The Advantages of Auto-Matching and Auto-Vouchering in Accounts Payable Automation
In this time of ever-increasing costs many businesses are looking for ways to reduce accounts payable processing costs and cycle times in an effort to increase productivity, discounts and ultimately profitability. DocuSphere® offers the Auto-Matching and Auto-Vouchering modules within the DocuSphere Workflow product to assist customers with these goals.
Auto-Matching is a module that uses data captured at scan time from vendor invoices to programmatically select the receipts or PO lines to be matched when creating a transaction in the ERP system. DocuSphere offers two types of Auto-Matching. The first type is Subtotal auto-matching. This sort of auto-matching is useful for businesses that have a high volume of blanket orders or orders that are received and invoiced with a single shipment/invoice. Subtotal auto-matching takes the header and footer data (PO Number, invoice subtotal amount, freight, etc.) captured at scan time and uses algorithms to allocate the invoice subtotal amount over the open PO lines or receipts within ERP tolerance (and configurable “under” tolerance percentage).
The second type of auto-matching is Line Item auto-matching. This type uses header, footer and line item detail data (PO Number, Invoice Total Amount, freight, item, quantity, unit cost, etc.) captured at scan time to perform an exact match to open PO lines or receipt details within ERP tolerance. This sort of auto-matching is useful for businesses whose orders are most often received as multiple shipments and invoices.
Auto-Matching gives customers the advantage of allowing easily matched invoices to be programmatically handled. This in turn increases productivity in the workflow and frees time for processors to handle exceptions.
Auto-Matching is intended to be combined with the DocuSphere Auto-Vouchering module. This module uses information captured during scanning and derived during workflow processing (i.e. general information plus GL Coding or PO/Receipt matching information) to programmatically create transactions within the ERP system. It utilizes established interfaces for external data to transfer the data to the ERP system.
The Auto-Vouchering module may be used alone to eliminate redundant manual entry, thus reducing keying errors and invoice processing cycle times, and ultimately, increasing throughput. However, when auto-vouchering is combined with auto-matching it creates a powerful automated Accounts Payable processing environment. Invoice processing is virtually hands-free, requiring human intervention only for exception processing. Using these two modules also increases standardization, control and visibility of the entire process, exposing bottlenecks and processing issues to enable further process improvement.
A workflow solution that combines the DocuSphere Auto-Matching and Auto-Vouchering modules has the ultimate advantage of raising productivity and reducing costs. Companies with this level of Accounts Payable automation (Industry “Leaders”) have been found to be able to process invoices for 1/3 of the cost of the “average” company. For assistance with helping your company to become an industry leader relative to accounts payable processing, please feel free to contact us to request an initial discussion or arrange for an introductory demo of our DocuSphere solution.
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