Automating Accounts Payables in Dynamics 365 Business Central

Dynamics 365 Business Central provides a powerful solution for automating the accounts payable (AP) process, significantly reducing manual data entry, enhancing accuracy, and improving workflow efficiency. By leveraging tools such as incoming document processing and Optical Character Recognition (OCR) technology, businesses can streamline their AP processes from start to finish.

1. Initiating the Process: Uploading Incoming Documents

The accounts payable automation process in Business Central starts with incoming documents. Users can upload invoices or credit memos as files (JPEG, PDF, etc.) directly from their computer, shared document services, or even SharePoint. A shortcut tile on the Business Manager’s home page makes it easy to attach these files, which are then ready for further processing. Once uploaded, the system attaches the document to the appropriate record, like a journal or purchase invoice.

2. Leveraging OCR for Purchase Invoices and Credit Memos

One of the key features of Business Central’s accounts payable automation is the integration of Optical Character Recognition (OCR) technology. This service scans and extracts important data from uploaded purchase invoices and credit memos. After selecting an incoming document, the user sends it to the OCR service, where it is processed. The OCR service converts the document into a digital format, extracting data like vendor details, invoice amounts, and payment terms automatically.

This step significantly reduces the time and effort required to manually enter data, while also minimizing errors that could arise from manual input.

3. Approving and Finalizing the Purchase Invoice

Once the document is processed by the OCR service, the system notifies the approver that the document requires attention. The approver can review the document, make any necessary corrections, and approve it. Business Central allows for easy manual verification if needed. After the review, the document is automatically returned to the system, and a purchase invoice is created.

The entire process is tracked, with the status of the document visible at every stage. Once approved, the purchase invoice can be posted, completing the accounts payable process with full visibility and accuracy.

Benefits of Automating Accounts Payable

By automating the accounts payable process in Dynamics 365 Business Central, businesses can achieve:

• Reduced manual data entry: With OCR technology, most data is captured automatically, saving time and improving efficiency.
• Increased accuracy: Automation helps eliminate human errors and ensures that correct data is entered into the system.
• Faster approval workflows: Notifications alert approvers to documents requiring attention, speeding up the review and approval process.
• Streamlined invoice processing: The seamless integration between document upload, OCR, and approval ensures that purchase invoices are processed and posted quickly.

Overall, Business Central helps businesses reduce the time spent on repetitive tasks and focus on higher-value activities by automating key aspects of the accounts payable process.