How To Start Your Accounts Payable Automation Project In Just 30 Minutes!

Fully integrating an end-to-end purchase-to-pay (P2P) process can enhance business efficiency. Optimizing this process can improve vendor relationships, reduce invoice processing costs, and increase visibility. One way to refine the P2P process is through streamlining the accounts payable (AP) process.  

SSON’s The State of the Shared Services and Outsourcing Industry: Global Market Report 2023 noted that 66% of SSOs utilized robotic process automation to optimize their P2P process. This is an increase from 2022 and is the most common solution implemented for the P2P process. The same report notes that P2P is the most popular service within shared services, and the priority for E2E optimization; showing that P2P is at the front and centre of shared services strategy. 

In November, SSON hosted the AP Automation Digital Summit to help attendees harness the potential of automation throughout the P2P process.  

Within the summit, SSON was joined by Matthew Farquhar, AP Automation Expert at Yooz. An expert in assisting businesses to implement new technologies, Matthew discussed “How to start your AP Automation Project in Just 30 Minutes!” This provided attendees with a comprehensive guide on how to kickstart a business’ AP Automation journey.  

Handling AP processes digitally using technology not only saves time for the business, such as faster invoice processing but also increases accuracy by removing the risk of human error. However, beginning the operation to reduce human touchpoints can be a difficult task, so Matthew provided excellent advice for attendees.  

Adopting a Pragmatic Approach 

Matthew emphasizes the significance of a pragmatic approach when beginning to implement AP automation, defining this mindset as “dialling in what is realistic to solve with AP automation.” To begin this practical approach, Matthew recommends consulting stakeholders who are involved with the existing AP process.  

This can include “your CFO, your accountants, your buyers, your different approvers throughout different levels of the organization, [or] managerial heads.” This is a crucial step as it helps develop an understanding of key problems within the AP process. This provides visibility into the current state of affairs, from identifying what the workflow truly looks like to what documents are involved in the process.  

Choosing the Right AP Automation Solution 

Matthew provided attendees with a strong foundation of how to begin thinking about AP automation projects, which introduced the next obstacle: how to select the best technology for the organization. Matthew offers a solution via a balance of “Plug and Play”, “All in One” and high levels of automation.  

Starting with the “Plug and Play” solution, Matthew defines it as a solution implemented with seamless integration, “after it’s been deployed, it’s up and ready to go.”  “All in One” details a solution that can handle all areas of functionality within a single tool. This ranges from handling the purchase request to processing the invoices. This allows the workflow to be managed from one main area. One example, that Matthew notes, is utilizing the cloud as it is scalable, and “you get a working environment right out of the box.” 

The final element of the triangle is incorporating a high level of automation, which is not only crucial for AP but any automation project. Matthew explains the key is to “eliminate as much of the manual processing as [possible]…”  

Vestergaard’s Success Story 

Matthew supports his guidance with the real-world example of Vestergaard. The Switzerland-based company was created in 1957 and now has subsidiaries in Africa, Asia, and the USA. They produce and sell bed nets which are distributed by NGOs in Africa and Asia. Previously, the organization was processing approximately 500 invoices a month manually.  

Matthew details that Vestergaard was using Microsoft Dynamics, NAV, and Business 365, but was searching for an AP automation solution. Ultimately, Yooz was selected for a variety of reasons such as the ability to manage the entire workflow. Yooz was able to assist in implementing a PO and PR system, which included multiple currencies to accommodate global locations. In addition, Yooz’s solution was flexible as it was able to integrate with Microsoft NAV and included flexible settings to allow internal changes.  

The automation was time efficient, as it now took 15 days to complete the entire invoice process, instead of the previous 45-50 days. In addition, the organization benefitted from increased control and visibility on invoices, as well as good value on ROI.  

Yooz’s AP Automation Solution 

Matthew completes the session with a brief overview of Yooz’s services. The organization has been able to process more than 200 million invoices, which has meant that its AI has become more intelligent over time.  

Matthew then explains how Yooz captures an invoice. A capture can be created from a mobile phone picture upload or via no-touch processes such as a cloud portal or dedicated email inbox. Then, utilizing Optical Character Recognition (OCR), the software can recognize all the text within the document to ensure it is sent to the correct individual.  

After all the data is received from the PO, it can be put back into the AP process to ensure the invoice matches the PO and then it can be submitted for approval. This no-touch process allows employees to focus on invoices that need more attention, such as a supplier dispute between the PO and invoice.  

Overall, the session provided attendees with valuable insights on implementing AP automation solutions. From beginning the journey with an effective, pragmatic mindset to tips on selecting the correct solution, Matthew clearly illustrated his expertise. For more thorough insights, Matthew’s session is available on demand, which can be found above. Alternatively, read more of SSON’s AP-related content here.