How AP Automation Supports Businesses During a Recession
December 2, 2022 by Alyssa Putzer
It’s been all the buzz on the news and on social media: We are approaching a recession. Again. And depending on what you use as the definition of “recession,” many will say that we are already in the midst of one and have been since summer 2022.
While we will all be subjected to the effects of an economic downturn in some way or another, did you know that you can offset some of the repercussions of a recession by implementing AP automation? Here’s how!
Cost Savings: One of the most essential parts of being in an economic downturn is cash management. Deploying AP automation saves money on labor costs by automating repetitive processes and streamlining those processes so that your team isn’t spending time (and money) searching for lost documents.
Increases Visibility: You may be losing money on late payments or missing out on early-payment discounts and not even know it! And that’s money back in your pocket which is crucial during a recession. AP automation gives you visibility into your financial processes so you can see where your AP department is excelling and where there may be room for improvement so you can take advantage of even more cost savings.
Better Data Integrity and Security: When your processes are managed manually, you run the risk of important information falling through the cracks. AP automation assures that your documents are safely stored and tracked digitally and that you are able to assign permissions to different team members depending on the level of access you want them to have. When paired with regularly scheduled backups, automation can reduce costly crisis management if sensitive information gets leaked.
Anywhere, Anytime Access: During a recession, many organizations find it is more cost-effective to shut down a central office and encourage employees to work from home. With AP automation, employees are still able to access the information they need anytime, anywhere in real-time so you can save money on an office lease without slowing down business processes!
While a recession will affect companies in many ways, automation technology can combat some of the detrimental effects and safeguard companies so they can continue to do what they do despite economic shifts.