Automated reconciliation: Financial reconciliation from days to hours

Automated reconciliation involves using software that streamlines the process rather than employees doing it manually.

Reconciliation is mandatory for all businesses and helps them understand their spending and finances.

The reality of manual reconciliation

Account reconciliation is often done manually by a person or team of people. This is usually a complex process involving:

• Different payment methods and schemes

• Finding past invoices and other documentation in different places

• Different payment setups for online and in-store payments

• Banks that process transactions in batches and are slower than businesses

• Customer returns that add a new layer of complexity

These aspects make manual reconciliation time-consuming and resource-heavy, leading to an increased risk of human errors that result in wasted time and resources, fines and penalties, and higher operating expenses. Errors in reporting also result in businesses having less accurate insights into their finances. Businesses become at risk of making wrong decisions to limit their spending or invest their money.

Benefits of automated reconciliation

The best way to solve the challenges above is to automate reconciliation processes. By doing so, businesses can experience benefits such as:

• Reduced risk of errors 

• Accurate reporting

• Save time and resources

By automating the process businesses free up more time and resources to focus on what’s truly important for their business. To do this, they need financial reconciliation software that uses modern technology.

Many businesses are limited when it comes to automating reconciliation due to the complexities of outdated legacy infrastructure. Legacy providers often consist of disconnected systems for online and in-store operations. Automating the process is often not feasible as these providers rely on outdated technology, forcing businesses to resort to manual reconciliation.

At Adyen, we offer the modern technology you need to automate reconciliation. This includes:

• Streamlined financial reconciliation processes, minimizing overhead and time investments.

• Comprehensive reconciliation services are provided in one centralized location

• Automation incorporated to minimize human errors

The impact? Businesses can reduce time spent on financial reconciliation and troubleshooting by taking a single platform approach to reconciliation. By consolidating multiple formats and reporting frequencies into a single report, businesses receive an easier reporting process and more timely and accurate financial reporting.

Learn more about how HUGO BOSS improved their reconciliation setup. Streamline operations and enhance the customer experience with a unified commerce platform. Get in touch.