How do you coordinate with the invoice approval team to ensure a smooth and efficient payment process?

1 Understand the approval workflow

The first step to coordinate with the invoice approval team is to understand the approval workflow for each type of invoice. The approval workflow defines who needs to approve an invoice, in what order, and for what reason. For example, some invoices may require approval from the budget owner, the project manager, and the finance manager, while others may only need approval from the finance manager. The approval workflow may also vary depending on the invoice amount, currency, vendor, or payment terms. You should familiarize yourself with the approval workflow for each type of invoice and follow it accordingly.

2 Communicate with the approvers

The second step to coordinate with the invoice approval team is to communicate with the approvers regularly and effectively. You should inform the approvers of the invoices that are pending their approval, the due date, and the payment method. You should also provide them with the necessary information and documents to support the invoice verification, such as purchase orders, contracts, receipts, or delivery notes. You should also remind the approvers of the invoices that are overdue or approaching the due date, and escalate any issues or delays to the appropriate person or department.

3 Track the approval status

The third step to coordinate with the invoice approval team is to track the approval status of each invoice. You should use a system or tool that allows you to monitor the progress and status of each invoice, such as an invoice management software, a spreadsheet, or a dashboard. You should update the approval status of each invoice as soon as you receive confirmation from the approvers or the system. You should also report any discrepancies or errors in the approval status to the approvers or the system administrator.

4 Resolve any discrepancies or disputes

The fourth step to coordinate with the invoice approval team is to resolve any discrepancies or disputes that may arise during the approval process. You should review the invoices that are rejected, disputed, or returned by the approvers and identify the cause and source of the problem. You should also contact the vendor, the requester, or the approver to clarify or correct any errors, misunderstandings, or disagreements. You should document and communicate any changes or adjustments made to the invoices and resubmit them for approval.

5 Confirm the payment readiness

The fifth step to coordinate with the invoice approval team is to confirm the payment readiness of each invoice. You should verify that each invoice has been approved by all the required approvers, that all the necessary information and documents have been provided, and that all the discrepancies or disputes have been resolved. You should also check that each invoice complies with the payment terms and conditions agreed with the vendor, such as the payment method, the payment date, and the payment currency. You should then mark each invoice as ready for payment and send it to the payment team.

6 Follow up on the payment status

The sixth and final step to coordinate with the invoice approval team is to follow up on the payment status of each invoice. You should track and confirm that each invoice has been paid by the payment team, that the payment has been received by the vendor, and that the payment has been recorded in the system. You should also reconcile the payments with the invoices and the bank statements and report any discrepancies or errors. You should also update the invoice approval team on the payment status of each invoice and close the invoice cycle.

7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?