In the past several years, e-invoicing has moved from a technology and process that was only used in certain industries to a new standard in accounts payable and receivable management. Today, fewer companies are getting by with paper invoices, choosing instead to digitize and automate the procedures in hopes of boosting efficiency, speed of payment processing and other components in AP/AR departments.
While some of the more common catalysts for adoption involve these efficiency and speed gains, there is a growing demand for the technology that has been directly caused by the ways in which the global economy has come along. Considering the fact that more businesses are operating on the global stage than ever before, it only makes sense that more efficient, digital e-invoicing practices are also rising to stardom.
The global perspective
Payments Source recently argued that e-commerce is increasingly fueled by e-invoicing software, asserting that international competition might not be quite as fluid without these AP/AR capabilities. In many ways, this is very true, as sending invoices and receiving payments through traditional mail options would not only take far longer than many companies would be able to wait, but will also cost a fortune over time considering the price of international postage.
According to the news provider, one study indicated that the rate of companies participating in worldwide commerce networks is expected to double by 2017, rising from 19 percent today to 41 percent. As such, it only makes sense that a greater percentage of businesses are going to begin leveraging e-invoicing solutions to comprehensively modernize the ways in which they handle transactions and payment processing.
The source added that the same study found roughly 55 percent of companies not using e-invoicing solutions today intend to begin doing so within the next two years, citing cost savings and speed gains as the main catalysts in light of new global competition.
Other advantages abound
At the end of the day, the push for e-invoicing is part of a much larger trend toward automating a wealth of corporate strategies and business processes, and one that has been driven by the demand for the most efficient and accurate reporting possible. With e-invoicing solutions in place to accompany other business process management automation, businesses will be able to more fluidly and affordably compete on the global stage.