04 Oct The Hidden Costs of AP Customer Service
Most organizations track their invoice processing cost and perhaps payment cost, but current research finds that few look specifically at costs incurred by activities related to service accounts payable’s customers. There is a cost to the status quo that is often unmeasured and may be less effective and higher than it could be. By examining these activities and determining the costs, most organizations will find room to employ more effective and less costly means to reach objectives.
There is an opportunity cost to suboptimal customer service. AP’s processes should be optimized and incorporate tools to balance cost with good customer service.
Studies show the value of good supplier relationships to profitability. Supplier relations are impacted by requisite AP customer service to answer questions, maintain high data quality and address problems. By employing disciplined processes, training staff and implementing targeted, effective automation tools, organizations can remove friction in supplier interactions and further support supplier relationship strategies that improve the bottom line.
Key Things You Will Take Away from This Report:
- Learn the hard cost of AP customer service
- Get a formula to calculate the actual cost of vendor inquiries
- Understand that inquiries don’t just come into AP; costs are duplicated in 40% of the cases when they call the purchaser first
- Discover the cost of new supplier registration
- Examine the strategic cost of supplier relations
- Recognize the value of good supplier relationships
- Learn how supplier self-service tools can reduce friction and improve relationships
- And much, much more!