Workday

Top 5 Reasons Why Should You Automate Supplier Payments

Manual supplier payments are costly and error-prone. Discover how automation cuts costs, prevents delays, and even turns AP into a revenue stream with Ascend Software’s Payments solution for Workday.


Managing finances is a critical part of running any business, but supplier payments often don’t get the attention they deserve. For many companies, the process is still manual, filled with repetitive tasks like cutting checks or reconciling invoices. Not only is this time-consuming, but it’s also expensive and prone to mistakes that can delay payments or strain vendor relationships.

This is where automation comes in. Automating supplier payments can simplify these workflows, save time, and reduce costly errors. Plus, with options that integrate directly into financial platforms like ERPs, businesses can modernize without overhauling their entire system.

Take Ascend Software’s Payments as an example. Designed for Workday users, it automates supplier payments from start to finish. It supports virtual cards, ACH, and even checks, helping businesses reduce manual workloads, track payments in real time, and even earn rebates.

 

Why Do Companies Need Payment Automation? 

In today’s fast-paced world, managing supplier payments efficiently isn’t just a nice-to-have—it’s a necessity. Manual systems are full of inefficiencies that can slow your team down, eat into your budget, and even expose your business to security risks. Here’s why automation is worth the investment:

1. It Reduces High AP Processing Costs

Let’s talk money: processing a single payment manually costs nearly $8. When you consider that 62% of that cost comes from labor, it’s clear why many AP teams feel stretched thin. If you’re handling hundreds or thousands of payments, those costs skyrocket. Automation can dramatically lower these expenses by cutting out manual tasks, freeing up your team to focus on more strategic work.

2. It Solves Payment Delays

Do you know how long it takes most businesses to complete a payment? Around 30 days. Even then, almost half of suppliers (47%) are still paid late. Late payments can strain vendor relationships and even lead to additional fees. With automation, approval cycles are faster, payments are made on time, and you’re able to keep things running smoothly with your suppliers.

3. It Reduces Errors

Manual processes are messy and prone to mistakes. From misentered payment details to misplaced invoices, errors can lead to costly delays or disputes. Automation helps ensure data accuracy and smooths out approval workflows. It’s also a lot easier on your team when they’re not stuck troubleshooting preventable errors.

4. It Turns Payments Into a Revenue Stream

Here’s something you might not expect: your payments can actually make you money. Solutions that support virtual cards often include rebate programs, meaning you can earn cash back on transactions. Instead of just being a cost center, payments become a source of income.

5. It Helps Protect Against Fraud

Fraud is a real concern for businesses, especially with manual payment systems that lack strong controls. In 2014, 22% of mid-sized businesses reported experiencing payment fraud—and that number has likely increased. Automated systems add extra layers of security, like encryption and real-time monitoring, making it much harder for fraud to slip through.

Why Mid-Market Businesses Should Care

If you’re a mid-sized company, you’re likely familiar with the challenges of managing supplier payments. Mid-market businesses handle over $3.3 trillion in payments every year, but they often lack the resources and attention that larger corporations receive from financial providers. That’s where automation can be a game changer. It helps level the playing field, giving you the tools to operate with the same efficiency and security as larger competitors.

What’s Next for Your Business?

Supplier payment automation might sound like a big leap, but with the right tools, it’s surprisingly simple to implement. Solutions like Ascend Software’s Payments integrate directly with platforms like Workday, so you don’t need to overhaul your existing systems. Features like virtual card rebates, real-time tracking, and secure workflows help streamline the process while adding real financial value.

If your AP team is overwhelmed, automation can take those repetitive, manual tasks off their plate. The result? Fewer errors, faster payments, lower costs, and stronger supplier relationships. It’s not just about simplifying operations—it’s about setting your business up for long-term success.

 

Want to see if our Payments solution is right for you? Click here: 

 

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