In order to develop a business strategy and plan new projects and initiatives, managers need to have access to accurate and up-to-date financial data.
Financial departments that rely on spreadsheets and numerous manual processes to track financial activity are at a higher risk for errors and cannot provide the real-time data that can be achieved with automation, notes the Financial Times.
Chief financial officers need to know accounts payable and receivable trends and numbers, the exact amount of money invested in the supply chain and the amount of accessible working capital. Accounts payable recovery audit firms can review a company's accounts payable data and identify payment errors that can negatively impact a company's bottom line.
Accounts payable departments can use technology such as duplicate payment audit software to check for errors and prevent duplicate payments from being made.
Accounting technology applications allow companies to analyze the effects of different scenarios, thereby supporting risk management and the decision making process, the source reports. The Bureau of Labor Statistics notes that businesses can hire internal auditors, who can ensure they are maximizing their technology solutions within accounting departments.