It is impossible to miss it: one by one, companies are starting to implement their Digital Strategies. Visions of new solutions based on AI algorithms materialize before our eyes. Additionally, hype-marketers bombard us with news about the infinite number of possibilities available through automation and robotization. Let’s think in a matter-of-fact way: What direction is the development taking in the Travel & Expense process? Has your company stopped dreaming and started implementing?
KNOWLEDGE IS INDISPENSABLE
The statement that the Polish business process research market is “poor” is both a brutal and subtly expressed diagnosis. Companies do not have data on the development of similar organizations, therefore they do not acquire the knowledge needed for their own development. There is a lack of reliable market analyzes, precise benchmarking and specific solutions. Companies often stand still and do not search for the valuable information. Or they try to search for it, but do not know where to obtain it. This leads to a situation where both the modern tools at their disposal and the level of organizational culture put Polish companies behind their European or American counterparts. So where to start? We encourage you to analyze your own backyard as the first step to development. In order to be inspired by the actions of others, it is necessary to diagnose at what stage your company is at the moment. This will facilitate choosing the right development path for the organization.
IT SYSTEM BUILDS AWARENESS
If the company does not examine the state of its own processes, it is hard to imagine reaching a higher level of development. This is usually the main blockade that encloses the organization within four walls. The company needs a key to unlock the door and keep it going. Data and knowledge are such a key.
As a rule, companies assume that the only advantage of introducing a new system is automation. This is undoubtedly a big advantage that allows you to complete tasks faster and easier. The real benefits, however, go far beyond automation. Optimization generates savings, allows employees to make good decisions, and the company is able to identify new opportunities, e.g. negotiating hotel or airline rates.
AT WHAT STAGE IS YOUR COMPANY?
To know what is needed to develop further, you should first check which stage of the road the company is at. It might be helpful to look at a brief overview of the development stages of the Travel & Expense process. Read and think about how you carry out tasks in your company and what solutions you use.
Level 1: Expense accounting based on Excel or paper
Most companies start by entering their expenses into Excel manually – which is time consuming. There is no integration or automation whatsoever.
Level 2: (Almost) automated TEM processes
Businesses then typically move to basic expense management software. In this way, you can integrate applications and settlements with an external workflow, but you still use paper invoices, manually enter data into expense statements, and manually post it. The company lacks automation.
Level 3: Specialized Tools
The implemented solutions increase the transparency of expenses throughout the organization, make it easier for users to settle business trips and expense statements, and ensure an appropriate workflow. Invoices are scanned with mobile devices and documents are added to the statements automatically. Unfortunately, employees still enter data and post manually, and at the same time the traditional process based on paper documents is carried out.
Level 4: Travel & Expense ecosystem
The platform ecosystem consists of: corporate booking system, travel and expense management tool, corporate ERP and HRM, and the full process is serviced online. Invoices are scanned by mobile devices using OCR, data for statements are entered automatically, similarly to accounting assignment. The system is integrated with the bank where the company has payment cards.
Level 5: Intelligent Processes
Predictive analytics is introduced that analyzes historical data and pinpoints risk areas before they reappear. This is a good complement to flagging warnings against corporate travel and expense policies. At this stage, optimal purchase decisions are taken thanks to functionalities such as Decision Mechanism Design, which directly affects the motivation of employees.
Level 6: Digital Business Travel
A system that uses AI tools such as: Machine Learning, Robotics Process Automation, etc. Such a system independently purchases Door-to-Door stays and journeys based on optimal business conditions, taking into account the personal preferences of the user.
AND FINALLY …
Description of the development levels of the Travel & Expense area helps to classify the company and identify its needs, weaknesses and challenges. Remember, however, that it will only be fully possible when, as an organization, you acquire awareness of the current state and the awareness of the most important – the goal you are pursuing. Think about the path your company is to follow and select the most important needs that you want to meet. Good luck!
