Accounts Payable 2024: Big Trends and Predictions
In 2024, the accounts payable (AP) landscape continues to undergo broad, sweeping changes driven by lingering economic uncertainty. In this report, Ardent Partners presents key trends and predictions for 2024 that will help AP, P2P, and finance professionals understand the key issues and better prepare them for the year ahead. Below is a preview of 3 key trends and predictions. Download the “Accounts Payable 2024: Big Trends and Predictions” report for more details.
What are the big trends in 2024?
1. Artificial Intelligence (AI) is everything, everywhere, all at once.
AI has the potential to channel an entirely new level of innovation that will enable both AP professionals and their leaders to transform the tactical and strategic activities of the function while tapping into a currently underutilized repository of AP information data and insights.
2. The year of efficiency continues in 2024.
Best-in-class AP organizations process their invoices and payments at rates that are between 60%-80% lower than their peers. As more AI capabilities become available within ePayable solutions, the opportunity for AP departments, including the top performers, to drive greater efficiency will only increase.
3. More global invoicing mandates mean more complexity for AP.
In 2024, more than 50 countries worldwide have taken proactive measures to standardize and regulate B2B invoicing to enhance efficiency, increase trust, curb fraud, and maximize tax revenues. These new regulations set requirements for electronic invoicing formats, data security standards, and standardized protocols for transmission.
What are the Accounts Payable predictions for 2024?
1. Smart AP teams will develop guidelines and frameworks for AI usage and impact.
The technology of AI and its potential impact need to be balanced with governance and controls. In 2024, AP teams will work to identify specific use cases for AI that include quantifiable objectives. They will also follow the lead of IT to establish robust protocols and standards on how AI will be used, by whom, and to what extent.
2. P2P teams will strengthen internal controls and prevent occupational fraud.
The average occupational fraud event takes 12 months to discover and has an average loss of more than $1.78 million. These shockingly high numbers must be countered. Ardent Partners predicts that, in 2024, more AP/P2P teams will initiate a program to improve internal controls to prevent and catch occupational fraud.
3. AP and B2B payments automation accelerates in the mid-market
AP automation delivers value to organizations of all shapes of sizes. Ardent’s research shows that the use of AP technology continues to expand among mid-market enterprises. If they have not already done so, AP leaders at mid-market enterprises should be building their case for transformation.
