5 Advantages of AP Automation with Workday Financial Management

As businesses grow and expand, their financial processes become increasingly complex and time-consuming. To keep up with the demands of day-to-day operations, many organizations turn to Enterprise Resource Planning (ERP) systems like Workday Financial Management to manage their financial data. 

However, even with a robust ERP system in place, accounts payable (AP) departments can still face challenges related to invoice processing and payment management. That's where AP automation solutions come in.

AP automation solutions can help organizations streamline their AP processes, reduce manual errors, and improve financial transparency. 

When used in conjunction with Workday Financials, the benefits of AP automation become even more apparent. 

Here are just a few of the advantages of using AP automation solutions with Workday Financials ERP:

1.Reduced Manual Workload

One of AP automation's most significant benefits is manual workload reduction. AP teams can focus on more strategic activities by automating routine tasks like invoice data entry, invoice matching, and payment processing. This can help organizations reduce processing times, minimize errors, and improve overall efficiency.

With AP Automation platforms like Ascend, companies have been able to process over 90% of their invoices without a single manual touch. These results lead to a significant workload reduction, OU Health was able to reduce their required hours to validate invoices by 83 percent. Click here to view the case study.

2. Improved Accuracy and Transparency

Automating AP processes can also help improve the accuracy and transparency of financial data. With automated workflows, invoice data is captured and stored in a centralized location, making it easier to track and manage. This can help prevent errors caused by manual data entry and ensure that financial data is accurate and up-to-date.

3. Faster Invoice Processing

Manually processing invoices can be a time-consuming and labor-intensive task. AP automation solutions can help organizations reduce processing times by automating invoice data entry, matching, and approval workflows. This can help AP teams process invoices faster, resulting in quicker payments to vendors and improved cash flow.

Companies without AP Automation tend to have slower processing times which leads to fewer early payment discounts captured and more late payment fees. As seen below, very few companies are able to capture discounts due to slow processing times.

* 25% of companies offer early payment discounts, 21% or less capture these discounts, and 12% of companies are unable to capture any discount.

4. Better Vendor Relationships

Efficient AP processes can also help improve vendor relationships. Organizations can improve vendor satisfaction and strengthen partnerships by processing invoices and payments faster and more accurately. AP automation solutions can also provide vendors with real-time visibility into invoice and payment status, improving communication and transparency.

5. Increased Cost Savings

AP automation can also help organizations reduce costs. By eliminating manual data entry and streamlining workflows, organizations can reduce labor costs and minimize the risk of errors and late payments. With the average invoicing costing anywhere from $15 to $40 - automation can greatly reduce that number to just a couple of dollars.

In conclusion, using AP automation solutions with Workday Financials ERP can help organizations improve efficiency, reduce errors, and increase financial transparency. By streamlining routine tasks and automating workflows, AP teams can focus on more strategic activities and improve overall financial performance.