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Need to create an AP policy

I am currently generating an accounts payable policy for my company. We don't have one currently so this will be the first. I would like the policy to contain best in practice AP for a manual process we are not automated at all. IE I would like the policy to include things such as approval process, items ie w9 needed from vendor. Check process. Any ideas anyone might have would be useful. The idea is to have a uniform process for employees to follow that in the end will help AP streamline payments with out having to track down approvals missing paper work etc.


Len Green
Title: Performance Improvement Consultant and E..
Company: Haygarth Consulting LLC
LinkedIn Profile
(Performance Improvement Consultant and ERP Strategist, Haygarth Consulting LLC) |

Apart from the manual process, what really are the key drivers for a policy and supporting processes?
e.g. improve controls over spending, reduce contractual risk, work with fewer vendors?

Are you intending to cover purchasing/procurement, or simply invoice payment?

Remember, once the invoice reaches AP simply to pay, it's a bit late to avoid the
obligation. So really good AP only processes won't necessarily address core issues/problems.

If you can give some pointers, you may get more focused suggestions:)
Best regards

Mateen Khan
Title: Finance Manager
Company: Auditing
(Finance Manager, Auditing) |

In addition to the above useful comments, I would like to add that you cannot just keep your AP policy separate from other processes, You need to define "Procure to Pay Business Process" for your company and generate your policy for complete P2P Cycle.


(Ap) |

Thanks for the feedback. The policy would be put in place to communicate to employees the proper documentation needed for AP to process payments. Such as approvals needed. W9 needed. Check cutting timing. I guess it is p2p and invoice payment would both covered. We do have a sop for procurement that covers contract obligations. Thanks for the help


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