Invoice processing involves the management of inward bound invoices from the point of onset to post. An invoice comes in different variations and nature. Generally, invoices can be divided into two different categories. They are:

• Invoices that are linked with a request
• Invoices that does not own linked request

There are several organisations that have comprehensible operating instructions concerning the processing of inward bound invoices. In most of the organisations there are varied sets of instructions that are generally implemented to get ordered invoices or unleveraged ordered invoices. The central department that is generally associated with process invoices is known as account payable department. If this particular procedure involves supplier invoice then it is referred to as P2P or purchase-to-pay or requisition to check.

The invoice is generated after the delivery of the product and is sent to the company through mail, autotype and fax. The moment the invoice comes the account payable individual must see that the document that came in is in fact an invoice. Then it is the responsibility of the company to sort the invoices into different groups. But, in all organisations it is not the same. Then this is forwarded to the individual or concerned department that has placed the order. To check out the amount invoiced is correctly mentioned it is important to see that the invoice should match against purchase order. If both of them match then the authority responsible should sign on it. Then the invoices get posted to the accounting system once it is approved.

But, with the help of technology these days the procedure has become much easier and after the invoice comes in the individual responsible should only have to scan it into automation software. Then the invoice gets scanned into a text form. Then the data is matched. Finally the individual who is responsible gets an email so that he/she can approve the invoice.

Some of the benefits of invoice processing are:

• Increases revenue
• Bridges good relationship with the customers
• Unlimited access
• Gets hold of data and receives feedback quickly
• Makes report quickly to examine the data that is gathered
• Full visibility about what is taking place

Invoice processing can be considered as a part of business process management or BPM. Thus, in order to reduce your errors on payments invoice processing is done.