Many companies have already automated and optimized accounts payable processing or plan to in the near future. Often, though, the payments process gets overlooked. But you don’t want your company to get bogged down by an inefficient payment system after ensuring invoice processing moves swiftly and seamlessly.
As invoice volume increases and vendor lists expand, payments are often where the AP process starts to break down. Without seamless, scalable integration between invoice processing and payments, your AP team will have extra manual work to do as disconnected systems lead to increased complexity.
You can take control of payments with scalable, automated software that integrates seamlessly with your ERP and your AP process. With NextProcess, our Accounts Payable module integrates with all major ERPs, and our Disbursement Module serves as a centralized supplier payments and disbursement platform that’s embedded within your existing AP ecosystem.
Why Are Disconnected Systems A Problem?
If payments are currently disconnected from your accounting system, you might wonder why there’s a need for change. After all, approving payments in one system then switching to another for payment disbursement is working well enough so far. But just because AP thinks the status quo works just fine doesn’t mean it’s actually efficient. It might just mean that the team has gotten very good at working with an inefficient system.
Also, remember that a system that worked in the past might not work today. As regulations change and companies grow, the AP and payments system may face new challenges such as an increasing number of vendors, higher processing volume, and international payments.
Issues with syncing data, limited cash flow visibility, manual reconciliations, increased errors, and delayed payments often show up at the worst possible times. Month-end close and audits can bring the issues with disconnected systems to the forefront.
What Does it Mean to Have Scalable, Integrated Payments?
When payments are scalable and integrated, you don’t have to worry about software conflicts or disconnects showing up as you try to scale the payments process. An integrated payment system consolidates your workflows. All payment options are handled through a single, centralized platform that’s connected to your accounting system. No need to manually move data from one system to another–it’s all connected. That improves visibility, reduces manual effort, speeds up payment processing, and lowers the risk of errors.
All of NextProcess’s software modules integrate seamlessly with your existing ERP programs. Our Disbursement Module also integrates with hundreds of widely used accounting systems. You can start using our payment disbursement module without updating your current system. And if you are planning to update your AP system, the Disbursement Module seamlessly embeds within NextProcess’s Accounts Payable Automation Solution.
Which Types of Electronic Payments are Supported?
Electronic payments are an increasingly vital part of the accounts payable process. More and more companies are seeing the benefits of earning cashback on virtual cards and reducing fraud risk with these and other electronic payments. Not all suppliers accept electronic business-to-business payments, though, and the ones that do don’t always accept the same types of virtual payments.
You need a payment solution that supports multiple payment types to work with a variety of vendors. NextProcess offers payment solutions that include ACH, Wires, Virtual Credit Cards, Supply Chain Financing, and Check Printing. Just choose how you want to make your payment and let our system do the rest.
What Are the Benefits of Integrated, Electronic Payments?
Integrating and automating payments improves visibility into the process, reduces manual effort, speeds up payment processing, and lowers the risk of errors. Those are all wins for your company, but they’re also wins for your vendors. One big benefit of integrated payments and of using electronic payments is improved vendor relationships.
Faster payment processing ensures vendors receive funds in a timely manner. Vendors value companies that predictably pay on time. They may even be open to negotiating improved payment terms when you can ensure prompt, reliable payments. In addition, using electronic payments rather than checks reduces uncertainty about payment status. With NextProcess, you can even set up a vendor self-service portal so they can check on payment status for themselves without messaging your AP team.
What Are Some Challenges AP Might Face with Automation?
Fully automating your AP process from invoice intake to payments doesn’t always go as smoothly as you’d like. Many issues can be prevented in the planning stage by evaluating current processes and setting clear goals. Other problems can be avoided by working with a reliable software supplier with a history of successful implementations and integrations with your existing systems.
Other challenges can arise as you start using the system. It might take some time to refine automation settings and customization to make sure the system works smoothly (your software supplier should help with this). You might also face some challenges with vendors who are reluctant to adopt new payment systems, particularly if you are trying to change over to electronic payments. Outreach to existing vendors, education about the new system, and ongoing communication will support a successful transition.
Who Will Benefit from NextProcess Payment Disbursement?
NextProcess is purpose-built for mid-market and enterprise organizations where payment complexity, controls, and scale demand more than a lightweight solution. Our payment disbursement module provides a robust solution that scales to your needs and integrates seamlessly with existing systems.
In addition, our suite of financial processing modules forms a robust solution that can unify finances end-to-end while seamlessly integrating with existing ERPs. We work closely with your finance team to customize the software to meet your exact needs, and we provide ongoing support to ensure ongoing software integrations and quality financial processing. Contact us today and share your current tech stack and automation goals, and we’ll set up a customized demo so you can see our software in action.
