More than a couple of decades ago, my father went from a successful career as a telecommunications and computing entrepreneur into what he’d thought of as a dream job—running a Tony Roma’s restaurant franchise. His “dream” soon met with reality, when he learned just how difficult running a profitable restaurant operation could be.
In a business where every dollar matters, running a successful restaurant operation is not for the faint of heart.
The same can be said for anyone trying to tackle accounts payable for restaurant operations, without a modern, automated system in place.
Recent statistics show that every month on average, the typical restaurant receives more than 166 invoices from more than three dozen vendors and sends out around 50 vendor payments. They typically reconcile as many as 30 statements, mostly relying on manual systems and processes that consume man hours and artificially inflate the cost of doing business.
Today, with rising operational costs digging into already-thin margins, few restaurants can truly afford the cost, expense and inefficiency of manual accounts payable processes. While there is plenty of manual labor involved in the day-to-day operation of a restaurant or other service business, accounts payable should NOT be one of them.
Today’s modern accounts payable automation solutions, like Artsyl’s InvoiceAction, streamline and simplify each step in the AP process, including:
Data entry: Keying or re-keying information from an invoice is a waste of time and resources—not just for office staff, but for management and executives. The cost of requiring a GM to manually review dozens of daily invoices from suppliers, when automating PO matching, G/L coding and data entry could eliminate these tasks, is too significant to ignore in a world where automation is become cheaper and simpler than ever before.
Approvals: The days of mailing paper invoices for approval, creating potential for errors and poor auditability, are a thing of the past for modern businesses, including restaurant operations. Digitizing approvals by relying on automated routing, notifications and reporting shortens cycle times, reduces errors, prevents fraud and improves auditability.
Statement reconciliation: Without AP automation, many restaurants lack the time/resources to skip the practice of reviewing and reconciling statements for all but a few key vendors, potentially compounding errors.
While companies of all sizes across industries are embracing automation for back office processes, restaurants and service businesses are poised to take the next step to further cut costs and gain control of their processes.
If you’re ready to explore AP automation for your organization, take the next step and contact Artsyl Technologies for a demonstration of InvoiceAction.