An Accounts Payable (AP) team makes sure the business pays its suppliers correctly and on time. That means receiving supplier invoices, checking them, getting them approved and paying them.
That's the textbook version. It's accurate, but it only tells part of the story.
Behind every payment is a chain of people, decisions and controls that runs across the whole organisation. AP sits at the end of that chain, and it's the team that makes sure everything adds up before money leaves the business.
We spoke to Martin Ray, an experience Accounts Payable and Finance Operations leader, about what the work looks like day to day.
It's not the first time Martin has shared his experience with us. He previously joined us at The AP Arms to talk about using people to power AP transformation. Watch the episode.
What is Accounts Payable responsible for?
Processing invoices is the part people see. Depending on the organisation, AP teams also:
- Check supplier invoices and resolve exceptions
- Match invoices to purchase orders and other supporting documents
- Coordinate approvals and payment runs
- Reconcile supplier accounts and investigate unmatched payments
- Answer supplier queries and internal requests
- Report on payment status and outstanding items
- Maintain the controls that protect the business from duplicate or incorrect payments
Every invoice relies on steps that happen earlier in the process. A budget is agreed, a supplier is onboarded and a purchase order is raised. Each of those is done by busy people with their own priorities, so details sometimes arrive incomplete. A big part of AP's skill is bringing those pieces together and getting the answer right.
That's why AP is best understood as one stage of the wider procure-to-pay (P2P) process. It's connected to everything that comes before it.
What does a typical week in AP look like?
Every team is different. For Martin, the week starts with the last payment run. He reviews the aged creditor report, checks that payments went out as planned and reconciles any transactions that are still open.
Then comes reporting, and the same data has to tell several stories. The AP team needs transaction-level detail to work through individual items. Finance leaders want the headline: performance, late payments and potential duplicates.
The rest of the week goes on leading the team, working with department heads and responding to whatever comes up. An urgent supplier payment for a project that can't wait is all part of the job.
That's the balancing act. AP keeps the routine running smoothly and still makes room for the requests that matter most to the rest of the business.
Who does Accounts Payable work with?
Almost everyone. AP's regular contacts include:
- CFOs and finance directors
- Procurement teams
- Department heads and budget holders
- Colleagues who raise purchase orders
- Suppliers
"You have to be connected with everyone." Says Martin, "the impact is far beyond finance."
It's a fair point, and an easy one to overlook. A supplier paid on time is a supplier who keeps delivering. A project that gets what it needs keeps moving. AP plays a part in both, usually without anyone noticing.
When a payment does need attention, AP is the team that works out what's needed, who can help and how to keep everyone informed. Shared visibility makes that quicker for everyone involved.
What skills does an AP professional need?
Good AP professionals combine an eye for detail with a strong understanding of how the business works. They know the controls inside out, they spot when something doesn't look right, and they know who to bring in and when.
They're also skilled communicators who switch audiences all day. A supplier wants an update, a budget holder wants to understand the process, a finance leader wants a two-line view of risk. Each conversation needs a different level of detail, often within the same hour.
It's a role that calls for judgement as much as accuracy.
Where does technology fit in Accounts Payable?
AP teams are increasingly asked to play a more strategic role. The appetite is there, but what's needed is time. Technology helps most when it gives the team clear visibility and handles the repetitive work, so people can focus on the judgement calls.
“The principles of paying an invoice are still exactly the same.”
Martin Ray
Accounts Payable Leader
The fundamentals don't change. Automation won't redefine what a correct payment looks like. It changes how much of the team's time goes on getting there. It also works best alongside people who understand the process.
How can businesses get the most from their AP team?
AP teams have a view across suppliers, spend and process that few other teams have. A few changes help the business make the most of it:
- Bring AP in early. AP sees patterns across hundreds of suppliers. That perspective is useful when you're agreeing budgets, onboarding new suppliers or designing purchasing processes.
- Make ownership clear. When everyone knows who raises purchase orders, who approves invoices and who handles each type of exception, invoices move faster.
- Share visibility. When colleagues can see where an invoice is and what happens next, they spend less time asking and more time acting.
- Use recurring queries as insight. A question that comes up every month often points to a process worth improving, and AP is usually first to spot it.
- Recognise the work behind on-time payments. Every payment that goes through smoothly reflects real effort from AP and the people it works with.
With that support, AP can do more of what it does best: improving the process, strengthening controls and helping the business make informed decisions.
Frequently asked questions about Accounts Payable
What does an Accounts Payable team do?
An Accounts Payable team manages the process of receiving, checking, approving and paying supplier invoices. It also resolves exceptions, reconciles supplier accounts, answers supplier and internal queries, and reports on outstanding payments.
Is Accounts Payable only responsible for paying invoices?
No. Paying invoices is one part of the job. AP also works with colleagues and suppliers to resolve queries, keeps financial records accurate and maintains the controls around business spending.
Who does Accounts Payable work with?
AP works with finance leaders, procurement, department heads, budget holders, colleagues who raise purchase orders, and suppliers. The exact mix varies by organisation.
Why might an invoice need extra attention?
An invoice may need a closer look if details don't match the purchase order, an approval is still pending, or information is needed from another team. AP works with colleagues to resolve these quickly, and clear ownership plus shared visibility make that easier.
What is the difference between Accounts Payable and Procure-to-Pay?
Procure-to-Pay (P2P) is the full process, from requesting goods or services through to paying for them. Accounts Payable is the final stage: receiving, checking and paying the invoice. Because AP sees the whole process come together, it's well placed to spot where it can improve.
What is an aged creditor report?
An aged creditor report lists what a business owes its suppliers, grouped by how long each invoice has been outstanding (for example 0–30, 31–60 and 60+ days). AP teams use it to track payment timing and prioritise what needs attention.
AP keeps the business moving
Most people only think about Accounts Payable when they need something paid. But every smooth supplier payment reflects skill, judgement and coordination that rarely gets talked about.
If you work in AP, you already know this. If you work alongside AP, it's worth a conversation. Bring the team in early, share visibility and recognise the work it takes to get every payment right.
READ MORE
The AP Arms: The Superdry story – using people to power transformation
How Accounts Payable teams make time for higher value work
Accounts Payable internal controls: checklist and guide
.png?length=1024&name=How%20Accounts%20Payable%20teams%20make%20time%20for%20higher%20value%20work%20(1).png)
