Invoice matching is a key part of the Accounts Payable process. Traditional approaches in this key task may cost time, effort, and human resources to a business. Using innovative technologies and automation can optimise invoice matching to provide extra leverage and value to a business. Learn more about why invoice matching is important for financial operations and how Kloo integrates AI and smart automation to streamline your invoice matching processes.
Invoice matching is an accounts payable process that validates & compares information on the purchase order (PO) with that of the vendor invoice and product receipts.
When an organization wants to use the goods or services of a vendor, it raises a purchase order with detailed requirements. Upon delivery of the requisitioned goods or services, a product receipt is issued by the buying organization. The vendor then raises the invoice for payment clearance. This is when invoice matching takes place.
Matching invoices ensures that there are no errors or inconsistencies between the PO and the invoice. It facilitates faster settlement of vendor dues and prevents the risk of vendor fraud & payment for fraudulent invoices.
Let’s find out why verifying or matching invoices is so important for a business.
Invoice matching ensures that vendor invoices can be verified against supporting documents before releasing payments. This helps businesses across a variety of functions, including:
Different businesses can follow different ways of invoice matching as elaborated in the next section below.
Automated invoice matching refers to digitising a company’s invoice matching process with the help of advanced tools and technology; invoices are processed automatically without the need for human intervention.
Automated invoice matching technology can change the way AP departments work. Invoices received are scanned, converted to a digital form, matched using algorithms, and checked against tolerance settings, and if approved, are processed for payment -- all without human dependency.
The task of validating or matching invoices and processing them using automation can provide a host of benefits. AI-driven automation technologies such as OCR and RPA can enhance touchless invoice processing to be efficient and error-free.
Kloo delivers AI-powered automation for Accounts Payable for invoice matching and processing. By leveraging AI and OCR technology to extract and store invoice data on the platform, your finance team saves valuable time and is guaranteed accuracy with automated PO matching and a customisable approvals engine.
Here’s how Kloo automates invoice matching:
Automating invoice matching helps with the easier processing of invoices for payments. With the need for human intervention eliminated, the complications of maintaining paperwork and manual validations are also ruled out.
Some of the notable benefits offered by touchless invoice processing are:
Invoice matching and processing is a complex process. AI-enabled technology can provide leverage to businesses through customisable automation functions. By automating, companies can look to seamlessly integrate document management workflow processes, create better transparency, maintain better business relationships for optimised business efficiency and growth.
Take an interactive tour of Kloo below to view our AI-powered solutions for invoice matching.