Title: MES Hybrid - Document Management in Ontario - The Positive Impact on Accounts Payable
1Document Management in Ontario
- The Positive Impact on Accounts Payable
2Document Management in Ontario
- Document management in Ontario allows
organizations to capitalize on solutions that
eliminate unnecessary cost and add value. - Document management impacts many departments and
functions within a company, including accounts
payable. - For example, you can automate accounts payable so
you process a greater number of invoices within
shorter time periods.
3Document Management in Ontario
- By eliminating paper and simplifying the invoice
approval process, business can save money. - The superiority of electronic processes over
paper processes is a widely accepted concept. - However, the migration to document management
solutions in Ontario has not been as obvious as
you would expect.
4Document Management in Ontario
- The High Cost of Maintaining Manual Accounts
Payable - Each time you purchase something on credit, you
create an account payable for your business. - Typically, you owe the amount taken on credit to
your supplier within 30 days. - But, if you pay early, vendors frequently will
give cash incentives in the form of discounts.
5Document Management in Ontario
- To get these discounts, companies must process
invoices and send payment to the vendor in as
little as 10 days. - Processing invoices in such a short period is
very difficult for many accounts payable
departments. - Their document management in Ontario may not be
capable of quick turn-arounds, especially if its
a manual system.
6Document Management in Ontario
- The manual steps in a paper-based system for
document management in Ontario can cause the
invoicing process to take upwards of 30 days. - The accounts payable process could be further
hindered in the following situations
7Document Management in Ontario
- Businesses typically process invoices tied to a
purchase order. - However, its not uncommon for some invoices not
to originate from a purchase order. - When a purchase order has been issued, accounts
payable staff still needs to make sure the line
items agree. - When the paper invoice arrives, it gets keyed
into the system and is matched line-by-line
against the purchase order.
8Document Management in Ontario
- When purchases are made without purchase orders,
the accounts payable department usually doesnt
know the invoice exists until it shows up. - Because no prior approval took place, these
invoices must be routed through a separate
approval process.
9Document Management in Ontario
- When invoice discrepancies arise, resolution
involves back and forth communications among
suppliers and internal departments before they
can be processed through document management in
Ontario. - The additional processing time adds costs and
time. In fact, many companies require dedicated
staff just to resolve invoicing disputes.
10Document Management in Ontario
- The benefits of document management for accounts
payable are quite evident. - By streamlining and automating the entire
process, document management eliminates the high
overhead and delays associated with manual paper
processing. - Your business operates in a much more cost and
time efficient manner.
11Document Management in Ontario
- Specific benefits for document management in
Ontario include - Replacing costly, error-prone paper processes
with automated records management - Capitalizing on vendor discounts and avoiding
late fees - Improving vendor relationships and increasing
favorable terms - Resolving vendor disputes instantly with
supporting documents easily retrieved - Providing flexibility to submit invoices in
various formats
12Document Management in Ontario
- Eliminating invoice delays and automating
document routing - Optimizing approvals, payment cycles and
reporting - Automating invoice and check match ups
- Removing the need for additional staffing with
volume increases - Facilitating audits with quicker access to needed
documents and transaction histories
13Document Management in Ontario
- Implementing document management in Ontario leads
to higher performance levels for your business. - When you replace a manual process with an
electronic one, you get a better managed, more
efficient and increasingly profitable business
operation.
14About the Author
- Kevin D'Arcy is VP of Sales and Marketing for MES
Hybrid Document Systems, Ontario's leading
document scanning and document management
supplier. For more information about Document
Management in Ontario, visit http//www.mesltd.ca/
service.html?id10