Manufacturing as an industry has been catering to multiple other industries ever since its inception such as electronics, pharmaceuticals, cosmetics, industrial machinery, plastics, etc. The rising demand of products in each of these sectors has always demanded a higher throughput from manufacturing to keep their operations smooth.
We are talking about the incapability of Accounts Payable (AP) to process invoices on time and capture important pieces of information. Every industry works like machinery where every department is codependent like gears. It is essential that all these gears are lubed up so there are fewer impediments along the way.
Invoice processing is one task that comes with multiple layers of reviews and authorization before its final payment. On the contrary, the suppliers are left to wait out for their due payment. Speeding up the process of invoice processing will not only aid the production team with timely inventory fill ups but will aid the AP team to provide timely payments to the suppliers and keep relationships healthy.
To mitigate this issue, the best resolve is to adopt an automation solution for invoice data capture such as IDP. A solution that can single handedly counter every document processing obstacle and provide timely completion of AP functions.
Invoice Data Capture in Manufacturing - What is the Current Scenario?
It is not that manufacturing has not realized the advantages of automation. Yet, the need for automation for AP departments in manufacturing is still in its infancy. Players are recognizing the potential of AP automation but are still practicing old traditional ways of invoice processing. This is because they are seeking new ways of automating the operation without bringing in major changes to the overall processes.
To further understand, below we have mentioned different ways of invoice processing in manufacturing:
Need of Automation for Invoice Data Capture in Manufacturing
As per UN Stats, the global GDP of the manufacturing industry between 2019-2020 was around 16.6%. The expected CAGR of growth is expected to be 6.3% between 2020-2025. Also in a report by Billentis, a total 550 billion invoices were produced across the world and this figure is expected to quadruple in the coming years.
With so much stake in the global economy, and the sheer volume of invoices being produced it is healthy to assume the traditional methods on invoice processing won’t work. On the contrary, every industry including manufacturing requires some automation solution such as an IDP (intelligent document processing) to stay ahead in the growing market.
How to do Invoice Data Capture with AI in Manufacturing Sector?
The best way to accommodate AI to automate invoice data capture is by using an IDP platform. An IDP platform works as an effective document processing solution that not only extracts relevant data but also verifies it at the same time. It allows a pile of unstructured documents or invoices (in this case) to be processed on a fly with incredible accuracy numbers.
Yet, the real question is how does it really work? Just follow through the example below:
Suppose, we have a task of processing 10,000 invoices to check their legitimacy. To evaluate that we pick an easier route of matching the client’s name and the contact details from our existing database. The IDP would require the batch file for the invoices and our existing database to create a matching operation. Once the data is fed, the IDP platform would automatically verify the invoices, raising a flag for the invoices that didn’t match. In fact, it can also extract custom data from these invoices. For instance, if the client’s name and the quantity of the shipment along with its prices is required, the IDP would explicitly extract that information and export it in your preferred formats.
Benefits of Automation for Invoice Data Capture
The inclusion of automation for invoice data capture hosts a variety of benefits. To make them more clearer, we have mentioned a list below:
VisionERA - Automating Invoice Data Capture in Manufacturing
VisionERA is the latest IDP platform amongst its contemporaries. It offers compelling accuracy and automation numbers for both data extraction and verification with unstructured data.
Adding to it, it is backed by multiple advanced proprietary technologies such as Artificial Intelligence, Machine Learning (ML), Natural Language Processing (NLP), and Computer Vision. The culmination of these technologies allows the platform to learn ,evolve and get better with time.
Additionally, VisionERA allows custom DIY documentation and workflow and comes with great features like autocorrection, automatic gridlining, industry beating table detection system, and much more. With its smart insights board, it can accumulate useful KPIs from the documentation process. Also, it is compatible with multiple downstream applications such as CMS, CRM, SAP, messages, email, etc, and offers plug-n-play which makes it much easier to deploy on any infrastructure. Overall, it is an industry and use case agnostic platform that can be chosen as a one-stop solution for document processing including typical use cases such as invoice processing that deals with millions of different documents on a daily basis.
Invoice data capture is a collateral task important for a smoothly operating AP department. By automating invoice processing within manufacturing, an overall increase in efficiency and productivity can be instantly witnessed. Using IDP will account for a solution that will free the employees from subpar and repetitive tasks of invoice data capture and its verification and empower them to focus more on core operations, making them add more value to the company.
Want to find out more about VisionERA? Talk to our automation experts now.
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