Keeping accurate account of the how money moves into and out of a company is critical. If business leaders are not aware of what payments are being made and received, it may be possible for errors to occur, which can be extremely costly. Having strong financial controls in place is crucial for enterprises to keep duplicate payments from happening.
According to SharedServicesLink, duplicate payments are among the most common sources of invoice fraud. The news provider noted that most times, duplicates are not initially sent with malicious intent, but they can lead to wrongdoing over time. For example, if an organization notices that a company paid for the same product or service twice, it may take advantage of the apparent lack of play pokie machines online oversight in the future, sending unnecessary copies with the hope of receiving a second payment.
The source explained that to prevent duplicate payments, it is important for companies to implement “check points” to catch possible errors. If trusted employees and electronic solutions are overseeing accounts payable processes at essential junctures, there is a lower chance that extra payments will be sent out.
Technology firm Infor noted in a recent report that on average, between 0.05 percent and 0.1 percent of all invoices paid are duplicates. The source emphasized that while this amount is small, it can quickly add up. Infor asserted that for an organization with costs of $100 million over the course of three years, $300,000 in losses could be accrued.