Expense Management is the system a business adopts to capture, process and reimburse expenditure incurred by the employee. When an employee initiates spend to perform their duties, what follows is a series of workflows that attempt to manage and account the data and information.
Employee expenses are a part of everyday operations and affect all levels within a business, yet in many cases the tools, policy and procedures that manage this process are old, clunky, outdated and out of touch.
Business processes can take a long time to advance in companies simply because it’s the way things have always been done and it’s not until disruption strikes that businesses are pushed to improve, progress and optimise or be left behind.
If you have ever submitted an expense claim using a paper-based expense system you will no doubt have gained firsthand experience on just how slow, tedious and time-consuming manual expense claims can be. And it would be fair to say that the level of error, accuracy and visibility found in employee expenses is a direct result of how manual each part of the process is, from submitting, approval, checking, processing, payment and accounting.
When an employee incurs expenses, like coffee, meals, mileage, travel and accommodation they are required to keep proof of spend i.e. paper receipts and later refer to these documents to account and justify spend, whether it be cash or credit card.
- Spend and file paper receipt in wallet, bag, car etc…
- Manual transfer of information from each receipt to spreadsheet
- Manual coding – general ledger, projects…
- Print expense claim and staple receipts to back
- Hand over expense claim to your approver and wait
Managers must then approve, and finance departments are under pressure to process, pay and report. It’s a lot of hassle for everyone involved and everyone is busy.
Time is a limited commodity… So, Is there a better way? We think so.
Expense Management has changed a lot in recent years and automation has disrupted the way expenses are managed. Technology like Optical Character Recognition (OCR), Artificial Intelligence (AI) and Machine Learning (ML) have significantly changed the pace and speed of processing and transferring of data.
Innovative features like real time and line by line expensing allow employees to submit expenses as and when they are incurred. Software created with the end user in mind, with simple intuitive layouts, easy to use and understand for anyone no matter their digital literacy. This translates into high user adoption rates and significant process improvements are gained.
A digital expense management solution can be one the easiest and quickest ways to reduce costs and unburden employees.
It is important to note that no one company is the same, each has their own chart of account set up, internal controls, policies, projects and approval workflows. The user, approver, finance and administration role each require a different set of tools to complete their job.
The expense management process affects all levels within a business. So, it is important to understand your challenges and pain points to see where savings and efficiencies can be made to everyone involved. It’s clear that automating expenses can have a tremendous positive impact on the productivity and profitability of employees and business.
Changing processes and systems in any company is a big deal and expense management is one of those processes that companies can regard as too hard and painful to change especially when it involves so many people.
We know legacy systems and manual processes can be very ineffective, frustrating and costly. They are not built to support growth and lack room for improvement.
At DMS we believe everyone’s time is valuable and that you should be spending your time on better things.
Our expense management solution delivers a simple, easy to use interface and is packed with features that empowers all users across all levels in your business.
Start saving time and money by speaking to one of our consultants today.