Finance chiefs and their teams are relying on technology to redefine expense management and focus more on analytical issues. Today, there are adaptable AI-driven technologies that automate travel & expense management, enable companies to make their own rules and decisions, and adapt criteria based on company specifications. Given the vast range of existing and emerging technologies, it can be challenging to know where to start. Here is an explainer to get you on your way.
How AI can help you
Travel expense management is a prime candidate for automation, as existing processes are still manual, time-consuming, and error prone. AI technologies are perfectly suited to this field and available in a wide range, from the simplest to the most advanced.
The AI also sees transactions in context, not in isolation, and can identify the most critical elements of a transaction, such as the value of the transaction and the amount of money it contains. The AI looks at everything in the transactions, from the lines to the elements, and it can also identify details of each element, such as the price, the number of transactions, and even the duration.
AI expense management solutions can help the organization in so many ways by enforcing specific policies. For example, corporates can set unique mileage rules based on the designation.
The application of employment and work from home policy has become a priority for many organizations, as more staff work from home and office hours are now much more flexible.
AI-based expense management systems allow the user to define rules for monitoring spending within a specific framework that represents specific customer projects or business events. The travel expenses statement indicates how many hours a person must work at home and how much time he or she works remotely on any given day. AI-driven expense management technology can use this to automatically apply different budgetary policies to different types of employees, such as those who work remotely and on a given day.
What companies can do to leverage AI
Organizations must ensure that they act under their employment and work from home policies.
This can be a complex undertaking, as there are often specific deviations and exceptions that need to be followed, such as the use of non-standard working methods in work from home.
Employees typically need to submit a signed business statement along with their expenses, and many organizations require prior approval from customers hosting sporting events. Although the format of these documents varies from organization to organization, the AI can read, understand, and review the documents to ensure that they are signed and that the company’s policies are followed. AI-based systems allow for custom requirement lists that automatically detect differences.
A customizable AI-based expense management system makes it easy to create custom rules that track employee spending and ensure they do not exceed their remuneration over time.
In today’s changing work environment, a one-size-fits-all approach is not sensible and not suitable for all employees.
If implemented correctly, this will result in a well-defined travel and expense system that sets clear expectations for employees, reduces fraud, and provides up-to-date expenditure data to improve financial management and decision-making.