Accounts Payable Process Best Practice: Vendor Setup

Опубликовано: 01 Ноябрь 2022
на канале: AP Now

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The accounts payable process from a best practice standpoint, should start with the setup of a new vendor (supplier). But, when should that happen vs. when a new vendor is actually set up. In this episode, as I do in my book, 127 Best Practices for Accounts Payable, we’ll discuss the best, almost best and worst practice for setting up a new vendor in the master vendor file. Make sure to stick around until the end when we reveal the worst practice, which regrettably is still used in many, many companies. We’ll explain why this is so bad and how it can cost your organization millions of dollars. #accountspayable #accountspayableprocess #vendorfile

Accounts payable and accounting require the use of both accounts payable best practices and strong account payable internal controls. For the accounts payable process to work well, best practices for AP should be used. The accounts payable process includes master vendor file, or vendor master vendor file. By their very nature, accounts payable best practices incorporate strong internal controls and avoid AP control weaknesses. Those controls include the master vendor file, and more specifically setting up a vendor in the master vendor file.

The accounts payable process from a best practice standpoint, should start with the setup of a new vendor (supplier). But best accounts payable practices and reality don’t always match up. That’s when almost best practices come into the picture. And, of course, the reality is there are worst practices still in use in many accounts payable groups.

Link to Fraud in the Vendor File
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Link to: Worst Accounts Payable Practices [What to Do Instead]
   • Worst Accounts Payable Practices [Wha...

Link to AP in the Movies
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Host: Mary Schaeffer (www.ap-now.com)