AI is becoming more and more prevalent in every industry, and recently Accounts Payable. With artificially intelligent audit software, companies are able to prevent, recognize and recover from errors at record rates.
What is AI audit software?
AI audit software is uses intelligent algorithms from past audits and past experiences to successfully and accurately identify errors in your A/P department. It can recognize dependencies between different data elements that result in problems and errors and solve for them. These errors most commonly come in the form of duplicate payments, duplicate vendors and fraud.
It's software that learns...
AI audit software learns from previous evaluation of errors. Take duplicate payments for example. If you submit your invoices to AI audit software it will, with intelligent algorithms, provide the most likely duplicate payments. From there, you'll identify which duplicate payments are real and which are false positives, then move forward with recovery.
The right AI audit softwarewill learn from its past identifications and alter algorithms to correct producing false positives. This will, on your end, free up resources that would usually be dedicated to scouring identifications of possible duplicates. It's this learning that makes AI audit software the cutting edge in Accounts Payable.
Faster A/P error identification
With AI audit software you'll also find other problems(like fraud)quicker and more efficiently in your Accounts Payable department. AI software will contain algorithms that notify you if fraudulent behavior is afoot. In some cases, fraudsters will change the billing information of real clients in the Vendor Master File to their own. With AI software, you'll be notified of any suspicious change to your VMF. This way, you'll be able to prevent or recover the lost capital faster.
You might be asking how "suspicious" is defined by the AI software. As an added benefit, AI audit software systems continually adapt to changing threats. This way you'll know you have the best possible information.
Comprehensive error prevention that saves you money
Enlisting AI audit software will help find errors previous auditors might not even know exist. AI software does so by scouring the data and blocking out the noise. It looks where most wouldn't and finds errors that would otherwise go unnoticed.
For example, if you're a larger company, you might only evaluate payments of $5,000 or more. Then you'll designate resources to scour the data of those payments of $5,000 or more and identify errors made. Once you do so, you'll attempt to recover the losses. After doing so you'll have a false sense of security. You'll feel you're protected.
With AI audit software you'll know you're protected. By eliminating manual effort, the technology will audit ALL of your organization's transactions, not just larger ones. This way you'll prevent the one $10,000 duplicateandthe 250 $2,000 duplicates. AI software will help you prevent errors comprehensively.
Greater recovery with fewer resources
AI audit software help you not only identify problems faster and more efficiently, but help you do so more cost efficiently. With AI software you won't need to dedicate teams of resources to combining possible duplicates for false positives. (Who has a team that can go through 4,000 payments every month?) Instead, your AI software will, through learning and acquired knowledge, use the best possible outcomes for your organization. This way you'll identify more with less resources, ultimately saving you lots of time and money.
AI audit software will not only help you save, but will be the cutting edge tool your Accounts Payable department needs. Through learning, AI software will find problems like duplicate payments, duplicate vendors and fraud so you can take action.
Karl Andersson has devoted his career to helping organizations improve their business processes. For 15 years, he has worked with multitudes of Fortune 500+ companies as the CEO of Technology Insight. Before this, he spent 10 years working in the audit and consulting sectors, which included large international projects in both Europe and Asia.
Karl brings a combination of industry expertise and real-world experience. The diversity of his clients has allowed him to understand a variety of industries, and the unique challenges that each of them face.