Resolving Accounts Payables Process Disarray for a NASDAQ Listed CPG Enterprise

Challenges

The company faced the following accounts payable challenges:

Solutions

Our accounts payable team developed a tailored solution to address the client’s issues and streamline their financial operations. 

• We created a dedicated mailbox for the EA team to categorize and trace sensitive emails and vendor bills effectively.
• Delegated bill processing within the team based on categories to expedite and smooth out the process.
• Prepared an inventory rollout plan for the client to trace inventory figures accurately at month-ends.
• Assigned a dedicated team member with a backup to ensure that sensitive reports are delivered to the client on time without errors.
• Developed an ongoing tracker for the client, detailing who the email was sent to, when it was sent, and when the last follow-up occurred.
• Assisted the client in fetching data from multiple 3PL portals by automating email forwarding and directly extracting data from the 3PL portals.
• Maintained an ongoing tracker for unprocessed invoices, enabling the client to record accruals accurately.
• Ensured the confidentiality of email contacts for client vendors, specifically for sharing remittance or other sensitive correspondence.

Results

Enabling a Powerful, More Efficient AP Process

Our client experienced a transformation in their Accounts Payable processes, with improved efficiency, accuracy, and control:

• Early Payment Discount Capture: Improved from ~15% to 40% of available 2/10 discounts, boosting cash savings.

• Supplier & Freight Management: Reduced supplier holds and expedited freight caused by delayed payments.

• Vendor Prioritization: A key outcome was the company’s ability to identify critical vendors whose delayed payments could disrupt production, enabling them to prioritize payments and maintain uninterrupted operations. This prevented lost contribution margin on critical SKUs

• Efficiency Gains: Reduced manual workload, enabling reallocation of 2–3 FTE equivalents.

• Month-End Close: Accelerated and cleaner close process.

• Controls & Reporting: Strengthened documentation, reporting accuracy, and overall financial controls.

Through analysis and strategic implementation, our team at Expertise Accelerated successfully addressed and resolved a multitude of Accounts Payable challenges for our client.

The tailored solutions eliminated processing bottlenecks and established sustainable practices for efficient AP management. Our client now operates with confidence in their financial processes, focusing on strategic growth and operational excellence.