One of the big current themes in finance is digital transformation. One of the best places to start is invoice digitization. An invoice is a dated and addressed list of goods sent or services provided, with pricing and tax details. The digitization of this invoice allows for the information to support automated processes. The digitaization of an invoice unlocks the information within the invoice. This information can then be used in many different ways to support Accounts Payable, Accounts Receivable, and many different reporting uses. Here are a few of the benefits for your organization to look at invoice digitization.
There are many ways that organizations can save money by creating a process to digitize invoices. The most obvious area is the manual effort that is often needed for the current handling of invoices. In some cases, this means that companies are looking to outsource areas within their business like AP. The digitization of the invoice can reduce costs above and beyond outsourcing of labour. There are also other less obvious opportunities to save. An example of this could be being able to take advantage of quick pay opportunities where before the organization was unable to process an invoice to take advantage of quick pay opportunities.
Once the information from the invoice is digitized then there is an opportunity to automate a process. For AR this could mean sending electronic invoices that get delivered sooner and get paid sooner. On the AP side, this could include the ability to create a digital approval process that will eventually lead to the information being pushed into the financial system.
Quicker Visibility to More Detailed Information
Big data and analytics are helping organizations make better decisions. Digitization of invoices allows for quicker visibility. At OnePosting we have customers using our tool to compare the prices of fuel between different airports to a retailer looking at the right quantities to buy in its retails store. This information can have a significant impact on the performance of an organization.
There are many future optimization opportunities for organizations once their information has been digitized. One of the very exciting opportunities that we are watching closely is around the financing of invoices in a more efficient and cost-effective manner than traditional invoice factoring. Check out our sister company Accelerated Payments.
OnePosting has a few unique features with our implementation of invoice digitization. These things include using an email as the onboarding method to being to implement a solution with little or no IT support. Book a meeting with our team to find out how we could help your organization.