Relying on manual processes makes it hard for finance professionals to manage and enforce expense policies. Manual processes are error-prone, time-consuming, costly, and provide huge scope for compliance risks. The only solution to this is automation. Automating the process changes the way small and mid-sized businesses think about expense management. One of the most viable ways to automate expense management process is by deploying SaaS-based software which offers intangible benefits that can minimize time, cost, and risk associated with automation.
Here, we have listed out the top reasons why every company should deploy expense management software.
Without automation, you will have no control on the phases of the expense cycle. Automation gives you control by defining, managing, and monitoring the interactions between people and systems. In fact, it gives you a real-time view into how the company spends money. Switching to online expense management software is perhaps the most important change you can make to your company.
Lining up expense items is one of the key aspects where organizations waste a lot of money. Aberdeen Group states that firms are losing $260 billion per annum due to the inability to organize and analyze the data. A research by PayStream Advisors unveils that automating travel and expense management can cut down the processing costs of expense reports by 80% and reduce the reimbursement cycle from weeks to a matter of days. Also, automation can free up employees and makes them spend more time on strategic tasks.
Running out of budget
Running the budget is again one of the biggest concerns for most companies. This is happening mainly due to the lack of visibility over planned vs. actual spending. Also, budget accountability and timely reporting are the two essential components of controlling expenses. Online expense software provides managers the visibility to view accurate budget information and analyze how a requisition, invoice or expense report will have an impact on the organization.
Make informed decisions
Finance executives make decisions with the information they can access. Gathering pertinent information through manual processes is a tedious task that leaves no time for analysis. Each transaction should be manually manipulated in spreadsheets to cross-compare data. This approach takes lots of time to analyze the data and to make decisions. On the other hand, an automated expense management system adds business intelligence to the data, thus enabling employers to make faster and smarter decisions.
Paper-based processes waste lot of time
Manual processes not only cost money but also consume time. Companies spend more time on creating, collecting, approving, and auditing expense documents. Manually managing expenses takes employees’ focus off the core tasks. Also, employees need to answer lots of queries on the reimbursement process. In addition to these, shipping documents is an unnecessary burden based on how often the documents are being shipped. An expense management system can automatically route expense reports, purchase requisitions, and invoices to approval processes and make information easily accessible to employees at all levels.
This way, automated online expense report software drives success in every enterprise.