AP Is Wasting Your Team’s Time — Here’s How to Fix It
Inefficient accounts payable (AP) processes can drag down productivity, increase risk, and impact your bottom line. Yet, a surprising number of businesses still rely on outdated, manual methods.
In fact, 52% of AP teams spend more than 10 hours per week processing invoices, and 60% still manually input invoice data, according to a recent report by ACARP. This not only wastes time but also opens the door to errors and fraud.
If you’ve been thinking about upgrading your AP process, here are six important reasons to make it a priority now:
1. Save Time with Automation
Manual invoice processing is not only slow — it’s costly. Studies show that automation can reduce invoice processing time by up to 80%, freeing your team to focus on strategic work rather than paperwork. Companies using AP automation report invoice processing costs drop from $10+ to under $2 per invoice.
Source: Kefron, 2025 AP Automation Trends
2. Strengthen Fraud Protection
AP is one of the most vulnerable areas to corporate fraud. In 2023, 80% of businesses reported attempted or successful payments fraud, with business email compromise (BEC) leading the charge. Optimizing AP with secure workflows, multi-level approvals, and digital audit trails drastically lowers this risk.
Source: Association for Financial Professionals (AFP), 2023 Payments Fraud Survey
3. Gain Real-Time Visibility Into Cash Flow
Disorganized AP systems create a black hole for financial visibility. An optimized process provides real-time insights into outgoing payments, upcoming liabilities, and vendor balances — empowering better cash flow planning and fewer surprises at month-end.
4. Improve Vendor Relationships
Late or incorrect payments can damage vendor trust. A streamlined AP process ensures invoices are approved and paid on time, which not only strengthens partnerships but can also help negotiate better terms like early payment discounts. Happy vendors = smoother operations.
5. Optimize Working Capital with Smarter Payment Timing
Strategic timing of payments allows you to optimize working capital. Monitoring Days Payable Outstanding (DPO) helps balance cash flow while maintaining supplier goodwill. The key is flexibility — stretch payment terms when needed, but pay early when it benefits you.
Source: Investopedia – Days Payable Outstanding
6. Get Audit-Ready with Less Stress
Messy paper trails are a nightmare during audits. A modern AP system logs every step — from invoice receipt to approval and payment — in a digital format. That means faster audits, fewer compliance headaches, and peace of mind when tax season or regulatory checks roll around.
Modernizing your accounts payable process isn’t just about saving time — it’s about gaining control. With the right strategy and tools, your business can improve accuracy, reduce risk, strengthen relationships, and unlock significant cost savings.
Whether you're just starting to evaluate your process or looking for a system upgrade, the benefits are clear: now is the time to act.