Hey, Listen Up! Here are 10 AI Applications to Take Your Accounts Payable to the Next Level in 2024

How‘s it going? As a fellow finance pro, I know you‘ve got a lot on your plate. Invoice volumes are increasing, suppliers demand faster payments, and auditors are laser-focused on compliance. Am I right?

But what if I told you there are some legit AI solutions now that can help? I know, I know – you‘ve heard the AI hype before. But stick with me here…these aren‘t the AI vaporware startups.

I‘m talking industrial-grade artificial intelligence that can have a real impact on optimizing your accounts payable operations. Intrigued? Let‘s dive into the top 10 applications of AI that can give your AP workflows a major upgrade:

1. Automated Data Extraction

Your AP team probably spends hours manually entering info from invoices, purchase orders, and other documents. Sound tedious? What if an AI assistant could take care of that?

Using a combination of machine learning, computer vision, and natural language processing, modern AI platforms like Rossum and Hypatos can now reliably extract all relevant data from invoices and other documents – no templates required.

These AI models dynamically adapt to new forms and data fields. For example, one leading bank trained Hypatos to handle its 50,000+ diverse invoice templates and achieved 90%+ straight-through processing rates.

According to Ardent Partners, automated data extraction can reduce invoice processing costs by 80-90%, saving $5-10 per document. Those savings add up fast!

2. Intelligent Coding

Do you find it tricky keeping up with changing GL codes and cost centers? AI to the rescue! Algorithms can now map invoices to proper codes automatically by learning from your historical data.

For example, audit giant EY trained a natural language processing AI to code invoices. The AI now does the job in seconds with 95%+ accuracy for clients. Talk about easy wins!

This not only eliminates coding errors but also adapts dynamically as your business needs evolve. Code on, my friends!

3. Adaptive Approver Routing

Don‘t you hate when invoices get stuck waiting for approver review? With constantly changing personnel, it‘s a pain to keep lookup tables updated.

Well, say bye to that headache! AI can now identify approvers automatically for each new invoice by learning from your past data patterns.

For example, Tipalti uses predictive analytics to determine optimal reviewers and sequence based on transaction details, avoiding bottlenecks. Cha-ching for timely approvals!

4. Smart Document Sorting

We all get swamped with disorganized document dumps – invoices mixed with contracts, credit memos, and who knows what. Talk about document debacle!

AI-powered platforms like HyperScience offer a clever solution by combining OCR, NLP, and machine learning to automatically classify, categorize, and extract data from different document types.

Hasta la vista to manual sorting and data entry drudgery!

5. Three-Way Matching

Comparing purchase orders, receipts, and invoices for a three-way match gobbles up massive hours. And studies show 90% of businesses still do it manually! Ouch.

But RPA and AI bots can take over the grunt work, extracting data from different sources and handling comparisons automatically. You keep the human oversight for exceptions.

This frees your team from repetitive matching while applying appropriate controls. It‘s a textbook win-win!

6. Repetitive Task Elimination

Face it – AP still relies on many mundane manual processes like invoice filing, data validations, email reminders, and report generation. Make it stop!

Here‘s the sweet relief – RPA bots handle repetitive workflows by following rules, while intelligent algorithms go further by dynamically learning unique business needs.

For example, Softomotive‘s ProcessRobot with AI functionality can automatically validate new supplier info, assign identifiers, route invoices, and adapt to new requirements over time. The bots do the boring stuff, while your team focuses on high-value initiatives. Loving it!

7. Cash Forecasting

Trying to model upcoming cash flow and balance sheet impacts from AP data? Don‘t hurt yourself! AI-driven analytics make light work of forecasting.

Platforms like Skyn.ai ingest historical invoices, payments, discounts and other data points to automatically generate predictive forecasts and scenarios for your cash runway.

Accuracy and speed – a finance team‘s dream!

8. Sanctions Screening

With regulations getting tougher, can you confidently say your sanctions screening procedures are watertight? Don‘t let compliance cracks sink you!

AI automation is lightyears better than traditional methods. For starters, RPA bots rapidly gather supplier data from documents and web sources. Then natural language processing scans for potential name matches across records.

Tools like GTN Payments combine this AI with predictive analytics to accurately identify high-risk suppliers and transactions so your team can focus review. Fast, effective, and audit-proof!

9. Fraud Detection

Fraudsters are getting smarter. Every year, businesses lose billions to fake suppliers, altered invoices, kickbacks, and other scams. Don‘t become a statistic!

Fight back with the pattern-recognition superpowers of AI. Machine learning algorithms can analyze AP data, find anomalies, identify duplicates, and detect modified documents to pinpoint potential frauds.

Saving you big-time by spotting bad apples early!

10. Error-Proofing

Despite best efforts, human errors persist – miscoded invoices, duplicate payments, missing approvals. And tracking down mistakes blows precious hours.

Cut the losses with AI. Machine learning tools like AppZen study your workflows to learn what "normal" looks like and rapidly identify deviations – incorrect totals, invalid entries, budget overages, maverick purchases, etc.

Early warnings enable your team to correct errors pre-payment. Precision processing is music to the ears!

Step Up Your AP Game with AI

Well, those are 10 solid ways to drive value from AI in accounts payable. The business case is compelling:

  • 80%+ cost reduction in invoice processing
  • 50-70% faster invoice cycle times
  • 4%+ savings from prevented fraud and errors
  • Improved visibility and compliance

Top platforms like AppZen, Skyn.ai, Hypatos, and Softomotive make it easy to pilot AI in your highest-impact AP workflows.

Why not start now and take your first steps toward the future? You‘ve got nothing to lose and massive efficiency gains to win!

Let me know if you have any other questions. I‘m always happy to chat!

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