5 Finance Processes You Should Have Automated Yesterday
March 5th, 2018 • BPM
If you’re still managing your finance department the old-fashioned, manual way, then you’re way behind the times. Manually managing financial processes are a bottleneck for your organization. They take up an incredible amount of time, leading to long work hours and a whole lot of frustration for your team.
Finance process automation is key to ensuring that your organization is up to the task of growing and scaling for the future.
Here are five finance processes that you should be automating, if you haven’t already.
When it comes to automated financial processes, budget approval takes the top of the list. Every office has a laundry list of expenses, day in and day out. That’s where budget approval is required from the manager to the finance department before the budget can be put into action. This is an excellent place where finance process automation can be implemented.
With BPM software, you’ll have an app or workflow that will outline the finance process in your office, starting from the person that is requesting the approval for the budget. The person who draw up the budget for the office will list out the details of the budget into the app, and send it to their manager. Once it’s approved, it’ll be sent to the finance department, who will then do a final check, and then approve the budget.
The advantage of having an automated financial process here is that you don’t have to sift through dozens of emails in a thread to check through clarifications and rectifications. Everything is neatly recorded in the workflow, and there are comments to track what has been changed or added. So you’re not wasting any time wondering what changes were made.
Whether it’s new laptops or furniture, an office will need new assets from time to time, and it is extremely difficult to keep track of all of these using emails. There’s bound to be a ton of back and forth communication about the asset in question, the need for it, and other questions that may arise.
That’s where finance process automation kicks in. Just open a request, and you’ll be presented with a complete list of details regarding the asset in question, the need for the same, and any other details that may be required.
Most software that provides automated financial processes features also allows you to customize the workflow according to your particular organization, so you’re not caught using something that doesn’t fit your company.
In addition, you’ll have a separate comments section, where you can find a neat and ordered list of questions and replies regarding the purchase of the asset.
When employees go on official trips to attend conferences and meetings in other cities, they need to have their travel expenses reimbursed. Finance process automation can also help reduce the overhead here as well.
All your staff has to do is enter the details of the reimbursement they need, along with the receipts for the same, and send it on to their manager. The automated financial process collects all the necessary details and sends it, perfectly organized, to the manager, who then reviews it.
Once the manager approves it, the request is then sent to the finance department, who can process the claim and transfer the amount to the employee’s bank account.
Employees can also benefit from automation with mileage reimbursements. The automated financial process for that is the same as for travel reimbursement. All the employee has to do is to fill in the mileage amount to be reimbursed, and any other receipts. Once these details are filled in, the manager can approve it, and send it to the finance department for transferring the amount into the employee’s account.
Paying vendors is an important finance process automation if you’re in a business where you’re manufacturing goods with materials procured from different vendors, or if you’re running an e-commerce store, where your vendors will need to periodically ship stock for you to sell.
Finance process automation can help here as well. Instead of going through a lot of manual work and red tape by doing it manually, you can automate this process to automatically send a payment invoice to the finance department. Once the finance department reviews it, the payment is processed to the vendor.
Finance process automation makes this process much simpler, since you don’t have to constantly keep track of whether or not you’ve paid a vendor or not. That keeps your operations running smoothly as well.
Finance process automation is often overlooked, but the difference that comes with automation is immediately recognizable. That’s why it’s important to have automated financial processes wherever you can. Options like KiSSFLOW can help you automate your finance processes, with it’s wide variety of finance process apps that you can either use off-the-shelf, or customize according to your requirements. If you haven’t added finance process automation in your office yet, it’s high time that you consider doing it, since you are missing out on the tangible benefits you can reap.