REASONS EXPENSE MANAGEMENT AUTOMATION IS CRUCIAL IN 2020

 

 

COVID-19 has caused rapid changes in how organizations function. Undeniably, businesses must reevaluate and re-model a few of their core processes to accommodate the "new normal" of the working.

 

Employees and Finance teams may no longer physically chase each other for expense report submissions, clarifications on receipt compliance, or processing of employee expense reimbursements. But, businesses must continue to reimburse employees and keep detailed records compliant with all the regulations and rules set down by tax jurisdictions.

 

Finance leaders have been discussing the importance of corporate expense management for some time. There's been a sharp growth in the number of organizations switching into cloud-based expenses management software and for exemplary reasons!

 

Listed below are six of the most important reasons why investment management automation is crucial, particularly in such unprecedented occasions:

 

Common and pragmatic application of expenses procedures across the organization

 

Your employees are probably already working from various parts of a state, country, or even continent. In this a case, centralizing procedures and applying policies across the company is a herculean job. Your investment policies should have or could want to change due to the new character of business expenses. For example, remote work presents new categories for employee expense reimbursements.

 

Strategizing and putting together a fresh procedure is just half the challenge; the spouse is effective communication of the same to all your employees.

 

Clearly defined policies and processes are important because:

 

You continue to be accountable to tax authorities.

You will need to maintain accurate records for making strategic financial decisions.

You must ensure your employees are updated on any changes that are new.

How expenditure management automation can help:

An expense management program simplifies any custom expense approval workflows, no matter how complex. This makes it easy for managers and Finance teams to tweak/change procedures and expense policies as and if necessary.

 

For example, you may wish to reimburse internet bills instead of hotel expenses today that your employees work from home. Just feed it in the policy engine, and also the program will guarantee effective law with no requirement of manual intervention.

 

Once the claims are approved and reimbursed, all expense report data is kept in a secure and merged cloud. This would make it effortless for Finance teams to retain accurate records and get them with ease.

 

Last, an AI-powered expense management software brings all things expense direction to your unified expense management dashboard. Finance teams gain 360degree insight into your company' financial wellbeing, as well as in real-time.

 

Greater cost policy compliance and worker satisfaction

 

However much you really pronounce on calls and emails, a policy or 2 are bound to slide off your employees' heads resulting included filing for non compliant expense reimbursements.

 

Here are some dangers manual data entry and Labour Intensive procedures pose to compliance:

 

Workers are tasked with memorizing policy nuances and reception safe keeping if they would like to maintain for compensation.

Finance teams cannot process employee reimbursements until they have true receipts and compliant cost accounts.

From case a non-compliant investment slips , it may start your business as much as a scheduled audit.

When multiple minor postings in investment reports slip through, it results in long term financial losses.

Employee satisfaction and trust in the organization takes a hit in the event of continued delays in expense reimbursements.

Employee satisfaction and confidence become especially vital in such hard times. While your employees attempt to maintain your business operations ready to go, you must let them know that you have their backs. An excellent spot to begin would be to devise a hassle-free expense reimbursement procedure.

 

How expense management automation might help:

A smart investment management software optimizes policy authorities across your company. The computer software raises flags for any noncompliant expenditure claims in the purpose of expense creation and shows that policy that particular expense violates. The employee may then make any corrections or choose to submit the expense with a legal explanation.

 

Next, once a compliant expense report is submitted, it is automatically forwarded to the assigned approver/manager. This gets rid of the requirement for informing managers of cost report admissions. Additionally, this results in quicker employee expenditure report !

 

Imagine how much time, frustration, and also costs a simple flag helps rescue!

 

Remote and traveling employees may incur both digital and physical expense receipts. A shoe shop for paper receipts and screen shots all around the device gallery are not the very effective methods of storing business expense receipts, are they?

 

Here are the problems workers confront business expense tracking and submission:

 

Expense receipt safe keeping: This is rather debatable to your home-based employees because it's for the people traveling. Employees might have pets or kids at home, also "my kid drew over my report " or" my dog ate my own reception" can be very valid. Yet, no reception means no settlement.

Expense report submission: Right now, your employees are changing lots of their day-to-day responsibilities to make sure there is no disturbance work-wise. They consistently have some thing more important to do than focus on an expense report.

How cost management automation will help:

An expense management applications tracks receipts from your own everyday apps like G-Suite, Outlook, Slack, text message, or WhatsApp. In addition, it comes with a portable backup scanner (OCR), which enables your employees to take a picture of their receipt and save it safely from the cloud. Your employees can make draft reports as they track expenses, and when they are ready, they could send it into the approver with the click of a button.

 

This way, employees have more time for you to concentrate on the more important job responsibilities compared to juggling pesky expenditure reports.

 

Paid off turn-around time for expense report Agreements and reimbursements

 

Managers are tasked with managing budgets, making it very important to allow them to stay ontop of departmental/project expenses and budgets. This may be quite time-consuming and stressful.

 

Some issues remote managers/Finance teams face with expense report approvals are:

 

Lack of insight and visibility into employee business spends.

Too much time manually verifying worker expenses.

Multiple rounds of communication on the status of reimbursements.

Having a cost management software set up, approvers secure the true luxury of reviewing and approving expense reports with just one click, even from their cellphones. They could focus on enhancing remote work procedures instead of being stuck with reviewing human expenditure receipts.

 

Today's expense management software incorporates seamlessly with your own bank gateway and also the ACH system. This provides you with the luxury to process several transactions to different employee bank accounts in the centralized investment direction dashboard. You can also track where the currency is moving in real time and radically reduce turnaround time for reimbursements.

 

Added into making the lifestyles of your direction and Finance teams easy, this boosts employee pride and morale. In stressful times like these, your employees feel more motivated to work if their organization ensures timely payments and reimbursements. Brownie points to you!