Businesses often face a roadblock when it comes to organizing their accounts receivable departments owing to the extra load of scanning every document like purchase contracts and purchase orders. It’s hard enough that the team needs to keep meticulous records of every transaction; now they have to sort out and manually match presented invoices?
Thankfully, technology has advanced and with that advancement comes an opportunity to replace some manual work with artificial intelligence that leads to faster and more accurate results. And that means overall productivity is improved by a substantial amount while those extra costs are sliced.
Before we delve into the actual tool, here’s a brief on what purchase order automation is and how it can really make an impact on growing businesses in the banking and finance industries.
Purchase orders are not exclusive. They are followed by a chain of documents and validations that complete the loop of any business transaction involving invoices, for example,
A purchase requisition is created—Purchaser issues PO—PO is accepted/approved—PO is recorded.
For accurate vendor payments and correct accounting costs, PO’s need to be presented as supporting documents against their respective invoices. Businesses that deal with high volumes of invoices will find it very difficult to complete the process with minimum errors when done manually.
Read More: How Klearstack Integrates with QuickBooks
How Artificial Intelligence Can Help With Your Invoicing Woes
With the use of artificial intelligence, machine learning, and RPA, automating tedious processes has helped in delivering error-free results for less than half the cost of the manual alternative.
And OCR (Optical Character Recognition) plays a huge role in the success of this technology. OCR coupled with Artificial Intelligence approaches like computer vision and Natural Language processing, helps convert unstructured documents acquired in bulk into structured machine-readable data. This not only ensures accuracy but also makes the process speedy and gives you complete control and visibility.
Wondering how you can implement and automate your PO documentation process? KlearStack’s own machine learning technology can help with exactly that! KlearStack aids in accurately capturing your free-form purchase orders and converting them into editable machine-encoded structured text, making it fully searchable and automation-ready without effort.
How Does Purchase Order Automation Work?
- You receive purchase orders from your customers over email,
- KlearStack scans your email ID and picks up the new POs as soon as those arrive,
- These POs are then processed by KlearStack deep learning technology. This technology is made of the layers of proprietary computer vision, natural language processing and rich correlation algorithms, to interpret the data inside the PO. This interpretation works irrespective of the PO layout or format.
- The values of specific fields are interpreted and extracted from each PO. These fields can be PO number, customer name, customer address, customer tax ID, PO date, line items in the PO, total amount etc.
- This extracted text is automatically sent to the relative team member for a “good-to-go” check. Once approved, this structured data now can be consumed by your data entry automation that can enter this PO into your ERP or accounting software.
With Klearstack you can eliminate the manual PO processing altogether. The software which is available as a Saas or on-premise service is designed to grow, learn, and adapt along with your other business processing needs.
Human Error Costing You?
There’s a simple explanation when some things go tragically wrong while dealing with complicated invoicing and purchase order documents-human error!
Most logical or common mistakes are attributed to human error, an observation that may or may not always be the correct conclusion. But according to some studies, it can be said that human error is responsible for 70% to 100% of incidents. Teams or individuals can only be that precise owing to the “human” technicality. So how would you ensure that your documentation and processes are error-free? Automation is the answer.
At KlearStack our goal is to minimize the error margin by placing machine intelligence and robotic automation into processes that can work without human interference, specifically in the finance and banking industries where the stakes are high.
So we design and build models using AI, ML, and Natural Language Processing that can easily work with stacks of documents that need constant policing and deliverance of precise results, making your purchase order process completely error-free.
How Can You Benefit from Purchase Order Automation?
From improving productivity by 200% to reducing AP costs per invoice by 80%, automating your PO process is not only beneficial to your AR department, but also to the overall growth of your company. It goes without saying, that PO automation can help in multiple ways.
Employ Knowledge Engineering and OCR Tech to Cut Costs
What is the meaning of automating your purchase order process? With OCR technology becoming more sophisticated and modern, we live in an era that calls for artificial intelligence to take control of certain elements in order to save time and costs.
When it comes to invoicing and PO-related processes, OCR technology integrated with AI is a revolution that is proving as a beneficial investment as compared to going the manual route.
Go Template & Regex Free
PO processing is becoming templateless, and KlearStack is providing the advantage of automating your invoice and PO data extraction, through a rich technology that requires no templates definition and maintenance. Plus, automating your PO process means you save hours of time spent on template design.
A Model That Learns on Its Own
KlearStack’s pay-per-use software service uses an adaptive Deep Learning Model, using neural networks and various Machine Learning techniques that are implemented to train
the machine and customize its structure and pattern to deliver the desired results. Which means your model adapts and grows with you.
In conclusion, it’s safe to say that digitized invoice and PO management is the “Six Sigma” of the automation world that businesses need to adopt today.
Intelligent data extraction can help businesses like finance, banking, and legal with loads of paperwork and invoices to streamline their processes and save the resources on manual invoicing. KlearStack’s artificial intelligence led solutions are created to solve the challenges of the industry and equip them to undertake a technological leap to upgrade the invoicing process and reap the benefits of the highly productive system. To know more about KearStack’s automated invoicing system, download the free e-book today.