A STUDY ON ACCOUNTS PAYABLE PROCESS IN CHOLAMANDALAM INVESTMENT AND FINANCE COMPANY LIMITED

The accounts payable process plays a crucial role in managing an organization’s cash flow, maintaining supplier relationships, and ensuring regulatory compliance. This study explores the effectiveness and efficiency of the accounts payable system in a leading non-banking financial company (NBFC) in India. The primary objective is to evaluate the current practices, identify process bottlenecks, and recommend improvements to enhance operational performance. The research methodology involves both qualitative and quantitative approaches, including analysis of financial documents, process flow evaluations, and interviews with finance department personnel. Key findings reveal that while CIFCL maintains a structured and technology-driven accounts payable framework, challenges persist in areas such as invoice processing time, vendor communication, and reconciliation delays. The study suggests leveraging automation tools, refining approval hierarchies, and improving vendor engagement strategies to streamline the accounts payable process. This research contributes to a better understanding of financial process optimization within NBFCs and supports strategic decision-making for improved financial management.