4 ways unified AR beats ERP systems alone

Blog | December 5, 2024

Reading time: 3.5 min
End-to-end AR solutions

While enterprise resource planning (ERP) software certainly serves a role within companies, it does some things well and other things not so well. Sure, your ERP might meet overall goals for coordinating between business functions, but does it always meet the specific needs and challenges of accounts receivable (AR)?

We know as well as you do that your AR team is ready for more efficiency and automation. After all, time saved means you can free up employees’ time for higher-value tasks or scale your operations.

Enter unified AR, a more comprehensive system than an ERP alone. With a unified AR solution in place—as a complement to your ERP—you can take a more proactive approach to your company’s financial management.

Learn more about Billtrust’s unified AR platform

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Billtrust Unified AR

1. Unified AR establishes an end-to-end solution for AR functions

An organization’s ERP should bring information together, but it’s often fragmented across various modules. You end up with a hodgepodge of tools and client communications that make your work feel harder, not easier.

By contrast, unified AR is a single solution for all your AR processes, from credit through invoicing, payments, and collections. When you bring all functions into a single, integrated solution, you can make better decisions and identify the bottlenecks in your order-to-cash (O2C) cycle.

You can also provide a better customer experience with online portals that allow your customers to view and pay their invoices. With easy online payments, you’ll reduce your DSO and manage your cash flow more effectively.

2. Unified AR automates repetitive tasks

ERP platforms are often built on legacy technology and laden with technical debt. Automating repetitive AR processes is not merely hard. In some cases, it’s impossible.

Automation can be a gamechanger because it saves so much time and reduces errors. Think about how many invoices your team generates or how many payments they process each month. Now think about how much time you’d save by shaving a few seconds or a few minutes from each one. It adds up quickly.

You can also improve your on-time payments with automated invoice reminders and pre-authorized automatic payments. And with AI-powered matching between invoices and remittances, like Billtrust’s Cash Application solution, you can simplify applying customer payments to the correct accounts.

Transform Your AR: Why ERP Alone Isn’t Enough

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3. Unified AR bolsters collections management

ERP systems often lack built-in features for managing collections. Every additional step in the collections process costs your organization time and money. A crucial aspect of collections is having a streamlined process so you can follow up promptly and resolve overdue invoices.

Collections should be a combination of automated reminders and focused follow-ups with the customers you’re most likely to collect from. A unified AR platform makes it easy to identify the customers you should prioritize based on their past payment behavior or the total amount owed.

And even though the invoice is overdue, the customer experience still matters. When you centralize your communications in a unified AR platform, you can provide a better customer experience and ensure every employee on your team knows which actions have been taken.

4 ways unified AR beatsERP systems alone

4. Unified AR helps you leverage in-depth metrics and KPIs

Trying to forecast cash flow or monitor aging trends? Good luck doing that with your ERP. At best, the solution will track basic payment data, but most lack robust insights into AR performance.

With real-time insights from a unified AR platform, you can make more informed and strategic decisions. Reporting lets you dig deep into business performance, with indicators like DSO and cash flow trends. You can identify any problem areas and take the steps necessary to improve team and financial performance.

Enhance your ERP with unified AR from Billtrust

You can integrate Billtrust’s unified AR solution with your existing ERP. We know that your ERP isn’t going anywhere, and unified AR can still benefit from the data housed in your current system.

If you choose Billtrust’s unified AR platform, our experts will work with your IT team to ensure data flows seamlessly between the two systems, with minimal effort on your end.

Unified AR ensures that your team can stay agile and handle increased volume, while providing the analytics and predictive insights you need to make data-driven decisions. Unified AR is designed to scale your business and free you from the manual confines of your ERP system.