletes the amount of time an AR team spends on more pressing issues. AR teams have less time to proactively reach out to customers about overdue payments, upselling, and cross-selling.
In accounts payable, the number one challenge is that accounting and finance teams spend a majority of their day looking for invoices and their related documents. With the impact of the pandemic on manual processes and the transition to remote workforces, that amount of time looking for documents has increased to more than 50% of every work day wasted because employees are chasing an invoice with little to no visibility into the process. This creates an intense time pressure and stressful environment for the AP team, which subsequently increases the risk for manual errors and further frustration.
AR automation with Nodus reduces manual labor and saves time by automation the entire collection process. The visibility for your AR team is increased with real time reporting via a bi-directional integration with Dynamics GP. Your customers can take charge of their payments and have more control over their payment information; there is no reason for them to work around your business hours to make payments over the phone- it’s all digitally available through a convenient payment portal. Your AR team can focus less on reacting to manual processing delays and more on proactively working to grow the business by upselling and cross-selling. Finally, with AR automation, your process is secure. With the work from home environment, it can be inefficient and error-prone to take credit card information over the phone, or have someone driving back and forth to the office to collect checks. With Nodus, everything is processed online through a secure portal that meets PCI compliance and security measures.
With the KwikTag AP automation solution for Dynamics GP, KwikPayables, invoices are received digitally (and remain digital throughout the process), data is intelligently and automatically extracted, approval routing is automatic via email or online, and transactions are created in Dynamics GP. AP users have visibility into every step of this process with complete workflow history available in one secure, digital system. The KwikPayables touchless process also reduces the risk for manual errors with each automatic step in the process, accelerating invoice approval, submission to GP and payment processing. AP automation also increases employee productivity—they are no longer spending more than 50% of their day searching for documents. Instead, they’re focusing on critical business and financial metrics. KwikPayables is available on-premises or as a cloud / SaaS solution, so your team can have access to your AP invoices and processes no matter where they work.
While KwikTag and Nodus do not have a direct integration, they each have strong integrations with Dynamics GP for their respective business areas. Automation benefits a company’s time management, compliance, process visibility, and more. In this situation, the benefits extend to the AP and AR teams, as well as the entire organization.
If you’d like to learn more about how AR and AP automation can benefit your business, watch the webinar presented by KwikTag and Nodus below.
Nodus Technologies specializes in electronic payment processing and AR automation solutions for Microsoft Dynamics. Our expertise in payment solutions assists organizations of any size and industry to automate their accounts receivable process, expedite funding, improve the customer experience, and achieve PCI compliance.
KwikTag, by enChoice, leads organizational digital transformation with AP automation solutions for Dynamics ERP systems. The KwikTag accounts payable automation solution, KwikPayables for Dynamics GP, provides a completely digital, touchless workflow for payables and purchasing invoices. The complete KwikTag solution is designed to eliminate paper, save time, and help businesses gain visibility over their entire AP process.
To learn more about KwikTag, fill out the form at the bottom of this page and a member of our team will reach out to discuss your requirements.