Finance Leaders Gaining Substantial Benefits from AP Automation, But Opportunities Remain to Do More

Core Insights - The 2024 State of AP Report by MineralTree highlights the need for finance organizations to enhance automation in accounts payable (AP) processes to improve efficiency and reduce costs [2][4] - Less than 20% of organizations have fully automated their AP processes, indicating significant room for improvement [5][10] - The report reveals that while many organizations are satisfied with their automation efforts, few are completely satisfied, suggesting ongoing challenges in achieving optimal automation [2][5] Automation and Efficiency - Four out of five finance professionals believe that increasing automation efforts is essential to mitigate inefficiencies caused by manual processes [4] - Organizations that have automated parts of their AP processes report benefits such as faster invoice processing, improved payment cycle times, and increased team productivity [4][5] - The use of Artificial Intelligence (AI) in AP is still limited, with only 20% of businesses currently using or planning to incorporate AI in the next year [6][5] Payment Methods and Trends - There is a notable shift towards digital payment options, with vendors and buyers increasingly favoring methods like ACH and card payments over traditional checks [7] - The desire for timely and accurate payments is driving vendors to accept more digital payment methods [7] Staffing and Work Environment - The return to office mandates, coupled with a shortage of accountants, is raising concerns about staffing and retention in finance teams [8] - Automation is being leveraged to support remote and hybrid work arrangements, enhancing work/life balance for employees [8] Survey Demographics - The report is based on responses from 1,017 finance professionals involved in AP functions, along with 147 vendor organization employees, surveyed between June 17 and August 5, 2024 [9][10] - Respondents represented a diverse range of industries and company sizes, with annual revenues varying from less than $1 million to over$1 billion, and 65% falling between $10 million and$500 million [10]