Key Accounting Processes You Should Automate To Maximize Your Company’s Efficiency
Though automation is among the trending topics in the business world currently, this is a word that intimidates most workers and companies. People automatically assume that the automation of business processes means job losses and a huge expense for business owners. Nevertheless, accounting automation that entails using software to handle most of the manual elements of your finance or accounting department is something you should consider. It translates to improved customer satisfaction, improved accuracy, and fast turnaround times.
The following are some of the accounting processes you should consider automating for maximized profits and the department’s efficacy.
Expense Tracking
Accountants in the past had to go through thousands of bills when tracking company expenses. Other than the redundancy of this task, there was a considerable risk of forgetting to include some bills or deliberately leaving them out to defraud a company. Most of the expense tracking software available will scan bills and receipts then automatically sync with your primary accounting software. This negates manual data entry while ensuring the details of all relevant documents are captured.
Payroll Management
Every month or week, accountants have to spend a lot of time processing payrolls. With payroll management being a fixed process in almost all organizations, automating the task might be the best thing that happens to your accounting department. The automation takes the stress out of the process and allows the payroll’s easy scaling to your HR department.
Invoicing
Processing and receiving payments is one of the main reasons you will hire an accountant for your business. However, invoicing might be time-consuming, and when done wrong will see you lose a lot of money. With invoicing software, like Yooz, the numbers on your invoices are checked then automatically sent to your business partners by email.
Account Receivables and Payables
The proper implementation of accounts receivables and payables software will allow optimal transparency in your receivables and payables. Most software solutions for this process come with an option to add vendors and approve payments. The creation or management of customer accounts, payment receipts, as well as credit reports, can also be automated with the accounts receivables and payables software.
Employee Benefits
After hiring employees, you should properly manage their benefits to guarantee their job satisfaction and meet your local employment regulations. All employee benefits have associated costs that might prove challenging for accounting departments when balancing their books. Automating the employee benefits, then linking them with your accounting software, will ease the tracking of costs and generation of periodic reports.
Reconciliation
The usual reconciliation process involves reviewing multiple data from your accounting systems, spreadsheets, and financial statements. With a software solution for your reconciliation process, these tasks will be automated, and any discrepancies can be picked instantly.
Bookkeeping
Conventional bookkeeping involves the manual entry of multiple values from accounting statements into software or spreadsheets. Accounting software comes with a range of API integrations that will automatically fetch all the values and integrate them into your accounting software.
Even with all the benefits of automating the above processes, employees might not readily accept or adapt accounting software. However, you do it want to be left out of the profits that 64.4% of mid-sized and small U.S-based businesses actualized in 2016 after streamlining their accounting departments with the right software. As such, you can invest in extensive training on the use of the software to ease its adaptation by your employees.