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5 Financial Processes You Can Automate Now For a More Cash Rich Department

5 Financial Processes you Can Automate Now for a More Cash-Rich Department

Posted by OmPrompt on 04 October 2017

Moving from a traditional, manual finance department to a fully-automated, digitised department is truly a transformational change. However, just by focusing on five key financial processes, you can significantly improve your cash position and release resource within your department.

  1. Remittance Processing
    Cross-checking the remittance advice with its corresponding invoice, before entering the information into your ERP, is a time-consuming task that’s perfect for automation. With all the required information held as accessible data, you can check thousands of remittance documents against their invoices in minutes, flagging up discrepancies much earlier than with a manual process. You can query anomalies sooner with your customers, preventing any delay of the actual payment.
  2. Invoicing and Dispute Processing
    Chasing up order delivery status, and entering discussions about delivery disputes, are both labour-intensive activities that can be completely avoided with automation. Using proof of delivery as a trigger, your invoices can be automatically raised and sent to your customers. Invoice disputes can be resolved much sooner with the true picture of order status that automation brings. This essentially reduces the likelihood of the invoice payment increasing to 90 or even 120 days.
  3. Debit Note Processing
    Whether from a shortfall in delivery, or damaged goods, raising a debit note involves cross-checking against the original order and original invoice, before issuing and recording the debit note itself. The cross-checking can be carried out instantly by an automated, data-driven system, and the debit notes can be automatically created and sent to your customers.
    This ensures you have a true picture of your cash situation, and are not waiting on delays on debit note processing before finalising your financial reports.
  4. Claims and Deductions Processing
    Processing claims and the subsequent deductions from outstanding invoices involves a huge paper trail in traditionally-run financial departments. As well as all the financial documentation and the original order, all other communication related to the claim also needs to be checked – this is where automation can help to speed up the process and help financial staff keep records that back up the outcome of claims made by customers.
  5. Financial Document Creation
    As with the rest of the operational supply chain, moving along the process relies on the creation and sending of key documentation. Within finance, core documents you can automate are: invoices, debit notes, credit notes, remittance advices, bank payments and debtor lists. Even if your actual processes are largely manual, automating your key financial document creation ensures they are correct, get to the customer or supplier quickly, and are in the right format for permanent record keeping.

These five automation processes will make in impact to your organisations financial KPIs, and set you off on your automation journey.

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