What is Invoice Processing
An invoice is a commercial document issued by a seller to a buyer regarding sale transactions and the products, its quantities, and prices over the particular product. Invoice processing deals with the verification of the bills of purchase with different payment terms followed by payment to the vendor. Usually, a typical process involves a number of steps starting from the arrival of the invoice at the door of the organization followed by verification of the authenticity of the invoice and further, classifying it into various categories. After a few more steps and possibly a longer duration, the invoice is posted into the accounting system and payment is processed.
A manual invoice process can exceed 15 steps before the final posting is made and faces a few obvious challenges. Getting together to a similar conclusion, Paper invoices and Manual processes hinder the efficiency of Accounts Payable (AP) works. These add unnecessary costs and reduce integrity. The dominating challenges involving paper invoices and labour are as follows:
- There is no fixed format of invoices from different vendors and the process is generally human dependant in order to understand and process them as required
- Paper invoices are labour intensive: Labour intensive processing is problematic as it involves personnel at every step for roles like reviewing, approval etc. Annually, this could involve several thousand invoices.
- Multiple sources increase the chance of error: Manual invoices come through a variety of sources like email, courier, fax and other electronic formats. Each invoice must be manually collected into one system, increasing the processing time and the chances of error. Some of the risks include duplicate invoices, incorrect amounts, or incurring delays resulting in late payment penalties.
These issues run the business on decline, affecting both the company and its customers. Failing to satisfy the customers is a big reason to hamper the marketing and reputation of the company. Coming to terms with these problems is the need of the hour which Kafal software is inculcating new methods and technologies to overcome them.
Kafal Intelligent Invoice Processing Solution (KIIPS)
Technology has proved its credibility in enabling automation of invoice processing and we at Kafal Software have automated the scanning, interpreting and the filing of the invoice through Kafal Intelligent Invoice Processing Solution. At the core of the solution lies the capabilities of Robotic Process Automation (RPA) that helps in achieving the best outcome of invoice processing while overcoming the mentioned challenges. This has turned into a necessary commodity in organizations where high touch repetitive processes are involved. The benefits of KIIPS are manifold:
- Solution is cognitive and has the capability to understand invoices in any format (unstructured data) and process them as required without any manual intervention
- Ensures that a high percentage of invoices are paid properly and without the need for human intervention.
- Reduces error rate and saves on labour cost.
- On-demand reports and data resilience.
- Improves supplier relations.
Kafal Software is using RPA to create transformative efficiency and productivity gains, drive the greater process, and spur superior Customer services. The future is here and Kafal Software along with RPA is taking workforce virtualization to a high level, promising improved internal processes and relations with suppliers, and making the process of invoice workflow an easy and accessible one. KIIPS will satisfy both the needs of the company and its customers. Being one of the few organizations to use this cognitive technique for AP works, we at Kafal Software aim at high proficiency and competence in whatever we do.