Is Paperless Accounts Payable Automation Software A Good Fit For Your Business?

Updated 1/8/2026

As you consider expense reports and scaling goals, your company is probably looking for new ways to speed up processes and cut costs. Paperless accounts payable automation software delivers strong ROI along with seamless invoice processing. But how do you know if AP automation software is a good fit for your business?

There are common misconceptions that some companies are too small to justify AP automation solutions or that tight budgets make it unaffordable. The truth is that most businesses looking to cut costs and scale will benefit enormously from paperless accounts payable software.

This article outlines the problems that AP automation solutions solve. If these solutions align with your priorities, then AP automation software is a perfect fit for your company.

The High-Volume Reality Check: Wood-Mizer's Challenge

Wood-Mizer, a global manufacturer, faced a common dilemma: they were processing approximately 60,000 invoices annually and couldn’t handle the volume internally. Their solution? Outsource invoice processing for $4,300 per month.

The outsourced approach was expensive, inflexible, and created its own bottlenecks. But bringing processing back in-house seemed impossible – until they implemented DocStar AP automation integrated with their Infor CSI ERP.

The results:

Wood-Mizer proved that the right automation solution doesn’t just match outsourced processing – it exceeds it while costing significantly less.

Read the full Wood-Mizer case study to see their complete transformation.

Cut Costs with AP Automation Software

AP automation software cuts company costs to deliver strong ROI. Consider the real expenses of paper-based processing:

Printing, ink, paper, and mailing costs
Labor costs for manual data entry
Error costs - overpayments, lost invoices, late payment fees, duplicate payments
Physical storage space and filing cabinets
Document retrieval time

The Processing Cost Reality

According to industry research, the average cost to process a manual invoice ranges from $16 to $23, while automated processing costs just $2.50 to $4 per invoice. That’s an 80%+ cost reduction per invoice.

For Wood-Mizer processing 60,000 invoices annually:

Even accounting for implementation costs, the ROI is undeniable.

Paperless invoice automation software uses Intelligent Data Capture (IDC) to quickly scan digital invoices and check for duplicate invoices or field errors. The AI technology is faster and more accurate, so your accounts payable department can focus on tracking KPIs that allow you to capture early payment discounts and have more visibility into cash flow.

For a detailed breakdown of invoice processing costs, see our guide on the cost of processing an invoice.

Improve Vendor and Supplier Relationships

Paperless accounts payable software improves vendor and supplier relationships by cutting invoice cycle times significantly. Slow paper processes frustrate vendors and suppliers, while AP automation fixes the invoice approval process with built-in workflows so managers can approve invoices instantly.

According to industry research, companies utilizing accounts payable automation reduce their invoice cycles to an average of 3-4 days, while manual processes average 10-17 days.

Why This Matters

Manual processes put business relationships at risk. Vendor and supplier invoices shouldn’t take over two weeks to process. Your business partners are crucial to your success and they should never have to hunt you down to be paid. When your AP team appears unorganized, it reflects poorly on your entire business.

Wood-Mizer’s 96% processing efficiency means invoices move through their system rapidly and accurately. Their vendors receive timely payments, early payment discounts can be captured, and business relationships remain strong.

By automating payments, your vendors and suppliers are more likely to be loyal because they see that you value on-time payments. Electronic payments and digital receipts also help your business partners stay organized.

If you’re looking to improve vendor relationships, cut invoice processing cycles, and solidify lasting business partnerships, then AP automation is a great fit for your business.

For strategies on optimizing your AP operations, explore our guide on maximizing your accounts payable process.

Scale Without Adding Headcount

The future of business rests on digital transformation, and if your company has goals to scale, then implementing automation solutions will be crucial to your success. The market demands faster processes with more digital features, and this trend continues accelerating.

The Scalability Question

Ask yourself: If your invoice volume doubled tomorrow, could your current team handle it?

For most organizations with manual processes, the answer is no – doubling volume means doubling headcount. But that’s not realistic or cost-effective.

Wood-Mizer’s approach demonstrates true scalability. Their lean team processes 60,000 invoices annually with 96% efficiency. If volume increased 50%, their automation scales instantly without proportional headcount increases. The system handles more volume; humans handle exceptions and strategic work.

Accounts payable automation software has the capacity to process more invoices than your current team using manual methods. As you grow, the software supports your business and integrates seamlessly with other digital solutions like HR automation or Enterprise Content Management (ECM).

Organizations trying to scale with manual AP processes face a choice: accept that invoice processing constrains growth, or invest in automation that scales automatically.

For insights on handling high volume with small teams, read our guide on processing high invoice volumes with a small staff.

Tighten Security Measures with Paperless Software

Paper processes and stacks of paper checks represent huge security risks. A paperless process with AP automation software keeps electronic invoices in a secure cloud-based system with internal controls to protect your accounting systems.

Modern Security Features

Automated systems eliminate fraud risks through:

Encrypted file storage and transmission
Role-based access controls (only authorized approvers view invoices)
Complete audit trails showing who accessed what and when
Automatic duplicate detection preventing double payments
Secure approval workflows eliminating loose paper on desks

If your company wants to tighten financial security measures and improve document management, then a paperless accounts payable solution is a perfect strategy for reaching those goals.

The ERP Integration Advantage

One of the most compelling arguments for AP automation is seamless ERP integration – exactly what made Wood-Mizer’s transformation successful.

What True Integration Delivers

Wood-Mizer’s integration with Infor CSI ERP meant:

Invoice data captured once, automatically populating ERP fields
Real-time PO matching against ERP data
GL coding applying based on ERP business rules
Approved invoices posting directly without manual entry
Documents attaching to ERP records for instant retrieval

The time savings compound. When processing thousands of invoices, every second per invoice matters. Wood-Mizer’s team doesn’t toggle between systems or re-key data. Capture happens once, automation handles the rest.

For insights on eliminating processing delays, explore our guide on eliminating AP bottlenecks.

The Implementation Question

Organizations often delay AP automation because implementation seems daunting. Wood-Mizer’s experience after a failed outsourcing attempt offers realistic perspective.

What Made Their Implementation Work

Wood-Mizer had tried outsourcing and it didn’t deliver. When they brought processing back in-house with automation, success came from:

Expert implementation partnership handling technical complexity
System configuration matching their specific business rules
Seamless Infor CSI ERP integration
Hands-on training with real invoices
Support through transition period

The implementation happened in phases, allowing their team to absorb changes gradually while delivering value at each stage. Processing continued throughout – it just got faster and more accurate as new capabilities came online.

For comprehensive implementation guidance, read our guide on successful AP automation implementation.

Is AP Automation Right for Your Business?

AP automation is a good fit if you’re experiencing:

High Processing Costs

Scalability Constraints

Vendor Relationship Issues

Security and Compliance Concerns

Integration Challenges

If any of these describe your situation, AP automation will deliver measurable value.

The ROI Reality

Let’s use conservative numbers based on Wood-Mizer’s experience:

Small Organization (5,000 invoices annually):

Mid-Size Organization (25,000 invoices annually):

High-Volume Organization (60,000 invoices annually, like Wood-Mizer):

Even accounting for implementation costs, most organizations achieve positive ROI within 12-18 months and realize compounding savings year after year.

Stop Accepting Manual Processing Constraints

For too long, finance teams have accepted that manual AP processing means:

Wood-Mizer proved there’s another option. After failed outsourcing, they brought processing in-house with intelligent automation and achieved 96% efficiency processing 60,000 invoices annually – while eliminating $51,600 in annual outsourcing costs.

Your processing volume doesn’t need expensive outsourcing or massive internal teams. Your processes need intelligent automation.

Ready to Transform Your AP Operations?

If you’re questioning whether AP automation is right for your business, we can help you assess the opportunity objectively.

Contact Mosaic today for an AP automation evaluation. We’ll analyze your current processing volumes and costs, identify specific inefficiencies impacting your operations, and show you what organizations like Wood-Mizer achieved by implementing modern, integrated automation.

The question isn’t whether you can afford AP automation. The question is whether you can afford not to automate when competitors are processing invoices faster, cheaper, and more accurately than ever before.