Let's begin by looking at some stats about accounts payable automation and machine learning. According to Gartner, accounts payable automation will reach nearly $1.75 billion by 2025. But one of the biggest of challenges of accounts payable automation is invoice and payment approvals.
That's why AI and AP outsourcing offer the best of both worlds when it comes to streamlining AP processes. AI technologies like machine learning and robotic process automation (RPA) can automate repetitive tasks, including:
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Data entry
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Invoice processing
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Invoice validation
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Invoice matching
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Approval workflows
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Vendor management
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Expense reporting
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Accruals and prepayments
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Payment approvals
This level of automation significantly reduces manual effort and human error.
And when you combine that with an AP outsourcing provider, you get expertise and scalability. You'll benefit from specialized knowledge and resources without the overhead of maintaining an in-house AP department.
Why Should You Use Both Solutions?
Using both machine learning and accounts payable outsourcing helps you address the challenges associated with manual AP processes. AI technologies will help you handle routine tasks with speed and accuracy. This can free up your employees to focus on strategic activities that drive business growth.
Meanwhile, outsourcing AP functions to a trusted partner ensures compliance with regulations, access to best practices, and scalability to accommodate any changes in workload without the need for additional hiring or training.
Ultimately leveraging the power of artificial intelligence (AI) and outsourcing AP allows you to optimize your financial processes, so that you can focus on core competencies.
What to Look for in an AP Company That Employs Machine Learning
As you look for an AP outsourcing company, consider different factors, such as:
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Industry expertise: The right AP outsourcing provider will have industry-specific knowledge and experience related to your business. When an AP outsourcing company is familiar with your industry's unique challenges, regulations, and best practices, it can offer tailored solutions and insights that drive value.
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Reputation: Make sure you assess the reputation and track record of the AP outsourcing companies you're considering. Research client testimonials, case studies, and industry rankings. The best providers have a proven history of delivering high-quality services, client satisfaction, and successful outcomes.
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Technology capabilities: Look for AP outsourcing providers with a good technology infrastructure. This includes their use of AI, automation tools, and cloud-based platforms. It's best to choose a provider that has advanced technology solutions that streamline AP processes, enhance efficiency, and support scalability.
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Security protocols: Ensure the AP outsourcing provider you choose has strong security protocols and data protection measures in place to safeguard sensitive financial information. Don't be afraid to ask them about their security practices, encryption methods, and data breach response procedures. Also, check their compliance with relevant privacy regulations. Verify if they adhere to industry standards, such as ISO 27001 certification.
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Service offerings: Identify the types of services your company needs. Look for providers that meet these needs through certain services, which might include invoice processing, payment processing, vendor management, reporting, and analytics.
What Benefits Can You Expect From Using Machine Learning in Accounts Payable?
Utilizing both AI and AP outsourcing providers offers many advantages:
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Improved efficiency
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Cost savings
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Enhanced accuracy
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Scalability
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Focus on core activities
Machine Learning Best Practices for Successful Accounts Payable
To maximize the benefits of AI and AP outsourcing, follow these tips:
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Identify specific goals and key performance indicators (KPIs) to measure your success.
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Collaborate between teams and outsourcing partners to ensure everyone is on the same page throughout the process.
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Strive for continuous improvement as you embrace technologies and optimize AP processes over time.
Conclusion
Using AI and outsourcing AP functions offers businesses a great opportunity to streamline operations, reduce costs, and enhance efficiency. The result? Smoother AP processes. This frees up resources so that you can focus on strategic priorities and drive business growth.
Curious about the power of accounts payable outsourcing? Speak to one of our experts for more information.
