How vendor matching works
When an invoice arrives, the agent has to figure out which vendor sent it. Vendor matching reads the vendor information from the document and links it to the correct vendor in your directory.
How the agent matches
The agent reads the vendor name, address, and other identifiers from the invoice. It matches against your entire vendor directory, looking for the closest match. It handles minor differences like abbreviations, slight misspellings, and formatting variations.
"Fed Ex Corp" on an invoice matches "FedEx Corporation" in your directory.
What happens on each match outcome
- Match found. The agent assigns the vendor automatically. The Invoice Header section on the invoice detail page shows the matched vendor's name. No action needed.
- No match found. The agent creates the invoice and leaves the vendor unresolved. On the invoice detail page, the Invoice Header section shows a red Unknown Vendor label instead of a vendor name, and a Search vendor… button next to it.
To resolve an Unknown Vendor:
- Open the invoice from the Invoices list.
- In the Invoice Header section on the right side of the page, find the row labelled Vendor. The vendor is currently unresolved (shown as Unknown Vendor with a red indicator).
- Click the Search vendor… button on that row. A search popover opens.
- Type the vendor name or external ID into the search field. Matching vendors appear in a list below the search field.
- Click the right vendor in the list. The popover closes; the Vendor field now shows the matched vendor name.
If the vendor genuinely doesn't exist in your directory yet, you'll need to add it to your ERP (vendors are synced FROM your ERP, not created in Mod AI). Once added in ERP, the next sync will bring the new vendor in and you can match the pending invoice.
Low confidence on extracted fields (highlighted in yellow) is a separate concept. A low-confidence field means the agent is unsure about the extracted value, for example a blurry vendor name, an ambiguous date, or a hard-to-read amount. That applies to any extracted field, not just the vendor.
How corrections improve accuracy
Every time you correct a vendor match, the agent learns.
- An invoice arrives from "Staples Inc." but your directory lists "Staples".
- You correct the match, linking "Staples Inc." to "Staples".
- Next time an invoice arrives from "Staples Inc.", the agent matches it automatically.
The mapping happens at the vendor name level. Over time, the agent builds a mapping of the name variations your vendors use and matching accuracy improves.
Common challenges
| Challenge | Why it happens | What to do |
|---|---|---|
| Abbreviations | Invoice says "Intl Business Machines" but vendor is "IBM". | Correct the match once; the agent learns the mapping. |
| Typos | Invoice has a misspelled vendor name. | Correct the match; accuracy improves over time. |
| New vendors | Vendor does not exist in your directory yet. | Match to an existing vendor or confirm creation of a new one. |
| Similar names | Two vendors have very close names (for example, "ABC Consulting" vs. "ABC Consulting Group"). | Review carefully and pick the correct vendor. |
| Trade names | Vendor uses a trade name different from their legal name. | Correct the match; the agent stores the association. |
Consistent vendor names in your ERP improve matching. If a vendor sends invoices under different names, correct the match once and Mod AI carries it forward.