While interviewing a HR manager from a leading IT company in Singapore, I came to know that, a conventional expense report eats about 20 minutes and some $58 to be processed, but the shocking part is that 19% of these manually created reports contains errors and and it again requires 18 minutes and $52 to get them fixed. Why don’t you put that on automation? I asked her, to which she replied “navigating the complexities of AI expense management is another challenge for many organisations like us”.
Data Security, Compliances & Long Implementation Time are one of the most concerning factors and to address all this, I have designed this guide to end many dilemmas and bridge the gap and enable you to confidently integrate an AI expense management within your system.
What Is AI Expense Management?
Expense management simply understands your expense concerns and then accordingly optimizes how an organisation tracks, approves, and reimburse their business expenses, which saves time and is error free.
A conventional AI expense manager helps in;
- Categorizing expenses
- Eradicating manual data entry
- Capture receipts with OCR
Also Read: How Much Does It Cost to Outsource Payroll in Singapore?
This whole process makes the approvals quick and correct by being in complete company compliance. As, it automatically would flag out-of-policy expenses for the admins to review. Then admin only are required to focus on only the flagged portions instead of the whole report. This also automates reimbursements and makes the system more transparent about the transactions.
Why Automating or AI Expense Management Is Important?
Automated expense contains tools which are highly secured and can be trusted while handling any organisation’s IP management, hence improving the overall productivity.
Understanding your requirements and integrating an AI expense management tool accordingly could help you in;
- Increased Efficiency
- Improved Accuracy
- Cost-effectiveness
- Employee satisfaction
- Total Compliance
Benefits of AI For Expense Management
Below I have discussed the benefits of AI expense management, which would help you in understanding your organization’s needs and selecting the services accordingly;
High Efficiency
The main idea of AI expense management automating all the time-consuming and repetitive tasks. Ranging from data entry to the categorization of expenses, AI systems do all that efficiently, saving time and ensuring accuracy and compliance.
Accuracy
AI and Machine learning algorithms contained in automated expense management solutions are highly adaptive to the expense data patterns and learn from there and operate accordingly. This ensures accurate data and expense categorization with minimum to zero errors. As the system evolves within the integrated softwares of your organisation it increases efficiency in spotting anomalies and discrepancies and provides reliable data.
Strategic Process & Forecasting
AI expense management tools are highly capable to forecast the future expense backed by enhanced analytics. By analysing the previous records & data, AI systems can provide reliable insights into the expense shifts & patterns delivering proactive budgeting, better resource allocation and strategic financial designing.
Cost Savings Optimizations
AI-powered expense management by learning the patterns identifies spots and events of overspending and provides inputs on cost optimization. By analyzing spending patterns, flag unconventional or unnecessary expenses, and notifying edge expenses it ensures your complete cost-conscious approach towards the finances.
Improved Compliance
AI systems equipped with NLP are efficient enough to analyze expense reports in contrast to the predefined regulations, underlining any cross-path decisions or expenses from guidelines. This ensures that all spends are always as per the company policies which reduces the risk of non-compliance, fraud and any financial irregularities.
Navigating The Complexities Of AI Expense Management
Making a business global also makes it complex and to eradicate the complex processes, AI expense management tools are there. Managing your service providers like EOR and employees in foreign land is sometimes difficult because ensuring compliance of your global subsidiaries with local tax rules is again a challenge.
Manual interventions in global expense management is not only time-consuming, failing to which you could also land troubles. It’s not about simple tasks with AI expense management tools, you can easily monitor VAT across global markets and seamlessly integrate your expense system with financial tools like ReimburseME (REME).
Case Study
ReimburseME (REME) undertook a challenge to understand how it’s helping the organization overcome the challenges with AI expense management. An association with a busy food delivery app in Singapore helped them achieve what they have been anticipating;
The popular food delivery app caters-in thousands of calls and orders in a day connects consumers with local food outlets across Singapore.
Challenge
They were initially using different cards and services for managing different spends and for taxes and regulations there were other services again. The company expanded and grew, this system emerged as a new challenge for them but they had no idea about the culprit and the user experience started suffering. As the market leader REME, got notice of this and suggested one integrated solution for their all corporate cards and reimbursements.
Solution
REME worked with them for a brief period to understand the problem and suggested a solution to replace their corporate cards and manual expense sheets with AI expense management and then integrated their curated and configured solution for the delivery app and evolved their ACRA, ECI, SFRS and IFRS in no time.
Impact
REME solution provided solutions to their employees with;
- Reimbursements in 36 hours or less
- 24/7 support
Also Read: The Importance of Payroll Services for Small Business Growth
Conclusion
You can also start accelerating your expense management with ReimburseME (REME)
REME (ReimburseME) AI, It’s helping hundreds of companies to streamline their workflows and manage expenses efficiently. Simple yet potent features integrated within AI expense management tools can help you automate workflows for every spend, provide every employee of yours with their own assistance and put the expenses on autopilot ensuring complete compliance to your company’s and local laws.
