Historically, companies have had to choose between speed and control due to the limitations of manual processes.
They either had to work quickly, giving up some control, or operate slowly to ensure everything was 100% correct. Now, companies face the added challenge of limited new graduates in accounting and a shortage of talent that’s thought to contribute to high-profile mistakes.
With Applied AI, companies can significantly increase both speed and control while automating clerical work.
Take, for example, the process of capturing an invoice in accounts payable. The old method involved physically opening an envelope, manually inputting information into your ERP, and applying GL coding at the header or line-item levels. Invoices would pile up on desks, moving from suppliers to managers before finally reaching AP.
AP and P2P Strategies Promise Automation but Struggle with Change Management
Over the past 20 years, numerous software providers have attempted to help companies increase efficiency. Some tried to eliminate the supplier's invoicing process altogether, encouraging suppliers to enter invoice information into a portal or convert the POs they received into an online invoice. However, this approach required suppliers to change their core AR business processes, which they were resistant to.
Document Capture Strategies Provide Automation but Require Active Management
Other providers used outdated technology, such as template or training-based OCR, to capture invoice metadata from paper or PDFs. These systems required training and often necessitated ten example invoices from each supplier. The format of supplier invoices had to be mapped to the software's expected format, which took months and left companies still needing a large team to operate the software. They had traded one type of clerical work for another.
Regardless of the approach, companies were left with a tradeoff between speed and control. Document capture software could run efficiently, but only after significant time was invested in setting it up. Companies often tried to strike a balance, sacrificing control for speed.
Applied AI Providers Deliver 100% Capture Without the Overhead
OpenEnvoy's approach is fundamentally different. The Applied AI approach developed by our experts uses Machine Learning and Deep Neural Networks to capture 100% of supplier invoices without the need for templates or manual training. Over 90% of invoices can be coded to the GL without rules—even if there's no PO. Invoices are captured in any format, requiring no change from suppliers.
The result is that there is no tradeoff between speed and control. Customers can move faster due to enhanced efficiency. AP teams are seeing 200% efficiency or more as they gain superior control over the process. Invoices are captured at the line-item level, coded to the general ledger, and proactively audited by the system to eliminate the risk of fraud and duplication. OpenEnvoy customers not only gain efficiency in their operations, but they get there fast. For instance, Raney’s achieved 100% digital processes in just 60 days.
