Switching everything over to a new system seems like a giant undertaking and one that may not be worth your time. However, digitalizing how you approach your business is an excellent way to increase productivity, save money and even protect the environment. Here are 4 reasons why you should consider digitizing your accounts receivable department.
1. Digitizing Enhances Your Department’s Workflow
One of the many fears associated with going digital is a losing control from no longer being directly involved in the process. This is a misconception that clouds the true efficacy of digitalized accounts receivable departments.
When you rely on paper-based processes, you’re committing to spending time on labor-intensive tasks. Filing, faxing and ensuring all your documents are up to date takes valuable time away from your employees. Simply emailing documents is a much more efficient way to resolve most matters with your clients.
Lessening your reliance on paper also allows you to be more environmentally and fiscally responsible. Paper costs are simply unnecessary when you have the option of choosing a secure and uniform computerized system.
2. Gives You Consistency Across All Your Records
Another reason why you need to digitalize your records is the many benefits that come with near flawless documentation. Any time there’s a question or a mistake; it takes just a second to search by company name, date, dollar amount or any other small piece of information.
Instead of rifling through filing cabinets when something goes wrong, an electronic system ensures you’ll have all your documents within hands reach. Tax issues and customer disputes are much easier to resolve when you have your records organized.
3. Provides Insights Into Your Finances & Overall Business Based On Hard Data
Hesitation is something every business owner experiences. It’s hard to make sure the direction you decide to go in is of the best interest of the company. However, with everything digitized, it’s a simple matter of analyzing your data to confirm your ideas on the best direction to take your company.
Analyzing a paper based accounts receivable department would take hundreds of hours. With everything consolidated in one place, you can quickly gain powerful insights into your company’s performance. This insight empowers you to change how you do things and fill missing knowledge gaps.
Businesses are always looking for ways to get better. By analyzing your data from a digitized system, you can identify areas for improvement and be confident in your decision to focus on that particular area.
4. Digitizing Creates A Change In Culture
We’re still very early on in the technological revolution. Many corporations still used paper-based systems; fax machines, and other old technologies without missing a beat. However, a hurdle many companies need to overcome is a change in ideology when it comes to adopting new technologies.
It’s understandable that most people dislike change, but it’s important to understand change directly impacts your company’s ability to last in the future. If you envision your business being around ten years from now, you’ll need to foster a culture that embraces learning and adopting new technologies. Bringing your accounts receivable department into the 21st century is an excellent step in securing your company’s ability to work in the future.
Put simply, going paperless is just a better way of doing things. Paperless processes help you spend less time on redundant tasks and make better decisions. With a bit of effort to overcome the learning curve, your company can quickly reap the benefits of a digital accounts receivable department.