Automatic Cash Application Rate

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KPI Benchmarks : Automatic Cash Application Rate

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KPI Details : Automatic Cash Application Rate

Automatic Cash Application Rate measures the company’s ability to automatically match payments with their corresponding invoices. A relatively low value for this metric can be indicative of highly manual (i.e., error prone) matching processes, poor payment and invoice data quality and data governance policies and sub-par Accounts Payable (AP) Department employee training and performance. Each of these factors can lead to prolonged invoice processing cycle times which increases vendor disatisfaction and can potentially reduce the likelihood of future discounts, preferred deals, or even continued business with the vendor.

KPI Best Practices : Automatic Cash Application Rate

KPI Calculation Instructions Automatic Cash Application Rate?

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