What is the purpose of doing the bank statement and reconciliation for Ad Hoc Payment?

Summary:

Clarification required on the purpose of Bank Statement creation and reconciliation.

Content (required):

We are currently planning on using Ad hoc payment to pay supplier one time on Fusion. As per my understanding below steps are to be done.

1. Create Payee

2. Create and submit the Ad hoc payment (System transactions)

3. After ad hoc payment is submitted and approved, file is generated on the SFTP server.

4. Either proceed with the creation of bank statement manually or Load and Import Bank Statement by specifying format and upload data file (Bank Statement Lines)

5. Proceed with manual or auto reconciliation (with Bank Statement Lines and System transactions)