According to the recent Gartner Magic Quadrant for Integrated Invoice-to-Cash Applications report, integrated Invoice to Cash (I2C) applications running on a single platform with automation and predictive capabilities are more likely to drive cash flow, improve collections and transform the customer experience.
The message is clear. Organisations looking to gain a competitive advantage should leverage platforms with embedded Artificial Intelligence (AI) and Robotic Process Automation (RPA) capabilities instead of procuring additional platforms and tools.
Those that choose to partner with experts to deliver data orchestration, automated insights, predictive analytics, and self-service functionality are driving better decision-making and adding more value to the organisation.
Here, we explore how an integrated platform can drive these changes.
The ability to score clients based on their transaction history can provide valuable insights that support more accurate cash flow forecasting and provide more predictable and effective working capital management.
Using pattern recognition and predictive characteristics, finance teams can effectively target accounts that pose the highest risk. This machine learning framework as part of your cash application provides:
Having these capabilities on a single, integrated platform will enable finance teams to spend more time focusing on the right customer interactions and solving problems that are likely to pose the most threat to cash flow.
The finance department has many repetitive, routine tasks that often involve manually inputting invoices, tracking receivables and logging payment transactions. These low return activities coupled with an inability to positively impact client satisfaction leave employees frustrated and demoralised.
AI, combined with RPA, has the power to disrupt the traditional finance back office. Automation can speed up mundane tasks with AI mining the data for insights that can be leveraged by the front office – special offers, cross-selling opportunities, and investment opportunities.
An accounts receivables solution powered by these innovations can radically change how an order to cash team operates by enabling:
By expanding capabilities, talent pools, and leveraging powerful technology, teams can take on new operational practices and support complex processes that add more value to the organisation.
A single I2C platform with AI eliminates the need for customers to have to wait for an answer – be it a simple product or billing query or a credit decision. Chatbots and virtual assistants can answer common questions, enabling customer service reps to focus on more complex problems.
Examples of AI in action include:
A Single Platform is Driving the Future of Finance
“While demand for first-time I2C application purchase is anchored on enabling automation and improving efficiencies, the shift toward an integrated application to manage end-to-end I2C processes has become a key requirement for most finance organisations”
Gartner: Magic Quadrant for Integrated Invoice-to-Cash Applications
Running a siloed order to cash process results in lost opportunities to collect receivables, lack of credit visibility, risk exposure, and a poor customer experience.
An AI-powered integrated receivables platform removes the silos between credit, cash application collections, deductions, billing, and payments and provides a complete view of the customer and their interactions.
Monitoring this data can help predict payment patterns and customer behaviour, resulting in the delivery of better offerings and a more seamless client experience.
“By leveraging an end-to-end accounts receivable platform, we have been able to increase turnaround and response times, improve the effectiveness of collections and increase Straight-Through-Processing rates. We are also able to track team KPIs in real-time. This has been a critical key success factor in demonstrating value to other parts of the organisation.”
Paul Buckham, Global Process Owner, Order to Cash, AstraZeneca
By incorporating AI and machine learning on the same receivable’s platform, organisations will reduce the number of manual transactions posted, close their books faster and reduce the cost of regulatory compliance. Companies that do not leverage these capabilities fully, will inevitably lose market share and struggle to build long-lasting relationships with their customers.
HighRadius was recently named a Leader in the 2022 Gartner Magic Quadrant for Integrated Invoice-to-Cash (I2C) Applications. For more information and to download a free copy of the report,click here
Automate invoicing, collections, deduction, and credit risk management with our AI-powered AR suite and experience enhanced cash flow and lower DSO & bad debtTalk to our experts
HighRadius Integrated Receivables Software Platform is the world’s only end-to-end accounts receivable software platform to lower DSO and bad-debt, automate cash posting, speed-up collections, and dispute resolution, and improve team productivity. It leverages RivanaTM Artificial Intelligence for Accounts Receivable to convert receivables faster and more effectively by using machine learning for accurate decision making across both credit and receivable processes and also enables suppliers to digitally connect with buyers via the radiusOneTM network, closing the loop from the supplier accounts receivable process to the buyer accounts payable process. Integrated Receivables have been divided into 6 distinct applications: Credit Software, EIPP Software, Cash Application Software, Deductions Software, Collections Software, and ERP Payment Gateway – covering the entire gamut of credit-to-cash.