Hit a Working Capital and Discount Home Run with a Proactive Vendor Payment Strategy

By Robert Jaffe  - Controllers with the vision to see profit potential in accounts payable have a unique opportunity to deliver several cents a share in earnings for their organizations. Such measureable results have been evidenced in more than 100 AP systems over a period of 23 years when a coordinated vendor payment strategy is implemented between AP and procurement. Strategies Here are some strategies that will increase the AP balance and generate discount income: Pay suppliers from the…