In this blog post, we take a closer look at the well-known bottleneck problems in the invoice process and give you our input on how to address these issues.
Bottlenecks in the Invoice Process
Unfortunately, we find that many companies have problems with the invoice process. This particularly happens when they do not take advantage of the opportunities to automate their manual processes.
Here are the five bottlenecks we most often encounter:
1. Manual Data Entry
Manual entry of invoices is an extremely time-consuming task which, besides being a waste of time, also carries a high risk of data entry errors that cost time and money while reducing efficiency.
2. Invoice Approval
The approval of invoices should be a relatively simple process but often involves multiple steps that can create delays and confusion if, for example, an approver is unavailable or on vacation. Challenges like these cost the company too much time and too many resources, potentially leading to invoices being overlooked and not paid in time.
3. Lack of System Integration
Manual or missing data transfers between systems that do not communicate is highly inefficient and creates chaos and confusion. On the contrary, it is much easier if all data is gathered in one place.
4. Lack of Standardisation of the Invoice Format
Another challenge for the invoice process is the lack of standardisation of the invoice format. The many different types of invoices require extra effort to interpret and process, resulting in poorer data quality and a higher risk of incorrect or missing data and information. This means more duplicative work and double-checking, while it also complicates automation.
5. Poor Communication with Suppliers
Issues with the invoice format and invoice requirements are not uncommon — especially from foreign suppliers who do not use the EHF format. However, the confusion that may arise due to this can delay the entire process, as incomplete or incorrect data can take a long time to rectify. Good communication and clear requirements for suppliers are therefore important for successful automation of the invoice process.
How to solve the challenges
Automating the invoice process not only improves efficiency but also minimises errors and reduces the time and costs spent on them.
Imagine an invoice process where over 90% of invoices are automatically processed from receipt to payment without manual intervention.
With an integration from Acubiz and Compello, you get an automation of both your expense management as well as the management of your incoming invoices. This streamlines the administration of your expenses and provides better control and insight into the company’s finances.
Specifically, there are 5 steps you need to follow to achieve the highest degree of automation of the invoice process in your company. You can read more about them here.
Do you want to know more?
Contact us if you want to know how we can help your business or book a free online demo to learn more.
