Automating AP for manufacturing companies: What to know first

If you're in manufacturing finance, you probably deal with hundreds of vendor invoices every month, approval chains that span multiple departments, and constant pressure to keep payments aligned with production schedules. Manual AP processes slow everything down and create room for errors that can damage supplier relationships.

AP automation software can help. Instead of manually routing invoices and chasing approvals, the software handles it for you. You get a single place to track all your vendor information, and you can time payments to match your production cycles without the spreadsheet juggling.

This guide walks through how to pick the best AP automation software for manufacturers, and where Ramp Bill Pay fits into the AP process.

Why AP automation matters for manufacturing companies

In manufacturing, efficiency isn't just about production lines. It also applies to back-office operations like accounts payable. Finance teams often manage a high volume of invoices from parts suppliers, freight carriers, equipment vendors, and contractors. Manual AP processes introduce delays and increase error rates. They also limit visibility into cash flow, which can disrupt production schedules or damage supplier relationships.

That's why many manufacturers are moving to AP automation software. It speeds up approvals, cuts down on manual work, and gives finance teams better control over spending.

Here's what AP automation actually does for manufacturing companies:

• Faster invoice processing. Instead of manually entering invoice data and routing approvals through email, automation captures the information and sends it to the right approvers automatically. Most manufacturers cut their invoice processing time from days to hours, which frees up finance teams to focus on forecasting and planning.
• Fewer errors and better fraud protection. Automation catches duplicate payments before they go out and flags invoices that don't match purchase orders. It also enforces your approval policies, so invoices can't skip steps or go to the wrong person.
• Stronger supplier relationships. When you pay suppliers on time and process invoices accurately, you build trust. This reduces disputes and helps you avoid shipment holds or production delays when you need materials fast.
• Better cash flow visibility. You can see exactly what you owe and when it's due. This makes it easier to time your payments and take advantage of early payment discounts when they make sense.
• Audit trails that actually work. Every invoice approval gets logged automatically with timestamps and approver names. This maintains your internal controls and makes audits or tax reporting much simpler.
• Lower processing costs. By replacing paper-based processes, you reduce the manual work required for each invoice. This means you can scale your AP operations without adding headcount.

What to look for in AP software if you're in manufacturing

If you're running a manufacturing operation with multiple locations, entities, or a complex ERP setup, you'll want AP software that can actually handle that reality. Not every platform is built for it.

Here's what actually matters when you're comparing platforms:

• Automated invoice capture. Look for platforms that extract data from PDFs, emails, or scanned invoices automatically. This cuts out manual data entry.
• Two- or three-way matching. To catch errors and overpayments before they happen, you'll want a system that matches invoices against purchase orders and receiving records.
• Customizable approval routing. Look for approval routing that adjusts by department, location, or invoice amount. It should support parallel or multi-level approvals when you need them.
• Real-time ERP integrations. Native or API-based integrations with systems like NetSuite, QuickBooks, or Sage Intacct keep your data in sync and your reporting accurate.
• Global payment support. If you're paying international suppliers, you'll need a platform that handles multiple currencies and payment formats (ACH, check, card, wire).
• Vendor management tools. Centralized vendor profiles, W-9 tracking, and payment terms visibility help you maintain good supplier relationships and stay compliant.
• Spend analytics and cash visibility. Dashboards and custom reports give you a clear view of liabilities, spend by vendor or category, and what's due at month-end.
• Security and controls. Role-based access, approval logs, and detailed audit trails protect against fraud and help you maintain control when AP is distributed across locations.

How to pick AP software that handles manufacturing workflows

Not all AP software is built for the demands of manufacturing. When you're evaluating options, here's what to ask vendors during demos:

• Does it integrate cleanly with our ERP?
• Can it handle the volume and complexity of our workflows?
• Does it support multi-location or multi-entity structures?
• Can it manage international payments and currencies?
• Are reporting and controls robust enough for audits and compliance?
• Does the vendor offer implementation and long-term support tailored to finance teams?

Start with ERP integration—if the software doesn't sync cleanly with your existing system, everything else becomes harder. From there, prioritize based on your specific pain points. If you're managing multiple facilities, multi-entity support matters more than international payments (unless you're also sourcing globally).

What Ramp Bill Pay does for manufacturing AP

Ramp Bill Pay is AP automation software that handles the full accounts payable cycle. It takes you from receiving invoices to processing payments and syncing everything with your accounting system.

If you know Ramp for spend management and corporate cards, Bill Pay extends that into AP automation. It pulls invoice data automatically, routes approvals based on your rules, and processes payments via ACH, check, card, or wire.

Here's what it handles:

• Invoice capture: Pulls data from emailed, uploaded, or scanned invoices, including line items for proper allocation
• Approval routing: Directs invoices to the right approvers based on category, department, or urgency
• Payment execution: Processes payments by ACH, check, card, or wire, with real-time status tracking

The platform consolidates all AP data in one place. If you're managing multiple facilities with their own procurement teams and suppliers, that single source of truth becomes especially useful.

Here's how each feature works and why it matters for manufacturing companies.

How invoice capture handles messy manufacturing invoices

Manufacturing invoices are rarely clean. You might get a scanned PDF from a raw materials supplier, an emailed invoice from a parts vendor, and a faxed copy from a maintenance contractor.

Ramp Bill Pay uses OCR and AI to extract structured data from all of these. It suggests GL codes and matches invoices to purchase orders automatically.

This cuts down on reconciliation errors and makes sure cost data gets attributed to the right facility or production line. Without automation, someone on your team is manually entering this data and double-checking it.

Setting up approval workflows that match your org structure

Ramp Bill Pay lets you configure approval logic based on your organization. Invoices route based on vendor, department, amount, or location.

For time-sensitive requests (like critical replacement parts), you can set up exception routing with proper documentation and sign-off. This keeps production moving without bypassing controls.

Linking contract management to your AP process

If you use Ironclad for contract management, Ramp integrates directly with it. Once connected, you can add Ironclad workflows to your approval policies.

When someone submits a purchase request, Ramp can automatically launch the Ironclad workflow. After the workflow completes, Ramp stores the contracts and documents with the approved request. This keeps everything in one place instead of scattered across systems.

Syncing with your accounting platform

Ramp integrates with whichever accounting system you use. That includes NetSuite, QuickBooks Online, Sage Intacct, and Acumatica, plus over 200 other applications.

These integrations sync vendor bills, reimbursements, payments, and accounting fields in real time. Some systems also support bi-directional sync for vendor bills and item receipts.

If your platform doesn't have a native integration, Ramp provides Universal CSV exports that match your chart of accounts, tracking categories, and project codes. There's also an API and implementation partners for custom integrations.

Payment scheduling

Ramp Bill Pay lets you align vendor payments with your operational and financial rhythms—whether that’s the end of a production run, the receipt of a customer payment, or monthly cash flow cycles. The platform supports flexible payment scheduling, including bulk payments.

Centralizing vendor records across facilities

If you run multiple manufacturing sites, vendor oversight often gets fragmented. Each facility might maintain its own vendor list with different terms or duplicate entries.

Ramp Bill Pay consolidates vendor records (including W-9s and 1099 tax documents) into one system. This prevents duplicate entries and standardizes terms across all your sites.

Pricing and payment processing fees

Ramp offers a free plan that covers spend management, automated vendor payments, and faster month-end close. For more advanced needs, Ramp Plus costs $15 per user per month. Custom Enterprise plans are available on request.

Plus, you can handle all domestic and global vendor payments on a single platform—by check, card, ACH, or international wire with zero fees*.

AI agents for accounts payable

Ramp is also introducing AI agents for AP—autonomous systems built into Ramp that go beyond workflow automation. These agents understand invoice context and take action on behalf of your team. They code line items based on historical data, flag potential fraud, suggest the appropriate approver, and submit card payments when applicable.

What happened when AIRCO moved all vendor payments to one system

AIRCO needed to get control of their vendor payments. Here's what happened when they moved everything to one system.

How AIRCO unified procurement and AP in one system with Ramp Bill Pay

Before Ramp, AIRCO’s finance and procurement teams were managing spend across disconnected tools for cards, procurement, and AP—with limited visibility and no centralized control. Vendor payments lacked consistency, and purchase orders were only loosely enforced, leading to challenges in spend tracking and financial reporting.

With Ramp Bill Pay, AIRCO now runs all vendor payments and procurement through one platform. Every purchase—whether for raw materials, lab equipment, or services—requires a PO, and Ramp automatically matches those POs to invoices and routes them through pre-set approval flows. Bill Pay now handles 100% of payments, replacing the previous mix of manual processing and fragmented platforms.

In just one week, AIRCO fully onboarded Ramp across its organization. Since then, the finance team has saved hours each week on AP processing and gained real-time visibility into company-wide spend—all from a single, easy-to-use system.

“It’s helped cut down our AP and payments time by hours each week… All of our payments go through Ramp, and that’s been huge for our team.” — Michael Natsch, Procurement Manager at AIRCO

What to do if you're processing hundreds of invoices every month

Manual AP processes create bottlenecks. Payments to suppliers get delayed, and it's hard to see where money's actually going. Ramp Bill Pay puts invoice intake, approvals, payments, and PO matching in one place. If you're managing hundreds of vendor relationships and need to move fast, it helps keep everything organized without the back-and-forth.

You can handle AP manually or with basic tools, but it gets messy at scale. If you're ready to centralize your process, Ramp Bill Pay is built for high-volume environments like manufacturing.

*Same-day ACH payments and International payments may incur a fee unless you are using a Ramp Business Account. Ramp Bill Pay is available on our free plan with no software or transaction fees. Note that certain ERP integrations require a Ramp Plus account, which includes a monthly fee.