Year after year, organizations are losing millions in duplicate payments. Even the world’s most effective AP departments will encounter duplicates at a rate of .01%, which can mean more than $1 million lost annually.
Preventing these duplicate payments is an essential part of the AP team’s financial duty. Catching errors early in the process is vital in limiting exposure. To address duplicates more effectively, it is important to understand the three common drivers:
A high volume of transactions, spread across numerous suppliers and multiple systems, creates blind spots that can prevent AP teams from effectively stopping erroneous payments.
Vendor Master Integrity
The quality of vendor master data is vital to preventing payment errors. But with thousands of supplier records to maintain, mistakes happen. Duplicate Vendors with the same Tax ID cause downstream problems that reduce the efficiency of AP processes.
Approximately two-thirds of accounting departments still process invoices manually. When data such as invoice numbers and amounts are physically keyed in, a simple typo or additional character or digit can override your ERP control and lead to a duplicate payment and thousands in lost dollars.
It’s time organizations better detect duplicates to reduce this kind of preventable cash leakage with AI-powered technology. Ready to learn about the best practices for preventing these payments before they’re dispersed?