There is no question about it, computer systems are replacing the need to employ people, and making things happen so much faster in a business.
Just one example is the creditors and the payment cycle.
In the old days, after purchasing something you received the invoices in the mail, sorted them and reconciled them to a statement. The invoice may have been processed into a creditors system, maybe by about the 10th of the month you had an idea of what your creditors balance was at the end of the month previously.
When it came time to pay it, you wrote a cheque, put the cheque with a remittance advice into an envelope, wrote the name and address of your creditor on the envelop then took them all to the post office. Your creditor had to open the envelope, record the receipt in their debtors system, write up a bank deposit slip and take it and the cheque to the bank to deposit.
Things have changes. Now, using an online system like Xero, invoices arriving by email and using a system called Receipt Bank the way we do, the processing of your invoices can take much less time.
Receipt Bank can read an invoice/receipt and save you the need to process it by inputting all the details for you, even making an educated guess at what to code it to. You then go in, make any necessary changes and approve it. Receipt Bank then send it to Xero and enters it as one of your creditors. Read More »