AP automation for Dynamics 365, run by AI.
AP automation for Dynamics 365 means supplier invoices are captured from email, PDF or portal, matched 3-way against the purchase order and goods receipt in Dynamics 365, and posted as vendor invoices automatically via Dataverse and OData APIs. Exceptions reach your team with the reason explained; everything else flows.
- 9 ERP integrations
- Line-level 3-way match
- EN / ES / PT support
- 2-3 week deployment
See it working
3-way
match on every invoice: PO + receipt + invoice, line by line
24/7
capture from email, PDF and supplier portal, no templates
2-3 weeks
to go live, no migration
The problem
Dynamics 365 Finance ships Invoice Capture, and it is a real improvement over keying invoices by hand, at least for header data on clean, consistent layouts. Where AP teams still burn hours is below the header: line-level extraction on supplier formats that change every month, matching each line against the purchase order and product receipt, and the exception queue. D365 flags a mismatch; it does not tell you that the supplier applied the old price list, or that the warehouse posted the receipt against the wrong PO line, or that this is the same invoice submitted twice with a different number. Your team reconstructs that story invoice by invoice.
The solution
Sourced automates the whole loop on top of Dynamics 365. Invoices arrive by email, PDF upload or the supplier portal and are extracted at line level without templates. Each line is matched against the purchase order and the goods receipt read from Dynamics 365 via Dataverse and OData APIs: price, quantity, taxes, freight. Clean invoices post automatically as vendor invoices. Mismatches don't just get flagged: Sourced explains the cause (price variance vs. the PO, quantity over-billed vs. the receipt, probable duplicate, missing receipt) and routes each one to the right person, or back to the supplier for a corrected invoice, automatically. Because Sourced also runs the upstream cycle (RFQ, PO, delivery tracking), the matching data is native, not reconstructed.
Invoices posted in seconds instead of days: close the month without the AP backlog
Duplicates, price creep and over-billing caught before posting, with the reason explained
Everything syncs two-way with Dynamics 365: POs and receipts read, vendor invoices written back
How AP automation works with Dynamics 365, end to end.
Invoice captured, any format
Suppliers send invoices to your AP inbox, upload them in the Sourced portal, or attach them to the PO thread. AI extracts header and line-level data from PDFs, images and spreadsheets. No templates to maintain, and layouts can change freely.
Matched against Dynamics 365 data
Sourced reads the purchase order and goods receipt from Dynamics 365 via Dataverse and OData APIs and compares every invoice line: unit price, quantity, taxes, freight, payment terms. Tolerances are yours to configure.
Exceptions explained, not just flagged
A mismatch arrives with its diagnosis: supplier billed the pre-negotiation price, quantity exceeds what the warehouse received, invoice is a probable duplicate of one posted last week. Each exception routes to the buyer, the warehouse or the supplier, with the supplier follow-up handled by the AI.
Posted to Dynamics 365 automatically
Matched invoices are created in Dynamics 365 as vendor invoices via Dataverse and OData APIs, linked to their PO, and enter your existing approval and payment workflows. Nothing changes for treasury.
Supplier scorecards updated
Billing accuracy feeds each supplier's scorecard alongside on-time delivery and quote competitiveness, so chronic over-billers lose ground in the next RFQ automatically.
Dynamics 365 alone vs. Dynamics 365 + Sourced.
| Capability | Dynamics 365 + Sourced | Dynamics 365 alone |
|---|---|---|
| Vendor invoice entry and payment runs | ||
| Invoice capture from email and PDF, line-level, no templates | Partial (Invoice Capture) | |
| Automatic 3-way match against PO and goods receipt | Manual / partial | |
| Exceptions with explained cause and automatic routing | ||
| Supplier follow-up for corrected invoices, run by AI | ||
| Duplicate and price-creep detection before posting | Limited | |
| Free supplier portal for invoice submission and status | ||
| Upstream RFQ, PO and delivery data in the same system |
Dynamics 365 AP automation: frequently asked questions.
Does Dynamics 365 have AP automation built in?
Partially. Dynamics 365 Finance includes Invoice Capture for extraction and can flag PO mismatches, but the exception work (explaining why a line failed, catching near-duplicate invoices, chasing missing product receipts) remains manual. Sourced runs that full loop and posts clean vendor invoices back to D365 through Dataverse, so your team only sees the exceptions that genuinely need a decision.
How does Sourced match invoices in Dynamics 365?
Three-way, at line level: each invoice line is compared against the purchase order and the goods receipt read from Dynamics 365 via Dataverse and OData APIs: unit price, quantity, taxes and freight, within tolerances you define. Clean invoices post automatically; mismatches arrive with the cause identified.
What happens when an invoice doesn't match?
It is not just blocked: Sourced diagnoses why (price variance, over-billed quantity, missing receipt, probable duplicate) and routes it: to the buyer if the PO needs review, to the warehouse if the receipt is missing, or back to the supplier with an automatic request for a corrected invoice.
Do we need to migrate anything out of Dynamics 365?
No. Dynamics 365 remains the system of record; Sourced is an execution layer that reads POs and receipts and writes back vendor invoices via Dataverse and OData APIs. Typical deployment is 2-3 weeks, and your approval and payment workflows in Dynamics 365 stay exactly as they are.
How do suppliers submit invoices?
Three ways, all captured automatically: email to your AP inbox, upload in the free Sourced supplier portal (where they also see payment status, which cuts 'where is my payment?' emails), or attached to the purchase order thread they already use for confirmations.
Explore the platform.
See your Dynamics 365 invoices matched live
A 30-minute demo with a sample of your real supplier invoices: watch them captured, matched against Dynamics 365, and posted, with exceptions explained.