Paper-driven processes for logistic companies consumes about 10.6 days to fully process one invoice. This involves manual tasks of collecting, sorting, routing and matching a large number of documents from different locations. It is a tedious task whether you outsource it or do it in-house. The very tediousness creates the potential for errors creeping it. Machine learning in supply chain offers a more efficient way to process invoices using intelligent automation technologies
The benefits of automated invoice processing
Machine Learning algorithms is more than a buzz word in the logistic sector. The chances are that if you are shipping goods then you have already had the benefit of machine learning technology. Machine learning and predictive analysis are bringing a revolution with all industries becoming more automated in every way.
Full human dependency in invoicing and data entry will not be sustainable in the near future and businesses that do not integrate new technology will find it difficult to compete in the wafer-thin business margins.
Here are some of the benefits of machine learning in logistics data entry that are worth evaluating
Benefits of automated invoice processing
1. Eliminates human error: Of course, this is the big one, since using data entry automation improves accuracy and reduces payment errors. Unlike a human, an automated system is never going to get bored with repetitive tasks and hence does not get careless. In fact, it can complete the task with a 99% accuracy rate – same as a human but in less time.
2. Saves time: With automation what could take days is essentially reduced man hours. When best in-class machine learning solutions are in place then a single invoice is processed in 3.6 days compared to greater than 10 days. This allows the company with faster processes to offer early pay discounts.
3. Saves cost: Extraction of invoice data, matching the data with purchase orders and receipts, assigning distribution codes etc. are automated and this means a major saving on labor costs. In fact, statistics show that if the AP process is automated then it will cost 85% less than if continues to be manual.
The process involved in machine learning in logistics for Invoice billing
Invoice processing is a smaller part of the whole accounting process. Most companies have digitized it but it essentially involved replacing pen and ink with the computer. You