A sweeping accounts payable revolution is set to take place over the next three years.
That’s according to research in this month’s PYMNTS report, “AP Automation: Transportation Companies Innovate to Drive Growth,” which found the near-majority of transportation companies (45%) are planning to automate their payable systems and platforms in the next three years’ time.
Only 3.9% of companies have already begun the process of accounts payable (AP) automation.
Thrust into the limelight as a result of the hyper-rapid rise of eCommerce and a broader ongoing digital transformation, companies in the transportation, shipping and logistics field have seen a soaring demand for their services correspond with a similar increase in the need to process payables.
More than seven in 10 (71%) businesses are already processing at least 1,000 payables each month, with a majority of those organizations expecting their payable volumes to continue rising by 11% or more in the coming years.
All that volume underscores a critical need for upgrades and innovations across AP systems, many of which still rely on manual processes such as writing and mailing checks. The unprecedented period of industry growth has revealed many stress points for transportation companies that increasingly affect their vendors and partners.
The most pressing challenges that plague transportation and logistics companies tend to involve interacting with, and paying, vendors.
By automating AP systems, transportation companies hope to both improve payments speed and transparency as well as improve those vendor relationships by creating a seamless, repeatable experience.
Leading companies recognize that to build and sustain strong, long-term relationships with vendors, their own payments platforms must operate efficiently and be ready to handle anticipated growth.
Eighty-three percent of transportation chief financial officers (CFOs) said AP innovations will improve vendor relationships, while three in four said it is a priority for them to address their invoice processing problems.
For further information on the essential benefits AP innovations offer companies and their vendors in the transportation, shipping and logistics space, download PYMNTS’ free December 2022 report, “AP Automation: Transportation Companies Innovate to Drive Growth.”
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