The quote, “You can’t manage what you can’t measure,” is often shared amongst business leaders, and while that is undoubtedly true, what if you can’t access data to begin measuring it?
In 2022, access to real-time data is no longer a luxury but a non-negotiable for high-performing finance teams. Accounting teams with access to real-time spend data can easily break down cash flow blocks, halt spending leaks, and make better decisions, especially during disruption.
Companies are on high alert due to rising inflation, growing interest rates, economic instability, and a looming recession. But how can finance leaders and teams tackle these issues and come out on the winning side? There is no better place to identify areas for cost reduction, contract negotiation, and optimization than within the accounts payable department.
To overcome economic pressures and operate efficiently, teams must be clear about what is going on internally, and to do so, they need a solution that delivers those insights.
Here are 3 Reasons Why Accounting Teams Need Advanced Spend Analytics:
Holistic View of Company Spend
With a holistic view of spending, finance and accounting teams can see how money flows into and out of the organization in real time.
The right solution will be able to empower finance executives and teams with:
- Configurable, real-time dashboards that display the most valuable financial information
- Dispute tracking to monitor ongoing disputes with vendors and speed up resolutions
- Scoring systems for vendor performance to identify their most accurate vendors and support contractual negotiations
Enhanced Operational Efficiency
Improving your finance team’s visibility of company spending can also boost organizational efficiency. Spend visibility enables finance teams to become more proficient in managing the processes they oversee and supports them in completing tasks more accurately.
Optimizing accounts payable (AP) processes directly impacts spend visibility and the team’s access to robust spend analytics. AP teams act as gatekeepers for all company outflows, and when AP processes are not efficient or accurate, it is hard to generate reliable data.
The latest real-time AP automation technology:
- Streamlines invoice processing and speeds up approvals with automated workflows
- Audits each invoice at the line-item level and logs all transactions
- Uses data from invoice processing to generate actionable insights for decision making
The latest spend insight tools also integrate seamlessly with existing internal software, allowing your team to begin exercising their analytical muscles immediately.
Stronger Supplier Relationships
The benefits of spend data goes far beyond the ability to track cash flow. With clearer visibility, your finance team can better control costs and develop stronger vendor relationships.
Finance and procurement teams can use data to create sounder sourcing and procurement strategies. Naturally with insights primed for decision making, accounting teams can find wasteful expenses, identify areas for consolidation, and negotiate better terms with ongoing contracts, ultimately leading to further cost savings.
Moreover, spend insights allow finance teams to track and monitor vendor billing performance. For example, accounts payable teams can view vendor billing history over time to spot suppliers who tend to submit invoices with billing issues and take action quickly.
With this granular level of control, it becomes easier to track discrepancies, investigate pricing variances, and spot improvement areas.
Unlock Real-Time Insights with OpenEnvoy
The entire organization wins when the finance team has control and visibility over company spending. Real-time, comprehensive data allows teams to fully understand spending and where to draw insightful conclusions that can lead to more cost-effective decision-making.
OpenEnvoy is a cutting-edge data spend visibility solution that allows companies of all sizes to control their spending completely. Your accounting and finance team can take their spend analysis to the next level with dashboards that offer an all-encompassing view of company spending with data generated directly from your vendor network.
See the difference for yourself by scheduling a demo with an OpenEnvoy expert today; visit https://openenvoy.com/contact-us/.