Control Company Costs
How to Cut the Cost and Time of Invoice Processing with Automation
The High Cost of Manual Invoice Processing
If asked what finance function eats the most time, labor, and paper, you might echo the answer many industry peers give.
Here are some examples of why AP comes up often and is a target for automation:
- Organisations implementing an automated AP solution report an average of 20% decrease in invoice processing costs.1
- On average, organisations with automated AP solutions engage 2.5X more vendors than those without automated AP solutions.1
The downsides of handling invoices and payments with outdated processes and tools extend beyond lost productivity. Work is more tedious, making jobs less attractive. Your company has less visibility into where dollars went or are going, hindering decision-making and agility. Control and compliance are harder, raising the chance of fraud and penalties.
All those bad keystrokes, data trapped on paper and PDF, time spent chasing approvals, and other error-inducing and efficiency-sapping factors add up. That’s lost opportunity at any time but especially when budgets are tight and competition is relentless.
How AP Automation Streamlines Invoice Processing
With automation, employees access a single platform that manages invoices, payments, and overall spend. Businesses of all sizes can process invoices from email, supplier portals, or other sources, with data pulled automatically and consolidated. Because the process is mobile-enabled, managers and the AP team can perform their roles from anywhere. Your business can readily see links between purchase orders, invoices, and payments – and gain a better audit trail, too.
Vital statistic: Organisations with automated AP solutions process 64% more vendor invoices per month than without automated AP solutions.
How AP Automation Improves Cash Flow Visibility
With a clearer picture of cash flow from a timely and better capture of spending, your business can make better-informed decisions about where and when it allots its dollars. The finance team will be able to provide leadership the data and insights they’re asking for – because manual work is no longer clogging their days. And with the whole process moving faster, you can take advantage of early payment discounts.
How AP Automation Improves Back-Office Productivity
Automation certainly cuts the amount of keying – and related errors – that employees perform. It also can accurately extract data from emails, PDFs, and other sources and match it to receipts and purchase orders. Businesses can integrate data from multiple processes and systems, including ERPs, and consolidate information on cash flow, spending, and operations. With better information and less back and forth for numbers and answers, you can improve both collaboration and productivity.
Vital statistic : 43% of organisations not currently using an automated AP solution will likely switch to an automated AP solution in the next two years. Lower subscription fees, better integration with existing ERP systems, better support of international support, and ease of use are the top four drivers to switch to a new AP solution.1
How AP Automation Strengthens Controls and Compliance
Automated processes can provide greater clarity and accountability than paper ones. Controls allow a business to limit access by role, prevent alterations and deletions that allow fraud, and meet regulatory requirements from tax authorities or other government entities. With real-time reconciliation, you can identify problems quickly. And by paying electronically instead of paper check, you’re reducing the risk of fraud.
Vital statistic: 71% of businesses report some sort of financial loss due to fraud in the past three years.2
How AP Automation Delivers More Accurate, Timely Spending Data
Have an employee who regularly overspends or a budget out of whack? Automation allows you to drill down into spending quickly and accurately and stop or adjust it before serious damage is done. You also can see patterns that give the company leverage in supplier negotiations. With one platform integrating AP and travel expense, you gain a view of employee and company spending that lets you manage and learn from it with consistency.
Benchmarking AP Performance and Reducing Process Costs
As accounts payable becomes increasingly recognised as a key driver of strategic value, leveraging industry benchmarks to track AP performance presents organisations with significant opportunities to enhance efficiency and identify cost-saving measures. Learn more by exploring the latest report from Ardent Partners, sponsored by SAP Concur, which provides valuable insights and key metrics to help businesses transform their AP operations and improve financial performance.
Frequently Asked Questions About Invoice Processing Automation
How much does AP automation save on invoice processing costs?
Organisations that implement automated AP solutions report an average 20% decrease in invoice processing costs, along with the ability to engage 2.5 times more vendors than businesses relying on manual processes.
How does invoice automation improve cash flow visibility?
Automation gives finance teams a clearer, more timely picture of spending, allowing better-informed decisions about cash allocation and making it easier to capture early payment discounts.
Can invoice automation reduce fraud risk?
Yes. Automated controls limit access by role, prevent unauthorised alterations or deletions, and support real-time reconciliation, which helps identify issues quickly. This matters given that 71% of businesses report some financial loss due to fraud within the past three years.
How many businesses are planning to adopt AP automation?
43% of organisations not currently using automated AP solutions say they're likely to switch within the next two years, citing lower subscription fees, better ERP integration, stronger international support, and ease of use as top drivers.
- Building Efficiency, Targeting Growth, Phronesis Partners, 2024
- Finance Leaders Fraud Report, Insitute of Financial Operations & Leadership, 2025
