1 Situation
A business operating for over 20 years was experiencing growing pains due to strong commercial growth. As the volume of supplier invoices increased, the existing manual accounts payable process became too cumbersome for the team. Tasks such as photocopying, coding, obtaining approvals, manual data entry, filing, and processing payments were becoming overwhelming and inefficient.
2 Action
- The existing process was mapped, revealing four manual touchpoints for processing each supplier invoice.
- Unpaid invoices were physically circulated around the office for manager approval, causing delays and inefficiencies.
- A review of the existing accounting system identified a low-cost solution that enabled invoices to be received via email, automatically coded, and electronically directed to the appropriate manager for approval.
3 Outcomes
Eliminated manual tasks
The new automated system removed the need to print, stamp, process, and manually approve invoices.
Streamlined approvals
Invoices now enter the system automatically, alert the team upon arrival, and are coded and visible to managers for online approval.
Increased efficiency
Once approved, invoices are allocated for payment with pre-set payment terms, eliminating unnecessary delays.
Freed up resources
The team could now focus on higher-value tasks that directly benefited clients, rather than being bogged down in administrative work.
By automating the accounts payable process, the business improved efficiency, reduced errors, and avoided the need for additional resources—allowing it to scale operations smoothly without adding unnecessary costs.