Finance
Accounts Payable Automation: the solution to supply chain disruption?
Published
3 months agoon
By
admin
Mark Blakemore, Chief Financial Officer at Compleat Software, the purchase-to-pay software house.
With the pound falling, interest rates rising, talk of the UK entering a recession – the Chief Financial Officer (CFO) is yet again at front and centre stage to help provide solutions to the seemingly impossible.
With a recent study of CFOs finding that 73% view economic uncertainty as a significant challenge for their organisation – the CFO needs to find answers, and fast.
CFOs wear many hats and are well-positioned to help to head off costly supply chain disruptions, with the support of their Supply Chain Manager, a profession which has historically faced challenges when it comes to Accounts Payable (AP) processes.
Despite the shift to digital taking place across all industries, many organisations are still relying on manual, paper-based processes to approve and pay invoices – with around 40% of all invoices still arriving on paper.
This creates a reservoir of problems, ranging from a lack of control around payments timings, to staff processing invoice exceptions and poor visibility for the CFO.
So, what are the barriers to AP automation and can it really help businesses to get a handle on their supply chains and processes to manage disruptions?

Mark Blakemore
Busting the barriers
CFOs no doubt have heard horror stories about AP automation and what it may bring – but are the barriers as large as they are perceived?
For example, some businesses may be hesitant to automate their AP due to concerns that it will increase the likelihood of security breaches.
However, automation brings with it end-to-end visibility of the AP process that decreases the threat, as digital payments reduce the risk of theft and corruption by increasing accountability and tracking.
An additional benefit AP automation provides businesses with a secure and transparent system – allowing CFO’s to gain insights into their working capital and carry out transactions, transparently.
Another barrier to navigate is the digital elephant in the room of what the business should do with the time saved from the removal of labour-intensive tasks, such as data entry, validation, exception handling, invoice approvals, and posting – it certainly does not mean the chop for staff.
Rather the contrary – businesses are able to make most of their staff by using AP automation software, by allowing them to focus on more business-critical tasks, as well as personal and professional development, all helping the business to futureproof its workforce and operations, whilst providing support and training to provide increased employee satisfaction.
Visibility: the ultimate disruption buster
Visibility is essential within the CFO’s world – so anything to give increased sight into the supply chain, the better – as it makes the task of predicting cash flow that much easier.
By climbing the crow’s nest, taking a holistic view, CFOs are able to identify potential disruptions before they occur and make data-driven decisions that will positively impact upon the bottom line.
Of course, when reliant upon paper-based invoicing workflows and processes, it is pretty much impossible to see where things stand at any given point in time, and any decision based on the information may not be worth the literal paper it’s written on.
By bringing digital transformation to AP departments in the form of AP automation, CFOs gain instant 24/7 visibility into the entire invoicing lifecycle – this eliminates surprises, improves business intelligence – enabling businesses to continuously optimise its operations through leveraging real-time insights.
For those businesses using paper-based AP workflows, it’s impossible for supply chains to be as efficient as it can be.
By investing in tools that automate the AP process, CFOs can create a digital connection to suppliers, helping to avoid supply chain disruptions by streamlining data management as all relevant data will be in one universally accessible place – with efficient reporting capabilities.
AP automation reduces invoice exceptions by eliminating human error and delivering operational efficiencies by freeing up the time of accounts payable, procurements and department managers are only spending time on value-adding activities.
Ultimately – it improves supplier relationships through increased transparency in processes – as suppliers can be given visibility into payment status, and making sure they’re paid on time.
Embracing Automation
There is no doubt that AP automation helps businesses to more accurately balance their incomes and expenditures – accelerating and streamlining inbound and outbound payments flows – all of which has a direct impact on the bottom line.
Despite this, there is still a resistance to embracing digitised AP processes and manual processes continue to weigh the agile CFO down.
However, the increasing demand for transparency and greater efficiency should increasingly support the digital switch, driving the global AP automation market to approximately $4.5 billion by 2026.
By moving toward AP process automation, CFOs can eliminate the slow and error-prone process that are the root cause of many problems within supply chains.
In doing so, costs can be cut, cash flow optimised as well as real-time visibility gained into outstanding payables – all of which help to head off potential supply chain disruptions before they occur – resulting in one less thing the CFO needs to worry about!
Business
Accounting Automation in the Future
Published
17 hours agoon
January 26, 2023By
editorial
Accounting automation is the process of streamlining repetitive tasks in financial processes. For example, some processes like invoicing are time-consuming and repetitive. Automation can reduce manual labor and save businesses both time and money. Also, it helps improve accuracy, reduces errors, and provides more accurate financial reporting.
Accounting automation in the future will be increasingly important for businesses to stay competitive. But every new change comes with both advantages and challenges. Let’s dive in to get ready for this future trend.
Potential Future Benefits of Accounting Automation
Increased Efficiency and Cost Savings
Accounting automation is a great way to increase efficiency and cost savings. For example, AI bookkeeping uses advanced algorithms to automate many accounting tasks. So, companies can track expenses, prepare financial reports, and more using AI.
It reduces the time needed for manual entry. So, businesses can spend fewer labor hours on tedious processes. They can increase efficiency by freeing up resources for more strategic work. It also helps reduce errors and inconsistencies associated with manual processes. So, the cost of compliance is lower because of greater accuracy.
Improved Accuracy and Reliability
Accounting automation can improve accuracy and reliability in accounting processes. For example, Automating bank reconciliation is less prone to errors from human mistakes or miscalculations. You can automate the process to identify discrepancies between the bank statement and accounting records. It helps to ensure that financial reports remain accurate and reliable. So businesses can take corrective action faster than processing data manually.
Streamlined Business Processes
Streamlined business processes involve eliminating unnecessary steps, reducing paperwork, and automating repetitive tasks. This allows businesses to focus on higher-value activities, such as developing new products, improving customer service, and developing strategic plans for the future.
Making a Better Decision
Accounting automation can enhance decision-making in 3 ways.
1. It enables businesses to access real-time information from multiple systems. So they can identify trends for better decision-making.
2. Automated accounting also helps with forecasting, budgeting, and auditing tasks. It enables businesses to be more proactive in their decision-making processes.
3. Also, automated accounting tools can integrate with enterprise resource planning (ERP) systems. They can manage data across the enterprise and make concise decisions that are favorable to the company as a whole.
Increase Customer Satisfaction
Accounting automation can help businesses increase customer satisfaction by streamlining their processes and providing a more efficient customer experience. For example:
4. Automated accounting systems can automate tedious manual tasks such as invoicing, data entry, and payroll processing. This allows businesses to focus on other aspects of their operations that are more important for customer service.
5. Automated accounting systems can also provide customers with more accurate and timely financial information. The information can help them make better decisions about their finances.
6. Also, accounting automation enables businesses to respond quickly to customer inquiries. It helps reduce wait times and improve the overall customer experience. So, you can build better relationships with their customers.
Improved Accessibility
Accounting automation takes place online or comes with cloud-based solutions. So, you can access your information and do your job from anywhere instead of being confined to one spot.
Challenges to Implementing Accounting Automation in the Future
Cost of Technology Infrastructure Upgrades
Automating an accounting system often requires businesses to invest in new hardware and software, such as servers and other associated equipment. These upgrades come with a hefty price tag that may be difficult for small businesses to afford.
There are also extra costs, such as installation fees, setup charges, software licensing fees, cloud storage costs, and maintenance fees.
Training Requirements for Staff Members
Accounting automation involves using advanced technology to automate certain processes. So, it creates a need for trained staff members who can handle the new technology. Training requirements vary depending on the type of software used.
Some common training includes record-keeping procedures, software applications, and troubleshooting skills.
Regulatory Compliance Issues
Accounting automation can be a time-saver, but it also requires firms to be aware of the applicable rules and regulations. Companies must ensure that their automated systems are compliant with relevant laws and regulations such as Generally Accepted Accounting Principles (GAAP), International Financial Reporting Standards (IFRS), and other applicable accounting standards.
Besides, they must also comply with legal requirements related to taxes, financial statements, and other reporting obligations.
So, businesses must consider the complexities of regulatory compliance when automating accounting.
Security and Data Protection Concerns
As businesses move their accounting processes to the cloud, they are exposed to a wide range of potential security risks. Data breaches can cause significant damage to the business’s financial and reputational integrity. Besides, the complexity of automated accounting systems can make it difficult to identify and detect suspicious activities or errors in the system.
To ensure data is kept secure, businesses must have strong measures in place to protect against unauthorized access, encryption, and regular backups of data.
Furthermore, companies must train their staff on the proper use of the system. It helps staff to know how to protect confidential information from being accessed or misused by unauthorized personnel.
Businesses may also need an experienced IT team to monitor and maintain the system to keep up with any changes or updates for optimal performance.
Final thoughts
Accounting automation has come a long way in the past few decades. It is likely to continue to advance in the future. As technology continues to evolve, more businesses will likely begin taking advantage of automation in their accounting processes. So, businesses should be aware of the potential challenges and prepare to stay competitive.

Nikki Dawson, Head of EMEA Marketing at Highspot
New year, new business challenges. When it comes to creating and converting leads into sales for a business, both the marketing and sales teams are critical. Both functions think differently but are equally important in driving growth and revenue. Now more than ever in the current economic climate alignment between the two to achieve business goals is vital to survival.
Entering 2023 it’s important we look back and pinpoint where there’s room for improvement within our business and between our teams. With this, I predict the majority of businesses will realise it’s now critical to get their teams to communicate, collaborate and align more effectively.
What we learned in 2022
Findings from a recent survey of sales and marketing professionals found that over half (52%) of sales and marketing leaders in the UK agree they don’t understand which marketing assets are driving results with potential prospects. For marketers, this lack of visibility over assets limited the amount of valuable oversight which would allow them to improve content and increase adoption.
As a result, we’re now left with over a quarter (29%) of marketers not feeling confident in their ability to demonstrate the ROI achieved by marketing initiatives. Due to this, 30% of those surveyed this year feel a lack of confidence in creating marketing assets that have demonstrable success at meeting specific business objectives and driving sales growth.
Equipping teams with the right tools and technology they need to achieve business objectives seems obvious, but the latest research reveals that over a third (34%) of marketers aren’t confident they have the tools they need to manage and maximise digital marketing initiatives. Furthermore, 30% of UK marketers believe that a lack of efficient technology and tools and inconsistent use of CRM (31%) are barriers to their company’s sales and marketing collaboration.
These are all crucial learnings for what marketers have identified as key barriers in their role, it’s now down to business leaders to listen and take action.
How was revenue impacted?
The lack of alignment between marketing and sales, and the limited visibility over how digital marketing initiatives performed in 2022 had a negative impact on businesses’ ROI. This, as well as not having a single source of truth for marketers and salespeople led to content chaos and became a pain point for both parties wanting to do their jobs effectively.
For business leaders, during a time when demonstrating and justifying marketing and sales spending is needed now more than ever, the gap between marketing content, salespeople and ROI is of great concern.
The year ahead
Misalignment between sales and marketing means, at best, energy and resources are being wasted. At worst, it leads to strategies directly contradicting each other and not being delivered, while team members get frustrated and potentially leave.
Sales enablement has proven that it can dramatically resolve these pain points and be the foundation for alignment. With 72% of both teams equally agreeing that implementing sales enablement to support sales and marketing is something they believe their company should consider in the near future. It’s safe to say that in 2023 may well be the year we see it come into the mainstream.
By design, sales enablement software bridges the gap to provide a platform for alignment, offering one source of truth for linking sales and marketing activity to revenue. This year, the research found that the vast majority, (71%) of sales and marketing professionals agree that a lack of alignment between their teams has had a negative impact on revenue, and 52% of sales and marketing leaders in the UK agree they don’t understand which assets are driving results with potential prospects.
It’s clear that the need for aligned business functions has never been greater and soon, marketers and salespeople will call for AI-powered sales enablement as an essential tool to do their job effectively.
Now is the time…
If businesses want to optimise their work and maximise profits in the turbulent economic climate, they need to focus on driving change from the front by aligning their sales and marketing teams. Smart investment decisions that adapt processes based on buyer engagement with marketing content, and seller activities will be crucial in the coming months.
Having a sales enablement process in place can provide the necessary framework to begin coherently organising, finding, sharing, customising, and analysing content. Sales enablement platforms can be a one-stop shop for sales processes and marketing insights and it’s no longer something that can be overlooked by businesses.
Final thoughts
The need for optimisation has never been greater. In order to maximise profits sales and marketing functions need to work together seamlessly. This year we can expect to see more businesses utilising sales enablement technology to achieve key milestones. With this, marketers and salespeople alike will recognise sales enablement as a crucial day to day tool that is just as essential as the CRM they’re using today.
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