Thomson Reuters

Why relying on A/P and invoice approval software is a dangerous game for your legal department

One of the main jobs of corporate law departments is to hire and manage outside vendors that are very different from other vendors — law firms. Effectively tracking vendor legal matters and spending are of the utmost importance to efficiently managing even a small legal department. Accounts payable (A/P) software can report on some basic spending categories, but is unable to track vital data that is necessary for the legal department to project and report on the true value it provides.

That said, it is startling how many legal departments rely on their organisations’ A/P software, often in conjunction with a spreadsheet, when attempting to track their spend. A legal department and other departments within a company may believe that legal spend is already being adequately tracked with current A/P and non-legal invoice approval systems, but this thinking is wrong and those departments need to understand why.

There are clear reasons why a legal department needs legal eBilling, invoice approval and matter management software as opposed to just A/P software and general invoice approval software, as thousands of legal departments have already discovered…

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