You may have noticed the growing trend for travel and expense management (TEM) automation. It is predicted that around 80% of organizations will implement an automated TEM solution by 2020. The downturn of the economy is one reason TEM automation has increased. Overall spending budgets have decreased and better management of travel is one of the easiest ways for an organization to cut costs. Millennials entering the workforce is another reason companies are looking at new technology to manage travel and expense. 65% of millennials say they prefer having state-of-the-art technology as a key factor in choosing between multiple job offers. It is important to note that solutions such as mobile expense tracking and receipt capture could be a determining factor in acquiring new talent.
In a recent webinar hosted by PayStream Advisors and Apptricity, Mark Oliver, Executive VP of Commercial Services at Apptricity discussed the three main drivers that organizations have expressed to him for wanting to implement a TEM solution:
- Accountability – This focuses on the “what”, “who” and “where”. An automated system provides the data to answer very important questions: who is spending company dollars on what expenditures and where are they spending company dollars? What is the return on investment for these expenditures? Answering these questions with Big Data provided by an automated solution allows companies to cut cost in areas that are not beneficial to the company and perhaps increase investment into programs that are achieving success.
- Audit-ability – Are employees staying in compliance with rules and regulations? This driver comes from the need to go back, look at data, and make sure employees are staying in compliance with rules and regulations, especially for publicly traded companies.Eliminating maverick spending, duplicate expenses and out-of-compliance transactions helps all employees contribute to the bottom line through awareness and personal oversight.
- Visibility – Most companies that are using standard paperwork or Excel sheets to manage expenses have no real-time visibility into their spend. An automated systems helps managers identify potential budgetary issues before they arise and make better business decisions.
Do any of these needs sound familiar? Contact us to learn more about Apptricity Travel and Expense, or view the on-demand webinar: Advancing Managed Travel: Balancing Features and Costs.