Did you know that it’s possible to use AI (Artificial Intelligence) to process accounts payable (AP) invoices? Microsoft offers these features under AI Builder. AI technologies, such as machine learning and natural language processing, can be applied to automate and optimize the AP invoice processing workflow. Here are some ways AI and Microsoft AI Builder can assist in AP invoice processing:
- Data Extraction: AI algorithms can be trained to extract relevant information from invoices, such as vendor details, invoice numbers, dates, line items, and amounts. Microsoft AI Builder offers predefined models for AP Invoices. Using optical character recognition (OCR) technology, AI can accurately read and interpret data from scanned or digital invoices.
- Data Validation: AI can help validate the extracted invoice data against predefined rules and criteria. Power Automate, using the data extracted using AI Builder, can apply these rules and define workflow actions and conditions for automation. It can identify inconsistencies or errors, such as mismatched amounts, missing information, or duplicate invoices, and flag them for review or resolution.
- Intelligent Coding and Classification: AI algorithms within AI Builder models can learn from historical invoice data to automatically assign appropriate general ledger (GL) codes or expense categories to invoices. By analyzing patterns and similarities, AI can classify invoices based on predefined criteria, streamlining the coding process.
- Approval Workflow Automation: AI-powered systems leveraging Power Automate can facilitate automated approval workflows by routing invoices to the appropriate stakeholders based on predefined rules, thresholds, or hierarchical structures. This eliminates manual intervention and ensures faster processing times.
- Exception Handling: AI extraction results together with Power Automate can assist in identifying and managing exceptions in the AP invoice processing workflow. For instance, if an invoice exceeds a certain threshold or contains unusual data, the system can flag it for manual review, preventing erroneous or fraudulent payments.
- Fraud Detection: AI algorithms with corresponding Power Automate actions can help detect and prevent invoice fraud by analyzing patterns, invoice history, and invoice behavior. Suspicious invoices, such as those with irregular vendor details or payment instructions, can be flagged for further investigation, minimizing the risk of fraudulent transactions.
- Analytics and Insights: AI-powered AP invoice processing systems can generate valuable insights and analytics. Leveraging Power BI, you can analyze invoice data, trends, and patterns. From this data organizations can gain a deeper understanding of spending patterns, vendor performance, and cash flow management, facilitating better decision-making.
As you can see, there are several tools within the Microsoft Power Platform that can harness the results of AI to automate AP Invoice Automation. This is all great news for DynamicPoint’s EasyAP365 Invoice Automation product as it is an Office 365 based application and inherently gains all of these features. It’s important to note that implementing AI for AP invoice processing requires appropriate data training, integration with existing systems, and ongoing monitoring and refinement. However, the benefits of using AI in AP invoice processing include increased accuracy, reduced processing time, improved compliance, and enhanced cost control.
If you’d like to learn more about DynamicPoint’s AP Invoice Automation product, EasyAP365, please check out our product page or our video library. Or feel free to contact us if you’d like to set up a demo or discuss further.