The faster and more reliably your business processes invoices, the better. More robust processing provides essential insights into a company’s financial health and can also improve supplier relationships and lead to early discounts. How can you achieve effective invoice automation today?

The right technology makes all the difference, but it isn’t just one element that leads to success. It combines multiple tools to create a comprehensive approach to automating and streamlining invoice processing. With platforms such as Tungsten AP Essentials and others, those capabilities are within reach today—but what do they involve? Here’s a quick look at the fundamental technologies at play here.

Excellent Optical Character Recognition is Essential

Optical character recognition, or OCR, is the backbone of invoice automation that delivers excellent results for your business. Without OCR, teams must manually examine documents and transfer the data into business systems. However, with a more robust OCR, you can quickly digitize documents—even at the moment of capture. With the full text of everything from purchase orders to invoices and checks available, you can populate systems with high-quality data.

Good OCR ensures that you can access high-quality data. OCR helps eliminate manual data extraction processes, which can introduce errors into your information. Chasing down those errors later in the process can take too much time—so OCR helps you get it right the first time.

Robotic Process Automation Fills in the Gaps

Robotic process automation mimics human-like behaviors within software user interfaces to execute rules-based tasks. For example, an RPA robot might be able to log in to a supplier portal, download invoice data, and then move the invoices to a folder where an OCR utility can run to extract the data.

RPA can bridge gaps between disconnected software systems while accelerating the pace of work. Instead of a human switching back and forth, a robot can accomplish the same tasks much faster and without making mistakes. RPA is an essential technology for invoice automation because it can ensure the smooth flow of information and data to the correct destinations.

Artificial Intelligence Levels Up Document Processing Capabilities

The emergence of artificial intelligence (AI) and machine learning (ML) in invoice processing has been a game-changer. These solutions can go beyond what RPA is capable of, providing more robust and human-like actions. For example, AI tools are excellent for pattern recognition, which is necessary for effective invoice automation. An AI tool can analyze and understand structured and unstructured data, simplifying complex processes such as two and three-way matching between invoices, POs, and receipts.

AI can also help with approvals, creating the opportunity for straight-through processing. In other words, an AI trained to understand your invoice requirements can completely automate the processing of some invoices. No human intervention may be necessary for some invoices, from capture to approval. Not only does that lead to faster outcomes, but it can dramatically impact costs per invoice. When exceptions or outliers occur, the AI can pass the document to the appropriate stakeholder with the help of RPA.

Accelerate Your Adoption of Advanced Invoice Processing Technology

With effective invoice automation, it’s possible to capture early payment discounts, visualize cash flow more reliably, reduce errors and maintain a healthier business. OCR, RPA, AI and more have their roles in this job. Bringing these abilities into your business has never been so uncomplicated, especially when combining such solutions in packages like AP Essentials and others. Learn more about what’s possible and see how you can take the first steps towards improved outcomes and a more substantial ROI today.