RSMUS.comArtificial Intelligence (AI) is transforming industries across the globe, enabling businesses to streamline their operations, enhance overall accuracy, and significantly reduce human error. In the realm of cash application, AI’s ability to analyze vast amounts of data in real-time, identify patterns, and automate routine tasks is revolutionizing traditional workflows.
This change boosts organizational efficiency and improves cash flow management, ultimately driving better financial decision-making. As AI continues to evolve, its integration into business processes is quickly becoming a hallmark of the future, offering organizations a competitive edge by enabling faster, more accurate, and cost-effective operations.
AI in Action: How HighRadius utilizes AI for a Competitive Edge
HighRadius, a leader in cloud-based financial automation, is at the forefront of leveraging AI to improve cash application processes. The company implements many AI-driven solutions, powered by machine learning, which are designed to enhance the accuracy of cash matching, automate the identification of remittances, and speed up the overall reconciliation process for faster results.
By designing an AI-powered Cash Application software, they’ve allowed for significant reduction of manual efforts through automation. Key tasks such as application of invoices against invoice/purchase orders, cash forecasting (previously done through spreadsheets), data gathering and analysis, and reporting are now tackled by AI. The automation of these crucial work-flow pieces results in quicker processing times, a reduction in outstanding receivables, as well as improved visibility into real-time cash flows and status. HighRadius also offers the benefits of Predictive Cash Application, where AI predicts incoming payments based on historical data and trends, allowing companies to better forecast cash flow and take preemptive actions in collections.
One organization, an industry leading F&B manufacturing company, approached the software with a vast, globally spread consumer base, and huge volumes of transactions (1000+ consumers across 120+ countries). This significant reach, coupled with a manual cash application process, led to grave operational inefficiencies – manual remittance capture for e-payments across several sources, slow deduction resolution, and a lack of standardization across business units.
HighRadius revolutionized their Cash Application process through auto-aggregation of remittance data and faster deduction resolution and created one common interface to serve as a source of truth across the diverse business units. Post-implementation, they were able to recover $20 million from invalid deductions, achieve a 98% automated cash application, and overall, 75% productivity improvement. Utilizing one solution also greatly increased their organizational visibility and stimulated improvement in cross-team collaborations.
By embracing AI, HighRadius is alleviating the manual workload and enabling finance teams to focus on higher-value tasks such as strategic decision-making and customer relations. With AI paving the way for a more streamlined cash application process, HighRadius continues to lead the charge in helping companies unlock the full potential of automation in finance.
RSM is a preferred partner for HighRadius implementations, having successfully collaborated on numerous projects to help companies streamline their accounts receivable (AR) processes.
Discover how RSM can transform your AR processes with HighRadius. Contact us today to learn more about our successful implementations and how we can help your business achieve its financial goals.
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Stephanie Canfield
Stephanie is a Finance Automation Consultant at RSM US LLP. With a strong background in finance and technology, she specializes in automation and accounting process improvement. Her passion for efficiency drives her to deliver tailored solutions that ensure smooth implementations and prioritize client-centricity.
