5 Ways to Streamline Vendor Payables: Managing Challenges with Technology and Automation.

Manual processes are slow, inefficient, and prone to errors.  

This can cause delays in paying invoices and damage vendor relationships. 

• Use an electronic invoicing system that accepts invoices from vendors electronically. 
• Set up workflows to automate invoice approvals and minimize manual intervention. 
• Integrate the electronic invoicing system with accounting software to accurately track expenses and payments. 

Without proper visibility, identifying bottlenecks, and preventing errors in vendor payables becomes challenging.  

This results in inaccurate reporting and missed/delayed payments. 

• Implement a vendor management portal with self-service capabilities for vendors. 
• Integrate the portal with ERP software for accurate expense and payment tracking. 
• Encourage vendors to use the portal to manage their relationship with the business. 

Payment fraud happens when fraudsters impersonate vendors or change payment information, causing fraudulent payments.  

This results in financial losses, and reputational damage. 

• Choose software with built-in machine-learning algorithms to detect unusual payment transactions and flag them for investigation. 
• Choose flexible software that integrates easily with your accounting software and bank accounts to automate payments seamlessly, without requiring any manual input. 

Non-compliance leads to fines, legal action, and damage to reputation. 

• Choose software that can monitor transactions for compliance with regulations. 
• Set up the software to generate reports that highlight compliance status and suggest areas for improvement. 

Duplicate payments occur when invoices are processed more than once, leading to financial losses, and inaccurate reporting. 

• Choose the software that should be capable of identifying & flag invoices that match previous payments.  
• It’s important to regularly review the software’s output to ensure that all invoices are being matched correctly. 

Invoice errors, such as incorrect pricing, quantity, or taxes & duties, can cause issues with vendors, delay payments, and harm the reputation of the business. 

• Use invoice validation software that can automatically perform a 3-way match, comparing invoice details (such as pricing, quantity, and taxes) against both the purchase order and goods receipt note. This will ensure that all relevant information is accurate and validated.