Any financial controller will tell you that their role is multi-faceted. Not only do they oversee accounting records and accounting operations, monitor compliance with regulations, and coordinate expenditures, but they also ensure financial data is in good order to allow them the ability to accurately forecast for the future. The shift from manual processing to AP automation has been embraced by many controllers in recent years, particularly during tax season, for three primary reasons: increased transparency, auto-reconciliation, and tighter financial controls.
When a company chooses to utilize AP Automation, data is automatically shared with accounting applications making it even easier to ensure accuracy when tax season comes around. Eliminating manual, human intervention further helps drive precision. Finally, the compiled data promotes a more streamlined process that can be easily examined at any point in time and helps to confirm that IRS protocols are always being met.
CPS processes payments in the most efficient way either through a payment file integration or a direct database linkage. CPS will then generate a payment in the vendor’s preferred payment method (phone IVR, web portal, EDI, secure fax, etc.) for each payment number from the source system. Once the payment is processed, CPS will deliver an electronic remittance including invoice and payment level data in the preferred format of the supplier. Transaction files are then returned to the client when the CPS Payment Portal pulls real-time transaction status of authorizations and cleared payments. Lastly, the reconciled payments are delivered back into the client’s Source/ERP System and stand ready to be re-visited at any time.
Tighter Financial Controls
Eliminating manual data entry both cuts down on time and the possibility for accounting errors that could be hard to spot months after the payments have been processed. Furthermore, all controller functions previously discussed including auditing, budgeting, forecasting, and reporting are simplified due to automation compiling this highly precise data throughout the year. Efficiencies throughout the year translate to a smooth tax season when the time comes.