Blog updated on 18th January 2023 by Glenn Cheetham
Automation has a role to play in streamlining every step of the source-to-pay cycle, from identifying needs and finding suppliers to the management of contracts and invoice payment.
The following are our top 5 benefits of automation in Source-to-Pay:
Automation can greatly increase efficiency by replacing repetitive tasks and reducing the need for manual data entry. A good example of this is the automatic extraction of data from supplier invoices that are presented to you in the form of PDF attachments to emails. Replacing manual data entry saves time, reduces the risk of error, and results in a more efficient accounts payable process.
Improved visibility is one of the most common reasons for investing in systems to automate source-to-pay. And visibility takes many forms, for example:
Ensuring compliance with relevant laws and regulations can be challenging, but automation makes it easier. Automation helps ensure that laws, regulations, and industry standards are adhered to. This reduces risk and avoids costly penalties that may arise due to non-compliance. Automation also demonstrates to stakeholders that proper process has been followed.
With Proactis Rego, for example, sourcing events can be templated. Templates ensure that procedures are followed and that everybody involved has visibility of the process. Templates save time, ensure compliance, and prevent colleagues repeating past mistakes.
Automation also improves collaboration between teams and with external suppliers by providing a centralised platform for communication, data sharing, and activity tracking. This leads to better communication, faster resolution of issues, and improved supplier relationships.
Some of what we call spend control results from the benefits outlined above. For example, improvements in efficiency reduce the cost of processing transactions. Systems such as Proactis Rego help you control spend in other ways too. With Proactis Rego, purchasing is controlled by workflow rules, and these rules ensure you only pay invoices that represent approved spend. And as you might expect, these approval processes include automation in the form of notifications, alerts and online budget checking.
To find out more, please download a copy of our Proactis Procurement Beginners Guide or contact your LAKE Account Manager who will be delighted to help.
by Glenn Cheetham
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