Last week we celebrated July 4th! A day, that as Americans, we get to celebrate the birth of the country in the form of Independence Day. Now take a moment to pause and think about your company. If your accounts receivable team is using a manual process, you aren’t reaching your full potential. In fact, you’re being held back. You are being limited to how much work you can get done and realizing cash flow that you could be utilizing.
So in the spirit of the holiday, you also need independence from your manual AR process!
The key to liberation from a manual accounts receivable (AR) process is simple, automation. This technology will give you the ability to focus on the important tasks instead of the routine, repeatable parts, saving you both time and money. Automation software will help you increase business efficiency, eliminate data entry errors, and accelerate your cash flow.
There are many benefits to utilizing an automated solution over a manual AR process. Ryan Wallace, Program Manager, Emerging Solutions had this to say about the benefits of automation. “There is a variety of great reasons to automate processes within an accounts receivable (AR) workflow. The primary reason centers around keeping DSO (days sales outstanding) at a minimum and keeping a well-defined ceiling on the COGS (cost of goods sold) related to the step in the process being automated.” Accounts receivable professionals are aware of the metrics that dictate success. DSO is an important part of an accounts receivable team, but reducing that number can be tricky.
“Some of the ancillary benefits which support the reduced DSO (days sales outstanding) objective would be reliability, consistency and accuracy. A properly installed automation solution will shine in each one of these categories, and is flexible and nimble enough to adjust to an ever-changing AR environment with low effort.” – Ryan Wallace on additional DSO benefits towards your business. A manual process might be what you are used to, but it will also hold you back from reducing DSO and meeting your AR goals.
From an accounts receivable (AR) standpoint automation obviously has its benefits. But how often are you thinking about automation technology from a finance perspective? Billtrust’s Controller, Elizabeth Gerould, had this to say about how automation is impacting the finance realm.
“Quicker cash application equals quicker real-time cash visibility (real-time view of customer account balances in ERP system, as well as cash bank account balances.) Quicker cash application allows our team more time to collect accounts receivables balances and reduce DSO.” In other words, AR automation helps you to collect and process information in a way that saves you time, while boosting business efficiency.
Whether you are tired of your manual AR process or just want to achieve your goals in a more efficient fashion, automation is the key to success. There are real business and finance benefits to utilizing this technology.