Janet joined the PairSoft team upon its merger with Paramount Workplace, where she was also an integral part of the sales team for years. Janet resides in Michigan with her family.View all posts by Janet Martin
Janet Martin • October 1, 2021
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As reported in an article published by Top Sage Resellers, Sage recently conducted a survey of customers that identified accounts payable (AP) automation as the most requested new functionality. This is big news in the ERP world, where we’ve historically seen more technology investments occurring on the revenue-generating side of operations. AP automation can help organizations control spend from beginning to end. What is AP automation – and is it all it’s cracked to be?
AP automation is a broad term that refers to the automation of the processes surrounding entering, approving and paying invoices, to reduce paper and postage costs and streamline invoice handling. Document imaging capabilities are often associated with AP automation solutions, as are workflow automation and electronic payments. Whenever companies can automate routine processes, they can gain efficiencies, reduce overhead and improve accuracy. All good things to be sure.
But AP automation only kicks in when an invoice is received – leaving the larger purchasing process unaddressed. To reap the benefits of AP automation, it is best combined with a larger spend management initiative.
Spend Management is an overarching process that brings all corporate spending under control or management, and typically encompasses processes such as outsourcing, procurement, e-procurement, procure-to-pay and supply chain management.
Spend management happens long before the invoice ever exists. Once a purchase has been approved, AP automation comes into play, but there is much activity – and opportunity to improve – that happens earlier.
While AP automation can deliver valuable efficiencies and cost savings, it’s value is increased when combined with a larger initiative to manage spending from the outset with a spend management solution. Want to learn more about the subject? PairSoft provides both AP automation and spend management tools that integrate with your Sage ERP solution.